Ni Hsin Berhad Annual Report 2018

23. Financial instruments (continued) 23.4 Credit risk (continued) Inter-company loans and advances (continued) Comparative information under MFRS 139, Financial Instruments: Recognition and measurement The movements in the allowance for impairment losses of subsidiaries advances during the financial year was: 2017 Company RM’000 At 1 January 248 Impairment loss recognised 242 At 31 December 490 23.5 Liquidity risk Liquidity risk is the risk that the Group will not be able to meet its financial obligations as they fall due. The Group’s exposure to liquidity risk arises principally from its various payables, loans and borrowings. The Group maintains a level of cash and cash equivalents and bank facilities deemed adequate by the management to ensure, as far as possible, that it will have sufficient liquidity to meet its liabilities when they fall due. It is not expected that the cash flows included in the maturity analysis could occur significantly earlier, or at significantly different amounts. Notes to the financial statements (continued) Annual Report 2018 91