29 Other financial income/expense

All income/expense components including interest income and expense from financial instruments classified since January 1, 2018 as at fair value through profit or loss in accordance with IFRS 9 (in prior years – as held for trading in accordance with IAS 39) are reported under other financial income/expense.

Other financial expense decreased by EUR 1.8 billion year-on-year to EUR 0.5 billion. In 2017, this figure mainly included the impairment, equivalent to EUR 1.5 billion in total, of the financial stake in BT recognized in profit or loss. In March 2018, the financial stake in BT was transferred to Deutsche Telekom Trust e.V., where it will be used as plan assets to cover existing pension obligations. As a consequence of the transition to IFRS 9 as of January 1, 2018, changes in the value of the financial stake prior to the transfer date were no longer recognized in the income statement as other financial income/expense, but in other comprehensive income. For further information, please refer to Note 40 “Financial instruments and risk management”.

The losses from financial instruments of EUR 0.4 billion in the reporting year were mainly the result of negative effects from the remeasurement of derivatives – especially at T-Mobile US. EUR 57 million (2017: EUR -198 million, 2016: EUR 45 million) of this related to currency translation effects, including gains/losses from derivatives used as hedges in foreign-currency hedge accounting, and EUR -409 million (2017: EUR -2,072 million, 2016: EUR -2,181 million) to gains/losses from other derivatives as well as measurements of equity investments.

Income from investments in the prior year included the dividends of around EUR 0.2 billion received from the former financial stake in BT.