Annual Report 2012 - National Savings Bank

241THE RESULTS OF A CHALLENGING YEARNOTES TO THE FINANCIAL STATEMENTS37 - Note - 01 Investment Fund ReserveFor the year ended 31st December 2012 2011 2012 2011Rs. ‘000 Rs. ‘000 Rs. ‘000 Rs. ‘000Opening balance 1,581,572 - 1,581,572 -Add: Transferred during the year 1,248,427 1,581,572 1,248,427 1,581,572Closing balance 2,829,999 1,581,572 2,829,999 1,581,572As required by the Government Budget 2011 and subsequent direction from Central Bank of Sri Lanka,with effect from January 1, 2011 thebank is required to transfer an mount equivalent to 8% of the VAT on Financial services and 5% of the Income Tax to an Investment FundAccount.Investment made under Investment Fund AccountBankGroupFor the year ended 31st December Interest Tenure 2012 2011 2012 2011Rate Rs. ‘000 Rs. ‘000 Rs. ‘000 Rs. ‘000Loan - Road Development Authority 9.0% 14.5 Years 384,250 - 384,250 -Long - Term Agriculture Loan 10.5% 5 Years 3,270 4,300 3,270 4,300Long - Term Government Bonds 1 7.5% 7 Years 8,024 193,600 8,024 193,600Long - Term Government Bonds 2 7.0% 12 Years 539,650 353,400 539,650 353,400Short - Term Government Securities - - 1,746,470 559,893 1,746,470 559,893Total Investment 2,681,664 1,111,193 2,681,664 1,111,193BankGroup38. Contingent Liabilities and CommitmentsBankGroupFor the year ended 31st December 2012 2011 2012 2011Rs. ‘000 Rs. ‘000 Rs. ‘000 Rs. ‘000Guarantees 293,060 266,298 293,060 266,298Other contingent items 163,200 178,000 163,200 178,000Undrawn loan commitments 6,389,150 1,285,720 6,389,150 1,285,720Total 6,845,410 1,730,018 6,845,410 1,730,018NATIONAL SAVINGS BANK . ANNUAL REPORT 2012