Subordinated debt(upto 5 o total tier i capital

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Unformatted text preview: Subordinated debt (upto 5 % o total Tier I Capital)- General provisions subject to 1.25% o total ris weighted asets 1,001 Revaluation reserve (upto 5 %) 5,621 Total Tier Capital 6,622 1,998,268 ligible Tier Capital Total R gulatory Capital (a) 1,998,268 53 Credit Risk Balance shet items: Cash and other liquid asets 1,128,931 158,142 - - Due rom inancial institutions 412,131 412,131 - - Investments 493, 8 231,132 - - Financings 959,133 927,872 - - Fixed asets 441,428 441,428 - - Other asets 59 , 43 542,366 - - 4, 24,674 2,713, 71 - - O balance shet items Loan repayment guarantes 113, 18 113, 18 - - Purchase and resale agrements- - - - Per ormance bonds etc 1 9,88 54,94 - - Revolving underwriting comitments- - - - Stand By Leters o Credit 185,8 9 92,9 5 - - Outstanding oreign exchange contracts- -- Purchase- - - - Sale- - - 4 8,7 7 26 ,863 - - Credit ris -weighted exposures-- Market Risk General mar et ris Speci ic mar et Ris 19,896 248,695 - Mar et ris -weighted exposures- 248,695 - Total Ris -Weighted exposures (b) 3,222,629 - Capital Adequacy Ratio [ (a) / (b) x 10) 62. 1 - Bok Value Risk Adjusted Value Bok Value Risk Adjusted Value 42. RI K MANAGEMENT The Board has set a clear policy o broad diversi ication in terms o geography, product mix, service range, delivery options by spreading the ban 's credit, trade inancing, investment and service activities over a wide range o customers and instruments with the emphasis on secured busines operations. The Ban reali es that being an Islamic Ban ta ing pride in delivery o authentic Shariah inancial solutions, it caries a signi icant reputational ris . It is the Ban 's policy not to deal in products and / or services which are not cleared by its own Shariah Board under any situation whatsoever. Risk-Weighted Exposures 54 The Ban has established a Ris Management Section that isues ris management directives rom time to time acording to guidelines given by Ban 's Board o Directors and State Ban o Pa istan, as wel as, ta ing into consideration the local conditions and ris characteristics. Ris Management deals with "ris " in various ways, which encompas the ul disclosure o al relevant ris categories, the quanti ication o the Ban 's ris apetite, the implementation o operating limits within the de ined ris apetite, the comprehensive and acurate quanti ication o the Ban 's ris exposure, the limit aproval and control proces, the segregation o duties and the protection o the Ban 's reputation. The broad term "ris " can be bro en down into olowing main categories. i.e. credit ris , mar et ris , curency ris , rate o return ris , liquidity and re- inance ris , operational ris , strategic ris , systemic ris and Shariah non-compliance ris . 42.1 Cr dit Ri Credit ris arises due to the ris o a borower de aulting on his comitment either in part or as a whole. The term Credit Ris has certain sub-categories as olows: i) Pric ri There is a ris that the aset reposesed due to de ault o the lese may be sold or leased out to another party at a price lower than the original contract price.out to another party at a price lower than the original contract price....
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Subordinated debt(upto 5 o total Tier I Capital General...

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