SBN HOLDINGS LIMITED Annual Report 2022
NOTES TO THE ANNUAL FINANCIAL STATEMENTS continued
78
5.
Loans and advances continued
5.3
Reconciliation of ECL for loans and advances measured at amortised cost continued
A reconciliation of the ECL for loans and advances, by product:
Opening
ECL
1 January
2022
N$'000
Transfer
stage 1
(to)/
from
N$'000
Transfer
stage 2
(to)/
from
N$'000
Transfer
stage 3
(to)/
from
N$'000
Total
transfers Net ECL Impaired
between raised/ accounts
stages (released) 5 written off
N$'000 N$'000
Closing
ECL
N$'000
Exchange
and other
movements
N$'000
31
December
2022
N$'000
ུག
5.
5.3
SBN HOLDINGS LIMITED
Annual report 2022
Loans and advances continued
Reconciliation of ECL for loans and advances measured at amortised cost continued
A reconciliation of the ECL for loans and advances, by product:
Closing
ECL
Opening
ECL
Total
31
Transfer
Transfer
Transfer
transfers
1 January
2021
N$'000
stage 1 stage 2 stage 3
(to)/from (to)/from
N$'000 N$'000
(to)/from
N$'000
between
stages
N$'000
Net ECL
raised/
Impaired
accounts
(released) written off
N$'000
N$'000
Exchange
and other
movements
N$'000
December
2021
Restated¹
N$'000
GROUP
Home services¹
588 608
(8 402)
(2 076)
10 478
164 496
(251 140)
(69 438)
432 526
GROUP
Stage 1
Home services²
397 809
19 097
998
7 404
8 402
Stage 2
51 135
Stage 34
518 376
(998)
(7 404)
3 074
2 076
(3 074)
(10 478)
(5 971)
27 747
142 720
(13 300)
6233
7 067
175 307
21 528
(22 235)
37 727
588 608
80 958
Stage 1
23 104
4 769
(251 140)
(69 438)
330 040
Stage 2
51 622
Vehicle and asset
Stage 36
323 083
(4 769)
(8 531)
8531
(1464)
13 300
(17 307)
19 097
(6 233)
1464
(7 067)
5 746
186 868
(22 235)
37 727
51 135
518 376
finance
103 772
273
(1 782)
1509
Stage 1
7 651
(163)
(110)
Stage 2
40 783
163
1 619
Stage 34
55 338
110
(1 619)
(273)
1782
(1509)
19 334
542
(11 426)
(103)
111 577
Vehicle and asset
finance
116 847
(5 333)
2 171
3 162
4922
(2 890)
7 920
39 675
(17 997)
103 772
Stage 1
9546
1646
3 687
5333
(7228)
7 651
21 682
(11 426)
(103)
63 982
Stage 2
50 309
Card and payments
17 510
(159)
(137)
296
Stage 36
56 992
6 771
(1646)
(3 687)
(525)
(2 171)
(7 355)
40 783
525
(3 162)
19 505
(10 705)
(1 517)
12 059
(17 997)
55 338
Stage 1
2 442
102
Stage 2
7 397
(102)
57
239
159
91
2 692
Card and payments
18 599
(398)
110
288
7 634
(8 723)
17 510
137
431
7 965
Stage 1
1642
244
154
398
402
2 442
Stage 34
7 671
(57)
(239)
(296)
6 249
(10 705)
(1 517)
1402
Stage 2
3 943
(244)
134
(110)
3 564
7 397
Corporate lending³
39 695
(4 746)
4 746
5 652
(5 649)
1479
41 177
Stage 36
13 014
(154) (134)
(288)
3668
(8 723)
7 671
Stage 1
10 572
4 746
4 746
123
223
15 664
Corporate lending4
31 783
(402) 422
(20)
7914
(2)
39 695
Stage 2
19 325
(4 746)
(4 746)
6 036
637
21 252
Stage 1
14 263
402
402
(4 093)
10 572
Stage 34
9 798
(507) (5 649)
619
4 261
Sovereign lending³
1665
124
Stage 1
1046
(124)
(124)
(583)
746
1828
Stage 2
Stage 36
15 020
2500
(402)
(20)
20
(422)
20
4 726
1
19 325
7281
(3)
9798
Stage 2
619
124
(124)
124
(1225)
746
Sovereign lending4
19
2 317
642
443
1385
(2 317)
1646
1665
Stage 1
Stage 34
Bank lending³
4 502
2142
(2142)
(109)
(2 338)
Stage 2
Stage 36
16
36
(2 317)
(2 317)
3 360
1046
2 317
2 317
(1714)
619
2 055
Stage 1
3 882
(2142)
Stage 2
620
2142
(2142)
2142
491
(600)
(1720)
(618)
511
1544
Bank lending4
3 831
Stage 1
3 756
Stage 34
Stage 2
75
671
126
545
4 502
3882
620
Other loans and
Stage 36
advances²
239 687
(2838)
3 915
(1 077)
7 538
(177 522)
90 858
160 561
Stage 1
31 835
2 078
Other loans and
advances³
232 402
Stage 2
54 970
Stage 34.5
152 882
(2 078)
(760)
760
(1837)
2 838
7000
41 673
(1171)
1837
(3 915)
1077
8 981
60 036
Stage 1
40 349
1919
904
(8 443) (177 522)
90 858
58 852
Stage 2
45 864
(904)
(748)
267
(1 015)
130 069
(73 694)
(49 090)
239 687
1171
(9 685)
31 835
Stage 36
146 189
(267)
1 015
(1919)
748
11 025
54 970
128 729
Total 3,4,5
(73 694)
(49 090)
152 882
995 439
(13 606)
2400
11 206
203 099 (456 442)
19 687
761 783
Total 4,5,6
801 290
(18 287)
8 538
9 749
328 163
(122 651)
(11 363)
995 439
1 Comprises residential and commercial property loans.
2 Comprises personal unsecured lending and business and other lending.
3 "Corporate" "Sovereign" and "Bank" categories relate to ECL on CIB client loans and advances, while the remaining categories relate to ECL on CHNW and
BCB client loans and advances.
4 Includes interest in suspense (IIS).
5
The overall lower ECL is mainly driven by the realisation of management's strategic initiatives, as encompassed in our NPL reduction strategy, that was
implemented in 2021.
1 Refer to restatement narrative included in the accounting policy elections and restatements section for the restatements of accrued interest and interest in
suspense and the impact on loans and advances.
2 Comprises residential and commercial property loans.
3 Comprises personal unsecured lending and business and other lending.
4 "Corporate", "Sovereign" and "Bank" categories relate to ECL on CIB client loans and advances while the remaining categories relate to ECL on CHNW and
BCB loans and advances.
5 The overall higher ECL is mainly attributable to constrained collections and further protraction in the legal environment stemming from the national
Covid-19 lockdown, increased forward-looking provisioning on the back of the weakened economic outlook (refer to the key management assumptions
for further information in this regard), and changes from stage 1 to stages 2 and 3 based on risk profile assessments and stress caused by the impact of
Covid-19.
6 Includes interest in suspense (IIS).
79View entire presentation