ECCB 2023-2024 Annual Report

Eastern Caribbean Central Bank Notes to the Financial Statements For the year ended 31 March 2024 (Expressed in Eastern Caribbean dollars)

12. Accounts receivable, prepaid expenses and other assets

2024 $

2023 $

15,319,605 76,945 5,888,538 20,250,331 41,535,419

Accounts receivable

13,499,549 178,014 8,217,174 18,189,651 40,084,388

Staff loans

Prepaid expenses

Notes and coins inventory

Less: Allowance for impairment on receivables

(12,715,721)

(9,682,461)

28,819,698

30,401,927

Current

12,521,269

14,923,003

Non-current

16,298,429

15,478,924

28,819,698

30,401,927

Staff loans accrue interest at a rate of 4% per annum with variable repayment terms. As the loans are granted at a preferential interest rate, this has given rise to a short-term employee benefit asset in the amount of $10,756 (2023: $39,074) at the statement of financial position date. This amount is included in prepaid expenses. The cost of notes and coins inventory includes cost of the production of notes and coins by printers/minters, freight and other related charges. The Bank’s receivables have been assessed for indicators of impairment as required by IFRS 9. The Bank applies the IFRS 9 simplified approach to measuring expected credit losses, which uses a lifetime expected loss allowance for all trade receivables. To measure ECL on a collective basis, receivables are grouped on similar credit risk and ageing. Receivables are written off when there is no reasonable expectation of recovery. Indicators that there is no reasonable expectation of recovery include, amongst others, the failure of a debtor to engage in a repayment plan with the entity, and a failure to make contractual payments for a period of greater than 90 days past due. As of 31 March 2024, receivables had lifetime expected credit losses of $12,715,721 (2023: $9,682,461). Allowance for impairment on accounts receivable The movement in allowance for impairment on accounts receivable is as follows: 2024 $ 2023 $ Balance, beginning of year 9,682,461 8,269,965 Allowance during the year 3,033,260 1,412,496 Balance at end of year 12,715,721 9,682,461

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