2022 RM’million 2023 RM’million 2022 RM’million As at the beginning of the financial year (37.0) (70.3) (34.4) (64.0) Impairment loss recognised (33.8) (37.7) (23.1) (34.4) Impairment loss reversed 22.6 71.0 19.3 64.0 As at the end of the financial year (Note 17(a)) (48.2) (37.0) (38.2) (34.4) NOTES TO THE FINANCIAL STATEMENTS 31 December 2023 TENAGA NASIONAL BERHAD Integrated Annual Report 2023 316 45 FINANCIAL INSTRUMENTS (CONTINUED) (b) Financial risk management (continued) Credit risk (continued) (i) Trade receivables and trade contract assets (continued) Impairment losses (continued) Trade receivables are secured by deposits in the form of cash and bank guarantees. ECL is not provided on receivable balances fully secured by deposits. The deposit amounts are reviewed on an individual basis periodically. Individual receivables which were known to be uncollectible werewritten off by reducing the carrying amount directly. Impairment losses on trade receivables and trade contract assets are presented as net impairment losses within operating profit. Subsequent recoveries of amounts previously written off are credited against the same line item. (ii) Investment in unquoted debt security, deposits, bank and cash balances, derivative financial instruments and financial assets at FVTPL Risk management objectives, policies and processes for managing the risk Investments, deposits, bank and cash balances, derivative financial instruments and financial assets measured at FVTPL are liquid security and mainly with reputable financial institutions. Investment in unquoted debt security are investment in an associate’s financial instruments. The credit risk of this associate is monitored on a quarterly basis and the loss allowances are provided for accordingly. Exposure to credit risk, credit quality and collateral The maximum exposure to credit risk is represented by the carrying amounts in the SOFP. In view of the sound credit rating of counterparties, the Group and the Company do not expect any counterparty to fail to