PT Bank Mayapada Internasional Tbk : Bank Mayapada Liquidity Coverage Ratio (LCR) Report Q3 2023

LIQUIDITY COVERAGE RATIO (LCR) REPORT

Bank Name : PT Bank Mayapada Internasional Tbk

Position : Quarter 3 2023

			(In Million IDR)
			Final amount after
Num	Component	Amount	haircut, run-off or rate
			inflow rate
1	The number of points used in the LCR calculation		62 Days
HIGH QUALITY LIQUID ASSET (HQLA)
2	Total High Quality Liquid Asset (HQLA)		19.938.207
CASH OUTFLOW
3	Retail deposit and Unsecured wholesale funding	54.465.266	5.443.567
	a. Stable deposits	59.200	2.960
	b. Less stable deposits	54.406.066	5.440.607
4	Corporates funding	18.928.238	7.047.162
	a. Operational deposits	3.010.735	683.231
	b. Non-operational deposits	15.917.503	6.363.930
	c. Unsecured debt issuance due in 30 days	-	-
5	Secured funding		-
6	Additional requirement	6.891.719	3.199.954
	a. Net known derivatives payables	345.248	345.248
	b. Undrawn committed liquidity facilities to other financial institutions including securities firms,	-	-
	insurance companies, fiduciaries, and beneficiaries
	c. loss of funding on structured financing activites	-	-
	d. Currently undrawn committed credit and liquidity facilities	3.860.022	381.465
	e. Other contractual obligations to extend funds to	2.462.019	2.462.019
	f. Other contingent funding obligations	224.430	11.221
	g. Any other contractual cash outflows	-	-
7	TOTAL CASH OUTFLOW		15.690.683
CASH INFLOW
8	Reverse repo and securities borrowing	-	-
9	Contractual inflows by counterparty	803.109	530.974
10	Other contractual cash inflows	345.113	345.113
11	TOTAL CASH INFLOW		876.087
		TOTAL ADJUSTED VALUE 1
12	TOTAL HQLA		19.938.207
13	TOTAL NET CASH OUTFLOWS		14.814.596
14	LCR (%)		134,58%

Keterangan:

1Adjusted value is calculated after the substraction of haircut, run-off rate, and inflow rate as well as the maximum limit of HQLA components, such as the HQLA Level 2B and HQLA Level 2 maximum limits and the maximum cash flow limit calculated in the LCR.

QUALITATIVE ASSESSMENT OF LIQUIDITY CONDITION (QUARTERLY)

Bank Name	: PT Bank Mayapada Internasional Tbk
Position	: Quarter 3 2023
	Analysis

Based on calculation, Bank Mayapada Liquidity Coverage Ratio (LCR) as of Quarter 3 2023 decrease by 72,91% from previous position (Quarter 2 2023) from 207,49% to 134,58%. The ratio is above minimum POJK requirement, which is minimum 100% LCR ratio based on POJK 42/POJK.03/2015.

LCR Assessment Component:

LCR Bank as of Quarter 3 2023 is from the comparison of High Quality Liquid Asset (HQLA) with Net Cash Outflow projection with the following details:

1. Bank Mayapada Total HQLA as of Quarter 3 2023 decrease by 40,31% comparing to Quarter 2 2023 from 33,41 trillion IDR to 19,94 trillion IDR. Bank HQLA composition still dominated by HQLA Level 1 with the biggest composition from placement BI with amounted after haircut is 12,19 trillion IDR (61,13% from the total of HQLA Level 1) that decrease by 21,96% comparing to Quarter 2 2023 from 15,62 trillion IDR. Bank Mayapada HQLA Level 1 consist of Central Bank (BI) Facility, and Central Bank (BI) Current Account.
   In Quarter 3 2023, Bank does not have any liquidity reserve in HQLA Level 2A and 2B because the securities exposures that Bank Mayapada owned is Financial Institution, which is not included in requirements component of HQLA Level 2A and Level 2B. This condition same as with previous position LCR Report (Quarter 2 2023).
2. Bank Mayapada Net Cash Outflow as of Quarter 3 2023 decrease by 7,98%. Quarter 2 2023 from 16,10 trillion IDR to 14,81 trillion IDR. The value of net cash outflow projection that bank owned from subtraction between cash outflow and resulted cash inflow estimation.

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3. Bank Mayapada cash outflow estimation as of Quarter 3 2023 decrease by 5,24% comparing to Quarter 2 2023 from 16,56 trillion IDR to 15,69 trillion IDR, and cash inflow estimation increase by 91,19% comparing to Quarter 2 2023 from 458,22 billion IDR to 876,09 billion IDR.

In Quarter 3 2023, the cash outflow projection is estimated to occur over next

30 days after run off rate calculated consists of the following components:

1. Retail Deposit and Unsecured Wholesale Funding decrease from previous position (Quarter 2 2023) from 5,69 trillion IDR to 5,24 trillion IDR.
2. Small and Micro Business Funding decrease from previous position (Quarter 2 2023) from 223,18 billion IDR to 200,73 billion IDR.
3. Corporates Funding decrease from previous position (Quarter 2 2023) from 8,67 trillion IDR to 7,05 trillion IDR.
4. Currently Undrawn Committed Credit Facilities increase from previous position (Quarter 2 2023) from 376,03 billion IDR to 381,47 billion IDR.

From data above can be concluded that the funding source is still dominated by same source from previous position (Quarter 2 2023) that from Corporates Funding that decrease from previous position (Quarter 2 2023) by 3,23% from 58,84% to 55,61% from total cash outflow. The funding source composition from Retail Deposit increase from previous position (Quarter 2 2023) by 2,77% from 38,60% to 41,38% from total cash outflow. The lowest funding source composition come from Currently Undrawn Committed Credit Facilities that increase from previous position (Quarter 2 2023) by 0,46% from 2,55% to 3,01% from total cash outflow.

Whereas for cash inflow projection of Quarter 3 2023 that estimated for the next 30 days after the inflow rate calculation only from Contractual Inflows by Counterparty that dominate by Non-Financial Corporate Customers of 224,11 billion IDR or decrease by 26,78% from previous position (Quarter 2 2023) amounted to 306,10 billion IDR.

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Bank Liquidity Management

In Quarter 3 2023, Bank has met the LCR level in accordance with minimum requirements that indicating that the management of Bank Mayapada liquidity is adequately managed.

Generally, Bank liquidity risk is still the same as previous position (Quarter 2 2023) that dominated with withdrawal by Corporates Funding, whereas for the derivatives exposure component does not exist both in cash outflow and cash inflow because Bank Mayapada product's and transaction are categorized as plain vanilla, so Bank has not had that type of exposures.

In order to maintain and manage the liquidity, Bank identifies, measures, monitorize and controlling the liquidity risk with adequately that supported by supervision of the liquidity related divisions towards Bank Mayapada liquidity condition through daily money market report, securities, maturity gap, liquidity gap, liquidity report and monthly ALCO meeting. With all of reports and the information, the board of Commissioners and Directors can monitorize the dynamics of Bank liquidity condition and maintain the quality of liquidity risk above the minimum requirements.

Bank Mayapada has prepared strategic steps to mitigate liquidity risk with policies and procedures that regulate Bank liquidity which part of risk management policies such as Liquidity Management Guidelines, ALMA Guidelines, and Bank Contingency Funding Plan Policy.

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