Page 114 - ACCESS ANNUAL REPORT 2019

NOTES (continued)
A a o nts are in tho sands o hana edis n ess otherwise stated Financia ris anage ent contin ed
redit ris anage ent contin ed
E pos re to credit ris on oans and advances contin ed
Credit ris exposures relatin to off alance sheet items are as ollows
2019 2018
ontingent ia i ities Bonds and guarantees
,
450,331
ommitments
ean ine faci ities for etters of credit
,
211,662
paired oans Stage
Individually impaired loans are loans and advances or which the Group determines that there is de ault and it does not expect to collect all principal and interest due accordin to the contractual terms o the loan security a reement s . hese loans are raded to in the Group’s internal credit ris radin system and are non per ormin .
ast d e b t not i paired oans Stage
Past due ut not impaired loans, are those or which contractual interest or principal payments are past due, ut the Group elieves that impairment is not appropriate on the asis o the level o security collateral availa le and or the sta e o collection o amounts owed to the Group. hen a loan shows a si nificant increase in credit ris , the Group records an allowance or the li etime expected credit loss. A si nificant increase in credit ris is assumed i the orrower alls more than 30 days past due in ma in its contractual payments. hese loans are raded to 5 in the Group’s internal credit ris radin system and are under per ormin .
either past d e nor i paired Stage
oans and advances are desi nated at sta e 1 neither past due nor impaired upon initial reco nition except or such loans that are purchased or ori inated as credit impaired. he credit ris o neither past due nor impaired loans are continuously monitored y the Group. hese loans are raded 1 to 3 in the Group’s internal credit ris radin system and are per ormin .
rite off po ic
he Group writes off a loan and any related allowances or impairment losses when the Group’s Credit Committee determines that the loans securities are uncollecti le. his determination is reached a ter considerin in ormation such as the occurrence o si nificant chan es in the orrower issuer’s financial position such that the orrower issuer can no lon er pay the o li ation, or that proceeds rom collateral will not e sufficient to pay ac the entire exposure. or smaller standardised loans, write off decisions are enerally ased on a product specific past due status. All write off decisions are sanctioned y the oard o directors with su se uent approval y the Ban o Ghana e ore they are effected.
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