Cash and cash equivalents consist of cash in hand, cash on nostro accounts and a deposit with the National Bank of Poland, as well as current amounts due from banks, and other cash equivalents with maturities up to 3 months from the date of acquisition
CASH AND CASH EQUIVALENTS
31.12.2019
31.12.2018
Cash, balances with the Central Bank
14 677
22 925
Current amounts due from banks
3 768
7 396
Restricted cash and cash equivalents, of which
236
205
restricted cash and cash equivalents – amounts due from banks
224
195
restricted cash and cash equivalents – loans and advances to customers
12
10
Total
18 681
30 526
Restricted cash and cash equivalents
Cash and cash equivalents of PLN 236 million (as at 31 December 2018: PLN 205 million), including:
PLN 12 million (as at 31 December 2018: PLN 10 million) pledged as collateral for securities’ transactions conducted by Biuro Maklerskie PKO BP are deposited in the National Depository for Securities (KDPW_CCP), as part of the Guarantee Fund for the Settlement of Stock Exchange Transactions. Each direct participant who holds the status of settlement-making participant is obliged to make payments to the settlement fund which guarantees a proper settlement of the stock exchange transactions covered by that fund. The amount of the payments depends on the value of transactions made by each participant and is updated by KDPW_CCP on a daily basis.
PLN 4 million (as at 31 December 2018: PLN 4 million) paid in by participants in IKE, IKZE, PPE and PSO, which was not converted by the transfer agent into investment fund participation units by 31 December 2019 and 31 December 2018, respectively.
PLN 220 million (as at 31 December 2018: PLN 191 million) pledged as a collateral for securitization transactions
Cash flows from interests and dividends, both received and paid
INTEREST INCOME ON:
2019
2018
loans and advances to banks
105
81
hedging derivatives
418
524
debt securities
1 506
1 170
loans and advances to customers
9 538
8 943
Total
11 567
10 718
The above amount of interest received does not include the amounts of commissions recognized with the usage of effective interest rate as interest income.
INTEREST EXPENSE – PAID:
2019
2018
amounts due to banks
(58)
(58)
amounts due to customers
(1 753)
(1 415)
leases
(26)
–
debt securities
(91)
(50)
debt securities in issue
(521)
(453)
subordinated liabilities
(90)
(74)
Total
(2 539)
(2 050)
DIVIDEND INCOME RECEIVED
2019
2018
from associates and joint ventures
36
22
on financial assets held for trading
1
1
on financial instruments not held for trading, measured at fair value through profit or loss
13
11
Total
50
34
Cash flow from operating activities – other adjustments
OTHER ADJUSTMENTS
2019
2018
Changes resulting from acquisition of business entities
(30)
–
Cash flow hedges
210
138
Actuarial gains and losses
(7)
(1)
Foreign exchange differences on translation of foreign branches
50
16
Remeasurement of shares in associates and joint ventures, and other changes
(123)
(51)
Scrapping of property, plant and equipment and intangible assets
48
(15)
Total
148
87
Explanation of differences between the consolidated statement of financial position and changes in these items presented under operating activities in the consolidated cash flow statement
(GAIN)/LOSS ON INVESTING ACTIVITIES RELATING TO SALE OR SCRAPPING OF PROPERTY, PLANT AND EQUIPMENT AND INTANGIBLE ASSETS
2019
2018
Gains on sale or scrapping of property, plant and equipment and assets held for sale
(45)
(57)
Losses on sale or scrapping of property, plant and equipment, intangible assets and
assets held for sale
34
25
Gain from losing control over a subsidiary
–
(25)
Total
(11)
(57)
INTEREST AND DIVIDENDS
2019
2018
Presented under financing activities:
(1 505)
(1 093)
dividends received from associates and joint ventures
(36)
(22)
dividends received on securities held for trading
(1)
(1)
dividends received on securities not held for trading, measured at fair value through profit or loss
(13)
(11)
interest received on securities measured at fair value through other comprehensive income
(1 200)
(1 014)
interest received on securities measured at amortized cost
(255)
(45)
Presented under financing activities:
642
511
interest paid on debt securities in issue
521
413
interest paid on subordinated loan
90
74
interest paid on loans and advances received
31
24
Total
(863)
(582)
CHANGES IN AMOUNTS DUE FROM BANKS
2019
2018
Change in the balance sheet
3 569
(2 428)
Changes in allowances for expected credit losses
–
(1)
Exclusion of the change in cash and cash equivalents
(3 599)
2 412
Total
(30)
(17)
CHANGE IN SECURITIES
2019
2018
Change in the balance sheet
(16 459)
(10 039)
Changes due to IFRS 9 implementation
–
4 449
Changes in allowances for expected credit losses
11
(7)
Fair value of financial assets measures at fair value through other comprehensive income (net)
(36)
298
Presentation of purchase /sale of securities measured at fair value through other comprehensive income in investing activities under investing activities
9 829
3 875
Presentation of purchase /sale of securities measured at amortized cost under investing activities
4 627
2 111
Total
(2 028)
687
CHANGE IN LOANS AND ADVANCES TO CUSTOMERS
2019
2018
Change in the balance sheet
(16 522)
(9 284)
Changes resulting from acquisition of business entities
1 077
–
Changes due to IFRS 9 implementation
–
(5 165)
Changes in allowances for expected credit losses
982
2 449
Exclusion of the change in cash and cash equivalents
2
(1)
Total
(14 461)
(12 001)
CHANGE IN NON-CURRENT ASSETS HELD FOR SALE
2019
2018
Change in the balance sheet
3
123
Changes due to IFRS 16 implementation
1
–
Change in allowances for non-current assets held for sale
(1)
19
Total
3
142
CHANGE IN OTHER ASSETS AND INVENTORIES
2019
2018
Change in the balance sheet
(117)
(343)
Changes resulting from acquisition of business entities
76
–
Changes due to IFRS 16 implementation
(4)
–
Changes in allowances for other assets and inventories
(12)
46
Total
(57)
(297)
CHANGE IN AMOUNTS DUE TO BANKS
2019
2018
Change in the balance sheet
877
(2 556)
Changes resulting from acquisition of business entities
(1 301)
–
Presentation of long-term loans and loans from banks, including interest, under financing activities
644
2 516
Total
220
(40)
CHANGE IN AMOUNTS DUE TO CUSTOMERS
2019
2018
Change in the balance sheet
15 383
21 899
Changes resulting from acquisition of business entities
(2)
–
Presentation of long-term loans and loans from financial institutions other than banks obtained/repaid , including interest, under financing activities
2 044
(380)
Total
17 425
21 519
Change in liabilities in respect of debt securities in issue
2019
2018
Change in the balance sheet
2 521
4 695
Changes resulting from acquisition of business entities
(250)
–
Presentation of liabilities in respect of debt securities in issue, including interest, under financing activities
(2 414)
(4457)
Total
(143)
238
CHANGE IN SUBORDINATED LIABILITIES
2019
2018
Change in the balance sheet
(1)
1 011
Presentation of subordinated liabilities incurred/repaid, including interest, under financing activities
–
(1 000)
Total
(1)
11
CHANGE IN OTHER LIABILITIES
2019
2018
Change in the balance sheet
1 390
(1 377)
Changes due to IFRS 16 implementation
(956)
–
Changes resulting from acquisition of business entities
(89)
–
Presentation of lease payments under financing activities
221
–
Total
566
(1 377)
CHANGE IN ACCUMULATED EXPECTED CREDIT LOSSES AND IMPAIRMENT ALLOWANCES ON NON-FINANCIAL ASSETS AND OTHER
2019
2018
Change in accumulated impairment allowances and expected credit losses
(956)
(2 374)
for amounts due from banks
–
1
for loans and advances to customers
(982)
(2 449)
for securities
(11)
7
for other financial assets
(5)
(3)
provisions for financing liabilities and guarantees granted
42
70
Change in accumulated impairment allowances on non-financial assets and other provision
179
86
for non-current assets held for sale
1
(19)
for property, plant and equipment
9
4
for intangible assets
53
22
for investments in associates and joint ventures
5
32
for other financial assets, including inventories
17
(43)
other provisions
94
90
Total
(777)
(2 288)
Reconciliation of items presented in the consolidated statement of financial position with financingactivities in the consolidated statement of cash flows
Note
31.12.2018
Recognized under financing activities in the consolidated cash flow statement
Recognized under
financing activities
in the consolidated
cash flow statement
31.12.2019
Incurred
Repaid
Other changes, including foreign
exchange differences
Loans and borrowings received
4 343
665
(3 353)
1 124
2 779
from banks
29
250
650
(1 294)
1 144
750
from customers
30
4 093
15
(2 059)
(20)
2 029
Liabilities in respect of securities in issue
33
28 627
13 079
(10 665)
107
31 148
Subordinated liabilities – subordinated bonds
34
2 731
–
–
(1)
2 730
Payment of lease liabilities
42
–
–
(221)
–
(221)
Total
35 701
13 744
(14 239)
1 230
36 436
Note
31.12.2017
Recognized under financing activities in the consolidated cash
flow statement
Recognized under
financing activities in the consolidated
cash flow statement
31.12.2018
Incurred
Repaid
Other changes,
including foreign exchange differences
