Hoda Vasi Chowdhury & Co Chartered Accountants

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1 Hda Vasi Chwdhury & C Chartered Auntants Independent Auditr's Reprt t the Sharehlders f RB Glbal Bank Limited We have audited the ampanying finanial statements f RB Glbal Bank Limited (the "Bank") whih mprise the balane sheet as at 3l Deember 2015, prfit and lss aunt, statement f hanges in equity and ash flw statement fr the perid then ended, and a summary f signifiant aunting pliies and ther explanatry infrmatin' Management's Respnsibility fr the Finanial Statements Managiment is respnsible fr the preparatin and fair presentatin f these finanial statements f the Bank that give a true and fair view in ardane with Bangladesh Finanial Reprting Standards (BFRS) as explained in te 2 and fr suh internal ntrl as management determines is neessary t enable the preparatin f finanial statements f the Bank that are free frm material misstatement, whether due t fraud r errr. The Bank Cmpany At, 1991 and the lal entral bank (Bangladesh Bank) Regulatins require the Management t ensure effetive internal audit, internal ntrl and risk management funtins f the Bank. The Management is als required t make a self-assessment n the effetiveness f anti-fraud internal ntrls and reprt t Bangladesh Bank n instanes f fraud and frgeries. Auditr's Respnsibility Our respnsibilify is t express an pinin n these flnanial statements f the Bank based n ur audit. We nduted ur audit in ardane with Bangladesh Standards n Auditing (BSA). Thse standards require that we mply with ethial requirements and plan and perfrm the audit t btain reasnable assurane abut whether the finanial statements f the Bank are free frm material misstatement. An audit invlves perfrming predures t btain audit evidene abut the amunts and dislsures in the finanial statements f the Bank. The predures seleted depend n ur judgment, inluding the assessment f the risks f material misstatement f the finanial statements f the Bank, whether due t fraud r errr. In making thse risk assessments, we nsider internal ntrl relevant t the entity's preparatin f finanial statements f the Bank that give a true and fair view in rder t design audit predures that are apprpriate in the irumstanes. An audit als inludes evaluating the apprpriateness f aunting pliies used and the reasnableness f aunting estimates made by management, as well as evaluating the verall presentatin f the finanial statements f the Bank. We believe that the audit evidene we have btained is suffiient and apprpriate t prvide a basis fr ur audit pinin. Opinin In ur pinin, the finanial statements f the Bank give a true and fair view f the finanial psitin f the Bank as at 31 Deember 2015, and f its finanial perfrmane and ash flws fr the perid then ended in ardane with Bangladesh Finanial Reprting Standards (BFRS) as explained in te 2. atinal Offie : BTMC Bhaban (7th & 8th Flr),7-9 Karwan Bazar Cmmerial Area, Dhaka- 1215, Bangladesh Mtijheel Offie : lspahani Building (3rd Flr), Mtijheel Cmmerial Area, Dhaka-l 000, Bangladesh Chittagng Offie : Delwar Bhaban (4th Flr), 104 Agrabad Cmmerial Area, Chittagng-4100, Bangladesh

2 Hda Vasi Chwdhury & C Chartered Auntants Reprt n Other Legal and Regulatry Requirements In ardane with the Cmpanies At 1994, Seurities and xhange Rules 1987, the Bank Cmpany At 1991 and the rules and regulatins issued by Bangladesh Bank, we als reprt that: (i) (ii) we have btained all the infrmatin and explanatins whih t the best f ur knwledge and belief were neessary fr the purpse f ur audit and made due verifiatin theref; t the extent nted during the urse f ur audit wrk perfrmed n the basis stated under the Auditr's Respnsibility setin in frming the abve pinin n the finanial statements f the Bank and nsidering the reprts f the Management t Bangladesh Bank n anti-fraud internal ntrls and instanes f fraud and frgeries as stated under the Management's Respnsibility fr the Finanial Statements and Internal Cntrl: (a) internal audit, internal ntrl and risk management arrangements f the Bank as dislsed in te 2 t the finanial statements appeared t be materially adequate; (b) nthing has me t ur attentin regarding material instanes f frgery r irregularity r administrative errr and exeptin r anlthing detrimental mmitted by emplyees f the Bank and its related entities; (iii) in ur pinin, prper bks f aunt as required by law have been kept by the Bank s far as it upp"u..d fim ur examinatin f thse bks and prper returns adequate fr the purpse fur audit have been reeived frm branhes nt visited by us; (iv) the balane sheet and prfit and lss aunt f the Bank tgether with the annexed ntes dealt with by the reprt are in agreement with the bks f aunt and returns; (v) the expenditures inurred was fr the purpse f the Bank's business; (vi) the finanial statements f the Bank have been drawn up in nfrmity with prevailing rules, regulatins and aunting standards as well as related guidane issued by Bangladesh Bank; (vii) adequate prvisins have been made fr advane and ther assets whih are in ur pinin, dubtful frevery; (viii) the rerds and statements submitted by the branhes have been prperly maintained and nslidated in the finanial statements; (ix) the infrmatin and explanatins required by us have been reeived and fund satisfatry; (x) we have reviewed ver 80% f the risk weighted assets f the Bank and we have spent arund 1,150 persn hurs during the audit; and (xi) Capital Adequay Rati (CAR) as required by the Bangladesh Bank has been maintained adequately during the Year. Dhaka, 11 April201 Hda Vasi Chwdhud & C Chartered Auntants atinal Offie : BTMC Bhaban (7th & 8th Flr), 7-9 Karwan Bazar Cmmerial Area, Dhaka- 1215, Bangladesh Mtijheel Offie: lspahani Building(3rdFlr), 14-l5Mtijheel Cmmerial Area, Dhaka-l000,Bangladesh Chittagng Offie : Delwar Bhaban (4th Flr), t 04 Agrabad Cmmerial Area, Chittagng-4100, Bangladesh

3 RB Glbal Bank Limited Balane Sheet As at 31 Deember 2015 Amunt in Taka Partiulars tes PROPRTY AD ASSTS Cash 3 Cash In hand (inluding freign urrenies) 209,27,510 13,280,779 Balane with Bangladesh Bank and its agent bank (s) (inluding freign urrenies) 1,55,781,448 78,092,888 1,85,408, ,373,7 Balane with ther banks and finanial institutins 4 In Bangladesh 3,219,02,038 4,437,485,535 Outside Bangladesh 40,741,542 34,213,471 3,259,77,580 4,471,99,00 Mney at all and shrt ntie 5 230,000,000 - Investments Gvernment 3,101,90,29 1,19,930,142 Others 524,279, ,000,000 3,2,240,01 1,319,930,142 Lans and advanes 7 Lans, ash redits, verdrafts, et. 13,974,075,381 7,717,190,41 Bills purhased and disunted,872,055,245 2,521,008,049 20,84,130,2 10,238,198,510 Fixed assets inluding premises, furniture and fixtures 8 532,047, ,55,783 Other assets 9 1,070,435, ,808,470 n - banking assets Ttal assets 31,430,029,98 18,300,5,578 LIABILITIS AD CAPITAL Liabilities Brrwings frm ther banks, finanial institutins and agents 11 48,807,071 39,48,913 Depsits and ther aunts 12 Current depsits and ther aunts 1,123,072,70 597,95,521 Bills payable 0,351,751 8,994,422 Savings bank depsits 743,974, ,733,041 Fixed depsits 24,757,839,73 12,91,97,24 Bearer ertifiate f depsit - - Other depsits 1,839,931 1,275,037 2,87,078,999 13,90,92,4 Other liabilities ,527,88 17,082,429 Ttal liabilities 27,219,413,938 14,122,495,987 Capital / Sharehlders' equity Paid up apital ,250,000,000 4,250,000,000 Share premium - - Statutry reserve 15 30,910, ,801 Revaluatin reserve 1 27,051,72 13,478,108 Surplus/(defiit) in prfit and lss aunt 17 (97,34,597) (8,30,318) Ttal sharehlders' equity 4,210,1,031 4,178,070,591 Ttal liabilities and sharehlders' equity 31,430,029,98 18,300,5,578 3

4 Hda Vasi Chwdhury & C Balane Sheet As at 31 Deember OFF. BALAC SHT ITMS Cntingent liabilities Aeptanes and endrsements ,553,728 2,30,280 Letters f guarantee ,792, ,141,800 lrrevable letters f redit ,781, ,503,35 Bills fr lletin Other ntingent Iiabilities 1,491,127,450 1,171,005,715 Other ntingent liabilities Value ftravelers heques n hand Value f Bangladesh Sanhaya Patra n hand Other mmitments Dumentary redits and shrt term trade-related transatins Frward assets purhased and frward depsits plaed Undrawn nte issuane and revlving underwriting failities Undrawn frmal standby failities, redit lines and ther mmitments Liabilities againsl frward purhase and sale Ttal ff-balane sheet items inluding ntingent liabilities 1,491,127,450 1,171,005,715 These finanial statements shuld be read in niuntin with the annexed ntes. Auditrs' repl t the See ur annexed reprt f event date Dhaka,,l I APR?tl'i.

5 Partiulars RB Glbal Bank Limited Prfit and Lss Aunt Fr the year ended 31 Deember 2015 Amunt in Taka Interest inme 20 2,827,780,425 1,392,51,424 Interest paid n depsits and brrwings, et. 21 1,87,519, ,455,588 et interest inme 951,20, ,195,83 Investment inme ,33,422 12,84,458 Cmmissin, exhange and brkerage 23 48,901,002 17,059,08 Other perating inme 24 30,723,08 12,5,29 Ttal perating inme (A) 1,248,248, ,7,58 tes Salary and allwanes ,447, ,89,10 Rent, taxes, insurane, eletriity et ,072, ,087,747 Legal expenses 27 77, ,220 Pstage, stamp, telemmuniatin et ,993,433 3,10,530 Statinery, printings, advertisements et ,10,018 17,042,213 Managing Diretr's salary and fees 30 10,137,097 10,200,000 Diretrs' fees 31 2,88,702 1,895,050 Auditrs' fees , ,500 Charges n lan lsses - - Depreiatin and repair f Bank's assets ,47,578 51,272,72 Other expenses ,312,30 119,99,191 Ttal perating expenses (B) 93,999, ,822,282 Prfit / (lss) befre prvisin (C=A-B) 311,248,18 50,845,37 Prvisin fr lans and advanes Speifi prvisin 35 41,77,700 - General prvisin 98,514,998 84,857,77 Prvisin fr ff-balane sheet items 3,882,47 7,447,595 Prvisin fr diminutin in value f investments 17,112,948 - Other prvisins - - Ttal prvisin (D) 11,188,113 92,305,272 Ttal prfit / (lss) befre taxes (C-D) 150,00,505 (41,459,89) Prvisin fr taxatin Current tax 3 125,82,98 13,553,383 Deferred tax 5,21,985 19,3, ,088,83 33,189,955 et prfit/(lss) after taxatin 18,971,822 (74,49,851) Retained earnings brught frward frm previus years (8,30,318) (11,5,47) (7,334,49) (8,30,318) 5

6 Hda Vasi Chwdhury & C Prfit and Lss Aunt Fr the year ended 31 Deember 2015 Partiulars tes Amunt in Taka Apprpriatins: Statutry reserve 30,012,101 General reserve Dividends et. Retained surplus/(def iit) 17 30,012,101 (97,34,597) arnings per share (PS) 4',1 (0.18) These finanial statements shuld be read in njuntin with the annexed ntes WDiretr Managing Diretr l-1"lz Hda Vasi Chwdhury & Dhaka. I i TPR 2lJ?O

7 RB Glbal Bank Limited Cash Flw Statement Fr the year ended 31 Deember 2015 A) Cash flws frm perating ativities Partiulars tes Amunt in Taka Interest reeipts in ash 3,002,80,805 1,337,09,5 Interest payments (1,729,15,405) (37,990,89) Dividend reeipts 15,909, ,333 Fees and mmissin reeipts in ash 48,901,002 17,059,08 Reverable n lans previusly written-ff - - Cash payments t emplyees (347,584,400) (181,889,10) Cash payments t suppliers (27,10,018) (17,042,213) Inme tax paid (71,189,900) (0,517,145) Reeipts frm ther perating ativities 37 30,723,08 12,5,29 Payments fr ther perating ativities 38 (414,917,10) (258,494,541) Cash generated frm perating ativities befre hanges in perating assets and liabilities 507,423, ,221,434 Inrease / (derease) in perating assets and liabilities Statutry depsits - - Purhase f trading seurities (2,509,413,939) (709,974,21) Lans and advanes t ther banks - - Lans and advanes t ustmers (10,07,932,11) (7,58,181,582) Other assets 39 (134,009,31) 121,125,088 Depsits frm ther banks (1,450,000,000) (950,000,000) Brrwing frm Bangladesh Bank 9,320,158 39,48,913 Depsits frm ustmers 14,083,247,922 11,48,712,7 Other liabilities aunt f ustmers - - Trading liabilities - - Other liabilities 40 15,18,43 (30,12,749) (593,18,93) 2,280,555,725 et ash used in perating ativities (8,195,231) 2,491,777,159 B) Cash flws frm investing ativities Preeds frm sale f seurities - - Payment fr purhase f seurities - - Purhase f prperty, plant and equipment (151,378,542) (493,295,390) Purhase / sale f subsidary - - Preeds frm sale f prperty, plant and equipment - - et ash used in investing ativities (151,378,542) (493,295,390) C) Cash flws frm finaning ativities Reeipts frm issue f sub-rdinated bnd - - Reeipts frm issue f rdinary share - - Payment fr redumptin f lan apital and debt seurity Dividend paid - - et ash flws frm finaning ativities - - 7

8 Hda Vasi Chwdhury & C Cash FIw Statement Fr the year ended 31 Deembet 2015 tr Partiulars Amunt in Taka D) ) F) et inrease / (derease) in ash and ash equivalents (A+ B + C) fiets f exhange rate hanges n ash and ash equivalents Cash and ash equivalents at beginning f the year (237,573,773) 1 998,481,79 5,972,550, ,08,317 G) Cash and ash equivalents at end f the year (D++F) Cash and ash equivalents at end f the year 5,734,97,313 5,972,550,08 Cash in hand (inluding freign unenies) Mney at all and shrt ntie Treasury bills Reverse rep 209,27, ,000, ,25,975 13,280,779 59,321,813 Prize bnds Balane with Bangladesh Bank and its agent bank (s)(inluding freign urrenies) Balane with ther banks and finanial institutins 542,800 1,55,781,448 3,259,77, ,00 78,092,888 4,471,99,00 &v Diretr

9 Hda Vasi Chwdhury & C -l i:l I---l l I s I I I, s d F ^ + - ts.i - ts ^ C! - - si - O d d t d $ 'i H D, ' = af a,, f..= -t u), *$3 f; : r -Ct,* tl <r 3 m9* q= -'ti g =!,L l: I rel I = g I " s'= s 3. - i > 5(l, (tt - F = ' g CL (n d ts -q _ ll i l r ii O si - O CA. - ts _ []l F] il lll'll b - {! (D a(u.9 g 5 O (g. q) (s.q 0) e f C = e. =f a 0) ().. f ) =e q r- 0) = l a q) 0). ' C =(u () =GI C 0) G ). G ) a f _( G ) = ) ) 0).g.g 0). (J! G.q G ) G = (D p.= = G g 0) f.l ) I () G' fi, (D Il s, l! (, (, C' (g m \ D

10 Hda Vasi Chwdhury & C I F O a- - O. a - a F: \ a q O. O - ^ O! - - a - r - ri s- ro. Hll 8ll 3ll - s- r - \ - s- $-? r ry O -r d. r ll ll *ll r - s- r- O. _ - a _ t - - r r- -ll ll rll Hil -ll. a_ d Gl r q a(1, := 5.g ttlt 9FJ '==r. b9! Jts(l)O, L rq?9 sh hx 5.A;P!-g- A9LF ;'=b v i! g=; rvl z. \..2.D..I ;G = - - r - - _ s- q <f-. O. O - a r i- rt r 3 - s- i di s- r : r$- i - - si t $-,l l a - O I - a I - I \ i l l r d -il ll ll II il *ll ilt!.i ll ll =_ll ll -lt Bll.ll r r - - <Y - a - a- O +. - O^ r aaa s- ts q q - O. O - i r $llll $ll*ll flllull! C t._ qil a :.= l4 C a = GO =' mil t -l -' '= i'= r C G i t t p q J = C f f.9,!=.=.x L.g! C z. -. S..= Gt= G 5.s FJ. =.= s ra (D t (D =, O 5 ' f t x (D e =Ẹ ='= s d.ga ii = >. GK.q. == d =- F(-) ir=

11 The Bank and its ativities The finanial statements have been prepared n the histrial Cst basis exept fr the fllwing material items: - Gvernment Treasury Bills and Bnds designated as ''Held fr Trading (HFT)'' at present value using marking t market nept with gain redited t revaluatin reserve but lss harged t Prfit and Lss Aunt; - Gvernment Treasury Bills and Bnds designated as ''Held t Maturity (HTM)'' at present value using amrtizatin nept. Use f estimatin and judgement Key estimates inlude the fllwing: - Lan lss prvisin - Deferred tax assets/liabilities RB Glbal Bank Limited tes t the Finanial Statements as at and fr the year ended 31 Deember 2015 The RB Glbal Bank Limited ("the Bank") was inrprated as a publi limited mpany in Bangladesh under Cmpanies At, 1994 with the registered ffie at Khandker Twer, 94 Gulshan Avenue, Gulshan-1, Dhaka The Bank mmened banking peratin n 23 Otber 2013 by btaining liense frm Bangladesh Bank n 5 August 2013 under setin 32(1) f the Bank Cmpany At 1991(amendment up t 2013).The number f branhes f the Bank was 2 (Twenty Six) lated in different areas f Dhaka and Chittagng as n 31 Deember Currently the Bank des nt have any Off-shre Banking Unit (OBU) and subsidiary mpany. The prinipal ativities f the Bank are t prvide a mprehensive range f finanial prduts (lans and depsits) and servies, persnal and mmerial banking, trade servies, ash management, treasury, seurities and ustdian servies. There have been n signifiant hange in the nature f the prinipal ativities f the bank during the reprting perid. Signifiant aunting pliies and basis f preparatin f finanial statements Presentatin and basis f finanial statements The finanial statements f the Bank mprise f Balane Sheet, Prfit and Lss Aunt, Cash Flw Statement, Liquidity Statement, Statement f Changes in quity and relevant explanatry ntes and dislsures. The finanial statements f the Bank as at and fr the year ended have been prepared under the histrial st nventin exept fr Gvernment Seurities whih are stated at fair value and in ardane with the Bank Cmpany At 1991 (Amendment upt 2013), BRPD irular n.14 dated 25 June 2003, the Cmpanies At 1994 and ther rules regulatins and laws appliable fr the Bank. The finanial statements f the Bank have been prepared in ardane with the measurement and regnitin riteria f Internatinal Aunting Standards (IAS) and Internatinal Finanial Reprting Standards (IFRS) adpted by the Institute f Chartered Auntants f Bangladesh (ICAB) as Bangladesh Aunting Standards (BAS) and Bangladesh Finanial Reprting Standards (BFRS). Basis f measurement The preparatin f the finanial statements f the Bank in nfrmity with BFRSs require management t make judgments, estimates and assumptins that affet the appliatin f aunting pliies and the reprted amunt f assets, liabilities, inme and expenses. Atual results may differ frm these estimates. stimates and underlying assumptins are reviewed n an nging basis nsidering business realities. Revisins f aunting estimates are regnized in the perid in whih the estimate is revised and in any future perid(s) affeted. Materiality, aggregatin and ffsetting The Bank aggregates eah material lass f similar items and presents separately whih are dissimilar in nature r funtin thse are immaterial. The Bank did nt ffset assets and liabilities r inme and expense unless required r permitted by BAS/BFRS Assets and basis f their valuatin Cash and ash equivalents Cash and ash equivalents inludes ntes and ins in hand and at ATM, unrestrited balanes held with Bangladesh Bank and its agent bank, balane with ther banks and finanial institutins, mney at all and shrt ntie and prize bnd whih are nt rdinarily suseptible t hange in value. Freign urreny Freign urreny transatins have been nverted int equivalent Taka urreny at the ruling exhange rates n the respetive date f suh transatins as per BAS 21 The ffets f Changes in Freign xhange Rates. 11

12 Assets and liabilities in freign urrenies as at 31 Deember 2015 have been nverted int Taka urreny at the average f the prevailing buying and selling rates f the relevant freign urrenies at that date exept balanes with ther banks and finanial institutins whih have been nverted as per diretives f Bangladesh Bank vide its irular n. BRPD (R) 717/ dated 21 vember Differenes arising thrugh buying and selling transatins f freign urrenies n different dates f the year have been adjusted by rediting/debiting exhange gain r lss aunt respetivally Investments Investments have been initially regnised at st, inluding aquisitin harges assiated with the investment. Premiums have been amrtised and disunts aredited, using the effetive r histrial yield methd. Gvernment Treasury Bills and Bnds (ategrized as HFT r/and HTM) are aunted fr as per Bangladesh Bank DOS irular letter n. 05 dated 2 May 2008 and DOS irular n. 05 dated 28 January Gvernment seurities Held t Maturity (HTM) Investments whih are intended t be held t maturity are lassified as Held t Maturity. These are measured at amrtised st at eah year end by taking int aunt any disunt r premium in aquisitin. Amrtised amunt f suh premium are bked int Prfit and Lss Aunt r disunt is bked t reserve until maturity/dispsal. Held fr Trading (HFT) Investments primarily held fr selling r trading are lassified in this ategry. After initial regnitin, investments are marked t market n weekly basis. Derease in the bk value is regnised in the Prfit and Lss Aunt and any inrease is transferred t revaluatin reserve aunt. The Bank did nt have any HFT seurities during the reprting perid. Value f investments has been enumerated as fllws: Investment lass Initial regnitin Measurement after initial regnitin Rerding f hanges Gvt. Treasury Bill / Bnd (HFT) Cst Market value Lss t Prfit and Lss Aunt (P&L), gain t revaluatin reserve till maturity. Gvt. Treasury Bill / Bnd (HTM) Cst Amrtised value Inrease in value t equity and derease in value t Prfit & Lss Debenture Fae value ne ne Prize bnd Cst ne ne Shares Cst Lwer f st and market value Any lss is harged in P&L; Unrealized gain nt regnized in aunts Investment in listed seurities These seurities are brught and held primarily fr the purpse f selling them in future r held fr dividend inme. These are reprted at st. Unrealised gains are nt regnised in the Prfit and Lss Aunt as per BAS 18 "Revenue". In ardane with BRPD irular n.14 dated 25 June 2003, prvisins shuld be made fr any lss arising frm the diminutin in value f investments. Subsequently as per DOS irular n. 04 dated 24 vember 2011, prvisins may be made fr any lss arising frm the diminutin in value f investments after netting f gain. Investment in un-listed seurities Investment in unlisted seurities is reprted at st under st methd. Lans and advanes Lans and advanes are stated at grss amunt. General prvisins n unlassified lans and ntingent assets as well as speifi prvisins fr lassified lans and interest suspense theren are shwn under ther liabilities. Prvisin against lassified lans and advanes is made n every quarter end and as per instrutins ntained in BRPD irular n. 14 dated 23 September 2012, BRPD irular n. 19 dated 27 Deember 2012, BRPD irular n. 05 dated 29 May 2013, BRPD irular n. 1 dated 18 vember 2014 and ther instrutins frm time t time. The rate fr prvisins are as fllws: 12

13 Cnsumer Ttal lans and advanes Huse building and prfessinals t setup business Other than husing finane & prfessinals t setup business Lan t brkerage huse, merhant banks, stk dealers Shrt-term agri-redit and mir redit Small and medium enterprise finane Other advanes Off balane sheet items General prvisin Speifi prvisin UC SMA SS DF BL 2% 2% 20% 50% 100% 5% 5% 20% 50% 100% 2% 2% 20% 50% 100% 2.5% 2.5% 5% 5% 100% 0.25% 0.25% 20% 50% 100% 1% 1% 20% 50% 100% 1% Fixed assets Regnitin and measurement f fixed assets Fixed assets exept land are stated at st less aumulated depreiatin as per BAS-1 "Prperty, Plant and quipment". The st f an item f fixed assets is regnized as an asset if it is prbable that future enmi benefits assiated with the item will flw t the entity, and the st f the item an be measured reliably. The st f an item f fixed assets mprises: - its purhase prie, inluding imprt duties and nn-refundable purhase taxes, after deduting trade disunts and rebates; - - any sts diretly attributable t bringing the asset t the latin and nditin neessary fr it t be apable f perating in the manner intended by management; and the initial estimate f the sts f dismantling and remving the item and restring the site n whih it is lated. Subsequent sts Subsequent sts are apitalized nly when it is prbable that the future enmi benefits assiated with the sts will flw t the entity and st an be measured reliably. The arrying amunt f the replaed prtin is deregnized. The sts f day t day serviing f fixed assets i.e. repairs and maintenane is harged t prfit and lss aunt as expense when inurred. Depreiatin Depreiatin is harged at the rates stated belw n all fixed assets n the basis f estimated useful lives as determined in the fixed asset pliy f the Bank. In all ases depreiatin is alulated n the straight line methd. Charging depreiatin mmenes frm the mnth f aquisitin and eases at the mnth when the assets are dispsed. depreiatin is harged n building under nstrutin until the usage f the assets. Depreiatin rates used fr eah type f fixed assets are as fllws: Partiulars f fixed assets Rate f depreiatin/ amrtisatin (per annam) stimated useful lives (Years) Buildings 2.50% Furniture and Fixtures 10.00% Mahineries and equipment 20.00% Cmputers 20.00% Vehiles 20.00% Liabrary bks and jurnals 20.00% Sftware 20.00% Deregnitin f fixed assets The arrying amunt f an item f fixed assets is deregnized n dispsal r when n future enmi benefits are expeted frm its use r dispsal. The gain r lss arising frm deregnitin f an item f fixed assets is t be rerded in prfit r lss when the item is deregnized. Leased assets Fixed assets whih are prured under finane lease arrangement (under whih substantially all the risks and rewards inidental t wnership are transferred t the lessees i.e. RBGBL) are reprted as leased assets as per BAS 17 Leases

14 2.5.5 Other assets These assets held under finane lease are regnized as assets f the bank at an amunt equal t the lwer f their fair value and the present value f minimum lease payments. The rrespnding liability t the lessr is inluded in the balane sheet as a finane lease bligatin. Any initial diret sts inurred are added t the amunt regnized as leased asset. These assets are depreiated fully ver the shrter f the lease terms and their useful lives. Intangible assets Intangible asset is an identifiable nn-mnetary asset withut physial substane. An intangible asset is regnized if it is prbable that the future enmi benefits that are attributable t the assets will flw t the entity and the st f the asset an be measured reliably in ardane with BAS 38: "Intangible Assets". Subsequent expenditure n intangible asset is apitalized nly when it inreases the future enmi benefits embdied in the speifi assets t whih it relates. All ther expenditure is expensed as inurred. The re banking sftware used by RBGBL represent the value f mputer appliatin sftware liensed fr the use f the bank. Sftware is arried at st less aumulated amrtizatin. Initial st mprises liense fees paid at the time f purhase and ther diretly attributable sts inurred fr ustmizing the sftware fr its intended use. Sftware is amrtized using the straight line methd ver the estimated useful life f 5 (five) years mmening frm the mnth at whih the appliatin sftware is made available fr use. Other assets inludes advane fr perating and apital expenditure, stks f statinary and stamps, seurity depsits t gvernment agenies et. As per BRPD irular n. 14 dated 25 June 2003, Inme & n-inme-generating ther assets item(s) have been shwn separately in the nte-09 t the finanial statements. n-banking assets n-banking assets are aquired n aunt f the failure f a brrwer t repay the lan in time after reeiving the deree frm the urt regarding the right and title f the mrtgaged prperty. Currently, the bank has n nn-banking assets. Impairment f assets An asset is impaired when its arrying amunt exeeds its reverable amunt as per BAS 3 Impairment f Assets. The Bank assesses at the end f eah reprting perid whether there is any indiatin that an asset may be impaired and/r whenever events r hanges in irumstanes indiate that the arrying value f the asset may nt be revered. If any suh indiatin exists, the Bank make an estimate f the reverable amunt f the assets. The arrying amunt f the asset is redued t its reverable amunt, if the reverable amunt is less than its arrying amunt and impairment lsses are regnized in the prfit and lss aunt. Hwever, impairment f finanial assets are guided by the relevant BB irulars/instrutins and BAS 39 "Finanial Instruments: Regnitin and Measurement". 2. Capital, reserve, liabilities and prvisin and basis f their valuatin Share apital and reserves Authrized and issued apital The authrized apital f the Bank is the maximum amunt f share apital that the Bank is authrized by its Memrandum and Artiles f Assiatin t issue (allate) amng sharehlders. Part f the authrized apital an (and frequently des) remain unissued. This number an be hanged by sharehlders' apprval upn fulfillment f related prvisins f Cmpanies At The part f the authrized apital whih has been issued t sharehlders is referred t as the issued share apital f the bank. Paid-up apital The paid-up apital represents the amunt f Bank s apital that has been ntributed by rdinary sharehlders. The hlders f rdinary shares are entitled t reeive dividend as remmended by the Bard and subsequently apprved by the sharehlders frm time t time in the Annual General Meeting (AGM). Statutry reserve In mpliane with the prvisin f Setin 24 f Bank Cmpany At 1991 (Amendment upt 2013), the Bank transfers at least 20% f its prfit befre tax t Statutry Reserve Fund eah year until the sum f statutry reserve and share premium equal t the paid up apital f the bank. Assets revaluatin reserve When an assets rrying amunt is inreased as a result f revaluatin the inreased amunt is redited diretly t equity under the heading f assets revaluatin reserve as per BAS 1 "Prperty Plant and quipment". The revaluatin reserve fr the Treasury Bnds and Bills are bked as per Bangladesh Bank DOS irular letter n. 05 dated 2 May 2008 and DOS irular n. 05 dated 28 January

15 2..5 Brrwings frm ther banks, finanial institutins and agents 2.. Liabilities and prvisins Brrwings frm ther banks, finanial institutins and agents inlude interest bearing brrwings whih are stated in the finanial statements at prinipal amunt f the utstanding balane. Interest payables n suh brrwings are reprted under ther liabilities. Depsits and ther aunts Depsits and ther aunts inlude nn-interest bearing urrent depsits redeemable at all, interest bearing shrt-term depsits, savings depsits and fixed depsits whih are initially measured at the nsideratin reeived. These items are subsequently measured and aunted fr at the grss value f the utstanding balane in ardane with the ntratual agreements with the unterparties Prvisin fr taxatin Inme tax represents the sum f urrent tax and deferred tax. Current tax The tax urrently payable is based n taxable prfit fr the year. Taxable prfit differs frm prfit as reprted in the inme statement beause it exludes items f inme r expense that are taxable r dedutible in ther years and it further exludes items that are never taxable r dedutible. The Bank's liability fr urrent tax is alulated using tax rates that have been enated r sustantively enated by the balane sheet date. Prvisin fr urrent inme tax has been made at a rate f 40% n the aunting prfit made by the Bank after nsidering taxable allwanes and disallwanes as per inme tax laws appliable fr the Bank. Deferred tax Deferred tax is regnised n differenes between the arrying amunts f assets and liabilities in the finanial statements and the rrespnding tax bases used in the mputatin f taxable prfit and are aunted fr using the balane sheet methd. Deferred tax liabilities are generally regnised fr all taxable temprary differenes and deferred tax assets are regnised t the extent that is prbable that taxable prfits will be available against whih dedutible temprary differenes, unused tax lsses r unused tax redits an be utilised. Suh assets and liabilities are nt regnised if the temprary differenes arises frm gdwill r frm the initial regnitin (ther than in a business mbinatin) f ther assets and liabilities in a transatin that affets neither the taxable prfit nr the aunting Deferred tax liabilities are regnised fr taxable temprary differenes arising n investments in subsidiaries and assiates, and interests in jint-ventures, exept where the Bank is able t ntrl the reversal f the temprary differene and it is prbable that the temprary differene will nt reverse in the freseeable future. The arrying amunt f deferred tax assets is reviewed at eah balane sheet date and redued t the extent that it is n lnger prbable that suffiient taxable prfits will be available t allw all r part f the asset t be revered. Deferred tax is alulated at the tax rates that are expeted t apply in the perid when the liability is settled r the asset is realised, based n tax rates that have been enated r substantively enated by the balane sheet date. Deferred tax is harged r redited t the inme statement, exept when it relates t items harged r redited diretly t equity, in whih ase the deferred tax is als dealt with in equity. Deferred tax assets and liabilities are ffset when there is a legally enfreable right t set ff urrent tax assets against urrent tax liabilities and when they relate t inme taxes levied by the same taxatin authrity and the mpany intends t settle its urrent tax assets and liabilities n a net basis. The impat n the aunt f hanges in the deferred tax assets and liabilities has als been regnized in the Prfit and Lss Aunt as per BAS 12 "Inme Taxes" Other liabilities Other liabilities mprise items suh as prvisin fr lans and advanes, prvisin fr taxes, interest payable n brrwing, interest suspense and arued expenses et. Individual item-wise liabilities are regnized as per the guidelines f Bangladesh Bank and Bangladesh Finanial Reprting Standards (BFRS). Dividend payable Final dividend is regnized when it is apprved by the sharehlders in AGM. Interim dividend is regnized when it is paid t Prvisin fr lans and advanes Prvisin fr lans and advanes is made n the basis f quarter end review by the management and instrutins ntained in BRPD irular n. 14 dated 23 September 2012, BRPD irular n. 05 Dated 29 May 2013 and BRPD irular n. 19 dated 27 Deember

16 2..11 Prvisin fr ff-balane sheet expsures In mpliane with Bangladesh Bank guidelines, ntingent liabilities have been dislsed under ff-balane sheet items. As per BRPD irular n. 14 dated 23 September 2012 and related earlier irulars, the bank has been maintaining prvisin 1% against ertain ffbalane sheet expsures Prvisin fr nstr aunt As per instrutin ntained in the irular letter n. FPD (FMO)/01/ dated 13 September 2005 issued by Freign xhange Pliy Department f Bangladesh Bank, Prvisin is t be maintained n the unreniled debit balanes running unreniled fr mre than 03 mnths as n the reprting date. Sine there is n unrenlied entries whih are unreniled fr mre than 03 mnths, n prvisin has been made in this regard Prvisin fr ther assets Prvisin fr ther assets is made as per the guidelines mentined (100% prvisin is required n ther assets whih are utstanding fr ne year and abve) in the BRPD irular n. 14 dated 25 June Prvisin fr liabilities and arued expenses In mpliane with BAS 37, prvisins fr ther liabilities and arued expenses are regnized in the finanial statements when the Bank has a legal r nstrutive bligatin as a result f past event, it is prbable that an utflw f enmi benefit will be required t settle the bligatin and a reliable estimate an be made f the amunt f the bligatin Cntingent liabilities Cntingent liabilities whih inlude ertain guarantees and letters f redit pledged as llateral are pssible bligatins that arise frm past events whse existene will be nfirmed nly by the urrene r nn-urrene f ne r mre unertain future events nt within the ntrl f the Bank. Cntingent liabilities are nt regnized in the finanial statements as per BAS 37 Prvisins, Cntingent Liabilities and Cntingent Assets. Hwever, dislsure n ntingent liabilities have been made n the fae f balane sheet under Off-balane Sheet Items as per the guidelines f BRPD irular n. 14 dated 25 June Revenue regnitin Interest inme Interest n unlassified lans and advanes is aunted fr as inme n arual basis, interest n lassified lans and advanes is redited t interest suspense aunt with atual reeipt f interest there frm redited t inme as and when reeived as per instrutin ntained in BRPD 14 dated 23 September 2012 & BRPD 19 dated 27 Deember 2012 f Bangladesh Bank. Fees and mmissin inme Fess and mmissin inme arises n servies prvided by the Bank and regnized as and when reeived basis. Cmmissin harged t ustmers n letters f redit, letters f guarantee and aeptane are redited t inme at the time f effeting the transatins Dividend Inme Dividend Inme frm investment is regnised at the time when it is deleared, asertained and right t reeive the payment is Interest inme frm investments Interest inme n investments in Gvernment and ther seurities, debentures and bnds is aunted fr n arual basis Interest paid n brrwings and depsits Interest paid n brrwings and depsits are alulated n 30 days basis (exept fr sme treasury instruments whih are alulated n 34 days basis) in a year and regnized n arual basis. Management and ther expenses xpenses inurred by the Bank are regnised n atual and arual basis. Retirement benefits The retirement benefits arued fr the emplyees f the Bank during the reprting perid have been aunted fr in ardane with the prvisins f BAS 19 "mplyee Benefit". The retirement benefit shemes perated by the Bank are utlined belw: 1

17 Prvident Fund Gratuity fund Prvident fund benefits are given t the permanent emplyees f the Bank in ardane with Bank's servie rules. Ardingly a trust deed and prvident fund rules is t be prepared. All nfirmed emplyees f the Bank are ntributing 10% f their basi salary as subsriptin t the Fund. The Bank als ntributes equal amunt f the emplyees' ntributin. Interest earned frm the investments is redited t the members' aunt n yearly basis. The Bank perates an unfunded gratuity sheme n "Clsed Plan Basis", in respet f whih prvisin is made annually vering all its permanent eligible emplyees. arnings per share The Bank presents basi and diluted arnings Per Share (PS) data fr its rdinary shares as per BAS 33 arnings Per Share. Basi PS is alulated by dividing the prfit r lss attributable t rdinary sharehlders f the bank by the weighted average number f rdinary shares utstanding during the perid Cash flw statement Cash flw statement has been prepared in ardane with BAS 7 "Statement f Cash Flws" and under the guideline f Bangladesh Bank BRPD irular n.14 dated 25 June The Statement shws the struture f hanges in ash and ash equivalents during the finanial year. Liquidity statement The liquidity statement has been prepared in ardane with remaining maturity gruping f Assets and Liabilities as at the lse f the year as per fllwing bases: Partiulars Cash, Balane with ther banks and finanial institutins, mney at all and shrt ntie et. Investments Lans and advanes Fixed assets Other assets Brrwings frm ther banks and finanial institutins Depsits and ther aunts Other lng term liability Prvisin and ther liability Basis f Use Stated maturity/ bserved behaviral trend Residual maturity term Repayment/maturity shedule and behaviral trend (nn-maturity prduts) Useful life Realizatin/amrtizatin basis Maturity/repayment term Maturity and behaviral trend (nn-maturity prduts) Maturity term Settlement/adjustment shedule basis Statement f hanges in equity Statement f Changes in quity has been prepared in ardane with BAS 1 Presentatin f Finanial Statements and fllwing the guidelines f Bangladesh Bank BRPD irular n.14 dated 25 June Related party transatins Parties are nsidered t be related if ne party has the ability, diretly r indiretly, t ntrl the ther party r exerise signifiant influene ver the ther party in making finanial and perating deisins. Parties are als nsidered t be related if they are subjet t mmn ntrl r mmn signifiant influene. Related party transatin is a transfer f resures, servies, r bligatins between related parties, regardless f whether a prie is harged as per BAS 24 ''Related Party Dislsures'', Bangladesh Bank & BSC guidelines. Details f the related party transatins have been dislsed in te Reniliatin f bks and aunts Bks f aunt in regard t inter-bank (in Bangladesh and utside Bangladesh) as well as inter-branhes are reniled at regular intervals t keep the unreniled balanes within nn-material level. vents after the reprting perid All the material events after the reprting perid have been nsidered and apprpriate adjustments/dislsures have been made in the finanial statements as per BAS 10 vents after the Reprting Perid. 17

18 2.14 Infrmatin abut business and gegraphial segments 2.15 Business segment Business segments reprt nsists f prduts and servies whse risks and returns are different frm thse f ther business segments. These segments mprise Cnventinal Banking, Islami Banking and investment. Business segments reprt are shwn in Annexure-B. Gegraphial segments Gegraphial segments reprt nsists f prduts and servies within a partiular enmi envirnment where risks and returns are different frm thse f ther enmi envirnments. Gegraphial segments reprt are shwn in Annexure-B. Inter-segment transatins are generally based n inter-branh fund transfer measures as determined by the management. Inme, expenses, assets and liabilities are speifially identified with individual segments. Based n suh allatin, segmental balane sheet as n 31 Deember 2015 and segmental prfit and lss aunt fr the year ended 31 Deember 2015 have been prepared. Cmpliane reprt n Bangladesh Aunting Standards (BAS) and Bangladesh Finanial Reprting Standards (BFRS) The Institute f Chartered Auntants f Bangladesh (ICAB) is the sle authrity fr adptin f Internatinal Aunting Standards (IAS) and Internatinal Finanial Reprting Standards (IFRS) as Bangladesh Aunting Standards (BAS) and Bangladesh Finanial Reprting Standards (BFRS). While preparing the finanial statements, RB Glbal Bank applied all f the BAS and BFRS appliable and relevant. Details are as fllws: ame f the BAS BAS n. Status Presentatin f Finanial Statements Inventries Statement f Cash Flws Aunting Pliies, Changes in Aunting stimates and rrrs vents after the Reprting Perid Cnstrutin Cntrats Inme Taxes Prperty, Plant and quipment Leases Revenue mplyee Benefits Aunting fr Gvernment Grants and Dislsure f Gvernment Assistane The ffets f Changes in Freign xhanges Rates Brrwing Csts Related Party Dislsures Aunting and Reprting by Retirement Benefit Plans Separate Finanial Statements Investments in Assiates and Jint Ventures Interests in Jint Ventures Finanial Instruments: Presentatin arnings Per Share Interim Finanial Reprting Impairment f Assets Prvisins, Cntingent Liabilities and Cntingent Assets Intangible Assets Finanial Instruments: Regnitin and Measurement Investment Prperty Agriulture ame f BFRS First-time Adptin f Internatinal Finanial Reprting Standards Share Based Payment Business Cmbinatins Insurane Cntrats n-current Assets Held fr Sale and Disntinued Operatins xplratin fr and valuatin f Mineral Resures Finanial Instruments: Dislsures Operating Segments Cnslidated Finanial statements Jint Arrangements Dislsure f interests in ther ntities Fair Value Measurement 1. Applied with departure as mentined in te Applied (1) 2 Applied 7 Applied (1) 8 Applied 10 Applied 11 /A 12 Applied 1 Applied 17 Applied 18 Applied 19 Applied 20 /A 21 Applied 23 /A 24 Cmplied 2 /A 27 /A 28 /A 31 /A 32 Applied (1) 33 Applied 34 Applied 3 Applied (1) 37 Applied (1) 38 Applied (1) 39 Applied (1) 40 /A 41 /A BFRS n. Status 1 /A 2 /A 3 /A 4 /A 5 /A /A 7 Applied (1) 8 Applied 10 /A 11 /A 12 /A 13 Applied (1) 18

19 2.1 Details f departures frm BAS and BFRS fr the sake f Bangladesh Bank mpliane Althugh the finanial statements f the Bank is prepared mplying the prvisins f Internatinal Aunting Standards (IAS) and Internatinal Finanial Reprting Standards (IFRS) as adpted by the Institute f Chartered Auntants f Bangladesh (ICAB), as a primary regulatr, requirement f Bangladesh Bank in this regard has t be mplied as well. In ertain areas f finanial statements, requirement f Bangladesh Bank differs frm that f the BFRS. In suh ases, mpliane f Bangladesh has been ensured thrugh departures frm the relevant requirements f IAS/IFRS. Sme f the material issues are as fllws: Investment in shares and seurities BFRS: As per requirements f BAS 39 investment in shares and seurities generally falls either under at fair value thrugh prfit and lss aunt r under available fr sale where any hange in the fair value at the reprting date is taken t prfit and lss aunt r revaluatin reserve respetively. Bangladesh Bank: As per BRPD irular n. 14 dated 25 June 2003 investments in quted shares and unquted shares are revalued at the reprting date at market prie and as per bk value f last audited balane sheet respetively. Prvisin shuld be made fr any lss arising frm diminutin in value f investment n prtfli basis. Revaluatin gain/lss n gvernment seurities BFRS: As per requirement f BAS 39 where seurities will fall under the ategry f "Held fr Trading (HFT)", any hange in the fair value f held fr trading assets is regnized thrugh prfit and lss aunt. Seurities designated as "Held t Maturity (HTM)" are measured at amrtized st methd and interest inme is regnized thrugh the prfit and lss aunt. Bangladesh Bank: HFT seurities are revalued n the basis f mark t market and any gains n revaluatin f seurities whih have nt matured as at the balane sheet date are regnized in ther reserves as a part f equity and any lsses n revaluatin f seurities whih have nt matured as at the balane sheet date are harged in the prfit and lss aunt. Interest n HFT seurities inluding amrtizatin f disunt are regnized in the prfit and lss aunt. HTM seurities whih have nt matured as at the balane sheet date are amrtized and gains r lsses n amrtizatins are regnized in ther reserve as a part f equity. Prvisin n lans and advanes BFRS: As per BAS 39 an entity shuld start the impairment assessment by nsidering whether bjetive evidene f impairment exists fr finanial assets that are individually signifiant. Fr finanial assets that are nt individually signifiant, the assessment an be perfrmed n an individual r lletive (prtfli) basis. Bangladesh Bank: As per BRPD irular n. 14 dated 23 September 2012, BRPD irular n. 19 dated 27 Deember 2012 and BRPD irular n. 05 dated 29 May 2013 a general prvisin at 0.25% t 5% under different ategries f unlassified lans (gd/standard lans) has t be maintained regardless f bjetive evidene f impairment. Als prvisin fr sub-standard lans, dubtful lans and bad/lsses has t be prvided at 20%, 50% and 100% respetively fr lans and advanes depending n the duratin f verdue. Again as per BRPD irular n. 10 dated 18 September 2007 and BRPD irular n. 14 dated 23 September 2012, a general prvisin at 1% is required t be prvided fr all ff-balane sheet expsures. Suh prvisin pliies are nt speifially in line with thse presribed by BAS Regnitin f interest in suspense BFRS: Lans and advanes t ustmers are generally lassified as "lans and reeivables" as per BAS 39 and interest inme is regnised thrugh effetive interest rate methd ver the term f the lan. One a lan is impaired, interest inme is nt regnised in the finanial statements. Bangladesh Bank: As per BRPD irular n.14 dated 23 September 2012, ne a lan is lassified, interest n suh lans are nt allwed t be regnised as inme, rather the rrespnding amunt needs t be redited t an interest suspense aunt, whih is presented as liability in the balane sheet. Other mprehensive inme BFRS: As per BAS 1 Other Cmprehensive Inme is a mpnent f finanial statements r the elements f Other Cmprehensive Inme are t be inluded in a Single Cmprehensive Inme (OCI) Statement. Bangladesh Bank: Bangladesh Bank has issued templates fr finanial statements whih are required t be fllwed by all banks. The templates f finanial statements issued by Bangladesh Bank d nt inlude Other Cmprehensive Inme nr are the elements f Other Cmprehensive Inme allwed t be inluded in a Single Cmprehensive Inme (OCI) Statement. As suh the mpany des nt prepare the ther mprehensive inme statement. Hwever elements f OCI, if any, are shwn in the statements f hanges in equity. Finanial instruments presentatin and dislsure In several ases Bangladesh Bank guidelines ategrize, regnize, measure and present finanial instruments differently frm thse presribed in BAS 39. As suh sme dislsure and presentatin requirements f BFRS 7 and BAS 32 annt be made in the aunts. 19

20 Rep transatins BFRS: When an entity sells a finanial asset and simultaneusly enters int an agreement t repurhase the asset (r a similar asset) at a fixed prie n a future date (RPO r stk lending), the arrangement is aunted fr as a depsit as ppsed t a sale, and the underlying asset ntinues t be regnized in the entity s finanial statements. Suh transatins d nt satisfy the de-regnitin riteria speified in BAS 39. Suh transatins will be treated as lan and the differene between selling prie and repurhase prie will be treated as interest expense. Same rule applies t the ppsite side f the transatin (Reverse RPO). Bangladesh Bank: As per Bangladesh Bank irulars/guidelines, when a bank sells a finanial asset and simultaneusly enters int an agreement t repurhase the asset (r a similar asset) at a fixed prie n a future date (RPO r stk lending), the arrangement is aunted fr as a nrmal sales transatins and the finanial assets are de-regnized in the seller s bk and regnized in the buyer s bk. Finanial guarantees BFRS: As per BAS 39, finanial guarantees are ntrats that require an entity t make speified payments t reimburse the hlder fr a lss it inurs beause a speified debtr fails t make payment when due in ardane with the terms f a debt instrument. Finanial guarantee liabilities are regnized initially at their fair value, and the initial fair value is amrtized ver the life f the finanial guarantee. The finanial guarantee liability is subsequently arried at the higher f this amrtized amunt and the present value f any expeted payment when a payment under the guarantee has beme prbable. Finanial guarantees are inluded within ther liabilities. Bangladesh Bank: As per BRPD irular n. 14 dated 25 June 2003 finanial guarantees suh as letter f redit and letter f gurarantee will be treated as Off-Balane Sheet items. liability is regnized fr the guarantee exept the ash margin. Cash and ash equivalent BFRS: As per BAS 7 ash and ash equivalents are shrt-term, highly liquid investments that are readily nvertible t knwn amunts f ash and whih are subjet t insignifiant risk f hanges in value. Therefre, sme items like Balane with Bangladesh Bank n aunt f CRR/SLR are nt part f ash and ash equivalent as thse are nt readily available. Bangladesh Bank: As per Bangladesh Bank irulars/guidelines, balane with Bangladesh Bank is part f ash and ash equivalent regardless f any restritin. Furthermre, sme ash and ash equivalent items suh as mney at all and n shrt ntie, Treasury bills, Prize bnd are nt presented as ash and ash equivalent. Instead mney at all and n shrt ntie is presented as a fae item in balane sheet, and Treasury bills, Prize bnds are presented as investment. n-banking asset BFRS: indiatin f n-banking asset is fund in any BFRS. Bangladesh Bank: As per BRPD irular n. 14 dated 25 June 2003 there a fae item named n-banking asset must exist. Cash flw statement BFRS: Cash flw statement an be prepared either in diret methd r in indiret methd. The presentatin is seleted t present these ash flws in a manner that is mst apprpriate fr the business r industry. The methd seleted is applied nsistently. Bangladesh Bank: As per BRPD irular n. 14 dated 25 June 2003 ash flw is the mixture f diret and indiret methd. Balane with Bangladesh Bank: (CRR) BFRS: Balane with Bangladesh Bank shuld be treated as ther asset as it is nt available fr use in day t day peratins as per BAS 7. Bangladesh Bank: Balane with Bangladesh Bank is treated as ash and ash equivalents. Presentatin f intangible asset BFRS: Intangible asset must be identified and regnized, and the dislsure must be given as per BAS 38. Bangladesh Bank: There is n requirement fr regulatin f intangible assets in BRPD irular n. 14 dated 25 June Off-balane sheet items BFRS: There is n nept f ff-balane sheet items in any BFRS; hene there is n requirement fr dislsure f ff-balane sheet items n the fae f the balane sheet. Bangladesh Bank: As per BRPD irular n. 14 dated 25 June 2003 ff-balane sheet items (e.g. letter f redit, letter f guarantee et.) must be dislsed separately n the fae f the balane sheet. Dislsure f apprpriatin f prfit BFRS: There is n requirement t shw apprpriatin f prfit in the fae f statement f mprehensive inme. 20