FGV Annual Report 2017

FELDA GLOBAL VENTURES HOLDINGS BERHAD FINANCIAL STATEMENTS 172 NOTES TO THE FINANCIAL STATEMENTS FOR THE FINANCIAL YEAR ENDED 31 DECEMBER 2017 4 FINANCIAL RISK MANAGEMENT (CONTINUED) (a) Financial risk management policies (continued) Market risk (continued) (iii) Finance rate risk The Group’s finance rate risk mainly arises from LLA liability and short term trade financing. LLA liability and short term trade financing issued at variable rates expose the Group to cash flow finance rate risk. The finance rate profile of the Group’s finance bearing financial assets, based on carrying amounts as at the end of the reporting period was: Group Company 2017 RM’000 2016 RM’000 2017 RM’000 2016 RM’000 Financial assets At fixed rate Fixed deposits 1,326,700 1,311,826 40,839 74,485 The finance rate profile of the Group’s finance bearing financial liabilities, based on carrying amounts as at the end of the reporting period was: Group Company 2017 RM’000 2016 RM’000 2017 RM’000 2016 RM’000 Financial liabilities At fixed rate Loans due to a significant shareholder 1,387,316 1,689,005 1,387,316 1,689,005 Loans due to subsidiaries - - 721,019 28,895 Islamic short term trade financing 2,572,665 2,749,423 - - Short term trade financing 722,059 397,994 - - Finance lease liabilities - 2,423 - - 4,682,040 4,838,845 2,108,335 1,717,900