2022 Report and Financial Statements slide image

2022 Report and Financial Statements

2022 REPORT AND FINANCIAL STATEMENTS - BANCO REGIONAL LETTER FROM THE PRESIDENT ECONOMIC AND FINANCIAL PERFORMANCE 15 According to the Consumer Price Index published by the Central Bank of Paraguay, accumulated inflation on December 31, 2022, and 2021, was 8.1% and 6.8%, respectively. In addition to the requirements of the Central Bank of Paraguay, the following relevant accounting policies have been used: • • To preparing the Statement of Cash Flows, Cash and Cash Equivalents net of the corresponding allowances are considered as cash. ⚫ comparative figures are presented. ⚫ the Statement of Changes in Shareholders' Equity is presented; and • additional disclosures are included in the notes to the financial statements. (i) Estimates: The preparation of these financial statements requires the Board of Directors and Management of the Entity to make certain estimates and assumptions that affect the balances of assets and liabilities, the exposure to contingencies and the recognition of income and expenses. Assets and liabilities are recognized in the financial statements when it is probable that future economic benefits will flow to or from the Entity and that the various items will have a cost or value that can be reliably measured. If, in the future, these estimates and assumptions, which are based on the judgment of the Board of Directors and Management at the date of these financial statements, are changed from the current circumstances, the original estimates and assumptions will be appropriately modified on the date that such changes occur. The main estimates related to the financial statements refer to provisions for doubtful assets and credit risks, depreciation of fixed assets, amortization of deferred charges and allowances to cover other contingencies, and possible legal proceedings initiated against the Entity. (ii) Comparative information: The financial statements as of December 31, 2022, and the supplementary information related are presented in a comparative manner with the corresponding statements and supplementary information for the year ended December 31, 2021. b.3 Foreign branches The Entity does not have any foreign branches. b.4 Participation in other companies The holdings in the capital of other companies as of December 31, 2022 and 2021 respectively, was as follow: COMPANY NAME December 31, 2022 Bancard S.A. - Paraguay Regional Casa de Bolsa S.A. Regional S.A. Seguros VISA INC USA SWIFT Total CONDITION INVESTMENT CURRENCY Affiliate Gs. Affiliate Gs. Affiliate Gs. Not Affiliate US$ Not Affiliate EUR NOMINAL VALUE % PARTICIPATION BOOK VALUE GS. 9.675.000.000 29.931.000.000 39.009.000.000 7,14% 99,99% 99,99% 1 Minority 19.800 Minority 10.482.846.968 29.931.000.000 55.408.940.883 7.801 111.035.560 95.933.831.212
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