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Financial Assets at Amortized Cost

12 Months Ended

Dec. 31, 2022

Financial Assets at Amortized Cost Disclosure [Abstract]

11.	Financial assets at amortized cost:

The item detail is as follows:

	2022			2021
	MCh$			MCh$

Rights by resale agreements and securities lending		54,061			64,365
Debt financial instruments		902,355			839,744
Loans and advances to Banks		2,174,792			1,529,832
Loans to customers:
Commercial loans		20,308,745			19,672,332
Residential mortgage loans		11,422,322			10,346,528
Consumer loans		4,995,230			4,247,013
Provisions established for credit risk:
Loans and advances to Banks provisions		(1,641	)		(81	)
Commercial loans provisions		(321,467	)		(318,841	)
Mortgage loans provisions		(50,646	)		(38,986	)
Consumer loans provisions		(449,496	)		(315,669	)
Total		39,034,255			36,026,237

(a)

Rights arising from resale agreements:

The Bank provides financing to its customers through resale agreements and securities lending, in which the financial instrument serves as collateral. As of December 31, 2022 and 2021, the Bank has the following receivables resulting from such transactions:

	Demand				Up to 1 month				Over 1 month and up to 3 months				Over 3 months and up to 12 months				Over 1 year and up to 3 years				Over 3 years and up to 5 years				Over 5 years				Total
	2022		2021		2022		2021		2022		2021		2022		2021		2022		2021		2022		2021		2022		2021		2022		2021
	MCh$		MCh$		MCh$		MCh$		MCh$		MCh$		MCh$		MCh$		MCh$		MCh$		MCh$		MCh$		MCh$		MCh$		MCh$		MCh$
Instruments issued by the Chilean Governments and Central Bank of Chile
Central Bank bonds		—		—		—		—		—		—		—		—		—		—		—		—		—		—		—		—
Central Bank promissory notes		—		—		—		—		—		—		—		—		—		—		—		—		—		—		—		—
Other instruments issued by the Chilean Government and Central Bank of Chile		—		—		—		—		—		—		—		—		—		—		—		—		—		—		—		—
Subtotal		—		—		—		—		—		—		—		—		—		—		—		—		—		—		—		—
Other Financial Instruments issued in Chile
Deposit promissory notes from domestic banks		—		—		—		—		—		—		—		—		—		—		—		—		—		—		—		—
Mortgage bonds from domestic banks		—		—		—		—		—		—		—		—		—		—		—		—		—		—		—		—
Bonds from domestic banks		—		—		—		—		—		—		—		—		—		—		—		—		—		—		—		—
Deposits in domestic banks		—		—		—		—		—		—		—		—		—		—		—		—		—		—		—		—
Bonds from other Chilean companies		—		—		—		—		—		—		—		—		—		—		—		—		—		—		—		—
Other instruments issued in Chile		—		—		35,549		37,763		14,324		14,013		4,188		12,589		—		—		—		—		—		—		54,061		64,365
Subtotal		—		—		35,549		37,763		14,324		14,013		4,188		12,589		—		—		—		—		—		—		54,061		64,365
Financial Instruments issued by foreign institutions
Instruments from foreign governments or Central Bank		—		—		—		—		—		—		—		—		—		—		—		—		—		—		—		—
Other instruments from foreign		—		—		—		—		—		—		—		—		—		—		—		—		—		—		—		—
Subtotal		—		—		—		—		—		—		—		—		—		—		—		—		—		—		—		—
Total		—		—		35,549		37,763		14,324		14,013		4,188		12,589		—		—		—		—		—		—		54,061		64,365

Purchased Instruments:

The Bank and its subsidiaries have received financial instruments that they can sell or give as collateral in case the owner of these instruments enters into default or in bankruptcy. As of December 31, 2022 the fair value of the instruments received amounts to Ch$53,173 million (Ch$65,531 million in 2021).

(b)

Debt financial instruments:

At the end of each period, the balances presented under this item are as follows:

	2022		2021
	MCh$		MCh$
Instruments issued by the Chilean Government and Central Bank of Chile
Debt financial instruments from the Central Bank of Chile		—		—
Bonds and promissory notes from the General Treasury of the Republic		902,355		839,744
Other fiscal debt financial instruments		—		—

Other Finacial Instruments issued in Chile
Debt financial instruments from other domestic banks		—		—
Bonds and trade effects from domestic companies		—		—
Other debt financial instruments issued in the country		—		—

Financial Instruments issued Abroad
Debt financial instruments from foreign Central Banks		—		—
Debt financial instruments from foreign governments and fiscal entities		—		—
Debt financial instruments from other foreign banks		—		—
Bonds and trade effects from foreign companies		—		—
Other debt financial instruments issued abroad		—		—

Accumulated Impairment Value of Financial Assets at Amortized Cost Debt Financial Instruments
Financial assets with no significant increase in credit risk since initial recognition (phase 1)		—		—
Financial assets with a significant increase in credit risk since initial recognition, but without credit impairment (phase 2)		—		—
Financial assets with credit impairment (phase 3)		—		—
Total		902,355		839,744

Under Instruments of the Government and the Central Bank of Chile, instruments are classified pledged as collateral as part of the FCIC program are included for an approximate amount of Ch$560,434 million as of December 31, 2022 (Ch$456,057 million as of December 31, 2021).

(b.1)

The credit ratings of the issuers of instruments assets at amortized cost as of December 31, 2022 and 2021, are as follows:

	As of December 31, 2022								As of December 31, 2021
	Stage 1 Individual		Stage 2 Individual		Stage 3 Individual		Total Individual		Stage 1 Individual		Stage 2 Individual		Stage 3 Individual		Total Individual
	MCh$		MCh$		MCh$		MCh$		MCh$		MCh$		MCh$		MCh$
Debt Instrument
Investment grade		902,355		—		—		902,355		839,744		—		—		839,744
Non-investment grade		—		—		—		—		—		—		—		—
Without rating		—		—		—		—		—		—		—		—
Total		902,355		—		—		902,355		839,744		—		—		839,744

(b.2)

Analysis of changes in gross carrying amount and corresponding allowance for ECL by stage for financial instruments measured at amortized cost as of December 31, 2022 and 2021, is as follows:

	Stage 1 Individual				Stage 2 Individual				Stage 3 Individual				Total
	Gross carrying amount MCh$		ECL MCh$		Gross carrying amount MCh$		ECL MCh$		Gross carrying amount MCh$		ECL MCh$		Gross carrying amount MCh$		ECL MCh$
Balance as of January 1, 2022		839,744		—		—		—		—		—		839,744		—
Net change on Balance *		62,611		—		—		—		—		—		62,611		—
Change in fair value		—		—		—		—		—		—		—		—
Transfer to Stage 1		—		—		—		—		—		—		—		—
Transfer to Stage 2										—		—		—		—
Transfer to Stage 3		—		—		—		—		—		—		—		—
Impact on year-end ECL of exposures transferred between stages during the year **		—		—		—		—		—		—		—		—
Impact of net re-measurement of year-end ECL		—		—		—		—		—		—		—		—
Amounts written off		—		—		—		—		—		—		—		—
Balance as of December 31, 2022		902,355		—		—		—		—		—		902,355		—

	Stage 1 Individual				Stage 2 Individual				Stage 3 Individual				Total
	Gross carrying amount MCh$		ECL MCh$		Gross carrying amount MCh$		ECL MCh$		Gross carrying amount MCh$		ECL MCh$		Gross carrying amount MCh$		ECL MCh$
Balance as of January 1, 2021		—		—		—		—		—		—		—		—
Net change on Balance *		839,744		—		—		—		—		—		839,744		—
Change in fair value		—		—		—		—		—		—		—		—
Transfer to Stage 1		—		—		—		—		—		—		—		—
Transfer to Stage 2										—		—		—		—
Transfer to Stage 3		—		—		—		—		—		—		—		—
Impact on year-end ECL of exposures transferred between stages during the year **		—		—		—		—		—		—		—		—
Impact of net re-measurement of year-end ECL		—		—		—		—		—		—		—		—
Amounts written off		—		—		—		—		—		—		—		—
Balance as of December 31, 2021		839,744		—		—		—		—		—		839,744		—

Net change between assets purchased and assets derecognized excluding write offs.

** Represents the change in the year-end ECLs of exposures that were transferred from one stage to another during the year.

	(c)	Loans and advances to Banks: At the end of each period, the balances presented under this item are as follows:

	As of December 31, 2022							As of December 31, 2021
	Assets before Allowances		Allowances established			Net assets		Assets before Allowances		Allowances established			Net assets
	MCh$		MCh$			MCh$		MCh$		MCh$			MCh$
Domestic Banks
Interbank loans of liquidity		—		—			—		160,018		(31	)		159,987
Interbank loans commercial		—		—			—		—		—			—
Current accounts overdrafts		—		—			—		—		—			—
Chilean exports foreign trade loans		—		—			—		—		—			—
Chilean imports foreign trade loans		—		—			—		—		—			—
Credits with third countries		—		—			—		—		—			—
Non-transferable deposits in domestic banks		—		—			—		—		—			—
Other debts with domestic banks		—		—			—		—		—			—
Foreign Banks
Interbank loans of liquidity		—		—			—		—		—			—
Interbank loans commercial		186,660		(838	)		185,822		158,308		(29	)		158,279
Current accounts overdrafts		—		—			—		—		—			—
Chilean exports foreign trade loans		186,553		(801	)		185,752		121,008		(21	)		120,987
Chilean imports foreign trade loans		—		—			—		—		—			—
Credits with third countries		479		(2	)		477		498		—			498
Current account deposits with foreign banks for derivatives transactions		—		—			—		—		—			—
Other non-transferable deposits with foreign banks		—		—			—		—		—			—
Other debts with foreign banks		—		—			—		—		—			—
Subtotal Domestic and Foreign Banks		373,692		(1,641	)		372,051		439,832		(81	)		439,751
Central Bank of Chile
Current account deposits for derivative transactions with a counterparty		—		—			—		—		—			—
Other deposits not available		1,801,100		—			1,801,100		1,090,000		—			1,090,000
Other receivables		—		—			—		—		—			—
Foreign Central Banks									—		—			—
Current account deposits for derivatives transactions		—		—			—		—		—			—
Other deposits not available		—		—			—		—		—			—
Other receivables		—		—			—		—		—			—
Subtotal Central Bank of Chile and Foreign Central Banks		1,801,100		—			1,801,100		1,090,000		—			1,090,000
Total		2,174,792		(1,641	)		2,173,151		1,529,832		(81	)		1,529,751

(c.1)

Impairment allowance for due from banks:

The credit quality and the maximum exposure to credit risk based on the Bank’s internal credit rating system and year-end stage classification as of December 31, 2022 and 2021, is as follows:

	2022								2021
	Stage 1 Individual		Stage 2 Individual		Stage 3 Individual		Total		Stage 1 Individual		Stage 2 Individual		Stage 3 Individual		Total
	MCh$		MCh$		MCh$		MCh$		MCh$		MCh$		MCh$		MCh$
Domestic Banks
Normal		—		—		—		—		160,018		—		—		160,018
Substandard		—		—		—		—		—		—		—		—
Non-complying		—		—		—		—		—		—		—		—
Subtotal		—		—		—		—		160,018		—		—		160,018

Foreign Banks
Normal		373,692		—		—		373,692		279,814		—		—		279,814
Substandard		—		—		—		—		—		—		—		—
Non-complying		—		—		—		—		—		—		—		—
Subtotal		373,692		—		—		373,692		279,814		—		—		279,814

Central Bank of Chile
Normal		1,801,100		—		—		1,801,100		1,090,000		—		—		1,090,000
Substandard		—		—		—		—		—		—		—		—
Non-complying		—		—		—		—		—		—		—		—
Subtotal		1,801,100		—		—		1,801,100		1,090,000		—		—		1,090,000
Total		2,174,792		—		—		2,174,792		1,529,832		—		—		1,529,832

(c.2) Impairment allowance for due from banks, continued:

ii.

Changes in gross carrying amount and corresponding allowance for ECL by stage as of December 31, 2022 and 2021, is as follows:

	Changes as of December 31, 2022
	Stage 1 Individual						Stage 2 Individual				Stage 3 Individual				Total
	Gross carrying amount MCh$			ECL MCh$			Gross carrying amount MCh$		ECL MCh$		Gross carrying amount MCh$		ECL MCh$		Gross carrying amount MCh$			ECL MCh$
ECL allowances as of January 1, 2022		1,529,832			81			—		—		—		—		1,529,832			81
Net change on Balance *		656,130			439			—		—		—		—		656,130			439
Transfer to Stage 1		—			—			—		—		—		—		—			—
Transfer to Stage 2		—			—			—		—		—		—		—			—
Transfer to Stage 3		—			—			—		—		—		—		—			—
Impact on year-end ECL of exposures transferred between stages during the year **		—			—			—		—		—		—		—			—
Refinements to models used for calculation		—			1,270			—		—		—		—		—			1,270
Amounts written off		—			—			—		—		—		—		—			—
Foreign exchange adjustments		(11,170	)		(149	)		—		—		—		—		(11,170	)		(149	)
Total		2,174,792			1,641			—		—		—		—		2,174,792			1,641

	Changes as of December 31, 2021
	Stage 1 Individual						Stage 2 Individual				Stage 3 Individual				Total
	Gross carrying amount MCh$			ECL MCh$			Gross carrying amount MCh$		ECL MCh$		Gross carrying amount MCh$		ECL MCh$		Gross carrying amount MCh$			ECL MCh$
ECL allowances as of January 1, 2021		2,939,656			458			—		—		—		—		2,939,656			458
Net change on Balance *		(1,446,442	)		(389	)		—		—		—		—		(1,446,442	)		(389	)
Transfer to Stage 1		—			—			—		—		—		—		—			—
Transfer to Stage 2		—			—			—		—		—		—		—			—
Transfer to Stage 3		—			—			—		—		—		—		—			—
Impact on year-end ECL of exposures transferred between stages during the year **		—			—			—		—		—		—		—			—
Refinements to models used for calculation		—			—			—		—		—		—		—			—
Amounts written off		—			—			—		—		—		—		—			—
Foreign exchange adjustments		36,618			12			—		—		—		—		36,618			12
Total		1,529,832			81			—		—		—		—		1,529,832			81

*	Net change between assets originated and assets repaid, excluding write offs.

**	Represents the change in the year-end ECLs of exposures that were transferred from one stage to another during the year.

(d)

Loans to Customers: At the end of each period, the balances presented under this item are as follows:

	As of December 31, 2022							As of December 31, 2021
	Assets before Allowances		Allowances established			Net assets		Assets before Allowances		Allowances established (2)			Net assets
	MCh$		MCh$			MCh$		MCh$		MCh$			MCh$
Commercial loans
Commercial loans		15,891,074		(258,330	)		15,632,744		15,986,168		(256,876	)		15,729,292
Chilean exports foreign trade loans		956,512		(9,986	)		946,526		719,296		(9,001	)		710,295
Accrediting foreign trade loans negotiated in terms of Chilean imports		2,715		(16	)		2,699		2,950		(5	)		2,945
Chilean imports foreign trade loans		698,595		(10,184	)		688,411		549,459		(6,074	)		543,385
Current account debtors		175,659		(7,194	)		168,465		144,010		(2,522	)		141,488
Credit card debtors		88,513		(8,196	)		80,317		63,284		(3,604	)		59,680
Factoring transactions		628,546		(5,847	)		622,699		486,282		(2,658	)		483,624
Commercial lease transactions (1)		1,782,081		(13,071	)		1,769,010		1,612,776		(24,802	)		1,587,974
Student loans		59,752		(3,628	)		56,124		58,018		(3,437	)		54,581
Other loans and accounts receivable		25,298		(5,015	)		20,283		50,089		(9,862	)		40,227
Subtotal		20,308,745		(321,467	)		19,987,278		19,672,332		(318,841	)		19,353,491
Mortgage loans
Mortgage bonds		3,907		(23	)		3,884		6,084		(27	)		6,057
Endorsable mortgage mutual loans		14,604		(77	)		14,527		17,784		(66	)		17,718
Mortgage mutual financed with mortgage bonds		—		—			—		—		—			—
Other mortgage mutual loans		11,242,986		(49,041	)		11,193,945		10,169,889		(37,085	)		10,132,804
Residential lease transactions (1)		—		—			—		—		—			—
Other loans and accounts receivable		160,825		(1,505	)		159,320		152,771		(1,808	)		150,963
Subtotal		11,422,322		(50,646	)		11,371,676		10,346,528		(38,986	)		10,307,542
Consumer loans
Consumer loans in installments		3,115,069		(374,320	)		2,740,749		2,873,304		(267,826	)		2,605,478
Current account debtors		253,409		(12,512	)		240,897		172,623		(6,490	)		166,133
Credit card debtors		1,625,210		(61,758	)		1,563,452		1,199,407		(40,317	)		1,159,090
Consumer lease transactions (1)		503		(31	)		472		509		(33	)		476
Other loans and accounts receivable		1,039		(875	)		164		1,170		(1,003	)		167
Subtotal		4,995,230		(449,496	)		4,545,734		4,247,013		(315,669	)		3,931,344
Total		36,726,297		(821,609	)		35,904,688		34,265,873		(673,496	)		33,592,377

(1)

In this item, the Bank finances its clients’ purchases of assets, including real estate and other personal property, through financial lease agreements. As of December 31, 2022, Ch$910,492 million corresponds to financial leases for real estate (Ch$810,969 million in December 31, 2021) and Ch$872,092 million corresponds to financial leases for other assets (Ch$802,316 million in December 31, 2021).

(2)	Include an additional overlay related to the measures associated with the COVID-19 contingency for an amount equivalent to Ch$30,980 million. There is no additional overlay as of December 31, 2022.

(d.1) Impairment allowance for loans to customers:

The credit quality and the maximum exposure to credit risk based on the Bank’s internal credit rating system and year-end stage classification as of December 31, 2022 and 2021, are as follows:

	2022
	Stage 1				Stage 2				Stage 3
	Individual		Group		Individual		Group		Individual		Group		POCI		Total
	MCh$		MCh$		MCh$		MCh$		MCh$		MCh$		MCh$		MCh$
Commercial loans
Normal		14,935,868		4,232,711		22,906		299,345		—		1,302		304		19,492,436
Substandard		—		—		286,605		—		—		—		561		287,166
Non-complying		—		—		—		—		218,780		308,057		2,306		529,143
Subtotal		14,935,868		4,232,711		309,511		299,345		218,780		309,359		3,171		20,308,745

Mortgage loans
Normal		—		10,490,690		—		722,028		—		4,444		—		11,217,162
Non-complying		—		—		—		—		—		205,160		—		205,160
Subtotal		—		10,490,690		—		722,028		—		209,604		—		11,422,322

Consumer loans
Normal		—		4,304,927		—		460,669		—		3,867		186		4,769,649
Non-complying		—		—		—		—		—		223,800		1,781		225,581
Subtotal		—		4,304,927		—		460,669		—		227,667		1,967		4,995,230
Total		14,935,868		19,028,328		309,511		1,482,042		218,780		746,630		5,138		36,726,297

	2021
	Stage 1				Stage 2				Stage 3
	Individual		Group		Individual		Group		Individual		Group		POCI		Total
	MCh$		MCh$		MCh$		MCh$		MCh$		MCh$		MCh$		MCh$
Commercial loans
Normal		10,968,881		4,579,194		3,262,135		214,276		834		893		199		19,026,412
Substandard		—		—		197,580		—		—		—		3		197,583
Non-complying		—		—		—		—		166,799		279,420		2,118		448,337
Subtotal		10,968,881		4,579,194		3,459,715		214,276		167,633		280,313		2,320		19,672,332

Mortgage loans
Normal		—		9,608,872		—		449,804		—		2,675		—		10,061,351
Non-complying		—		—		—		—		—		285,143		34		285,177
Subtotal		—		9,608,872		—		449,804		—		287,818		34		10,346,528

Consumer loans
Normal		—		3,739,887		—		287,814		—		4,367		64		4,032,132
Non-complying		—		—		—		—		—		213,662		1,219		214,881
Subtotal		—		3,739,887		—		287,814		—		218,029		1,283		4,247,013
Total		10,968,881		17,927,953		3,459,715		951,894		167,633		786,160		3,637		34,265,873

(d.1) Impairment allowance for loans to customers, continued:

ii.

Changes in gross carrying amount and corresponding allowance for ECL by stage as of December 31, 2022 and 2021, is as follows:

	Changes as of December 31, 2022
	Stage 1												Stage 2												Stage 3
	Individual						Group						Individual						Group						Individual						Group						POCI						Total
	Gross carrying amount MCh$			ECL MCh$			Gross carrying amount MCh$			ECL MCh$			Gross carrying amount MCh$			ECL MCh$			Gross carrying amount MCh$			ECL MCh$			Gross carrying amount MCh$			ECL MCh$			Gross carrying amount MCh$			ECL MCh$			Gross carrying amount MCh$			ECL MCh$			Gross carrying amount MCh$			ECL MCh$
Commercial loans
Balance as of January 1, 2022		10,968,881			30,681			4,579,194			57,965			3,459,715			94,339			214,276			8,306			167,633			56,154			280,313			70,594			2,320			802			19,672,332			318,841
Net change on Balance *		1,146,093			(5,301	)		(110,736	)		(11,628	)		(218,018	)		19,888			(60,023	)		4,870			(23,535	)		1,065			(4,502	)		56,158			993			428			730,272			65,480
Transfer to Stage 1		3,420,173			33,979			901,257			30,100			(3,419,679	)		(33,865	)		(892,717	)		(28,450	)		(494	)		(114	)		(8,540	)		(1,650	)		—			—			—			—
Transfer to Stage 2		(563,832	)		(1,178	)		(1,119,924	)		(13,749	)		566,547			1,667			1,168,769			20,952			(2,715	)		(489	)		(48,845	)		(7,203	)		—			—			—			—
Transfer to Stage 3		(9,385	)		(44	)		(17,019	)		(973	)		(93,970	)		(5,132	)		(130,928	)		(14,807	)		103,354			5,176			147,948			15,780			—			—			—			—
Impact on year-end ECL of exposures transferred between stages during the year **		—			(19,277	)		—			(21,966	)		—			7,754			—			22,854			—			16,753			—			9,448			—			—			—			15,566
Refinements to models used for calculation		—			29,263			—			7,218			—			(29,670	)		—			(1,446	)		—			1,500			—			—			—			(307	)		—			6,558
Amounts written off		(2	)		(2	)		(2	)		(2	)		(16	)		(16	)		(30	)		(30	)		(26,788	)		(26,788	)		(56,977	)		(56,977	)		(142	)		(142	)		(83,957	)		(83,957	)
Foreign exchange adjustments		(26,060	)		(989	)		(59	)		(150	)		14,932			(286	)		(2	)		(2	)		1,325			418			(38	)		(12	)		—			—			(9,902	)		(1,021	)
Subtotal Commercial loans		14,935,868			67,132			4,232,711			46,815			309,511			54,679			299,345			12,247			218,780			53,675			309,359			86,138			3,171			781			20,308,745			321,467

Mortgage loans
Balance as of January 1, 2022		—			—			9,608,872			8,266			—			—			449,804			12,115			—			—			287,818			18,601			34			4			10,346,528			38,986
Net change on Balance *		—			—			1,074,711			2,120			—			—			21,391			11,491			—			—			(9,228	)		10,037			(34	)		(4	)		1,086,840			23,644
Transfer to Stage 1		—			—			1,660,510			45,169			—			—			(1,620,547	)		(41,432	)		—			—			(39,963	)		(3,737	)		—			—			—			—
Transfer to Stage 2		—			—			(1,842,069	)		(3,667	)		—			—			1,966,976			12,895			—			—			(124,907	)		(9,228	)		—			—			—			—
Transfer to Stage 3		—			—			(11,323	)		(84	)		—			—			(95,613	)		(12,562	)		—			—			106,936			12,646			—			—			—			—
Impact on year-end ECL of exposures transferred between stages during the year **		—			—			—			(42,189	)		—			—			—			42,489			—			—			—			(3,423	)		—			—			—			(3,123	)
Refinements to models used for calculation		—			—			—			5,645			—			—			—			(3,460	)		—			—			—			—			—			—			—			2,185
Amounts written off		—			—			(11	)		(11	)		—			—			17			17			—			—			(11,052	)		(11,052	)		—			—			(11,046	)		(11,046	)
Foreign exchange adjustments		—			—			—			—			—			—			—			—			—			—			—			—			—			—			—			—
Subtotal Mortgage loans		—			—			10,490,690			15,249			—			—			722,028			21,553			—			—			209,604			13,844			—			—			11,422,322			50,646

Consumer loans
Balance as of January 1, 2022		—			—			3,739,887			153,994			—			—			287,814			49,109			—			—			218,029			111,804			1,283			762			4,247,013			315,669
Net change on Balance *		—			—			961,038			159,017			—			—			(52,847	)		14,962			—			—			9,800			92,191			708			484			918,699			266,654
Transfer to Stage 1		—			—			986,727			165,534			—			—			(976,316	)		(159,538	)		—			—			(10,411	)		(5,996	)		—			—			—			—
Transfer to Stage 2		—			—			(1,360,916	)		(125,259	)		—			—			1,429,394			155,549			—			—			(68,478	)		(30,290	)		—			—			—			—
Transfer to Stage 3		—			—			(21,686	)		(3,677	)		—			—			(227,370	)		(104,895	)		—			—			249,056			108,572			—			—			—			—
Impact on year-end ECL of exposures transferred between stages during the year **		—			—			—			(104,217	)		—			—			—			137,853			—			—			—			28,215			—			—			—			61,851
Refinements to models used for calculation		—			—			—			(17,927	)		—			—			—			(6,277	)		—			—			—			—			—			(1	)		—			(24,205	)
Amounts written off		—			—			(96	)		(96	)		—			—			(32	)		(32	)		—			—			(170,324	)		(170,324	)		(24	)		(24	)		(170,476	)		(170,476	)
Foreign exchange adjustments		—			—			(27	)		3			—			—			26			1			—			—			(5	)		(1	)		—			—			(6	)		3
Subtotal Consumer loans		—			—			4,304,927			227,372			—			—			460,669			86,732			—			—			227,667			134,171			1,967			1,221			4,995,230			449,496

Total		14,935,868			67,132			19,028,328			289,436			309,511			54,679			1,482,042			120,532			218,780			53,675			746,630			234,153			5,138			2,002			36,726,297			821,609

*	Net change between assets originated and assets repaid excluding write offs.

**	Represents the change in the year-end ECLs of exposures that were transferred from one stage to another during the year.

(d.1) Impairment allowance for loans to customers, continued:

	Changes as of December 31, 2021
	Stage 1												Stage 2												Stage 3
	Individual						Group						Individual						Group						Individual						Group						POCI						Total
	Gross carrying amount MCh$			ECL MCh$			Gross carrying amount MCh$			ECL MCh$			Gross carrying amount MCh$			ECL MCh$			Gross carrying amount MCh$			ECL MCh$			Gross carrying amount MCh$			ECL MCh$			Gross carrying amount MCh$			ECL MCh$			Gross carrying amount MCh$			ECL MCh$			Gross carrying amount MCh$			ECL MCh$
Commercial loans
Balance as of January 1, 2021		8,918,334			45,372			4,291,198			84,155			3,661,811			166,189			199,810			12,103			204,449			89,711			322,124			82,576			3,871			1,284			17,601,597			481,390
Net change on Balance *		1,750,645			(13,624	)		390,327			9,809			(209,088	)		(70,947	)		(51,073	)		(220	)		(44,630	)		(24,393	)		(29,657	)		40,040			(467	)		458			1,806,057			(58,877	)
Transfer to Stage 1		797,576			5,149			767,931			40,313			(797,576	)		(5,149	)		(767,917	)		(40,307	)		—			—			(14	)		(6	)		—			—			—			—
Transfer to Stage 2		(721,413	)		(3,268	)		(858,851	)		(16,615	)		732,462			4,870			921,908			26,896			(11,049	)		(1,602	)		(63,057	)		(10,281	)		—			—			—			—
Transfer to Stage 3		(2,720	)		(12	)		(19,103	)		(892	)		(32,441	)		(5,785	)		(88,525	)		(12,720	)		35,162			5,797			107,627			13,612			—			—			—			—
Impact on year-end ECL of exposures transferred between stages during the year**		—			(2,627	)		—			(28,741	)		—			9,793			—			26,879			—			7,344			—			6,553			—			—			—			19,201
Refinements to models used for calculation		—			(995	)		—			(30,368	)		—			(7,357	)		—			(4,188	)		—			2,415			—			(4,912	)		—			144			—			(45,261	)
Amounts written off		—			—			(27	)		(27	)		—			—			(156	)		(156	)		(25,470	)		(25,470	)		(57,398	)		(57,398	)		(1,084	)		(1,084	)		(84,135	)		(84,135	)
Foreign exchange adjustments		226,459			686			7,719			331			104,547			2,725			229			19			9,171			2,352			688			410			—			—			348,813			6,523
Subtotal Commercial loans		10,968,881			30,681			4,579,194			57,965			3,459,715			94,339			214,276			8,306			167,633			56,154			280,313			70,594			2,320			802			19,672,332			318,841

Mortgage loans
Balance as of January 1, 2021		—			—			8,664,761			7,657			—			—			401,997			6,221			—			—			320,200			20,744			414			30			9,387,372			34,652
Net change on Balance*		—			—			1,011,262			(1,521	)		—			—			(11,005	)		1,118			—			—			(30,009	)		6,758			(380	)		(28	)		969,868			6,327
Transfer to Stage 1		—			—			1,221,879			18,069			—			—			(1,221,879	)		(18,069	)		—			—			—			—			—			—			—			—
Transfer to Stage 2		—			—			(1,281,402	)		(2,077	)		—			—			1,332,093			4,084			—			—			(50,691	)		(2,007	)		—			—			—			—
Transfer to Stage 3		—			—			(7,604	)		(53	)		—			—			(51,395	)		(4,240	)		—			—			58,999			4,293			—			—			—			—
Impact on year-end ECL of exposures transferred between stages during the year**		—			—			—			(15,782	)		—			—			—			19,309			—			—			—			(1,159	)		—			—			—			2,368
Refinements to models used for calculation		—			—			—			1,997			—			—			—			3,699			—			—			—			653			—			2			—			6,351
Amounts written off		—			—			(24	)		(24	)		—			—			(7	)		(7	)		—			—			(10,681	)		(10,681	)		—			—			(10,712	)		(10,712	)
Foreign exchange adjustments		—			—			—			—			—			—			—			—			—			—			—			—			—			—			—			—
Subtotal Mortgage loans		—			—			9,608,872			8,266			—			—			449,804			12,115			—			—			287,818			18,601			34			4			10,346,528			38,986

Consumer loans
Balance as of January 1, 2021		—			—			3,295,502			145,399			—			—			324,440			49,789			—			—			327,102			124,357			1,677			520			3,948,721			320,065
Net change on Balance *		—			—			543,272			36,335			—			—			(67,751	)		(6,166	)		—			—			(36,418	)		71,045			(381	)		(83	)		438,722			101,131
Transfer to Stage 1		—			—			787,325			117,574			—			—			(787,325	)		(117,574	)		—			—			—			—			—			—			—			—
Transfer to Stage 2		—			—			(879,653	)		(57,076	)		—			—			943,398			79,524			—			—			(63,745	)		(22,448	)		—			—			—			—
Transfer to Stage 3		—			—			(12,205	)		(1,485	)		—			—			(124,873	)		(46,739	)		—			—			137,078			48,224			—			—			—			—
Impact on year-end ECL of exposures transferred between stages during the year**		—			—			—			(76,550	)		—			—			—			91,107			—			—			—			12,985			—			—			—			27,542
Refinements to models used for calculation		—			—			—			(10,338	)		—			—			—			(561	)		—			—			—			23,657			—			338			—			13,096
Amounts written off		—			—			(46	)		(46	)		—			—			(291	)		(291	)		—			—			(146,024	)		(146,024	)		(13	)		(13	)		(146,374	)		(146,374	)
Foreign exchange adjustments		—			—			5,692			181			—			—			216			20			—			—			36			8			—			—			5,944			209
Subtotal Consumer loans		—			—			3,739,887			153,994			—			—			287,814			49,109			—			—			218,029			111,804			1,283			762			4,247,013			315,669

Total		10,968,881			30,681			17,927,953			220,225			3,459,715			94,339			951,894			69,530			167,633			56,154			786,160			200,999			3,637			1,568			34,265,873			673,496

*	Net change between assets originated and assets repaid excluding write offs.

**	Represents the change in the year-end ECLs of exposures that were transferred from one stage to another during the year.

(e)

Loans by industry sector:

The following table details the Bank’s loan portfolio (before allowances for loans losses) as of December 31, 2022 and 2021 by the customer’s industry sector and their respective economic activity:

	Credit and Contingent loans Exposure												Allowances Established
	Domestic loans				Foreign loans				Total		Total		Domestic loans						Foreign loans						Total			Total
	2022		2021		2022		2021		2022		2021		2022			2021			2022			2021			2022			2021
	MCh$		MCh$		MCh$		MCh$		MCh$		MCh$		MCh$			MCh$			MCh$			MCh$			MCh$			MCh$
Loans and advances to Banks		1,801,100		1,250,018		373,692		279,814		2,174,792		1,529,832		—			(31	)		(1,641	)		(50	)		(1,641	)		(81	)

Commercial loans
Agriculture and livestock		797,920		811,756		—		—		797,920		811,756		(11,310	)		(23,254	)		—			—			(11,310	)		(23,254	)
Fruit		663,630		636,143		—		—		663,630		636,143		(4,903	)		(12,590	)		—			—			(4,903	)		(12,590	)
Forestry		102,548		315,433		—		—		102,548		315,433		(1,369	)		(2,140	)		—			—			(1,369	)		(2,140	)
Fishing		30,513		33,989		—		—		30,513		33,989		(1,331	)		(1,318	)		—			—			(1,331	)		(1,318	)
Mining		314,890		162,863		—		—		314,890		162,863		(4,666	)		(1,954	)		—			—			(4,666	)		(1,954	)
Oil and natural gas		1,011		783		—		—		1,011		783		(15	)		(21	)		—			—			(15	)		(21	)
Product manufacturing industries:
Foods, beverages and tobacco		594,923		505,311		—		—		594,923		505,311		(12,316	)		(9,254	)		—			—			(12,316	)		(9,254	)
Textiles, leather goods and footwear		33,145		33,900		—		—		33,145		33,900		(625	)		(896	)		—			—			(625	)		(896	)
Woods and furnitures		105,551		152,690		—		—		105,551		152,690		(1,553	)		(2,009	)		—			—			(1,553	)		(2,009	)
Cellulose, Paper and printing		20,974		22,832		—		—		20,974		22,832		(598	)		(743	)		—			—			(598	)		(743	)
Chemicals and petroleum products		365,239		388,804		—		—		365,239		388,804		(3,290	)		(2,902	)		—			—			(3,290	)		(2,902	)
Metal, non-metal, machine or others		574,496		498,843		—		—		574,496		498,843		(9,612	)		(7,559	)		—			—			(9,612	)		(7,559	)
Electricity, gas and water		463,558		464,087		—		—		463,558		464,087		(3,784	)		(2,168	)		—			—			(3,784	)		(2,168	)
Residential construction		271,923		260,942		—		—		271,923		260,942		(10,596	)		(8,653	)		—			—			(10,596	)		(8,653	)
Non-residential construction (office, civil engineering)		356,241		541,324		—		—		356,241		541,324		(8,432	)		(5,403	)		—			—			(8,432	)		(5,403	)
Wholesale		2,037,033		1,761,049		—		—		2,037,033		1,761,049		(33,387	)		(40,630	)		—			—			(33,387	)		(40,630	)
Retail, restaurants and hotels		1,042,290		1,133,708		6,752		7,793		1,049,042		1,141,501		(39,141	)		(39,250	)		(99	)		(134	)		(39,240	)		(39,384	)
Transport and storage		1,210,250		1,181,032		—		—		1,210,250		1,181,032		(21,849	)		(31,201	)		—			—			(21,849	)		(31,201	)
Communications		232,984		291,066		—		—		232,984		291,066		(3,989	)		(2,348	)		—			—			(3,989	)		(2,348	)
Financial services		2,990,516		3,069,326		—		1,723		2,990,516		3,071,049		(12,372	)		(9,172	)		—			—			(12,372	)		(9,172	)
Business services		2,004,481		1,778,544		—		—		2,004,481		1,778,544		(48,666	)		(48,153	)		—			—			(48,666	)		(48,153	)
Real estate services		3,338,704		3,035,271		22,792		4,202		3,361,496		3,039,473		(41,809	)		(22,448	)		(160	)		(14	)		(41,969	)		(22,462	)
Student loans		59,753		58,017		—		—		59,753		58,017		(3,628	)		(3,437	)		—			—			(3,628	)		(3,437	)
Government administration, defence and police force		26,146		33,812		—		—		26,146		33,812		(317	)		(572	)		—			—			(317	)		(572	)
Social services and other community services		833,275		770,707		—		—		833,275		770,707		(13,933	)		(16,511	)		—			—			(13,933	)		(16,511	)
Personal services		1,807,207		1,716,382		—		—		1,807,207		1,716,382		(27,717	)		(24,107	)		—			—			(27,717	)		(24,107	)
Subtotal		20,279,201		19,658,614		29,544		13,718		20,308,745		19,672,332		(321,208	)		(318,693	)		(259	)		(148	)		(321,467	)		(318,841	)

Residential mortgage loans		11,422,322		10,346,528		—		—		11,422,322		10,346,528		(50,646	)		(38,986	)		—			—			(50,646	)		(38,986	)

Consumer loans		4,995,230		4,247,013		—		—		4,995,230		4,247,013		(449,496	)		(315,669	)		—			—			(449,496	)		(315,669	)

Contingent loan exposure		12,890,795		11,986,791		—		—		12,890,795		11,986,791		(143,489	)		(93,049	)		—			—			(143,489	)		(93,049	)

(f)

Loans and their provisions for loan losses by tranches of days past-due

The concentration of credit risk by days past due is as follows:

	Financial assets before allowances				Allowances established						Net financial assets
	2022		2021		2022			2021			2022		2021
	MCh$		MCh$		MCh$			MCh$			MCh$		MCh$
Loans and advances to Banks
0 days		2,072,225		1,413,525		(1,196	)		(60	)		2,071,029		1,413,465
1 to 29 days		102,567		116,307		(445	)		(21	)		102,122		116,286
30 to 59 days		—		—		—			—			—		—
60 to 89 days		—		—		—			—			—		—
> = 90 days		—		—		—			—			—		—
Subtotal		2,174,792		1,529,832		(1,641	)		(81	)		2,173,151		1,529,751

Commercial loans
0 days		19,653,330		19,177,970		(199,029	)		(222,812	)		19,454,301		18,955,158
1 to 29 days		274,566		209,078		(18,961	)		(13,461	)		255,605		195,617
30 to 59 days		95,919		68,970		(13,563	)		(9,442	)		82,356		59,528
60 to 89 days		36,642		19,771		(8,193	)		(3,892	)		28,449		15,879
> = 90 days		248,288		196,543		(81,721	)		(69,234	)		166,567		127,309
Subtotal		20,308,745		19,672,332		(321,467	)		(318,841	)		19,987,278		19,353,491

Residential mortgage loans
0 days		11,051,530		10,103,531		(22,002	)		(19,552	)		11,029,528		10,083,979
1 to 29 days		173,094		113,040		(11,591	)		(7,329	)		161,503		105,711
30 to 59 days		68,590		35,687		(8,043	)		(3,885	)		60,547		31,802
60 to 89 days		30,675		19,095		(3,733	)		(2,038	)		26,942		17,057
> = 90 days		98,433		75,175		(5,277	)		(6,182	)		93,156		68,993
Subtotal		11,422,322		10,346,528		(50,646	)		(38,986	)		11,371,676		10,307,542

Consumer loans
0 days		4,633,879		4,013,200		(274,951	)		(216,681	)		4,358,928		3,796,519
1 to 29 days		157,080		124,422		(60,740	)		(42,598	)		96,340		81,824
30 to 59 days		77,179		52,105		(37,047	)		(24,763	)		40,132		27,342
60 a 89 days		41,116		21,308		(22,870	)		(10,999	)		18,246		10,309
> = 90 days		85,976		35,978		(53,888	)		(20,628	)		32,088		15,350
Subtotal		4,995,230		4,247,013		(449,496	)		(315,669	)		4,545,734		3,931,344

Total Loans		38,901,089		35,795,705		(823,250	)		(673,577	)		38,077,839		35,122,128

(g)

Financial Lease Contracts:

As of December 31, 2022 and 2021, the Bank’s scheduled cash flows to be received from financial leasing contracts have the following maturities as follows:

	Total receivable				Unearned income						Net lease receivable (*)
	2022		2021		2022			2021			2022		2021
	MCh$		MCh$		MCh$			MCh$			MCh$		MCh$
Due within one year		583,321		525,720		(76,614	)		(53,312	)		506,707		472,408
Due after 1 year but within 2 years		433,397		385,118		(55,714	)		(38,653	)		377,683		346,465
Due after 2 years but within 3 years		294,728		260,002		(35,133	)		(25,228	)		259,595		234,774
Due after 3 years but within 4 years		191,083		166,416		(22,481	)		(17,015	)		168,602		149,401
Due after 4 years but within 5 years		134,590		116,650		(15,614	)		(12,038	)		118,976		104,612
Due after 5 years		378,280		327,071		(33,166	)		(25,624	)		345,114		301,447
Total		2,015,399		1,780,977		(238,722	)		(171,870	)		1,776,677		1,609,107

(*)

The net balance receivable does not include the total overdue portfolio totaling Ch$5,907 million and Ch$4,178 million as of December 31, 2022 and 2021, respectively. This overdue portfolio only reflects the past due portion without considering the remaining outstanding principal and interest.

The Bank maintains financial lease operations associated with real estate, industrial machinery, vehicles and transportation equipment. These leases contracts have an average term between 2 and 15 years.

Other disclosures:

As of December 31, 2022, under the Commercial Loans item, operations are maintained that guarantee obligations maintained with the Central Bank of Chile as part of the Loan Increase Conditional Credit Facility (FCIC by its Spanish initials) program for an approximate amount of Ch$3,297,016 million (Ch$3,024,118 million in December 2021).

(h)

Purchase of loan portfolio:

During the year 2022 and 2021 no portfolio purchases were made.

(i)

Sale or transfer of credits from the loans to customers:

During 2022 and 2021 the Bank has carried out transactions of sale or transfer of the loan portfolio according to the following:

	As of December 31, 2022
	Carrying amount		Allowances released			Sale price		Effect on income (loss) gain (*)
	MCh$		MCh$			MCh$		MCh$

Sale of outstanding loans		7,908		(2,264	)		7,908		2,264
Sale of write-off loans		—		—			—		—
Total		7,908		(2,264	)		7,908		2,264

	As of December 31, 2021
	Carrying amount		Allowances released			Sale price		Effect on income (loss) gain (*)
	MCh$		MCh$			MCh$		MCh$

Sale of outstanding loans		24,023		(15,477	)		13,992		5,446
Sale of write-off loans		—		—			12		12
Total		24,023		(15,477	)		14,004		5,458

(*)

See Note No. 31.

(j)

Securitization of own assets:

During the years 2022 and 2021, there is no securitization transactions executed involving its own assets.