Page 140 - EXIM_AR2021

138 FINANCIAL EXIM BANK MALAYSIA
STATEMENTS

Notes to the fiNaNcial statemeNts

7. lOans, aDvances anD financing (cOnt’D.)

(x) Overlays and adjustments for ECL amid COVID-19 environment
As the current MFRS 9 models are not expected to generate levels of ECL with sufficient reliability in view of the
unprecedented and on-going COVID-19 pandemic, overlays and post-model adjustments have been applied to determine a
sufficient overall level of ECLs for the year ended and as at 31 December 2021.
The overlays involved significant level of judgement and reflect the management’s views of possible severities of the
pandemic and paths of recovery in the forward looking assessment for ECL estimation purposes.

The adjusted downside scenario assumes a continuous restrictive economic environment due to COVID-19 and the impact
of these adjustments on the affected loans, advances and financing of the Bank as at 31 December 2021 is as follows:

Group and Bank
Management
Outstanding Modelled Overlay Total
Balance ECL Provided ECL
RM’000 RM’000 RM’000 RM’000

2021
Malaysia 843,518 112,594 154,880 267,474
South Asia 17,439 300 542 842
Middle East 177,088 36,367 24,792 61,159
Oceania 960 182 - 182
1,039,005 149,443 180,214 329,657

2020

Malaysia 739,583 93,134 114,215 207,349
East Asia 170,912 6,158 7,152 13,310
South Asia 22,705 7,134 - 7,134
Middle East 192,546 43,874 26,102 69,976
Africa 45,305 916 2,500 3,416
Oceania 1,853 287 462 749
1,172,904 151,503 150,431 301,934