ECCB 2025-2026 Annual Report

Eastern Caribbean Central Bank Notes to the Financial Statements For the year ended 31 March 2026 (Expressed in Eastern Caribbean dollars)

12. Accounts receivable, prepaid expenses and other assets

2026 $

2025 $

12,360,255 98,540 9,539,672 14,419,813 36,418,280

Accounts receivable

13,670,770 18,325 7,944,585 18,300,957 39,934,637

Staff loans

Prepaid expenses

Notes and coins inventory

Less: Allowance for impairment on receivables

(10,887,568)

(11,393,468)

25,530,712

28,541,169

Current

14,429,874

11,027,770

Non-current

11,100,838

17,513,399

25,530,712

28,541,169

Staff loans bear interest at a fixed rate of 4% per annum. As these loans are granted at a rate below the prevailing market rate, this has given rise to an employee benefit in accordance with IAS 19 Employee Benefits . The resulting benefit of $11,927 (2025: $3,036) is carried at the reporting date within prepaid expenses. The cost of notes and coins inventory comprises all costs directly attributable to bringing the inventory to its present condition and location, including production costs charged by external printers and minters, freight charges, and other directly related costs. The Bank's receivables are assessed for impairment at each reporting date in accordance with IFRS 9 Financial Instruments . The Bank applies the simplified approach to measuring expected credit losses (ECL), under which a lifetime ECL allowance is recognised for all receivables from inception, without the need to identify a significant increase in credit risk. For the purpose of collective assessment, receivables are grouped based on shared credit risk characteristics and ageing profiles. Receivables are derecognised and written off when there is no reasonable expectation of recovery. These indicators are assessed alongside all other available information, and management exercises judgement in determining whether write-off is appropriate in each case. As of 31 March 2026, the lifetime ECL allowance was $10,887,568 (2025: $11,393,468). The movement in allowance for impairment on accounts receivable is as follows: 2026 $ 2025 $ Balance, beginning of year 11,393,468 12,715,721 Allowance during the year 844,100 626,261 Recoveries during the year (1,350,000) (1,948,514) Balance at end of year 10,887,568 11,393,468

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