ECCB 2017-2018 Annual Report and Statement of Accounts

152 ECCB ANNUAL REPORT 2017/2018 Eastern Caribbean Central Bank Notes to the Financial Statements March 31, 2018 (expressed in Eastern Caribbean dollars)

EASTERN CARIBBEAN CENTRAL BANK NOTES TO THE FINANCIAL STATEMENTS

(expressed in Eastern Caribbean dollars)

March 31, 2018

21. Pension asset …continued Assumptions regarding future mortality are based on published mortality tables. The life expectancies underlying the value of the defined benefit obligation as at March 31, 2018 are as follows: 2018 2017 Life expectancy at age 60 for current pensioners in years Male 21.0 21.0 Female 25.1 25.1 Life expectancy at age 60 for current members age 40 in years Male 21.4 21.4 Female 25.4 25.4 Plan assets are comprised as follows: 2018 2017 $ $ Developed market equities 46,337,000 42,297,000 EC Government issued nominal bonds and treasury bills 11,109,000 10,209,000 USD denominated bonds 54,229,000 49,528,000 XCD cash and cash equivalents - 3,473,000 USD cash and cash equivalents 4,407,000 3,974,000 Net current assets (4,718,000) (3,827,000) Fair value of Plan Assets at end of year 111,364,000 105,654,000 The largest proportion of assets is invested in debt instruments. Overseas equities in developed markets and USD denominated bonds have quoted prices in active markets. The value of the Eastern Caribbean government bonds are shown at their par values. The Plan’s assets are invested based on a strategy agreed with the Plan’s Trustees. There are no asset- liability matching strategies used by the Plan. 22. Related party balances and transactions Parties are considered to be related if one party has the ability to control the other party or exercise significant influence over the other party in making financial or operational decisions. The Bank considers the participating governments, board of directors and key management personnel as related parties. Participating Governments The receivables from and payables to participating governments arise mainly from the Bank carrying out one of its key roles as banker to participating governments as provided for in part nine (ix) of the ECCB Agreement Act 1983.