PASHA BANK ENG 20

PASHA Yatırım Bankası A.Ş. Notes to Unconsolidated Financial Statements at 31 December 2020 (Amounts are expressed in thousands of Turkish Lira (“TL”) unless otherwise stated.) (Convenience Translation of Publicly Announced Financial Statements Originally Issued in Turkish, See Note I of Section Three) EXPLANATIONS AND NOTES RELATED TO UNCONSOLIDATED FINANCIAL STATEMENTS (Continued) VI. EXPLANATIONS AND NOTES RELATED TO STATEMENT OF CASH FLOWS 1. Information on cash and cash equivalents Components of cash and cash equivalents and the accounting policy applied in their determination The effect of any change in the accounting policy of current period and the balance sheet recorded amounts of the components that make up cash and cash equivalents (excluding rediscount balances, reserve requirements, placements with maturity longer than 3 months and blocked accounts) are considered as cash and cash equivalents. a. Cash and cash equivalents at the beginning of the period 31 December 2020 31 December 2019 Cash 155,100 126,731 Cash and Foreign Currency Cash 14 14 Turkish Central Bank 155,086 126,717 Other - - Cash Equivalents 144,522 186,955 Banks 121,511 39,910 Interbank Money Market Placements 23,011 147,045 Total Cash and Cash Equivalents 299,622 313,686 Blocked amounts on cash and cash equivalents (2,296) - Interest income rediscounts on cash and cash equivalents (134) (48) Cash equivalents with a maturity longer than three months - - Restricted reserve deposits (133,831) (123,007) Cash Flow Statements Cash and Cash Equivalents 163,361 190,631 2. Explanation about other cash flows items and the effect of changes in foreign exchange rates on cash and cash equivalents The “Other” items presented in “Net operating income before changes in operating assets and liabilities” amount to TL 17,268 (31 December 2019 - TL 12,790) mainly consists fees and commissions paid and other operating expenses excluding personnel expenses. The “Net increase/decrease in other liabilities” item under “Changes in operating assets and liabilities” amounting to TL 953 (31 December 2019 - TL 626) consists of mainly changes in prepaid expenses and other assets. The “Net increase/decrease in other liabilities” item under “Changes in operating assets and liabilities” amounting to TL 94,846 (31 December 2019 - TL 1,769) consists of mainly changes in miscellaneous payables, borrower funds, other liabilities and taxes and other duties payable. The effect of change in foreign exchange rate on cash and cash equivalents is approximately increase of TL 36,806 (31 December 2019 - TL 9,755 increase). Annual Report 2020 PASHA Bank Year-End Financial Report 217