ECCB 2014-2015 Annual Report and Statement of Accounts

EASTERN CARIBBEAN CENTRAL BANK

Eastern Caribbean Central Bank Notes to Consolidated Financial Statements March 31, 2015

(expressed in Eastern Caribbean dollars) NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (expressed in Eastern Caribbean dollars) March 31, 2015

3. Financial risk management …continued b) Credit risk …c ontinued Financial risk management …continued

3.

b) Credit risk …continued

Credit risk measurement and mitigation policies … continued Available-for-sale investment securities and money market instruments and money at call … continued Money market instruments and money at call … continued Credit risk measurement and mitigation policies …continued Available-for-sale investment securities and money market instruments and money at call…continued Money market instruments and money at call …continued

Unrated

2015

2014

$

$

660,388,697 445,261,776 1,105,650,473

Money at call Term deposits

330,118,404 548,818,698 878,937,102

Loans and advances to participating governments Advances are based on Board approved credit allocation limits. Requests for advances by governments are reviewed to ensure that the amounts are within the approved allocated limits. These approved limits are reviewed annually. Due from local banks Advances are granted to commercial banks in accordance with Part VIII, Article 31(2) and Part IIa, Article 5B of the ECCB Agreement Act 1983. Under Part VIII, Article 31(2), the borrowing bank must pledge collateral with the Central Bank and can only borrow ninety per cent of the collateral amount pledged. Loans and advances to participating governments Advances are based on Board approved credit allocatio limits. Requests for advances by govern ents are r viewed to ensure that th amounts are within the approved allocated limits. These approved limits are reviewed annually. Due from local banks dvances are granted to commercial banks in accordance with Part VIII, Article 31(2) and Part IIa, Article 5B of the ECCB Agre ment Act 1983. Under Part VIII, Articl 31(2), the borrowing bank must pledge collateral with the Central Bank and can only borrow ninety per cent of the collateral amount pledged.

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ECCB ANNUAL REPORT 2014/2015

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