Strategic Report Strategic Report Strategic Report Financial Additional Overview Strategy Performance Governance Statements Information 24. Expected Credit Loss The table below shows ECL charges on financial instruments for the year recorded in the income statement: As at 31 December 2018 Stage 1 Stage 2 Stage 3 Collective Collective Individual Collective POCI Total Cash and cash equivalents (62) – – – – (62) Amounts due from credit institutions (141) – – – – (141) Investment securities measured at FVOCI – debt instruments (1,619) – – – – (1,619) Loans to customers at amortised cost 17,770 4,089 5,165 (170,152) 3,629 (139,499) Finance lease receivables (71) 792 (254) (631) – (164) Accounts receivable and other loans (6) – – – – (6) Financial guarantees (1,854) 16 291 84 – (1,463) Letter of credit to customers 186 15 – 621 – 822 Other financial commitments (252) (78) – – – (330) For the year ended 31 December 2018 13,951 4,834 5,202 (170,078) 3,629 (142,462) The following is a reconciliation of the individual and collective allowances for impairment losses on loans to customers for the years ended 31 December 2017 and 31 December 2016: 2017 2016 Individual Collective Individual Collective impairment impairment Total impairment impairment Total 2017 2017 2017 2016 2016 2016 At 1 January 171,446 81,323 252,769 138,935 59,959 198,894 Charge for the year 58,821 96,389 155,210 74,051 84,841 158,892 Recoveries 10,948 41,844 52,792 7,880 28,364 36,244 Write-offs (49,554) (101,705) (151,259) (46,812) (79,141) (125,953) Interest accrued on impaired loans to customers (10,768) (21,536) (32,304) (5,394) (13,086) (18,480) Currency translation differences (304) (19) (323) 2,786 386 3,172 At 31 December 180,589 96,296 276,885 171,446 81,323 252,769 Annual Report 2018Bank of Georgia Group PLC 251