SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES

Interest income and expenses

Interest income and expense for all interest-bearing financial instruments is calculated by applying the effective interest rate to the gross carrying amount of the financial instrument, except for financial assets that have subsequently become credit-impaired (or stage 3), for which interest income is calculated by applying the effective interest rate to their amortised cost (i.e. net of the expected credit loss provision) and are recognised within ‘interest income’ in the consolidated statement of profit or loss.