KUMPULAN FIMA BERHAD
29. RETIREMENT BENEFIT OBLIGATIONS (CONTD.)
(c) Movements in the net liability during the financial year are as follows:
At 1 April 2015/2014
Recognised in profit or loss (Note 6)
Remeasurement of defined benefit liability
At 31 March
(d) The principle assumptions used by the foreign subsidiary in Indonesia in determining employee benefits
liability as of 31 March 2016 and 2015 are as follows:
Annual salary increase
The discount rate is determined based on the values of AA rated corporate bond yields with 3 to 15 years of
maturity, converted to estimated spot rates.
Significant actuarial assumptions for determination of the defined benefit obligation are discount rate and
expected salary increase. The sensitivity analysis below has been determined based on changes to individual
assumptions, with all other assumptions held constant.
A 1 per cent decrease/increase in discount rate will increase/
decrease the defined benefit obligation by
A 1 per cent increase/decrease in expected salary growth will
increase/decrease the defined benefit obligation by
The sensitivity analysis presented above may not be representative of the actual change in defined benefit
obligation as it is unlikely the change in assumptions would occur in isolation of one another as some
assumptions may be correlated.
The methods and types of assumptions used in preparing the sensitivity analysis did not change compared
to the previous year.