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GUARDIAN MEDIA LIMITED AND ITS SUBSIDIARIES ANNUAL REPORT 2020 105GUARDIAN MEDIA LIMITED AND ITS SUBSIDIARIESNOTES TO THE CONSOLIDATED FINANCIAL STATEMENTSFOR THE YEAR ENDED 31 DECEMBER 2020(Expressed in Thousands of Trinidad and Tobago Dollars, except where otherwise stated)(Continued)25. Risk management (continued)Currency riskCurrency risk is the risk that the value of a financial instrument will fluctuate due to changes in foreign exchange rates. Such exposure arises from sale or purchases by an operating unit in currencies other than the unit%u2019s functional currency. Management monitors its exposure to foreign currency fluctuations which is mainly the US currency and employs appropriate strategies to mitigate any potential losses.The sensitivity to a possible change in the US dollar exchange rate, with all other variables held constant, of the Group%u2019s profit/(loss) before tax is as follows:Change in USdollar ratesEffect on profit/(loss) before tax$%u20190002020 5% increase (55)5% decrease 552019 5% increase 1605% decrease (160)