The “Derivatives designated as hedges: assets and liabilities” item breaks down as follows:
| (in € millions) | 2021 | 2020 |
|---|---|---|
| Net interest on derivatives designated as fair value hedges | Net interest on derivatives designated as fair value hedges 2021275 |
Net interest on derivatives designated as fair value hedges 2020 227 |
| Change in value of interest rate derivatives designated as fair value hedges | Change in value of interest rate derivatives designated as fair value hedges 2021(680) |
Change in value of interest rate derivatives designated as fair value hedges 2020 253 |
| Change in value of the adjustment to fair value hedged financial debt | Change in value of the adjustment to fair value hedged financial debt 2021644 |
Change in value of the adjustment to fair value hedged financial debt 2020 (253) |
| Ineffective portion of foreign currency fair value hedges | Ineffective portion of foreign currency fair value hedges 2021(1) |
Ineffective portion of foreign currency fair value hedges 2020 (2) |
| Reserve recycled through profit or loss in respect of cash flow and net investment hedges | Reserve recycled through profit or loss in respect of cash flow and net investment hedges 2021(97) |
Reserve recycled through profit or loss in respect of cash flow and net investment hedges 2020 (95) |
| Ineffective portion of cash flow and net investment hedges | Ineffective portion of cash flow and net investment hedges 2021(2) |
Ineffective portion of cash flow and net investment hedges 2020 7 |
| (in € millions)Gains and losses on derivative instruments allocated to net financial debt | 2021140 | 2020 137 |
Other financial income and expense comprises mainly discounting effects, the impact of capitalised borrowing costs, foreign exchange gains and losses relating to financial items and changes in the value of derivatives not allocated to hedging interest rate or exchange rate risk, along with financial expense relating to lease liabilities under IFRS 16.
Capitalised borrowing costs relate to infrastructure under concession and are included during the construction period in the value of those assets. They are determined as follows:
This does not relate to the construction of concession assets accounted for using the financial asset model (see Note F.14, “PPP financial receivables”).
Other financial income and expense break down as follows:
| (in € millions) | 2021 | 2020 |
|---|---|---|
| Effect of discounting to present value | Effect of discounting to present value 2021(30) |
Effect of discounting to present value 2020 (31) |
| Capitalised borrowing costs | Capitalised borrowing costs 202147 |
Capitalised borrowing costs 2020 40 |
| Financial expenses on lease liabilities | Financial expenses on lease liabilities 2021(43) |
Financial expenses on lease liabilities 2020 (42) |
| Foreign exchange gains and losses and other changes in fair value | Foreign exchange gains and losses and other changes in fair value 202166 |
Foreign exchange gains and losses and other changes in fair value 2020 (15) |
| (in € millions)Total autres produits et charges financiers | 202140 | 2020 (47) |
The effect of discounting to present value was stable year on year. It mainly involved provisions for retirement benefit obligations in the amount of €14 million and fixed fees payable to concession grantors in relation to Salvador Bahia airport in Brazil and Belgrade airport in Serbia, which totalled €12 million.
In 2021, capitalised borrowing costs mainly related to Arcos for €27 million (€21 million in 2020), Belgrade and London Gatwick airports for a total of €17 million (€15 million in 2020), and the ASF group for €3 million (€4 million in 2020).
Foreign exchange gains and losses had a positive impact of €10 million in 2021 (compared with a negative impact of €15 million in 2020) and the other fair value changes included the change in VINCI’s stake in Groupe ADP.
