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## (b) Credit risk 

Credit risk is the risk of financial loss to the Group if a customer or counterparty to a financial instrument fails to meet its contractual obligations. This would arise principally from the Group’s receivables from customers. The nature of the customer base is such that there is no individual customer concentration of credit risk. Other financial instruments which potentially subject the Group to credit risks principally consist of bank balances, loans, advances and refund of taxes. 

## Trade and other receivables 

The nature of the customer base is such that there is no individual customer concentration of credit risk. 

The Group does not carry out credit evaluations for all new customers requiring credit. Credit is generally only given to government or local council backed institutions. 

## Exposure to credit risk 

The below balances are recorded at their carrying amount after any provision for loss on these financial instruments. The maximum exposure to credit risk at reporting date was: 

<img src='content_image/204495.jpg'>

As at balance date the carrying amount is also considered the fair value for each of the financial instruments. There are no past due balances. 

The credit quality of financial assets that are neither past due not impaired can be assessed by reference to external credit ratings (if available) or to historical information about counterparty default rates: 

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1. Existing customers with no defaults in the past. 

