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FINANCIAL STATEMENTS
Axiata Group Berhad | Annual Report 2016
203
22. TRADE AND OTHER PAYABLES (CONTINUED)
(a) Defined benefits plans
The Group operates defined benefits plans in Indonesia and Sri Lanka respectively. The defined benefit plans of the Group recognised in the
consolidated statements of financial position is as follows:
The movement in present value of obligations of the defined benefit plans is as follows:
Group
2016
RM’000
2015
RM’000
At 1 January
110,785
95,982
Acquisition of a subsidiary
-
174
Charge to profit or loss:
- current service cost
13,179
12,171
- interest costs
10,098
9,183
- past service cost
(10,845)
(206)
12,432
21,148
Benefit paid
(19,045)
(5,297)
Settlement loss
15,193
3,604
Charge to OCI:
- actuarial gains
(17,202)
(17,351)
Currency translation differences
5,774
12,525
At 31 December
107,937
110,785
Present value of the defined benefits obligation of the Group is calculated annually by independent actuaries using the projected unit credit
method. The principal actuarial valuation assumption used was as follows:
Group
2016
2015
Discount rate (p.a.)
8.5% - 12.8%
9.0% - 10.8%
Salary increment rate (p.a.)
9.0% - 12.0%
10.0% - 12.0%