Company: VCIG
Filing Date: 2025-05-13
Form Type: 20-F
Source: 0001213900-25-042476
Chunk: 109

Company: VCI Global Ltd
Filing Date: 2025-05-13
Form: 20-F
Item: Item 11
Chunk 109
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 a provision matrix, estimated based on historical credit loss experience based on the past default experience of
the debtor, general economic conditions of the industry in which the debtors operate and an assessment of both the current as well as
the forecast direction of conditions at the reporting date. To measure the expected credit losses, trade receivables has been grouped
based on shared credit risk characteristics (including high risk, normal risk and low risk type).

The directors of the Company considered that the
ECL for non-credit impaired trade receivables is insignificant as at the end of the reporting period.

Liquidity risk management

Liquidity risk is the risk that the Group will
encounter difficulty in meeting financial obligations due to shortage of funds.

In assessing our liquidity, we monitor and analyse
our cash on-hand and our operating expenditure commitments. Our liquidity needs are to meet our working capital requirements and operating
expenses obligations. To date, we have financed our operations primarily through cash flows from operations, equity financing, and short-term
borrowing from banks and third parties.

Based on the above considerations, management
is of the opinion that the Company has sufficient funds to meet its working capital requirements and debt obligations, for at least the
next 12 months from the unaudited condensed consolidated financial statement filing date. However, there is no assurance that management
will be successful in their plans. There are several factors that could potentially arise that could undermine the Company’s plans,
such as changes in the demand for its services, economic conditions, its operating results not continuing to deteriorate and its bank
and shareholders being able to provide continued financial support.

The Group maintains sufficient cash and cash equivalent,
and internally generated cash flows to finance their activities.

Liquidity risk analyses

Non-derivative financial liabilities

The following table details the remaining contractual
maturity for non-derivative financial liabilities. The tables have been drawn up based on the undiscounted cash flows of financial liabilities
based on the earliest date on which the Group can be required to pay. The table includes both interest and principal cash flows. The
adjustment column represents the possible future cash flows attributable to the instrument included in the carrying amount of the financial
liability on the statement of financial position.

                                            On                             Within                    Total                  
                                            demand                         2 to                                             
                                            or within                      5 years                                          
                                            1 year                                                                          
                                            RM                             RM                        RM                     
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