XML 71 R55.htm IDEA: XBRL DOCUMENT v3.23.1
Risk Management (Tables)
12 Months Ended
Dec. 31, 2022
Disclosure of risk management [Abstract]  
Probability weights applied to the scenarios of the forecasts of macroeconomic variables
As of December 31, 2022, the probability weights applied to the scenarios of the forecasts of macroeconomic variables is as follows (Unit: %):
 
    
Basic Scenario
    
Upside Scenario
    
Downside Scenario
 
Probability weight
     52.57        12.52        34.91  
Disclosure in tabular form of macroeconomic forecasts for the forthcoming financial year
As of December 31, 2022, the forecasts of major macroeconomic variables by scenario is as follows (Unit:     %)
 
    
Basic Scenario
    
Upside Scenario
    
Downside Scenario
 
GDP growth rate
       1.70        1.89        1.36  
Personal consumption expenditures price index rate

     2.70        3.11        1.97  
Consumer price index change rate
     3.60        3.39        3.97  
Sensitivity anaysis on expected credit loss allowance due to changes in macroeconomic indicatiors
The results of Woori Bank’s sensitivity analysis on expected credit loss provisions due to changes in macroeconomic indicators as of December 31, 2021 and 2022 are as follows (Unit: Korean Won in millions):
 
              
December 31, 2021
 
Corporate
   GDP growth rate    Increase by 1% point      (68,140
   Decrease by 1% point      74,495  
  
Personal consumption expenditures price index rate

   Increase by 1% point      (40,654
   Decrease by 1% point      43,028  
               
Retail
   GDP growth rate    Increase by 1% point      (8,798
   Decrease by 1% point      9,163  
   Consumer price index change rate    Increase by 1% point      (29,469
   Decrease by 1% point      34,352  
 
              
December 31, 2022
 
Corporate
  
Personal consumption expenditures price index rate

   Increase by 1% point      (59,987
   Decrease by 1% point      68,036  
             
Retail
   Consumer price index change rate    Increase by 1% point      (24,164
   Decrease by 1% point      28,042  
 
(*)
The sensitivity of the effect of the GDP growth rate on banks’ ECLs is not significant.
Maximum exposure to credit risk by customer
The maximum exposure to credit risk as of December 31, 2021 and 2022 is as follows (Unit: Korean Won in millions):
 
         
December 31,
2021
    
December 31,
2022
 
Loans and other financial assets at amortized cost
(*1)
   Korean treasury and government agencies      2,207,893        2,877,685  
   Banks      24,412,685        21,571,097  
   Corporates      131,027,256        143,507,852  
   Consumers      191,237,783        187,804,095  
         
 
 
    
 
 
 
    
Sub-total
     348,885,617        355,760,729  
         
 
 
    
 
 
 
Financial assets at FVTPL
(*2)
   Deposits      65,072        34,995  
   Debt securities      2,743,239        4,270,532  
   Loans      667,467        899,228  
   Derivative assets      4,803,131        8,206,181  
     Others      1,518        1,505  
         
 
 
    
 
 
 
    
Sub-total
     8,280,427        13,412,441  
         
 
 
    
 
 
 
Financial assets at FVTOCI
   Debt securities      38,126,977        32,145,758  
Securities at amortized cost
   Debt securities      17,086,274        28,268,516  
Derivative assets
   Derivative assets (Designated for hedging)      106,764        37,786  
Off-balance
accounts
   Payment guarantees
(*3)
     12,987,809        11,921,586  
   Loan commitments      114,414,462        118,172,070  
         
 
 
    
 
 
 
    
Sub-total
     127,402,271        130,093,656  
         
 
 
    
 
 
 
    
Total
     539,888,330        559,718,886  
    
 
 
    
 
 
 
 
(*1)
Cash and cash equivalents are not included.
(*2)
Puttable financial instruments are not included.
(*3)
As of December 31, 2021 and 2022, the financial guarantee amount of 3,960,383 million
W
on and 3,095,091 million
W
on are included, respectively.
Credit risk exposure by geographical areas
a) Credit risk exposure by geographical areas
The following tables analyze credit risk exposure by geographical areas (Unit: Korean Won in millions):
 
   
December 31, 2021
 
   
Korea
   
China
   
USA
   
UK
   
Japan
   
Others
(*)
   
Total
 
Loans and other financial assets at amortized cost
    325,947,526       5,620,622       3,742,331       212,821       635,939       12,726,378       348,885,617  
Securities at amortized cost
    16,785,265       92,880       27,018                   181,111       17,086,274  
Financial assets at FVTPL
    6,150,464       1,330       1,188,358       195,048       61,315       683,912       8,280,427  
Financial assets at FVTOCI
    34,242,133       808,359       1,713,435       1,755       23,193       1,338,102       38,126,977  
Derivative assets (Designated for hedging)
    11,678             95,086                         106,764  
Off-balance
accounts
    123,375,839       1,001,430       375,929       31,116       32,402       2,585,555       127,402,271  
   
 
 
   
 
 
   
 
 
   
 
 
   
 
 
   
 
 
   
 
 
 
Total
    506,512,905       7,524,621         7,142,157       440,740       752,849       17,515,058       539,888,330  
   
 
 
   
 
 
   
 
 
   
 
 
   
 
 
   
 
 
   
 
 
 
 
(*)
Others consist of financial assets in Indonesia, Hong Kong, Germany, Australia, and other countries.
 
   
December 31, 2022
 
   
Korea
   
China
   
USA
   
UK
   
Japan
   
Others
(*)
   
Total
 
Loans and other financial assets at amortized cost
    331,572,328       5,188,826       4,721,440       215,174       719,301       13,343,660       355,760,729  
Securities at amortized cost
    26,883,967       642,089       421,248       16,658             304,554       28,268,516  
Financial assets at FVTPL
    9,272,673       2,607       2,210,580       318,322       168,013       1,440,246       13,412,441  
Financial assets at FVTOCI
    27,780,323       806,320       2,297,076       1,726       41,421       1,218,892       32,145,758  
Derivative assets (Designated for hedging)
    37,786                                     37,786  
Off-balance
accounts
    126,531,020       981,139       380,209       25,644       16,987       2,158,657       130,093,656  
   
 
 
   
 
 
   
 
 
   
 
 
   
 
 
   
 
 
   
 
 
 
Total
    522,078,097       7,620,981       10,030,553       577,524       945,722       18,466,009       559,718,886  
   
 
 
   
 
 
   
 
 
   
 
 
   
 
 
   
 
 
   
 
 
 
Credit risk exposure by industries
b) Credit risk exposure by industries
① The following tables analyze credit risk exposure by industries, which are service, manufacturing, finance and insurance, construction, individuals and others in accordance with the Korea Standard Industrial Classification Code as of December 31, 2021 and 2022 (Unit: Korean Won in millions):
 
   
December 31, 2021
 
   
Service
   
Manufacturing
   
Finance and
insurance
   
Construction
   
Individuals
   
Others
   
Total
 
Loans and other financial assets at amortized cost
    67,895,018       37,679,784       32,493,347       4,303,491       185,972,844       20,541,133       348,885,617  
Securities at amortized cost
    479,291             7,061,770       250,607             9,294,606       17,086,274  
Financial assets at FVTPL
    115,346       146,277       6,646,922       13,623       1,836       1,356,423       8,280,427  
Financial assets at FVTOCI
    376,998       258,866       29,444,989       131,967             7,914,157       38,126,977  
Derivative assets (Designated for hedging)
                79,369       27,395                   106,764  
Off-balance
accounts
    18,565,570       18,994,662       11,763,667       3,900,766       67,966,826       6,210,780       127,402,271  
   
 
 
   
 
 
   
 
 
   
 
 
   
 
 
   
 
 
   
 
 
 
Total
    87,432,223       57,079,589       87,490,064       8,627,849       253,941,506       45,317,099       539,888,330  
   
 
 
   
 
 
   
 
 
   
 
 
   
 
 
   
 
 
   
 
 
 
 
   
December 31, 2022
 
   
Service
   
Manufacturing
   
Finance and
insurance
   
Construction
   
Individuals
   
Others
   
Total
 
Loans and other financial assets at amortized cost
    78,173,716       37,013,486       31,485,795       5,613,480       183,167,572       20,306,680       355,760,729  
Securities at amortized cost
    239,141             16,198,175       199,924             11,631,276       28,268,516  
Financial assets at FVTPL
    200,678       184,019       9,776,234       51,244       1,167       3,199,099       13,412,441  
Financial assets at FVTOCI
    417,877       231,132       22,249,839       48,225             9,198,685       32,145,758  
Derivative assets (Designated for hedging)
                37,786                         37,786  
Off-balance
accounts
    18,661,383       22,492,863       10,523,731       3,143,673       69,404,456       5,867,550       130,093,656  
   
 
 
   
 
 
   
 
 
   
 
 
   
 
 
   
 
 
   
 
 
 
Total
    97,692,795       59,921,500       90,271,560       9,056,546       252,573,195       50,203,290       559,718,886  
   
 
 
   
 
 
   
 
 
   
 
 
   
 
 
   
 
 
   
 
 
 
Financial assets and corporate loans by industries that might get affected by the spread of covid 19
② The detailed industries of financial assets and corporate loans that might get affected by the spread of
COVID-19
as of December 31, 2021 and 2022 are as follow and the industries that can be affected may change by future economic conditions (Unit: Korean Won in millions):
< Woori Bank >
 
 
  
 
  
 
  
December 31, 2021
 
 
  
 
  
 
  
Loans and other
financial assets at
amortized cost
 
  
Financial assets
at FVTPL
 
  
Financial assets
at FVTOCI
 
Service business
  
Distribution business
  
General retail business
  
 
754,850
 
  
 
274
 
  
 
 
  
General wholesale business
  
 
809,893
 
  
 
221
 
  
 
 
  
  
Sub-total
  
 
1,564,743
 
  
 
495
 
  
 
 
  
Accommodation business
  
 
1,441,185
 
  
 
625
 
  
 
23,840
 
  
Travel business
  
 
53,302
 
  
 
 
  
 
 
  
Art/sports, leisure service
  
 
600,746
 
  
 
503
 
  
 
 
  
Food business
  
 
1,279,128
 
  
 
216
 
  
 
 
  
Transportation business
  
 
404,120
 
  
 
77
 
  
 
 
  
Others
  
 
1,050,229
 
  
 
599
 
  
 
 
  
Sub-total
  
 
6,393,453
 
  
 
2,515
 
  
 
23,840
 
Manufacturing
  
Textile
  
 
2,626,493
 
  
 
724
 
  
 
10,718
 
  
Metal
  
 
199,877
 
  
 
10
 
  
 
 
  
Non-metal
  
 
148,471
 
  
 
24
 
  
 
 
  
Chemical
  
 
904,563
 
  
 
1,994
 
  
 
 
  
Electronics
  
 
103,510
 
  
 
31
 
  
 
 
  
Others
  
 
191,865
 
  
 
 
  
 
 
  
Sub-total
  
 
4,174,779
 
  
 
2,783
 
  
 
10,718
 
  
  
  
 
 
 
  
 
 
 
  
 
 
 
Total
  
 
10,568,232
 
  
 
5,298
 
  
 
34,558
 
  
 
 
 
  
 
 
 
  
 
 
 
 
 
  
 
  
 
  
December 31, 2021
 
 
  
 
  
 
  
Off-balance accounts
 
  
Total
 
Service business
  
Distribution business
  
General retail business
  
 
299,064
 
  
 
1,054,188
 
  
General wholesale business
  
 
237,678
 
  
 
1,047,792
 
  
  
Sub-total
  
 
536,742
 
  
 
2,101,980
 
  
Accommodation business
  
 
181,563
 
  
 
1,647,213
 
  
Travel business
  
 
12,455
 
  
 
65,757
 
  
Art/sports, leisure service
  
 
63,660
 
  
 
664,909
 
  
Food business
  
 
179,799
 
  
 
1,459,143
 
  
Transportation business
  
 
167,883
 
  
 
572,080
 
  
Others
  
 
191,837
 
  
 
1,242,665
 
  
Sub-total
  
 
1,333,939
 
  
 
7,753,747
 
Manufacturing
  
Textile
  
 
1,012,989
 
  
 
3,650,924
 
  
Metal
  
 
9,704
 
  
 
209,591
 
  
Non-metal
  
 
48,171
 
  
 
196,666
 
  
Chemical
  
 
689,895
 
  
 
1,596,452
 
  
Electronics
  
 
33,389
 
  
 
136,930
 
  
Others
  
 
87,587
 
  
 
279,452
 
  
Sub-total
  
 
1,881,735
 
  
 
6,070,015
 
  
  
  
 
 
 
  
 
 
 
Total
  
 
3,215,674
 
  
 
13,823,762
 
  
 
 
 
  
 
 
 
 
 
  
 
  
 
  
December 31, 2022
 
 
  
 
  
 
  
Loans and other
financial assets at
amortized cost
 
  
Financial assets
at FVTPL
 
  
Financial assets
at FVTOCI
 
Service business
  
Distribution business
  
General retail business
     1,157,537        824        6,296  
  
General wholesale business
     1,801,361        1,659         
  
Sub-total
     2,958,898        2,483        6,296  
  
Accommodation business
     1,434,456        2,228        24,121  
  
Travel business
     48,655                
  
Art/sports, leisure service
     1,780,739        1,012         
  
Food business
     1,520,098        426         
  
Transportation business
     357,940        181         
  
Education Business
     425,779        169         
  
Others
     1,560,457        773         
 
 
Sub-total
     10,087,022        7,272        30,417
 
Manufacturing
  
Textile
     2,361,092        767        8,898  
  
Metal
     1,579,004        191         
  
Non-metal
     796,671        1,529        7,629  
  
Chemical
     3,649,189        158         
  
Electronics
     1,409,475        58         
  
Others
     3,280,434        1,287        11,452  
  
Sub-total
     13,075,865        3,990        27,979  
         
 
 
    
 
 
    
 
 
 
Total
     23,162,887               11,262        58,396  
    
 
 
    
 
 
    
 
 
 
 
 
  
 
  
 
  
December 31, 2022
 
 
  
 
  
 
  
Off-balance accounts
 
  
Total
 
Service business
  
Distribution business
  
General retail business
     496,830        1,661,487  
  
General wholesale business
     533,368        2,336,388  
  
Sub-total
     1,030,198        3,997,875  
  
Accommodation business
     161,573        1,622,378  
  
Travel business
     16,369        65,024  
  
Art/sports, leisure service
     104,065        1,885,816  
  
Food business
     179,977        1,700,501  
  
Transportation business
     248,801        606,922  
  
Education Business
     40,891        466,839  
  
Others
     301,343        1,862,573  
 
  
Sub-total
     2,083,217        12,207,928  
Manufacturing
  
Textile
     1,076,002        3,446,759  
  
Metal
     1,225,601        2,804,796  
  
Non-metal
     381,014        1,186,843  
  
Chemical
     3,627,183        7,276,530  
  
Electronics
     1,202,758        2,612,291  
  
Others
     2,530,964        5,824,137  
  
Sub-total
     10,043,522        23,151,356  
         
 
 
    
 
 
 
Total
       12,126,739        35,359,284  
    
 
 
    
 
 
 
 
< Woori Card Co., Ltd. >
 
    
December 31, 2021
 
    
Loans and other
financial assets at
amortized cost
    
Financial assets at
FVTPL
    
Financial assets at
FVTOCI
    
Off-balance

accounts
    
Total
 
Accommodation business
     2,341                      11,472        13,813  
Travel business
     3,334                      20,056        23,390  
Aviation
     983                      4,025        5,008  
Cosmetics industry
     3,187                      10,692        13,879  
Distribution business
     7,582                      38,741        46,323  
Food industry
     30,267                      122,793        153,060  
Art/sports, leisure service
     8,336                      44,286        52,622  
    
 
 
    
 
 
    
 
 
    
 
 
    
 
 
 
Total
     56,030                      252,065        308,095  
    
 
 
    
 
 
    
 
 
    
 
 
    
 
 
 
 
    
December 31, 2022
 
    
Loans and other
financial assets at
amortized cost
    
Financial assets at
FVTPL
    
Financial assets at
FVTOCI
    
Off-balance

accounts
    
Total
 
Accommodation business
     5,562                      9,762        15,324  
Travel business
     7,927                      15,182        23,109  
Aviation
     1,072                      3,760        4,832  
Cosmetics industry
     11,364                      9,766        21,130  
Distribution business
     30,904                      36,190        67,094  
Food industry
     134,006                      115,695        249,701  
Art/sports, leisure service
     24,614                      41,003        65,617  
    
 
 
    
 
 
    
 
 
    
 
 
    
 
 
 
Total
     215,449                      231,358        446,807  
    
 
 
    
 
 
    
 
 
    
 
 
    
 
 
 
 
<Woori Financial Capital Co., Ltd.>
 
              
December 31, 2021
 
              
Loans and other
financial assets at
amortized cost
    
Financial assets
at FVTPL
    
Financial assets
at FVTOCI
 
Service business
   Distribution business    General retail business      77,841                
        General wholesale business      292,832                
       
Sub-total
     370,673                
   Accommodation business      7,338                
   Travel business      57                
   Art/sports, leisure service      8,544                
   Food business      125,075                
   Transportation business      598,972                
   Education business      22,118                
   Others      102,787                
    
Sub-total
     1,235,564                
Manufacturing
   Textile      727                
   Metal      2,824                
  
Non-metal
     698                
   Chemical      172                
   Transportation      438                
   Electronics      3,993                
   Cosmetics      685                
     Others      108,540                
    
Sub-total
     118,077                
Total
COVID-19
vulnerable business
     1,353,641                
Other business
   Others      6,489,394        28,222         
         
 
 
    
 
 
    
 
 
 
Total
     7,843,035        28,222         
    
 
 
    
 
 
    
 
 
 
 
              
December 31, 2021
 
              
Off-balance
accounts
    
Total
 
Service business
   Distribution business    General retail business             77,841  
   General wholesale business             292,832  
  
Sub-total
            370,673  
   Accommodation business             7,338  
   Travel business             57  
   Art/sports, leisure service             8,544  
   Food business             125,075  
   Transportation business             598,972  
   Education business             22,118  
   Others      140,549        243,336  
  
Sub-total
     140,549        1,376,113  
Manufacturing
   Textile             727  
   Metal             2,824  
  
Non-metal
            698  
   Chemical             172  
   Transportation             438  
   Electronics             3,993  
   Cosmetics             685  
   Others      13,432        121,972  
    
Sub-total
     13,432        131,509  
Total
COVID-19
vulnerable business
     153,981        1,507,622  
Other business
   Others      812,597        7,330,213  
         
 
 
    
 
 
 
Total
     966,578        8,837,835  
    
 
 
    
 
 
 
 
              
December 31, 2022
 
              
Loans and other
financial assets at
amortized cost
    
Financial assets
at FVTPL
    
Financial assets
at FVTOCI
 
Service business
   Distribution business    General retail business      363,655                
   General wholesale business      266,515                
  
Sub-total
     630,170                
   Accommodation business      40,237                
   Travel business      5,880                
   Art/sports, leisure service      66,388                
   Food business      228,254                
   Transportation business      367,311                
   Education business      52,652                
   Others      1,997,073                
  
Sub-total
     3,387,965                
Manufacturing
   Textile      15,204                
   Metal      25,274                
  
Non-metal
     4,067                
   Chemical      14,071                
   Transportation      2,867                
   Electronics      28,202                
   Cosmetics      1,192                
   Others      235,972                
  
Sub-total
     326,849                
Total
COVID-19
vulnerable business
     3,714,814                
Other business
   Others      5,337,618        21,652         
         
 
 
    
 
 
    
 
 
 
Total
     9,052,432        21,652         
    
 
 
    
 
 
    
 
 
 
 
              
December 31, 2022
 
              
Off-balance
accounts
    
Total
 
Service business
   Distribution business    General retail business             363,655  
   General wholesale business             266,515  
  
Sub-total
            630,170  
   Accommodation business             40,237  
   Travel business             5,880  
   Art/sports, leisure service             66,388  
   Food business             228,254  
   Transportation business             367,311  
   Education business             52,652  
   Others      206,191        2,203,264  
  
Sub-total
     206,191        3,594,156  
Manufacturing
   Textile             15,204  
   Metal             25,274  
  
Non-metal
            4,067  
   Chemical             14,071  
   Transportation             2,867  
   Electronics             28,202  
   Cosmetics             1,192  
   Others      19,892        255,864  
  
Sub-total
     19,892        346,741  
Total
COVID-19
vulnerable business
     226,083        3,940,897  
Other business
   Others      347,025        5,706,295  
         
 
 
    
 
 
 
Total
     573,108        9,647,192  
    
 
 
    
 
 
 
 
< Woori Investment Bank Co., Ltd. >
 
    
December 31, 2021
 
    
Loans and other
financial assets at
amortized cost
    
Financial assets at
FVTPL
    
Financial assets at
FVTOCI
    
Off-balance

accounts
    
Total
 
Accommodation business
     57,142               —                      57,142  
Distribution business
     12,885                             12,885  
Art/sports, leisure service
     31,772                             31,772  
Total
     101,799                             101,799  
 
    
December 31, 2022
 
    
Loans and other
financial assets at
amortized cost
    
Financial assets at
FVTPL
    
Financial assets at
FVTOCI
    
Off-balance

accounts
    
Total
 
Accommodation business
     19,323                             19,323  
Distribution business
     10,084        19,774                      29,858  
Art/sports, leisure service
     59,160                             59,160  
Total
       88,567        19,774                      108,341  
The maximum exposure to credit risk of financial assets, except for financial assets at FVTPL and derivative asset
The maximum exposure to credit risk by asset quality, except for financial assets at FVTPL and derivative asset (designated for hedging) as of December 31, 2021 and 2022 is as follows (Unit: Korean Won in millions):
 
   
December 31, 2021
 
 
Stage 1
   
Stage 2
   
Stage 3
   
Total
   
Loss
allowance
   
Total, net
 
 
Above
appropriate
credit
rating
(*1)
   
Less than a
limited credit
rating
(*2)
   
Above
appropriate
credit
rating
(*1)
   
Less than a
limited credit
rating
(*2)
 
Loans and other financial assets at amortized cost
    303,317,270       22,734,430       13,270,491       10,190,307       1,332,644       350,845,142       (1,959,525     348,885,617  
Korean treasury and government agencies
    2,211,798       9       9                   2,211,816       (3,923     2,207,893  
Banks
    23,865,911       492,447       46,373             23,509       24,428,240       (15,555     24,412,685  
Corporates
    108,917,062       15,952,017       2,698,907       3,963,782       658,923       132,190,691       (1,163,435     131,027,256  
General business
    68,767,641       9,010,115       1,886,740       2,597,136       438,537       82,700,169       (785,908     81,914,261  
Small- and
medium-sized
enterprise
    33,306,787       6,459,338       790,750       1,353,313       156,440       42,066,628       (322,635     41,743,993  
Project financing and others
    6,842,634       482,564       21,417       13,333       63,946       7,423,894       (54,892     7,369,002  
Consumers
    168,322,499       6,289,957       10,525,202       6,226,525       650,212       192,014,395       (776,612     191,237,783  
Securities at amortized cost
    17,091,509                               17,091,509       (5,235     17,086,274  
Financial assets at FVTOCI
(*3)
    37,917,922       209,055                         38,126,977       (12,146     38,126,977  
   
 
 
   
 
 
   
 
 
   
 
 
   
 
 
   
 
 
   
 
 
   
 
 
 
Total
    358,326,701       22,943,485       13,270,491       10,190,307       1,332,644       406,063,628       (1,976,906     404,098,868  
   
 
 
   
 
 
   
 
 
   
 
 
   
 
 
   
 
 
   
 
 
   
 
 
 
 
    
December 31, 2021
 
    
Collateral value
 
    
Stage1
    
Stage2
    
Stage3
    
Total
 
Loans and other financial assets at amortized cost
     208,188,057        18,098,940        643,183        226,930,180  
Korean treasury and government agencies
     20,679                      20,679  
Banks
     1,287,055                      1,287,055  
Corporates
     74,403,502        4,796,510        351,837        79,551,849  
General business
     40,288,663        3,120,790        220,792        43,630,245  
Small- and
medium-sized
enterprise
     30,852,567        1,675,720        80,830        32,609,117  
Project financing and others
     3,262,272               50,215        3,312,487  
Consumers
     132,476,821        13,302,430        291,346        146,070,597  
Securities at amortized cost
                           
Financial assets at FVTOCI
(*3)
                           
    
 
 
    
 
 
    
 
 
    
 
 
 
Total
     208,188,057        18,098,940        643,183        226,930,180  
    
 
 
    
 
 
    
 
 
    
 
 
 
 
(*1)
Credit grade of corporates are AAA ~ BBB, and consumers are grades 1 ~ 6.
(*2)
Credit grade of corporates are
BBB-
~ C, and consumers are grades 7 ~ 10.
(*3)
Financial assets at FVTOCI has been disclosed as the amount before deducting loss allowance because loss allowance does not reduce the carrying amount.
 
   
December 31, 2022
 
   
Stage 1
   
Stage 2
                               
   
Above

appropriate

credit

rating
(*1)
   
Less than a

limited credit

rating
(*2)
   
Above

appropriate

credit

rating
(*1)
   
Less than a

limited credit

rating
(*2)
   
Stage 3
   
Credit

impairment

model
   
Total
   
Loss

allowance
   
Total, net
 
Loans and other financial assets at amortized cost
    308,498,799       23,391,187       13,061,081       11,533,632       1,447,967       313,717       358,246,383       (2,485,654     355,760,729  
Korean treasury and government agencies
    2,879,057       39                               2,879,096       (1,411     2,877,685  
Banks
    21,182,445       393,181       2,125             18,053             21,595,804       (24,707     21,571,097  
Corporates
    120,407,588       16,680,863       2,556,885       4,429,148       637,187       313,717       145,025,388       (1,517,536     143,507,852  
General business
    74,939,770       9,291,691       1,754,620       3,083,232       421,659             89,490,972       (1,016,039     88,474,933  
Small- and
medium-sized
enterprise
    34,965,279       6,751,297       754,668       1,257,741       173,818             43,902,803       (400,328     43,502,475  
Project financing and others
    10,502,539       637,875       47,597       88,175       41,710       313,717       11,631,613       (101,169     11,530,444  
Consumers
    164,029,709       6,317,104       10,502,071       7,104,484       792,727             188,746,095       (942,000     187,804,095  
Securities at amortized cost
    28,276,901                                     28,276,901       (8,385     28,268,516  
Financial assets at FVTOCI
(*3)
    31,914,193       231,565                               32,145,758       (11,805     32,145,758  
   
 
 
   
 
 
   
 
 
   
 
 
   
 
 
   
 
 
   
 
 
   
 
 
   
 
 
 
Total
    368,689,893       23,622,752       13,061,081       11,533,632       1,447,967       313,717       418,669,042       (2,505,844     416,175,003  
   
 
 
   
 
 
   
 
 
   
 
 
   
 
 
   
 
 
   
 
 
   
 
 
   
 
 
 
 
    
December 31, 2022
 
    
Collateral value
 
    
Stage1
    
Stage2
    
Stage3
    
Credit

impairment

model
    
Total
 
Loans and other financial assets at amortized cost
     213,228,740        19,354,919        607,614        313,717        233,504,990  
Korean treasury and government agencies
     24,276                             24,276  
Banks
     1,858,595                             1,858,595  
Corporates
     82,314,488        4,982,087        316,085        313,717        87,926,377  
General business
     44,465,799        3,390,139        194,597               48,050,535  
Small- and
medium-sized
enterprise
     32,503,289        1,537,173        84,798               34,125,260  
Project financing and others
     5,345,400        54,775        36,690        313,717        5,750,582  
Consumers
     129,031,381        14,372,832        291,528               143,695,742  
Securities at amortized cost
                                  
Financial assets at FVTOCI
(*3)
                                  
    
 
 
    
 
 
    
 
 
    
 
 
    
 
 
 
Total
     213,228,740        19,354,919        607,614        313,717        233,504,990  
    
 
 
    
 
 
    
 
 
    
 
 
    
 
 
 
 
(*1)
Credit grade of corporates are AAA ~ BBB, and consumers are grades 1 ~ 6.
(*2)
Credit grade of corporates are
BBB-
~ C, and consumers are grades 7 ~ 10.
(*3)
Financial assets at FVTOCI has been disclosed as the amount before deducting loss allowance because loss allowance does not reduce the carrying amount.
Credit quality of the payment guarantees and loan commitments
The credit quality of the payment guarantees and loan commitments as of December 31, 2021 and 2022 are as follows (Unit: Korean Won in millions):
 
    
December 31, 2021
 
Financial assets
  
Stage 1
    
Stage 2
    
Stage3
    
Total
 
  
Above

appropriate

credit rating
(*1)
    
Less than a

limited credit

rating
(*2)
    
Above

appropriate

credit rating
(*1)
    
Less than a

limited credit

rating
(*2)
 
Off-balance
accounts:
                                                     
Payment Guarantees
     11,560,908        1,037,142        47,549        275,166        67,044        12,987,809  
Loan Commitments
     107,916,434        3,591,413        2,072,348        832,173        2,094        114,414,462  
    
 
 
    
 
 
    
 
 
    
 
 
    
 
 
    
 
 
 
Total
     119,477,342        4,628,555        2,119,897        1,107,339        69,138        127,402,271  
    
 
 
    
 
 
    
 
 
    
 
 
    
 
 
    
 
 
 
 
(*1)
Credit grade of corporates are AAA ~ BBB, and consumers are grades 1 ~ 6.
(*2)
Credit grade of corporate are
BBB-
~ C, and consumers are grades 7 ~ 10.
 
    
December 31, 2022
 
Financial assets
  
Stage 1
    
Stage 2
    
Stage3
    
Total
 
  
Above

appropriate

credit rating
(*1)
    
Less than a

limited credit

rating
(*2)
    
Above

appropriate

credit rating
(*1)
    
Less than a

limited credit

rating
(*2)
 
Off-balance
accounts:
                                                     
Payment Guarantees
     10,790,470        846,997        25,826        245,061        13,232        11,921,586  
Loan Commitments
     113,169,542        2,610,173        1,638,982        753,139        234        118,172,070  
    
 
 
    
 
 
    
 
 
    
 
 
    
 
 
    
 
 
 
Total
     123,960,012        3,457,170        1,664,808           998,200        13,466        130,093,656  
    
 
 
    
 
 
    
 
 
    
 
 
    
 
 
    
 
 
 
 
(*1)
Credit grade of corporates are AAA ~ BBB, and consumers are grades 1 ~ 6.
(*2)
Credit grade of corporate are
BBB-
~ C, and consumers are grades 7 ~ 10.
Value at risk analysis for trading activities
The minimum, maximum and average VaR of the Bank for the year December 31,
2021
and 2022, and the VaR of the Bank as of December 31, 2021 and 2022 are as follows (Unit: Korean Won in millions):
 
   
December 31,

2021
   
For the year ended

December 31, 2021
   
December 31,

2022
   
For the year ended

December 31, 2022
 
Risk factor
 
Average
   
Maximum
   
Minimum
   
Average
   
Maximum
   
Minimum
 
Interest rate
    4,177       4,681       14,017       2,405       11,800       8,847       11,987       4,298  
Stock price
    2,972       3,637       6,676       1,609       7,055       6,590       12,448       1,806  
Foreign currencies
    5,904       6,745       13,144       4,747       17,608       14,002       22,251       5,421  
Diversification
    (6,072     (7,300     (20,006     (3,627     (17,354     (12,725     (19,640     (4,201
   
 
 
   
 
 
   
 
 
   
 
 
   
 
 
   
 
 
   
 
 
   
 
 
 
Total VaR
(*)
    6,981       7,763       13,831       5,134       19,109       16,714       27,046       7,324  
   
 
 
   
 
 
   
 
 
   
 
 
   
 
 
   
 
 
   
 
 
   
 
 
 
 
(*)
VaR (Value at Risk): Retention period of 1 day, Maximum expected losses under 99% level of confidence.
Economic value of equity and net interest income for assets and liabilities based on interest rate risk in banking book
ΔEVE and ΔNII calculated on interest risk in banking book(IRRBB) basis for assets and liabilities by subsidiary as of December 31, 2021 and 2022 are as follows(Unit: Korean Won in millions):
 
    
December 31, 2021
    
December 31, 2022
 
     Δ
EVE
(*1)
     Δ
NII
(*2)
     Δ
EVE
(*1)
     Δ
NII
(*2)
 
Woori Bank
     920,290        195,186        411,447        448,509  
Woori Card Co., Ltd.
     126,576        59,114        139,005        185,637  
Woori Financial Capital Co., Ltd.
     58,794        1,384        43,098        13,814  
Woori Investment Bank Co., Ltd.
     17,607        5,556        26,311        8,229  
Woori Asset Trust Co., Ltd.
     820        1,709        1,137        6,736  
Woori Asset Management Corp.
     1,411        504        913        1,299  
Woori Savings Bank
     15,175        949        6,618        10,348  
Woori Private Equity Asset Management Co., Ltd.
     32        59        547        886  
Woori Global Asset Management Co., Ltd.
     246        143        251        538  
Woori Financial F&I Co., Ltd.
                   26,069        219  
 
(*1)
ΔEVE: change in Economic Value of Equity
(*2)
ΔNII: change in Net Interest Income
Cash flows of principal amounts and interests from interest bearing assets and liabilities by each re-pricing date
At the interest rate
re-pricing
date, cash flows (both principal and interest) of interest bearing assets and liabilities, which is the basis of
non-trading
position interest rate risk management are as follows: (Unit: Korean Won in millions):
 
   
December 31, 2021
 
   
Within 3

months
   
4 to 6

months
   
7 to 9

months
   
10 to 12

months
   
1 to 5

years
   
Over 5

years
   
Total
 
Asset:
                                                       
Loans and other financial assets at amortized cost
    205,915,030       58,661,091       14,461,769       12,840,318       62,337,321       5,204,605       359,420,134  
Financial assets at FVTPL
    1,725,063       52,361       49,843       17,817       223,107       13,501       2,081,692  
Financial assets at FVTOCI
    5,489,649       4,741,319       3,915,011       4,139,102       19,962,071       634,111       38,881,263  
Securities at amortized cost
    1,297,865       847,134       813,405       949,475       11,990,559       2,116,986       18,015,424  
   
 
 
   
 
 
   
 
 
   
 
 
   
 
 
   
 
 
   
 
 
 
Total
    214,427,607       64,301,905       19,240,028       17,946,712       94,513,058       7,969,203       418,398,513  
   
 
 
   
 
 
   
 
 
   
 
 
   
 
 
   
 
 
   
 
 
 
Liability:
                                                       
Deposits due to customers
    145,744,829       47,792,440       33,334,918       28,615,157       62,635,705       59,155       318,182,204  
Borrowings
    11,422,868       4,168,941       1,788,597       1,540,533       5,119,291       428,660       24,468,890  
Debentures
    8,325,421       3,035,764       3,203,743       3,174,902       25,036,943       3,342,284       46,119,057  
   
 
 
   
 
 
   
 
 
   
 
 
   
 
 
   
 
 
   
 
 
 
Total
    165,493,118       54,997,145       38,327,258       33,330,592       92,791,939       3,830,099       388,770,151  
   
 
 
   
 
 
   
 
 
   
 
 
   
 
 
   
 
 
   
 
 
 
 
   
December 31, 2022
 
   
Within 3
months
   
4 to 6

months
   
7 to 9

months
   
10 to 12
months
   
1 to 5

years
   
Over 5
years
   
Total
 
Asset:
                                                       
Loans and other financial assets at amortized cost
    224,863,400       56,669,335       15,469,920       15,108,779       59,454,649       5,963,926       377,530,009  
Financial assets at FVTPL
    1,888,996       119,725       1,364       4,670       71,620       13,129       2,099,504  
Financial assets at FVTOCI
    6,093,805       4,224,460       3,014,625       3,550,982       15,409,527       584,203       32,877,602  
Securities at amortized cost
    2,749,432       1,806,804       1,768,936       1,427,736       20,126,354       2,100,203       29,979,465  
   
 
 
   
 
 
   
 
 
   
 
 
   
 
 
   
 
 
   
 
 
 
Total
    235,595,633       62,820,324       20,254,845       20,092,167       95,062,150       8,661,461       442,486,580  
   
 
 
   
 
 
   
 
 
   
 
 
   
 
 
   
 
 
   
 
 
 
Liability:
                                                       
Deposits due to customers
    167,237,029       49,107,093       33,506,265       40,006,233       55,855,781       69,861       345,782,262  
Borrowings
    14,829,024       4,159,096       1,542,340       1,183,331       6,654,602       472,325       28,840,718  
Debentures
    9,068,737       4,905,727       4,633,137       4,962,350       19,621,659       3,298,581       46,490,191  
   
 
 
   
 
 
   
 
 
   
 
 
   
 
 
   
 
 
   
 
 
 
Total
    191,134,790       58,171,916       39,681,742       46,151,914       82,132,042       3,840,767       421,113,171  
   
 
 
   
 
 
   
 
 
   
 
 
   
 
 
   
 
 
   
 
 
 
Foreign currency risk exposure of financial instruments in foreign currency
Financial instruments in foreign currencies exposed to currency risk as of December 31, 2021 and 2022 are as follows (Unit: USD in millions, JPY in millions, CNY in millions, EUR in millions, and Korean Won in millions):
 
   
December 31, 2021
 
   
USD
   
JPY
   
CNY
   
EUR
   
Others
   
Total
 
 
Foreign

currency
   
Korean

Won

equivalent
   
Foreign

currency
   
Korean

Won

equivalent
   
Foreign

currency
   
Korean

Won

equivalent
   
Foreign

currency
   
Korean

Won

equivalent
   
Korean

Won

equivalent
   
Korean

Won

equivalent
 
Asset
                                                                               
Cash and cash equivalents
    3,176       3,765,800       32,829       338,222       1,236       230,188       94       125,513       971,774       5,431,497  
Loans and other financial assets at amortized cost
    28,771       34,107,769       147,981       1,504,891       23,733       4,420,551       2,329       3,126,363       5,604,781       48,764,355  
Financial assets at FVTPL
    468       556,296       14,618       150,596                   327       438,662       71,369       1,216,923  
Financial assets at FVTOCI
    3,195       3,787,466                   3,899       726,310       33       44,638       741,348       5,299,762  
Securities at amortized cost
    240       283,935                   499       92,917       29       39,142       138,422       554,416  
   
 
 
   
 
 
   
 
 
   
 
 
   
 
 
   
 
 
   
 
 
   
 
 
   
 
 
   
 
 
 
Total
    35,850       42,501,266       195,428       1,993,709       29,367       5,469,966       2,812       3,774,318       7,527,694       61,266,953  
   
 
 
   
 
 
   
 
 
   
 
 
   
 
 
   
 
 
   
 
 
   
 
 
   
 
 
   
 
 
 
Liability
 
Financial liabilities at FVTPL
    274       324,420       16,384       168,798                   239       321,354       203,523       1,018,095  
Deposits due to customers
    19,803       23,476,384       219,514       2,261,520       26,342       4,906,441       1,640       2,201,233       4,798,322       37,643,900  
Borrowings
    5,766       6,835,191       31,601       325,745                   349       469,124       1,395,597       9,025,657  
Debentures
    3,566       4,228,055                                           341,621       4,569,676  
Other financial liabilities
    2,739       3,247,454       10,673       109,958       2,658       495,125       335       449,897       211,392       4,513,826  
   
 
 
   
 
 
   
 
 
   
 
 
   
 
 
   
 
 
   
 
 
   
 
 
   
 
 
   
 
 
 
Total
    32,148       38,111,504       278,172       2,866,021       29,000       5,401,566       2,563       3,441,608       6,950,455       56,771,154  
   
 
 
   
 
 
   
 
 
   
 
 
   
 
 
   
 
 
   
 
 
   
 
 
   
 
 
   
 
 
 
Off-balance
accounts
    8,047       9,540,185       32,777       337,685       2,533       471,852       598       803,357       1,250,186       12,403,265  
   
 
 
   
 
 
   
 
 
   
 
 
   
 
 
   
 
 
   
 
 
   
 
 
   
 
 
   
 
 
 
 
   
December 31, 2022
 
   
USD
   
JPY
   
CNY
   
EUR
   
Others
   
Total
 
 
Foreign

currency
   
Korean

Won

equivalent
   
Foreign

currency
   
Korean

Won

equivalent
   
Foreign

currency
   
Korean

Won

equivalent
   
Foreign

currency
   
Korean

Won

equivalent
   
Korean

Won

equivalent
   
Korean

Won

equivalent
 
Asset
                                                                               
Cash and cash equivalents
    9,041       11,457,194       64,824       617,888       1,542       279,779       484       653,870       1,022,909       14,031,640  
Loans and other financial assets at amortized cost
    24,361       30,872,442       116,298       1,108,529       24,637       4,470,059       2,510       3,391,155       4,952,002       44,794,187  
Financial assets at FVTPL
    970       1,229,059       25,416       242,260                   358       484,172       176,057       2,131,548  
Financial assets at FVTOCI
    3,307       4,191,383                   3,999       725,511       2       2,573       725,271       5,644,738  
Securities at amortized cost
    576       729,811                   3,540       642,214       69       93,250       206,497       1,671,772  
   
 
 
   
 
 
   
 
 
   
 
 
   
 
 
   
 
 
   
 
 
   
 
 
   
 
 
   
 
 
 
Total
    38,255       48,479,889       206,538       1,968,677       33,718       6,117,563       3,423       4,625,020       7,082,736       68,273,885  
   
 
 
   
 
 
   
 
 
   
 
 
   
 
 
   
 
 
   
 
 
   
 
 
   
 
 
   
 
 
 
Liability
 
Financial liabilities at FVTPL
    415       526,553       26,766       255,128                   322       434,590       274,895       1,491,166  
Deposits due to customers
    24,569       31,135,881       227,260       2,166,196       28,125       5,102,886       2,108       2,847,863       5,008,487       46,261,313  
Borrowings
    6,894       8,737,229       44,365       422,876       1,023       185,652       431       582,034       2,179,085       12,106,876  
Debentures
    4,174       5,289,246                               195       263,187       339,188       5,891,621  
Other financial liabilities
    3,040       3,852,255       8,685       82,783       4,295       779,233       380       513,285       200,249       5,427,805  
   
 
 
   
 
 
   
 
 
   
 
 
   
 
 
   
 
 
   
 
 
   
 
 
   
 
 
   
 
 
 
Total
    39,092       49,541,164       307,076       2,926,983       33,443       6,067,771       3,436       4,640,959       8,001,904       71,178,781  
   
 
 
   
 
 
   
 
 
   
 
 
   
 
 
   
 
 
   
 
 
   
 
 
   
 
 
   
 
 
 
Off-balance
accounts
    6,698       8,488,374       34,512       328,964       1,141       207,012       787       1,063,680       868,470       10,956,500  
   
 
 
   
 
 
   
 
 
   
 
 
   
 
 
   
 
 
   
 
 
   
 
 
   
 
 
   
 
 
 
Conversion to the libor-related interest rates benchmark
The details of Woori Bank’s financial instruments that have not completed the conversion to the LIBOR-related interest rates benchmark at the end of the year are as follows:
Non-derivative
financial instrument is presented at the carrying amount, while the derivative financial instrument is presented at the nominal
amount
.
 
         
December 31.2022
 
         
USD
(*1)
 
         
Total

Amount
(*2)
    
Interest Rate

Provision
 
Non-derivative
financial assets
   Financial assets at FVTOCI      514,935        355,247  
     Financial assets at amortized cost      4,214,876        3,237,567  
         
 
 
    
 
 
 
     Total      4,729,811        3,592,814  
         
 
 
    
 
 
 
Non-derivative
financial liabilities
   Financial liabilities at amortized cost      89,326        89,326  
         
 
 
    
 
 
 
Derivatives
   Interest rate(trading)      26,210,037        26,208,438  
     Currency(trading)      33,886,969        33,598,769  
     Interest rate(hedging)      2,344,505        2,344,505  
         
 
 
    
 
 
 
     Total      62,441,511        62,151,712  
         
 
 
    
 
 
 
 
(*1)
Financial instruments related to USD Libor (overnight rate, 1, 3, 6, 12 month rates) that are expired before June 30, 2023 are excluded.
(*2)
For contracts that do not have an interest rate alternative clause, The Group is in the process of negotiating to add an interest rate alternative clause.
Cash flows of principals and interests of non-derivative financial liabilities by remaining contractual maturities
a)
Cash flows of principals and interests by remaining contractual maturities of
non-derivative
financial liabilities as of December 31, 2021 and 2022 are as follows (Unit: Korean Won in millions):
 
   
December 31, 2021
 
   
Within 3
months
   
4 to 6

months
   
7 to 9

months
   
10 to 12
months
   
1 to 5

years
   
Over

5 years
   
Total
 
Financial liabilities at FVTPL
    100,976       10,397       91,785       107,230                   310,388  
Deposits due to customers
    224,881,863       32,559,199       20,290,566       31,768,748       9,213,279       1,615,198       320,328,853  
Borrowings
    9,477,536       4,366,223       2,415,548       2,494,732       5,800,815       440,506       24,995,360  
Debentures
    3,068,600       4,201,926       5,316,672       5,371,869       24,982,746       3,342,284       46,284,097  
Lease liabilities
    41,731       53,245       30,148       25,494       156,228       38,275       345,121  
Other financial liabilities
    17,614,313       290,584       12,190       11,894       610,514       1,999,198       20,538,693  
   
 
 
   
 
 
   
 
 
   
 
 
   
 
 
   
 
 
   
 
 
 
Total
    255,185,019       41,481,574       28,156,909       39,779,967       40,763,582       7,435,461       412,802,512  
   
 
 
   
 
 
   
 
 
   
 
 
   
 
 
   
 
 
   
 
 
 
 
   
December 31, 2022
 
   
Within 3
months
   
4 to 6

months
   
7 to 9

months
   
10 to 12
months
   
1 to 5

years
   
Over

5 years
   
Total
 
Financial liabilities at FVTPL
    35,161                               12,113       47,274  
Deposits due to customers
    228,890,427       36,851,103       24,091,740       42,652,679       14,999,516       1,522,830       349,008,295  
Borrowings
    8,969,648       5,734,715       3,210,812       3,156,211       7,457,240       484,909       29,013,535  
Debentures
    6,348,064       6,841,379       5,211,032       5,214,942       19,621,659       3,298,581       46,535,657  
Lease liabilities
    68,279       36,724       35,136       29,646       151,379       33,007       354,171  
Other financial liabilities
    14,409,376       113,049       19,370       20,315       765,870       3,037,563       18,365,543  
   
 
 
   
 
 
   
 
 
   
 
 
   
 
 
   
 
 
   
 
 
 
Total
    258,720,955       49,576,970       32,568,090       51,073,793       42,995,664       8,389,003       443,324,475  
   
 
 
   
 
 
   
 
 
   
 
 
   
 
 
   
 
 
   
 
 
 
Cash flows from principals and interests of non-derivative financial liabilities by expected maturities
b)
Cash flows of principals and interests by expected maturities of
non-derivative
financial liabilities as of December 31, 2021 and 2022 are as follows (Unit: Korean Won in millions):
 
   
December 31, 2021
 
   
Within 3
months
   
4 to 6

months
   
7 to 9

months
   
10 to 12
months
   
1 to 5

years
   
Over 5
years
   
Total
 
Financial liabilities at FVTPL
    100,976       10,397       91,785       107,230                   310,388  
Deposits due to customers
    230,823,884       33,705,990       20,107,790       27,331,774       7,871,688       89,643       319,930,769  
Borrowings
    9,477,536       4,366,223       2,415,548       2,494,732       5,800,815       440,506       24,995,360  
Debentures
    3,068,600       4,201,926       5,316,672       5,371,869       24,982,746       3,342,284       46,284,097  
Lease liabilities
    41,716       53,260       30,216       25,653       162,092       41,814       354,751  
Other financial liabilities
    17,614,313       290,584       12,190       11,894       610,514       1,999,198       20,538,693  
   
 
 
   
 
 
   
 
 
   
 
 
   
 
 
   
 
 
   
 
 
 
Total
    261,127,025       42,628,380       27,974,201       35,343,152       39,427,855       5,913,445       412,414,058  
   
 
 
   
 
 
   
 
 
   
 
 
   
 
 
   
 
 
   
 
 
 
 
   
December 31, 2022
 
   
Within 3
months
   
4 to 6

months
   
7 to 9

months
   
10 to 12
months
   
1 to 5

years
   
Over 5

years
   
Total
 
Financial liabilities at FVTPL
    35,161                               12,113       47,274  
Deposits due to customers
    242,132,680       41,113,768       24,269,363       29,670,943       10,490,993       56,013       347,733,760  
Borrowings
    8,969,648       5,734,715       3,210,812       3,156,211       7,457,240       484,909       29,013,535  
Debentures
    6,348,064       6,841,379       5,211,032       5,214,942       19,621,659       3,298,581       46,535,657  
Lease liabilities
    68,344       36,729       35,377       29,948       157,361       38,584       366,343  
Other financial liabilities
    14,409,376       113,049       19,370       20,315       765,870       3,037,563       18,365,543  
   
 
 
   
 
 
   
 
 
   
 
 
   
 
 
   
 
 
   
 
 
 
Total
    271,963,273       53,839,640       32,745,954       38,092,359       38,493,123       6,927,763       442,062,112  
   
 
 
   
 
 
   
 
 
   
 
 
   
 
 
   
 
 
   
 
 
 
Cash flow of derivative financial liabilities by maturities
The cash flow by the maturity of derivative financial liabilities as of December 31, 2021 and 2022 is as follows (Unit: Korean Won in millions):
 
        
Remaining maturity
 
        
Within 3
months
   
4 to 6

months
   
7 to 9

months
   
10 to 12
months
   
1 to 5

years
   
Over 5
years
   
Total
 
December 31, 2021
  Cash flow risk hedge      246       (206     (502     (717     (2,744     (4,053     (7,976
  Fair value risk hedge      (1,656     598       (940     1,392       21,552             20,946  
    Trading purpose      4,566,443                                     4,566,443  
December 31, 2022
  Cash flow risk hedge      856       905       915       1,255       50,682             54,613  
  Fair value risk hedge      25,048       16,175       31,974       18,540       118,027       (3,615     206,149  
    Trading purpose      8,905,125                                     8,905,125  
Maturity analysis of off-balance accounts
4) Maturity analysis of
off-balance
accounts (Payment guarantees, commitments, and etcs)
A payment guarantee represents an irrevocable undertaking that the Group should meet a customer’s obligations to third parties if the customer fails to do so. The loan commitment represents the limit if the Group has promised a credit to the customer. Loan commitments include commercial standby facilities and credit lines, liquidity facilities to commercial paper conduits and utilized overdraft facilities. The maximum limit to be paid by the Group in accordance with guarantees and loan commitment only applies to principal amounts. There are contractual maturities for payment guarantees, such as financial guarantees for debentures issued or loans, unused loan commitments, and other credits, however, under the terms of the guarantees and unused loan commitments, funds should be paid upon demand from the counterparty. Details of
off-balance
accounts as of December 31, 2021 and 2022 are as follows (Unit: Korean Won in millions):
 
    
December 31, 2021
    
December 31, 2022
 
Payment guarantees
     12,987,809        11,921,586  
Loan commitments
     114,414,462        118,172,070  
Other commitments
     3,427,331        4,602,429  
Capital adequacy ratio
Details of the Group’s capital adequacy ratio as of December 31, 2021 and 2022 are as follows (Unit: Korean Won in millions):
 
Details
  
December 31, 2021
   
December 31, 2022
 
Tier 1 capital
     21,994,047       23,757,296  
Other Tier 1 capital
     3,590,212       4,208,994  
Tier 2 capital
     3,395,989       3,437,735  
    
 
 
   
 
 
 
Total risk-adjusted capital
     28,980,248       31,404,025  
    
 
 
   
 
 
 
Risk-weighted assets for credit risk
     171,199,840       182,028,062  
Risk-weighted assets for market risk
     6,388,428       6,759,527  
Risk-weighted assets for operational risk
     14,914,801       16,519,885  
    
 
 
   
 
 
 
Total risk-weighted assets
     192,503,069       205,307,474  
    
 
 
   
 
 
 
Common Equity Tier 1 ratio
     11.43     11.57
    
 
 
   
 
 
 
Tier 1 capital ratio
     13.29     13.62
    
 
 
   
 
 
 
Total capital ratio
     15.05     15.30