12 – Net financial result

Interest income on cash and cash equivalents in 2023 was primarily related to interest income on RON, USD and EUR bank deposits.

Interest income from loans included EUR 59 mn (2022: EUR 32 mn) from the loan agreement with Bayport Polymers LLC. In 2022, this position additionally contained EUR 17 mn related to the Nord Stream 2 financing agreement. For further details see Note 20 – Financial assets.

For further details on bonds see Note 26 – Liabilities.

For OMV Petrom SA, the unwinding expenses for decommissioning provisions are included net of the unwinding income from receivables recoverable from the Romanian state. For further details see Note 20 – Financial assets.

Interest expenses on provisions for decommissioning and restoration obligations in 2023 were impacted by unwinding effects in the amount of EUR 181 mn (2022: EUR 131 mn), the increase being due to overall higher provision levels during 2023. The remaining part of the interest expenses on provisions for decommissioning and restoration obligations related entirely to the negative reassessment effects of receivables recoverable from the Romanian state amounting to EUR 23 mn (2022: EUR 65 mn).

The interest expenses on pension provisions were netted against interest income on pension plan assets, which amounted to EUR 19 mn (2022: EUR 6 mn).

Furthermore, the interest expenses included the unwinding effects from the provisions for onerous contracts for the associated transportation commitments of OMV Gas Marketing & Trading GmbH. For further details see Note 25 – Provisions.

Capitalized borrowings costs applied to the carrying value of qualifying assets were mainly related to the propane dehydrogenation plant under construction at the Borealis production site in Kallo, Belgium, and construction of the ReOil^® and co-processing plants in Austria.

In 2023, the net foreign exchange result was predominantly impacted by USD.

The position Other in 2023 was mainly related to negative fair value adjustments of investments in Russia in the amount of EUR 23 mn (2022: EUR 370 mn). In 2022, this position also included the impairment of the Nord Stream 2 loan (EUR 1,004 mn). For further details see Note 20 – Financial assets.