b'STAATSOLIE MAATSCHAPPIJ SURINAME N.V.NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS FOR THE YEAR ENDED DECEMBER 31, 2021 (Continued)assetandtheassociatedliabilityaremeasuredon isnoreasonableexpectationofrecoveringtheabasisthatreflectstherightsandobligationsthat contractualcashflows.the Group has retained. (ii) Financial liabilitiesContinuinginvolvementthattakestheformofaguaranteeoverthetransferredassetismeasured Initial recognition and measurement at the lower of the original carrying amount of theFinancialliabilitiesareclassified,atinitialasset and the maximum amount of considerationrecognition,asfinancialliabilitiesatfairvaluethattheGroupcouldberequiredtorepay. throughprofitorloss,loansandborrowingsandImpairment of financial assets payables.Furtherdisclosuresifapplicableandrelatingto Allfinancialliabilitiesarerecognizedinitiallyatfairimpairmentoffinancialassetsarediscussedinthe valueand,inthecaseofloansandborrowingsandrespectivedisclosuresforsignificantassumptions payables,netofdirectlyattributabletransactionandtradereceivables,includingcontractassets. costs.TheGroupsfinancialliabilitiesincludetradeandotherpayables,loansandborrowingsTheGrouprecognizesanallowanceforexpected includingbankoverdrafts.creditlosses(ECLs)foralldebtinstrumentsnotheldatfairvaluethroughprofitorloss.ECLsare Subsequent measurement basedonthedifferencebetweenthecontractual Themeasurementoffinancialliabilitiesdependscashflowsdueinaccordancewiththecontract ontheirclassification,asdescribedbelow:andallthecashflowsthattheGroupexpectstoreceive,discountedatanapproximationofthe Financial liabilities at fair value through profit or lossoriginaleffectiveinterestrate.Theexpectedcashflowswillincludecashflowsfromthesaleof Financialliabilitiesatfairvaluethroughprofitorcollateral held or other credit enhancements thatlossincludefinancialliabilitiesheldfortradingare integral to the contractual terms.andfinancialliabilitiesdesignateduponinitialECLsarerecognizedintwostages.Forcredit recognitionasatfairvaluethroughprofitorloss.exposuresforwhichtherehasnotbeena Financialliabilitiesareclassifiedasheldfortradingsignificantincreaseincreditrisksinceinitial if they are incurred for the purpose of repurchasing recognition,ECLsareprovidedforcreditlosses in the near term. thatresultfromdefaulteventsthatarepossiblewithinthenext12-months(a12-monthECL).For Gainsorlossesonliabilitiesheldfortradingarethosecreditexposuresforwhichtherehasbeen recognizedinthestatementofprofitorloss.asignificantincreaseincreditrisksinceinitialrecognition,alossallowanceisrequiredforcredit Financialliabilitiesdesignateduponinitiallossesexpectedovertheremaininglifeofthe recognitionatfairvaluethroughprofitorlossareexposure,irrespectiveofthetimingofthedefault designatedattheinitialdateofrecognition,and(alifetimeECL). onlyifthecriteriainIFRS9aresatisfied.TheGrouphasnotdesignatedanyfinancialliabilityasFortradereceivablesandcontractassets,the atfairvaluethroughprofitorloss.GroupappliesasimplifiedapproachincalculatingECLs.Therefore,theGroupdoesnottrack Loans and borrowingschangesincreditrisk,butinsteadrecognizesa ThisisthecategorymostrelevanttotheGroup.lossallowancebasedonlifetimeECLsateach Afterinitialrecognition,interestbearingloansreportingdate.TheGrouphasestablisheda andborrowingsaresubsequentlymeasuredatprovisionmatrixthatisbasedonitshistoricalcredit amortizedcostusingtheEIRmethod.Gainslossexperience,adjustedforforward-looking andlossesarerecognizedintheconsolidatedfactorsspecifictothedebtorsandtheeconomic statementofprofitorlosswhentheliabilitiesenvironment. arederecognizedaswellasthroughtheEIRTheGroupconsidersafinancialassetindefault amortizationprocess.Amortizedcostiscalculatedwhencontractualpaymentsare90dayspast bytakingintoaccountanydiscountorpremiumondue.However,incertaincases,theGroup acquisitionandfeesorcoststhatareanintegralmayalsoconsiderafinancialassettobein partoftheEIR.TheEIRamortizationisincludeddefault when internal or external informationinfinancecostsintheconsolidatedstatementofindicates,thattheGroupisunlikelytoreceivethe profitorloss.Thiscategorygenerallyappliestooutstandingcontractualamountsinfull,before interest-bearingloansandborrowings.consideringanycreditenhancementsheldbytheGroup.Afinancialassetiswrittenoffwhenthere87'