AGS Transact Technologies Limited
Annexure VI: Notes to the Revised Restated Consolidated Financial Information

Note 46
Financial instruments — Fair values and risk management

i, Interest rate risk

lInrest rate risk i the risk thatthe fair value or future cash flows of a financial instrument will uct

 

because of changes in market interest rates, Interest rat risk can be elther fair value interest rate risk or cash How interest
ir value Imerest rate risk s the rsk of changes in fair values of fixed interest bearing instruments because of fluctuations in the interest rates. Cash flow interest rate rsk isthe risk that che future cash flows of floating
Jnterest bearing instruments will actuate because of fuetwations inthe interest rates,

"The management is responsible for the monitoring ofthe Group's inerest rate position. Various variables are considered by the management in structuring the Group's borrawings to achieve a reasonable, competitive, cost of
funding, The Group uses cross-currency swaps to hedge the Inceres rate of External Commercial Borrowings.

 

rate risk

‘The imerest rate profile of the Group's interest-bearing Financial instruments as is as follows:
(in milion)

 

 

 

 

 

3 August 202131 March 2021 31 March 2020 Bi March 2019

Fixed rate instruments

Finanelal assets - - .

Financial abilities (6,473.95) (6.346,00) (704.75) (470.49)
(6473.95) (6346.00) (704.75) (470.48)

Variable rate instruments

Financial assets 7 .

Financial liabiites 5,962.39) (5,984.03) (6,084.13) (5,605.22)
(6,962.39) (6,984.03) (6,084.13) (6,605.22)

 

Fair value sensitivity anal

 

‘The Group's fixed rate borrowings are catred at amorised cost, They are therefore not subject to interest rate risk as defined in Ind AS 107 Financial Instruments: Disclosures, since nether the carrying amount nor the future
cash flows will fluctuate because ofa change in market interest rates.

 

‘Cash flow sensi

 

ty analysis for variable rate instruments,

‘A reasonably possible change of 100 basis points in interest rate would have resulted in varlation in the interest expense forthe enity by the amounts indicated inthe table below. This analysis assumes tht all other variables, in
particular foreign currency exchange rates, remain constant, This calculation also assumes thatthe change accurs atthe balance sheet date and has been calculated based on risk exposures outstanding as at that date. The year
fend balances are not necessarily representative ofthe average debt outstanding during the yeu.

Gn milion)

 

particulars Profit or (Loss)

 

ToObps increase ToObps decrease
lat August 2021,

Variable rate instruments
Icash flow sensitivity 69.62) 59.62
(3.0) 59.62

 

 

[ai March 2021
Variable rae instruments
cash flow sensitivity 69.84) soa
(G3.84) 30.84

 

 

[ai March 2020
Variable rate instruments
cash low sensitivity (60.84) sos
(60.84) 0a

 

 

[ai March 2019
Variable rate instruments

cash low sensiivty (66.05) \5
(66.05), 36.05

 

 

 

 

 

 

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