MISC Integrated Annual Report 2020

38. FINANCIAL RISK MANAGEMENT OBJECTIVES AND POLICIES (CONT’D.) (d) Credit risk (cont’d.) Receivables and contract assets (cont’d.) The following table provides information about the exposure to credit risk and ECL for receivables and contract assets as at 31 December 2020 which are grouped together as they are expected to have similar risk nature. Group Gross carrying Loss Net amount allowance balance 2020 RM’000 RM’000 RM’000 Credit risk rating Low risk rating 971,199 (578) 970,621 Medium risk rating 18,340,462 (439,584) 17,900,878 High risk rating 540,227 (250,501) 289,726 19,851,888 (690,663) 19,161,225 Representing: Trade and other receivables (Note 22) 6,034,038 (627,328) 5,406,710 Finance lease receivables (Note 20(d)) 13,817,850 (63,335) 13,754,515 19,851,888 (690,663) 19,161,225 Corporation Gross carrying Loss Net amount allowance balance RM’000 RM’000 RM’000 Credit risk rating Medium risk rating 4,413,429 (91,057) 4,322,372 High risk rating 402,769 (244,863) 157,906 4,816,198 (335,920) 4,480,278 Representing: Trade and other receivables (Note 22) 3,889,940 (329,408) 3,560,532 Finance lease receivables (Note 20(d)) 926,258 (6,512) 919,746 4,816,198 (335,920) 4,480,278 38. FINANCIAL RISK MANAGEMENT OBJECTIVES AND POLICIES (CONT’D.) (d) Credit risk (cont’d.) Receivables and contract assets (cont’d.) Group Gross carrying Loss Net amount allowance balance 2019 RM’000 RM’000 RM’000 Credit risk rating Low risk rating 1,072,864 (642) 1,072,222 Medium risk rating 18,064,097 (437,796) 17,626,301 High risk rating 539,053 (298,900) 240,153 19,676,014 (737,338) 18,938,676 Representing: Trade and other receivables (Note 22) 4,594,905 (664,200) 3,930,705 Finance lease receivables (Note 20(d)) 15,081,109 (73,138) 15,007,971 19,676,014 (737,338) 18,938,676 Corporation Gross carrying Loss Net amount allowance balance RM’000 RM’000 RM’000 Credit risk rating Medium risk rating 2,705,116 (93,479) 2,611,637 High risk rating 442,960 (295,451) 147,509 3,148,076 (388,930) 2,759,146 Representing: Trade and other receivables (Note 22) 2,128,649 (381,509) 1,747,140 Finance lease receivables (Note 20(d)) 1,019,427 (7,421) 1,012,006 3,148,076 (388,930) 2,759,146 31 December 2020 NOTES TO THE FINANCIAL STATEMENTS 31 December 2020 NOTES TO THE FINANCIAL STATEMENTS 10 446 10 447 /// Leadership / Governance / Financial Statements / Additional Information / Annual General Meeting ////// /// Leadership / Governance / Financial Statements / Additional Information / Annual General Meeting ////// Section Section MISC Berhad / Integrated Annual Report 2020 MISC Berhad / Integrated Annual Report 2020