106.3 0 0 0 122,981.5 186,387.3 42,482.4 9,234.7 29,997.3 104,672.9 * Refer to Note 15 and Note 26 for the average remaining period. NOTES TO THE FINANCIAL STATEMENTS 31 December 2023 FINANCIAL STATEMENTS Sec 5 329 45 FINANCIAL INSTRUMENTS (CONTINUED) (b) Financial risk management (continued) Market risk Market risk is the risk that changes in market prices, such as foreign exchange rates, interest rates and other prices will affect the Group’s and the Company’s financial positions or cash flows. (i) Foreign currency risk The Group and the Company are exposed to foreign currency risk on sales, purchases and borrowings that are denominated in currencies other than the respective functional currencies of the Group and of the Company. The currencies giving rise to this risk are primarily USD, JPY andGBP. Risk management objectives, policies and processes for managing the risk The Group and the Company are required to hedge a minimum of 50.0% of TNB’s known foreign currency exposure up to 12 months period. The Group and the Company use forward exchange contracts and maintain foreign currency floats to hedge its foreign currency risk. Exposure to foreign currency risk The currency exposure of financial assets and financial liabilities of the Group and of the Company at the end of the financial year, expressed in MYR (if not defined, Malaysian Ringgit) currency units, are as follows: USD RM’million JPY RM’million GBP RM’million EUR RM’million Others RM’million 2023 Group Financial assets Financial assets at FVOCI 0 0 0 0 0.5 Receivables 1.2 0 0 0 3.4 Deposits, bank and cash balances 7.3 0 1,077.4 1.1 0 8.5 0 1,077.4 1.1 3.9 Financial liabilities Payables 28.8 0 0 9.6 0 Borrowings 8,848.8 1,664.7 0 1,171.5 0 8,877.6 1,664.7 0 1,181.1 0 USD RM’million JPY RM’million GBP RM’million EUR RM’million 2023 Company Financial assets Amounts due from subsidiaries 9.7 0 884.0 0 Deposits, bank and cash balances 4.8 0 732.8 1.1 14.5 0 1,616.8 1.1 Financial liabilities Borrowings 8,848.8 1,664.7 0 0 NOTES TO THE FINANCIAL STATEMENTS