DESTINI Annual Report 2018

44. Capital Management (Cont’d) The Group monitors capital using a gearing ratio. The Group’s policy is to maintain a prudent level of gearing ratio that complies with debt covenants and regulatory requirements. The gearing ratios at end of the reporting period are as follows There were no changes in the Group’s approach to capital management during the financial year. The Group is not subject to any externally imposed capital requirements. 45. Date of Authorisation for Issue The financial statements were authorised for issue by the Board of Directors in accordance with a resolution of the Directors on 22 April 2019. NOTES TO THE FINANCIAL STATEMENTS 2018 2017 RM RM Total loans and borrowings 138,549,110 178,978,336 Less: Deposits, bank and cash balances (60,148,461) (52,691,676) Net debt 78,400,649 126,286,660 Total equity 507,023,997 508,149,484 Gearing ratio 15% 25% DESTINI BERHAD ANNUAL REPORT 2018 204