ECCB 2022-2023 Annual Report and Financial Statements

Eastern Caribbean Central Bank Notes to the Financial Statements For the year ended 31 March 2023 (Expressed in Eastern Caribbean dollars)

22. Pension asset (continued)

2022 $

2023 $

Movement in present value of defined benefit obligation over the year is as follows:

Beginning of year Current service cost

92,281,000 3,864,000 6,320,000

101,633,000

3,970,000 6,912,000

Interest cost

Contributions by plan participants

704,000

722,000

2,522,000

(4,235,000) (6,365,000) (5,879,000)

Experience adjustments

-

Actuarial gains/(losses) from changes in financial assumptions

(4,058,000)

Benefits paid

101,633,000

Defined benefit obligation at end of year

96,758,000

The defined benefit obligation is allocated between the Plan’s members as follows:

2022

2023

%

%

Active members Deferred members

70

66

-

-

Pensioners

30

34

The weighted average duration of the defined benefit obligation at the year end

14.5 years

14.0 years

23% of the benefits for active members are for those over age 55 and are vested.

33% of the defined benefit obligation for active members is conditional on future salary increases.

2022

2023

$

$

Movement in fair value of plan assets over the year

Plan assets at start of year

132,405,000 9,242,000 (5,043,000) 2,815,000

135,830,000

Interest income

9,422,000

Return on plan assets, excluding interest income

(15,009,000)

Bank’s cont ributions Members’ contributions

2,889,000

704,000

722,000

Benefits paid

(4,058,000) (235,000)

(5,879,000) (241,000)

Expense allowance

135,830,000

Fair value of plan assets at end of year

127,734,000

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