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FoR BetteR RetuRns Annual Report 2022 225

notes to the
financial statements
for the year ended 31 december 2022

33. FINANCIAL RISK (CONTINUED)
(d) Credit risk (continued)

(iii) Credit quality (continued)

ii. short term rating for payment of short term financial obligations
Domestic Credit Rating Definition Of Quality Classifications
strong p1/marc1 strong ability to meet financial obligations
moderate p2/marc2 adequate ability to meet financial obligations
International Credit Rating Definition Of Quality
strong a1/p1/f1 strong ability to meet financial obligations
moderate a2/p2/f2 adequate ability to meet financial obligations

iii. non-rated financial assets
financial assets without external credit rating.

iv. impaired

impaired exposure which is assessed individually based on KWap’s investment policies.
the credit quality of financial assets can be assessed by reference to the internal rating system adopted by
the group and KWap.
a. loans and receivables

12-months Lifetime Lifetime
expected credit expected expected
loss credit losses credit losses
Not credit Credit
impaired impaired
RM’000 RM’000 RM’000
2022
aa - - -
2021
aa - - 13,750