Reserve Bank of Australia Annual Report – 2006 Financial Statements Note 10


2006 $M 2005 $M
Provisions(Note 1(g))
Provision for accrued annual leave 11   10
Provision for long service leave 24   23
Provision for post-employment benefits 58   63
Provision for workers' compensation 1   1
  94   97
Amounts outstanding under repurchase agreements
(contract price) ( Note 1(b))
9,923   8,262
Interest accrued on deposits 130   189
Other 1,346   585
  11,399   9,036
Total Other Liabilities as at 30 June 11,493   9,133

During 2005/06, annual leave of $8.4 million was accrued by staff, while $7.9 million of accrued leave was used. Staff accrued and used long service leave of $3.2 million and $2.2 million respectively in 2005/06; the provision for long service leave also decreased by $0.6 million due to the increase in the interest rate used to discount future cash flows. The RBA provided an additional $1.6 million for post-retirement benefits in 2005/06, while benefits of $2.0 million were paid out of the provision; an increase in the discount rate further reduced the provision by $4.5 million. The balance of the provision for post-employment benefits will change if assumptions regarding the length of staff service, the longevity of retired staff, increases in medical costs and the discount rate vary.