Notes to the Financial Statements For the financial year ended 31 December 2024 32 FINANCIAL RISK MANAGEMENT (continued) (d) Liquidity risk Liquidity risk is the risk that the Group will not be able to meet its financial obligations as they fall due. The Group actively manages its debt maturity profile, operating cash flows and the availability of funding so as to ensure that all refinancing, repayment and funding needs are met. As part of its overall prudent liquidity management, the Group maintains sufficient level of cash or cash convertible investments to meet its working capital requirement. In addition, the Group strives to maintain sufficient available banking facilities to meet working capital and funding needs. As part of the Group’s borrowing activities, the Group is exposed to the risk of potential and actual breaches of financial covenants in the Group’s indebtedness which may also result in accelerated demands of payment or calls for events of default by lenders. This may restrict the Group’s ability to obtain additional financing for capital expenditure, acquisitions or general corporate purposes and may cause the Group to be particularly vulnerable in any general economic downturn or instability in the global financial capital markets. The Group has been actively managing its liquidity position amid the macroeconomic challenges. As at 31 December 2024, the Group has approximately $7.8 billion (2023: $6.4 billion) of total cash and available undrawn committed facilities held under the Group’s treasury vehicles, which is sufficient to support the Group’s funding requirements for the next 24 months. 178 CapitaLand Investment Limited Notes to the Financial Statements For the financial year ended 31 December 2024 32 FINANCIAL RISK MANAGEMENT (continued) (d) Liquidity risk (continued) The following are the expected contractual undiscounted cash flows of financial liabilities and derivative financial instruments, including interest payments and excluding the impact of netting agreements: Contractual cash flows Carrying amount Total Not later than 1 year Between 1 and 5 years After 5 years Note $’M $’M $’M $’M $’M The Group 31 December 2024 Financial liabilities, at amortised cost Bank borrowings^ 16 (5,692) (6,423) (1,239) (4,600) (584) Debt securities^ 17 (1,630) (1,925) (40) (1,032) (853) Lease liabilities 16 (579) (725) (102) (319) (304) Trade and other payables# (1,334) (1,334) (951) (360) (23) (9,235) (10,407) (2,332) (6,311) (1,764) Derivative financial assets/(liabilities), at fair value Interest rate swaps (net-settled) – assets 6 8 4 4 – – liabilities (10) (10) (3) (7) – Forward foreign exchange contracts (net-settled) – assets 8 8 3 5 – – liabilities (5) (6) (6) – – Forward foreign exchange contracts (gross-settled) * – outflow (35) (35) – – – inflow 35 35 – – Forward foreign exchange contracts (gross-settled) (6) – outflow (351) (351) – – – inflow 346 346 – – Cross currency swaps (gross-settled) 4 – outflow (110) (3) (107) – – inflow 116 7 109 – Cross currency swaps (gross-settled) (6) – outflow (447) (11) (436) – – inflow 440 11 429 – (9) (6) (3) (3) – (9,244) (10,413) (2,335) (6,314) (1,764) * Less than $1 million 179 Annual Report 2024
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