8. Credit substitutes

Credit substitutes consist of securities that the Bank invests in as part of an overall extension of credit to certain customers. Such securities share many of the risk and reward characteristics of loans and are managed by the Bank together with other credit facilities extended to the same customers. The fair values of credit substitutes by type of instrument as of March 31, 2016 and March 31, 2017 were as follows:

As of March 31,

2016

2017

Amortized Cost

Fair Value

Amortized Cost

Fair Value

(In millions)

Available for sale credit substitute securities:

Debentures

Rs.

39,028.0

Rs.

39,234.6

Rs.

171,180.6

Rs.

171,270.9

Commercial paper

258,126.7

258,006.4

248,139.9

248,269.7

Total

Rs.

297,154.7

Rs.

297,241.0

Rs.

419,320.5

Rs.

419,540.6

US$

6,466.0

US$

6,469.4

The fair values of credit substitutes by the Bank’s internal credit quality indicators and amounts provided for other than temporary impairments is as follows:


	As of March 31,
	2016		2017		2017
	(In millions)
Pass		Rs.297,241.0		Rs.419,540.6	US$	6,469.4
Impaired—gross balance		—		—		—
Less: amounts provided for other than temporary impairments		—		—		—

Impaired credit substitutes, net		—		—		—

Total credit substitutes, net		Rs 297,241.0		Rs 419,540.6	US$	6,469.4

Impaired credit substitutes

As of March 31,

2016

2017

(In millions)

Gross impaired credit substitutes

Rs.

—

Rs.

—

US$

—

Gross impaired credit substitutes by industry

Rs.

—

Rs.

—

US$

—

Average impaired credit substitutes

Rs.

—

Rs.

—

US$

—

Interest income recognized on impaired credit substitutes

Rs.

—

Rs.

—

US$

—

As of March 31, 2017, the Bank has no additional funds committed to borrowers whose credit substitutes were impaired.