Page 63 - QFCRA Annual Report 2014
P. 63
es to the Financial
Statements
FOR THE YEAR ENDED 31 DECEMBER 2014
14. FINANCIAL RISK MANAGEMENT
The QFC Regulatory Authority has Risk management framework 14.1 Credit risk
exposure to the following risks from The management has overall Credit risk is the risk of financial
its use of financial instruments: responsibility for the establishment loss to the QFC Regulatory
and oversight of the QFC Regulatory Authority if counterparty to a
• credit risk; Authority’s risk management financial instrument fails to meet its
• liquidity risk; and framework. The QFC Regulatory contractual obligations, and arises
• market risk. Authority’s risk management policies principally from fees receivable,
are established to identify and analyse other receivables and bank
This note presents information about the risks faced by the QFC Regulatory balances.
the QFC Regulatory Authority’s Authority, to set appropriate risk limits The carrying amount of financial
exposure to each of the above and controls, and to monitor risks and assets represents the maximum
risks, the objectives, policies and adherence to limits. Risk management credit exposure. The maximum
processes for measuring and policies and systems are reviewed exposure to credit risk at the
managing risk. Further quantitative regularly to reflect changes in market reporting date was:
disclosures are included throughout conditions and the QFC Regulatory
these financial statements. Authority’s activities.
Fees receivables – net of impairment 2014 In USD ‘000
Bank balances 2013
Interest receivables -
Other receivables - net of impairment 25,592 10
38,273
54
101 86
25,747 169
38,538
to meet its payment obligations Regulatory Authority’s terms of
associated with its financial liabilities services require amounts to be paid
Credit risk in respect of bank balances that are settled by delivering cash within 30 days of the date of service.
is limited as the QFC Regulatory or another financial assets when The table below summarises the
Authority only deals with highly they fall due. The QFC Regulatory maturity profile of the QFC Regulatory
reputable banks in Qatar and abroad. Authority limits its liquidity risk by Authority’s financial liabilities at 31
securing appropriations from the December based on contractual
14.2 Liquidity risk Government to finance its operating undiscounted payments.
and capital expenditure. The QFC
Liquidity risk is the risk that the QFC
Regulatory Authority is unable
Gross undiscounted cash flows
2014 Carrying amount Contractual cash flows One year or less
Accounts payable
Total (2,891) (2,891) (2,891)
(2,891) (2,891) (2,891)
2013 Gross undiscounted cash flows
Accounts payable
Total Carrying amount Contractual cash flows One year or less
3,027 (3,027) (3,027)
3,027 (3,027) (3,027)
ANNUAL REPORT 2014 63
Statements
FOR THE YEAR ENDED 31 DECEMBER 2014
14. FINANCIAL RISK MANAGEMENT
The QFC Regulatory Authority has Risk management framework 14.1 Credit risk
exposure to the following risks from The management has overall Credit risk is the risk of financial
its use of financial instruments: responsibility for the establishment loss to the QFC Regulatory
and oversight of the QFC Regulatory Authority if counterparty to a
• credit risk; Authority’s risk management financial instrument fails to meet its
• liquidity risk; and framework. The QFC Regulatory contractual obligations, and arises
• market risk. Authority’s risk management policies principally from fees receivable,
are established to identify and analyse other receivables and bank
This note presents information about the risks faced by the QFC Regulatory balances.
the QFC Regulatory Authority’s Authority, to set appropriate risk limits The carrying amount of financial
exposure to each of the above and controls, and to monitor risks and assets represents the maximum
risks, the objectives, policies and adherence to limits. Risk management credit exposure. The maximum
processes for measuring and policies and systems are reviewed exposure to credit risk at the
managing risk. Further quantitative regularly to reflect changes in market reporting date was:
disclosures are included throughout conditions and the QFC Regulatory
these financial statements. Authority’s activities.
Fees receivables – net of impairment 2014 In USD ‘000
Bank balances 2013
Interest receivables -
Other receivables - net of impairment 25,592 10
38,273
54
101 86
25,747 169
38,538
to meet its payment obligations Regulatory Authority’s terms of
associated with its financial liabilities services require amounts to be paid
Credit risk in respect of bank balances that are settled by delivering cash within 30 days of the date of service.
is limited as the QFC Regulatory or another financial assets when The table below summarises the
Authority only deals with highly they fall due. The QFC Regulatory maturity profile of the QFC Regulatory
reputable banks in Qatar and abroad. Authority limits its liquidity risk by Authority’s financial liabilities at 31
securing appropriations from the December based on contractual
14.2 Liquidity risk Government to finance its operating undiscounted payments.
and capital expenditure. The QFC
Liquidity risk is the risk that the QFC
Regulatory Authority is unable
Gross undiscounted cash flows
2014 Carrying amount Contractual cash flows One year or less
Accounts payable
Total (2,891) (2,891) (2,891)
(2,891) (2,891) (2,891)
2013 Gross undiscounted cash flows
Accounts payable
Total Carrying amount Contractual cash flows One year or less
3,027 (3,027) (3,027)
3,027 (3,027) (3,027)
ANNUAL REPORT 2014 63
