compressed_Annual Report 2016-ilovepdf-compressed

NOTES TO THE ANNUAL FINANCIAL STATEMENTS (continued)
for the year ended 31 March 2016
15 EMPLOYEE RETIREMENT BENEFIT ASSET
The Fund makes contribution to a defined benefit plan that provides retirement and disablement benefits for the
Fund’s permanent employees upon retirement. The plan was established in 1999 and is being administered by the
Swaziland Royal Insurance Corporation (SRIC)
2016 2015
E
E
Retirement benefit asset - 2 450 652
The amount of employee retirement benefit obligation recognised
in the statement of financial position is determined
as follows:
FV of plan assets - 4 524 470
Present value of obligation - (2 277 213)
- 2 247 257
Unrecognised actuarial gains/(loss) - 203 395
Asset recognised in the statement of financial position - 2 450 652
The registrar approved the conversion of the fund from a defined benefit to a defined contribution with an effective
date of 31 January 2015. The surplus asset previously held in the statement of financial position was subsequently
derecognised at E2 450 652 (Note 5) to the statement of comprehensive income effective 1 April 2015 using the
administration data as provided by the administrators of the Fund. MVA with the approval of the registrar approved the
distribution of the surplus to the active members of the Fund at each of the previous valuation dates.
The movement in the fair value of plan assets
over the period is as follows:
Opening balance 4 524 470 3 440 755
Employee contributions - 343 691
Employer contributions - 687 372
Benefit payments - (1 038 478)
Expected return on plan assets - 1 028 145
Actuarial gain - 62 985
Derecognition of plan assets (4 524 470) - -
End of period - 4 524 470
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ANNUAL REPORT 2017