23. Securities measured at amortised cost

	31.12.2019		31.12.2018
	Gross balance sheet value	Allowance	Gross balance sheet value	Allowance
Debt instruments:
Issued by local banks – mortgage bonds	5,231	(64)	6,006	(1)
Issued by local banks	28,194	(296)	–	–
issued by governments – Treasury bonds	17,427,475	(72)	11,269,967	(46)
issued by non-financial entities – bonds	380,660	(21,691)	618,641	(20,964)
issued by local governments – municipal bonds	97,611	(403)	65,767	(132)
Total debt instruments measured at amortised cost	17,939,171	(22,526)	11,960,381	(21,143)

31.12.2019	Stage 1	Stage 2	Stage 3	Total
Debt instruments:	17,706,009	24,487	208,675	17,939,171
Issued by local banks – mortgage bonds	5,231	–	–	5,231
Issued by local banks	28,194	–	–	28,194
issued by governments – Treasury bonds	17,427,475	–	–	17,427,475
issued by non-financial entities – bonds	147,498	24,487	208,675	380,660
issued by local governments – municipal bonds	97,611	–	–	97,611
Impairment allowances on securities	(1,193)	(3,619)	(17,714)	(22,526)
Issued by local banks – mortgage bonds	(64)	–	–	(64)
Issued by local banks	(296)	–	–	(296)
issued by governments – Treasury bonds	(72)	–	–	(72)
issued by non-financial entities – bonds	(358)	(3,619)	(17,714)	(21,691)
issued by local governments – municipal bonds	(403)	–	–	(403)
Total net debt instruments measured at amortised cost	17,704,816	20,868	190,961	17,916,645

31.12.2018	Stage 1	Stage 2	Stage 3	Total
Debt instruments:	11,709,065	31,479	219,837	11,960,381
Issued by local banks – mortgage bonds	6,006	–	–	6,006
issued by governments – Treasury bonds	11,269,967	–	–	11,269,967
issued by non-financial entities – bonds	367,325	31,479	219,837	618,641
issued by local governments – municipal bonds	65,767	–	–	65,767
Impairment allowances on securities	(1,734)	(2,359)	(17,050)	(21,143)
Issued by local banks – mortgage bonds	(1)	–	–	(1)
issued by governments – Treasury bonds	(46)	–	–	(46)
issued by non-financial entities – bonds	(1,555)	(2,359)	(17,050)	(20,964)
issued by local governments – municipal bonds	(132)	–	–	(132)
Total net debt instruments measured at amortised cost	11,707,331	29,120	202,787	11,939,238

In the portfolio of securities, the Bank included assets purchased or originated with impairment (POCI – purchased or originated credit-impaired asset), which are presented in Stage 2 or 3 depending on the credit risk level assessment, whose net balance value as at 31 December 2019 is PLN 190,960 thousand in Stage 3 (at 31 December 2018 PLN 194,638 thousand).

In accordance with the Bank Guarantee Fund (“BFG”) Act of 14 December 1994, as at 31 December 2019, BNP Paribas Bank Polska S.A. held Treasury bonds recognized in the statement of financial position in the amount of PLN 433,649 thousand (with the nominal value of PLN 440,000 thousand), securing the guaranteed funds under BFG (in 2018, in the amount of PLN 452,587 thousand, with the nominal value of PLN 470,000 thousand).

Change of debt instruments measured at amortised cost based on the balance sheet value:	12 months ended 31.12.2019	12 months ended 31.12.2018
Opening balance	11,939,238	–
Change resulting from IFRS 9 implementation	–	7,466,904
Purchase of securities	6,290,069	6,363,495
Sale/repurchase of securities	(579,620)	(6,332,367)
Change in measurement at fair value through profit or loss	–	(342)
Change in impairment allowances	(1,383)	21
Change on the initial value adjustment	6,010	–
Change in interest due, foreign exchange differences, discounts and bonuses	267,812	(31,831)
Debt instruments acquired as a result of merger	–	4,476,658
Other changes	(5,481)	(3,300)
Closing balance	17,916,645	11,939,238

Change in impairment allowances of debt instruments measured at amortised cost	12 months ended 31.12.2019	12 months ended 31.12.2018
Opening balance	21,143	11,792
Change resulting from IFRS 9 implementation	–	7,137
Balance as at 1.01.2018	21,143	18,929
Increases due to acquisition or origination	8,220	11,274
Decreases due to derecognition	(6,837)	(11,295)
Use of allowances	–	2,235
Closing balance	22,526	21,143

Debt instruments measured at amortised cost by maturity	31.12.2019	31.12.2018
Up to 1 month	1,158	818
From 1 month to 3 months	121,155	473,913
From 1 year to 5 years	4,155,414	2,850,186
Over 5 years	13,661,444	8,635,464
Total debt instruments measured at amortised cost	17,939,171	11,960,381

22. Loans and advances to customers measured at fair value through profit or loss

Annual report 2019

24. Financial instruments measured at fair value through profit or loss