Our financing strategy is to provide timely, cost efficient and secure financial resources to the Group and to manage Vodafone’s capital structure in line with its targeted low single A credit rating.

The Group’s policy is to borrow centrally using a mixture of long-term and short-term capital market issues and borrowing facilities to meet anticipated funding requirements. In respect of certain emerging markets we may elect to borrow on a non-recourse basis.

Risk management is at the core of our financing policies. We use derivative instruments to manage our currency and interest rate risk and collateral support agreements to mitigate the credit risk of banking counterparts. Liquidity risk on long term borrowings is managed by maintaining a disciplined maturity profile.

Our mid to long-term debt is primarily financed via corporate bonds programmes. Our short-term funding requirements are met through our commercial paper programme.