DMIT_Annual_Report_2018_EN

N OTES TO THE C ONSOLIDATED F INANCIAL S TATEMENTS (Thousands of US dollars) Dar Al-Maal Al-Islami Trust 53 4. Financial instruments (continued) Derivative assets and liabilities The Group’s derivatives that will be settled on a gross basis include foreign exchange derivatives i.e. currency forward, currency swaps. The table below analyses the Group’s derivative financial assets that will be settled on a gross basis into relevant maturity groupings based on the remaining period at the date of the consolidated statement of financial position to the contractual maturity date. The amounts disclosed in the table are the contractual undiscounted cash flows. At 31 December 2018 Up to three month Three-twelve months One-five years Five to ten years Total Derivatives held for hedging: Foreign exchange derivatives - Outflow - - (2,565) (2,952) (5,517) - Inflow - - - - - Total outflow - - (2,565) (2,952) (5,517) Total inflow - - - - - At 31 December 2017 Derivatives held for hedging: Foreign exchange derivatives - Outflow - - (14,083) (8,394) (22,478) - Inflow - - 13,749 8,134 21,883 Total outflow - - (14,083) (8,394) (22,478) Total inflow - - 13,749 8,134 21,883 Funding approach Sources of liquidity are regularly reviewed to maintain a diversification by currency, geography, provider, product and term. Assets available to meet liabilities and to cover outstanding loan commitments include cash and bank balances; loans and advances to banks; and loans and advances to customers. In the normal course of business, a proportion of customer loans contractually repayable within one year will be extended. In addition, certain assets have been pledged to secure liabilities. The Group would also be able to meet unexpected net cash outflows by selling strategic investments, securities and accessing additional funding sources such as undrawn facilities.