203 32. FINANCIAL INSTRUMENTS (continued) (vii) Material hedging activities Hedge of net investments in foreign operations The Group borrows loans denominated in Japanese Yen (“JPY”) and utilised cross currency interest rate swaps to realign the Singapore dollar denominated loan back into effective JPY denominated loan to maintain a natural hedge for its JPY denominated investments. The amounts related to items designated as hedging instruments were as follows: Nominal amount Carrying amount Line item in the statement of financial position where the hedging instrument is included Changes in the value of the hedging instrument recognised in OCI Hedge ineffectiveness recognised in profit or loss Line item in profit or loss that includes hedge ineffectiveness Assets Liabilities Foreign currency risk RM’mil RM’mil RM’mil RM’mil RM’mil 2024 Foreign currency denominated loans and borrowings 2,382 – (2,373) Loans and borrowings 174 – N.A. Cross currency swap 568 5 – Derivatives assets (1) 6 Fair value gain on financial derivatives 2023 Foreign currency denominated loans and borrowings 2,395 – (2,389) Loans and borrowings 198 – N.A. The amounts related to items designated as hedged items were as follows: Change in value used for calculating hedge ineffectiveness Foreign currency translation reserve Balances remaining in the foreign currency translation reserve from hedging relationships for which hedge accounting is no longer applied RM’mil RM’mil RM’mil 2024 Net investment in SPEs with JPY functional currency (162) (885) – Net investment in SPEs with EUR functional currency 1 1 – 2023 Net investment in SPEs with JPY functional currency (200) (739) –
RkJQdWJsaXNoZXIy NDgzMzc=