ECCB 2016/2017 Annual Report

140

ECCB ANNUAL REPORT 2016/2017

(expressed in Eastern Caribbean dollars) Eastern Caribbean Central Bank Notes to the Financial Statements March 31, 2017 (expressed in Eastern Caribbean dollars)

EASTERN CARIBBEAN CENTRAL BANK NOTES TO THE FINANCIAL STATEMENTS

March 31, 2017

16. Demand and deposit liabilities - domestic …continued During the year the following balances earned interest at rates ranging from 0.19% to 0.51% (2016: 0.01% to 0.23%) per annum: fiscal tranche I, bankers’ call accounts and fixed deposits, participating governments and statutory bodies’ fixed deposits and EC HMB operating accounts. Participating governments’ fiscal reserve tranche II The Monetary Council has approved the establishment of a fiscal reserve fund. In accordance with the Bank’s profit distribution policy, forty per cent (40%) of the annual share of distributable profits to member governments is transferred to the participating governments’ f iscal tranche II call account. There was no allocation from profit to the fund in the current financial year (2016: Nil). 2017 $ 2016 $ Balance at beginning of year 60,983,784 67,979,568 Loans to participating governments (20,000,000) (10,000,000) Loan repayments during the year 10,308,922 3,004,216 Allocation from net income - - Balance at end of year 51,292,706 60,983,784 Participating governments’ fiscal tranche I call accounts These accounts earn interest at the prevailing call rate offered by the Bank and are readily accessible by the respective governments. There was no allocation from profit to the fund in the current financial year (2016: Nil). 2017 $ 2016 $

Balance at beginning of year

7,313,939

7,989,695 22,685

Interest on account

5,623

Transfers

670,133

-

7,989,695

Balance at end of year

8,012,380