Company: VCIG
Filing Date: 2025-05-13
Form Type: 20-F
Source: 0001213900-25-042476
Chunk: 107

Company: VCI Global Ltd
Filing Date: 2025-05-13
Form: 20-F
Item: Item 11
Chunk 107
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Item 11. QUANTITATIVE AND QUALITATIVE DISCLOSURES ABOUT MARKET RISK

The management of the Group monitors and manages
the financial risks relating to the operations of the Group to ensure appropriate measures are implemented in a timely and effective manner.
These risks include market risk (including currency risk and interest rate risk), credit risk and liquidity risk.

Market risk management

The Group activities are exposed primarily to
the financial risks of changes in foreign currency exchange rates and interest rates. Management monitors risks associated with changes
in foreign currency exchanges rates and interest rates and will consider appropriate measures should the need arise.

There has been no significant change to the Group’s
exposure to market risk or the manner in which it manages and measures the risk.

Foreign currency risk management

The Group also transacts business in foreign currencies
other than its functional currencies, as further disclosed below, and is therefore exposed to foreign exchange risk.

The currency exposure of financial assets and
financial liabilities denominated in currencies other than the Group’s functional currencies are as follows:

                            Assets                                               Liabilities                           
                            2023                       2024                      2023                            2024  
                            RM                         RM                        RM                              RM    
  Singapore Dollar                         15,101                -                                -                    
  United States Dollar                  7,123,179                44,849,121                       1,416,836            

Foreign currency sensitivity

The following table details the sensitivity to
a 5% increase and decrease in the related foreign currencies against the functional currency (“ RM”) with all the other variables
held constant. 5% is the sensitivity rate used when reporting foreign currency risk internally to key management personnel and represents
management’s assessment of the possible change in foreign exchange rates. The sensitivity analysis includes only outstanding
foreign currency denominated monetary items and adjusts their translation at the period end for a 5% change in foreign currency rates.

                            2023                   2024                 
 ────────────────────────────────────────────────────────────────────────
                            RM                     RM                   
  Singapore Dollar                        755                -          
  United States Dollar                285,317                2,277,676  

Interest rate risk management

The Group is exposed to interest rate risk as
the Group has bank loans which are interest bearing. The interest rates and terms of repayment of the loans are disclosed in the Note
to the financial statements. The Group currently does not have an interest rate hedging policy.

Interest rate sensitivity analysis

The sensitivity analysis below has