Microsoft Word - DMIT FINANCIAL STATEMENTS 2025-Final draft.

Dar Al-Maal Al-Islami Trust NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS For the year ended 31 December 2025 in thousands of USD 37 4. Financial instruments (continued) B. Financial risk management (continued) iii. Liquidity risk (continued) Assets held for managing liquidity risk The Group holds a diversified portfolio of cash and high-quality high-liquid securities to support payment obligations and contingent funding in a stressed market environment. The Group’s assets held for managing liquidity risk comprise: ● Cash and balances with central banks; ● Certificates of deposit; ● Government bonds and other securities that are readily acceptable in repurchase agreements with central banks; and ● Secondary sources of liquidity in the form of highly liquid instruments in the Group’s trading portfolios and investment carried at FVOCI. 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. 5. Cash and cash equivalents and Cash at Central Bank - statutory reserve 2025 2024 Cash on hand 115,086 119,482 Cash at central banks - current account 209,264 229,381 Cash at other banks 108,437 75,784 Cash and cash equivalents 432,787 424,647 Cash at central banks - statutory reserve 46,343 43,004 Cash and bank balances 479,130 467,651 All cash at other banks have original maturities of less than 3 months. The cash at the central bank-statutory reserve is not available for daily use or day to day operations. 6. Placements with Islamic financial institutions Placements with Islamic financial institutions represent placements of a short-term nature carried for a period less than 1 year but more than three months. These investments earn an average profit rate of 4.40% (2024: 4.64%). 7. Investment securities carried at FVTPL 2025 2024 Debt securities- unlisted 3,783 10,537 Equity securities- unlisted 1,852 2,503 Equity securities- listed 79 2,814 Total 5,714 15,854