Company: VCIG
Filing Date: 2025-05-13
Form Type: 20-F
Source: 0001213900-25-042476
Chunk: 145

Company: VCI Global Ltd
Filing Date: 2025-05-13
Form: 20-F
Item: Item 19
Chunk 145
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 losses can be utilized.

Deferred income tax is measured:

  (i)      at the tax rates that are expected to apply when the related deferred income tax asset is realized or the deferred income tax liability is settled, based on tax rates and tax laws that have bee...  

  (ii)      based on the tax consequence                                                                                                                  

Current and deferred income taxes are
recognized as income or expense in profit or loss, except to the extent that the tax arises from a business combination or a transaction
which is recognized directly in equity. Deferred tax arising from a business combination is adjusted against goodwill on acquisition.

The Company accounts for investment
tax credits (for example, productivity and innovation credit) similar to accounting for other tax credits where a deferred tax asset is
recognized for unused tax credits to the extent that it is probable that future taxable profit will be available against which the unused
tax credits can be utilized.

FOREIGN CURRENCY TRANSACTIONS

  (a)      Functional and presentation currency  

Items included in the financial statements
of each entity in the Company are measured using the currency of the primary economic environment in which the entity operates (“functional
currency”). The functional currency of the Company is United States Dollar (“ USD”) and the financial statements are
presented in Ringgit Malaysia (“ RM”), which is the presentation currency of the Company.

The value of foreign currencies including,
the USD, may fluctuate against the RM. Any significant variations of the aforementioned currencies relative to the RM may materially affect
the Company’s financial condition in terms of reporting in RM. The following table outlines the currency exchange rates that were
used in preparing the accompanying consolidated financial statements:

                              December 31,                                                          
                                      2022                  2023                  2024              
  RM to USD Year End                            4.4025                4.5893                4.4704  
 ────────────────────────────────────────────────────────────────────────────────────────────────────
  RM to USD Average Rate                        4.3983                4.5680                4.5606  

F-23

  (b)      Transactions and balances  

Transactions in a currency other than the functional currency (“foreign
currency”) are translated into the functional currency using the exchange rates at the dates of the transactions. Currency exchange
differences resulting from the settlement of such transactions and from the translation of monetary assets and liabilities denominated
in foreign currencies at the closing rates at the balance sheet date are recognized in profit or loss. Monetary items include