Source document: https://docs-lawep.s3.us-east-2.amazonaws.com/1698832815131.pdf (Singapore)
CORRIGENDUM TO NATIONAL LIBRARY BOARD ANNUAL REPORT 2018/2019 Section 41 of the Public Sector (Governance) Act 2019 Presented to Parliament pursuant to Statute.
Ordered by Parliament to lie upon the Table: 7 November 2019 CORRIGENDUM TO NATIONAL LIBRARY BOARD ANNUAL REPORT 2018/2019 Section 41 of the Public Sector (Governance) Act 2019 Please note the following amendments made to the National Library Board Annual Report 2018/2019: On page 12 of the Financial Statement, Consolidated statement of cash flows for the financial year ended 31 March 2019  “Cash and cash equivalents at beginning of the financial year” was amended to “Cash and cash equivalents at end of the financial year”.
National Library Board Annual Report 2018/2019 REiMAGINING REIMAGINING OUR LIBRARIES OUR LIBRARIES AND ARCHIVES AND ARCHIVES Contents 1 Introduction Page 2 2 3 A Year Reimagined Page 3 Our Board and Management Page 21 Acknowledgement Page 26 4 1 Corporate Governance Page 30 5 Introduction Our network of 26 public libraries is conveniently located across Singapore to ensure reading is made accessible to everyone.
Besides promoting reading, the National Library Board (NLB) also provides reference services and preserves our nation’s cultural and literary heritage, under the National Library.

We also welcome the public to tap on the rich resources in the National Archives of Singapore, comprising letters, government records, maps, photographs, oral history interviews and audio- visual recordings, with some documents dating as far back as the 1800s.
NATIONAL LIBRARY 26 PUBLIC LIBRARIES NATIONAL ARCHIVES OF SINGAPORE BUILDING FORMER FORD FACTORY REIMAGINING OUR LIBRARIES AND ARCHIVES 2 NATIONAL LIBRARY BOARD ANNUAL REPORT 18/19 A Year Reimagined A Year Reimagined How have we realised our vision over the past year?
REIMAGINING OUR LIBRARIES AND ARCHIVES 3 NATIONAL LIBRARY BOARD ANNUAL REPORT 18/19 A Year Reimagined - Joint Message from Our Chairman & CEO Joint Message from Our Chairman & CEO Our Chairman, Mr Chan Heng Kee and Chief Executive Officer, Mrs Elaine Ng share their thoughts on how a year of surging ahead while remembering the past had earned NLB recognition for business excellence.
REIMAGINING OUR LIBRARY AND ARCHIVES 4 NATIONAL LIBRARY BOARD ANNUAL REPORT 18/19 What did NLB introduce this year to continue its push for a reading nation?

A Year Reimagined - Joint Message from Our Chairman & CEO Heng Kee: Igniting the joy of reading in Singaporeans is the heart of NLB’s mission.

In 2018, we made advances in bringing reading closer to people’s lives.

Take for example our newest reading destination - library@harbourfront.
Set against a splendid view of Sentosa, it brings to Singaporeans books and programmes that prepare us for the digital economy.

Elaine: NLB is also committed to bringing reading to communities who do not have easy access to our libraries.

As part of our National Reading Movement, we launched WondeRead, where we work with voluntary welfare organisations to bring books to children who do not have any.

Heng Kee: We are also encouraged by the progress of our digital programmes and resources.
Digital loans on the NLB mobile app doubled to more than 3 million over the past year.

Elaine: To meet this growing demand for eBooks, we raised the loan quota from 8 to 16, so that our library members can access our collections even more easily while on the go.

We want to make reading a natural part of people’s routines.
REIMAGINING OUR LIBRARIES AND ARCHIVES 5 NATIONAL LIBRARY BOARD ANNUAL REPORT 18/19 A Year Reimagined - Joint Message from Our Chairman & CEO How has the preservation and access of historical materials taken on greater significance for NLB?

The Singapore Quality Award Special Commendation is a major award.

What did winning this award in 2018 mean for NLB?

Heng Kee: Our collection of published heritage and archives offers a window into our rich and diverse history.
NLB works closely with the community to expand, preserve and improve access to Singapore’s documentary heritage.

Elaine: The watershed amendment of the NLB Act means we can now preserve and provide access to digital publications and Singapore websites.

A collaboration with Mediacorp’s Toggle, allows us to stream archival video content produced from the 1960s, which we call “Stories of Yesteryear”.

Heng Kee: We are honoured to have been awarded this highest accolade for business excellence.
We want this drive towards excellence as part of our DNA so that we can bring reading and learning closer to the community and make our services more relevant and user-friendly for our patrons.

Elaine: A large part of nurturing this culture is embracing the power of technology.

Over the past year, we have adopted many new systems to enhance the workplace experience for our employees and volunteers.
There is an enthusiastic innovation culture in NLB, and this is shown in wonderful ideas that originate from staff, one of which is the hugely popular Book Bugs reading incentive programme for young readers.

Heng Kee: We could not have achieved all these without the strong commitment and effort of our staff, senior management team and board members.

I would also like to thank our partners, donors, volunteers and patrons for contributing significantly to these successes.
Together, we look forward to blazing new paths in our journey to nurture readers for life, learning communities and a knowledgeable nation.
REIMAGINING OUR LIBRARIES AND ARCHIVES 6 NATIONAL LIBRARY BOARD ANNUAL REPORT 18/19 A Year Reimagined - Key Statistics Key Statistics Patrons Number of library members Visitorship Collections Libraries Books, magazines and audio-visual items 2017 2.4 mil 2018 2.5 mil Libraries 2017 25.5 mil 2018 26.6 mil 2017 7.5 mil 2018 8.8 mil Number of library materials borrowed Former Ford Factory eBooks BOOKS & EBOOKS Refers to physical books and eBooks borrowed from our libraries.
2017 30.9 mil 2018 39.5 mil 2017 105,409 2018 103,664 2017 0.7 mil 2018 0.9 mil Customer Satisfaction Index Digital Singapore materials deposited 2017 4.40 2018 4.43 2017 78.7 mil 2018 Refers to the number of downloads Refers to the number of downloads from NLB’s websites, subscribed from NLB’s websites, subscribed databases and eBooks.

databases and eBooks.

94.6 mil Derived from an annual survey conducted to gauge the customer satisfaction of NLB patrons, with a maximum score of 5.
2017 1.28 mil 2018 1.32 mil REIMAGINING OUR LIBRARIES AND ARCHIVES 7 NATIONAL LIBRARY BOARD ANNUAL REPORT 18/19 A Year Reimagined - Key Highlights Reading Nation How are we encouraging more reading?

Working in the library, I interact with patrons from all ages.

I promote our library’s collection through curated book displays and interactive storytelling!
Nabilah Binte Zaini Library Oﬀicer, Cheng San Public Library, Public Library Services We are living and breathing in a digital world now, where digital information is very ﬂuid.

What exists today may be gone tomorrow.

My department does digital preservation, ensuring our heritage content will remain accessible to generations.
Ong Hui Pheng Senior Manager, Resource Management REIMAGINING OUR LIBRARIES AND ARCHIVES 8 NATIONAL LIBRARY BOARD ANNUAL REPORT 18/19 A Year Reimagined - Reading Nation POSB-NLB Kids’ Lit Quiz 2018 More than 120 teams of students from 11 to 13 years old across 71 schools battled in the National Final.

Raffles Girls' School (Secondary) topped the competition and represented Singapore in the Kids’ Lit Quiz World Final held in New Zealand.

They emerged second, the best showing ever for Singapore.

Read!
Read!

Fest 2018 Our signature reading festival was held from 22 June to 28 July 2018 across our 26 public libraries.

There were over 150 exciting programmes and 84 authors featured in this fifth edition.

The five-week event saw 11,200 participants – the highest so far – engaging in workshops, masterclasses, talks and meet-the-author sessions.

Half of the programmes were conducted in mother tongue languages to encourage more Singaporeans to read in these languages.

National Reading Day 2018 Read!


Fest culminated in the third National Reading Day to encourage everyone to read more, read widely and read together.

Held on the last Saturday of July, it included signature activities such as the Read for Books charity drive where one book was donated for every 10 people who read for 15 minutes.

With the Big Book Giveaway, library books received a second life.
REIMAGINING OUR LIBRARIES AND ARCHIVES 9 NATIONAL LIBRARY BOARD ANNUAL REPORT 18/19 A Year Reimagined - Reading Nation WondeRead WondeRead brings the library closer to children and teens between 7 to 17 years old from less-privileged backgrounds.

They are provided with reading opportunities through free reading materials.

The programme delivers four pre-loved library books every quarter to these children.
Voluntary Welfare Organisations are also offered a start-up collection of at least 50 pre-loved books to set up a reading corner at their premises.

National Digital Storytelling Competition 2018 The inaugural competition received a rousing response from 92 secondary school students.
Co-organised with Microsoft Singapore, the contest aims to ignite creative storytelling through the use of digital technologies such as Microsoft Paint 3D and PowerPoint at Bukit Panjang Public Library’s Stories Come Alive room.

Book Bugs II Book Bugs II, the second edition of the popular card game which rewards young readers with collectible cards, was launched in May 2018 to encourage children to read and learn through gamification.
More than 5 million loans were generated from Book Bugs II as of October 2018.

REIMAGINING OUR LIBRARIES AND ARCHIVES 10 NATIONAL LIBRARY BOARD ANNUAL REPORT 18/19 A Year Reimagined - Reading Nation Opening of library@harbourfront Spanning 3,000 square metres on the third floor of VivoCity shopping mall, library@harbourfront houses a refreshed collection of about 200,000 books, magazines, and audio-visual materials.
The new reading and learning destination is set against a spectacular view of Sentosa, and was opened on 12 January 2019.

REIMAGINING OUR LIBRARIES AND ARCHIVES 11 NATIONAL LIBRARY BOARD ANNUAL REPORT 18/19 A Year Reimagined - Reading Nation Launch of The Remaking of Singapore’s Public Libraries book Launched during the opening of library@harbourfront, The Remaking of Singapore’s Public Libraries chronicles NLB’s efforts at transforming public libraries under the Libraries of the Future masterplan.
Covering a total of eight libraries, this book traces the changes made in library design, services and collections to meet the demands of an increasingly well- informed and digitally-savvy population.

Supporting Digital Readiness in the libraries We have over 6,000 programmes at our public libraries to help more Singaporeans be equipped with digital skills over the next five years – majority of whom are adults and seniors.
Our newest offerings include TechShare, a programme which provides seniors with a safe environment to learn and try out new technology.

askST@NLB and ZB Happy Read@NLB talks Into their 3rd and 4th years respectively, the ZB Happy Read@NLB and askST@NLB talk series feature journalists from The Straits Times and Lianhe Zaobao, and experts in their own fields on topics such as health, education and retirement.

The talks encourage everyone to read widely while eliciting discussions on current affairs.
Across the year, both talks saw more than 5,800 attendees and almost 50,000 livestream views!

REIMAGINING OUR LIBRARIES AND ARCHIVES 12 NATIONAL LIBRARY BOARD ANNUAL REPORT 18/19 A Year Reimagined - Key Highlights Keeping History Alive How is NLB preserving our nation’s history?

I preserve and digitise audio-visual materials, giving them new life to let today’s generation learn our nation’s rich history at the click of a button on the Archives Online portal.
Shanker Thangavellu Senior Oﬀicer, Archives Laboratories, National Archives of Singapore My team and I worked on the amendments to the NLB Act.

This was a significant project for me as the updated legislation empowers NLB to collect digital publications and Singapore websites, preserving Singapore’s published heritage for posterity.
Ivy Lee Senior Manager, Content & Services (General Reference Statutory & Digital Content), National Library REIMAGINING OUR LIBRARIES AND ARCHIVES 13 NATIONAL LIBRARY BOARD ANNUAL REPORT 18/19 A Year Reimagined - Keeping History Alive Donors’ Appreciation Night 2018 Business documents from Lee Kip Lee and Lee Kip Lin Family Archives, radio play scripts by retired Malay language teacher Patimah Jaludin, letters and photographs from pioneer artist Liu Kang’s collection and historical records from Singapore Thong Chai Medical Institution – these were some of the valuable heritage materials donated to the National Library and the National Archives of Singapore in the past year.
We thanked our supportive donors at our annual Donors’ Appreciation Night.

Stories of Yesteryear Rare footage of Singapore in the 1960s can now be streamed easily and conveniently from your electronic devices.

This comes after the tie-up between the National Archives of Singapore and MediaCorp to carry archival videos on Toggle.

The past comes alive instantly with just a few clicks!
NAS’ 50th anniversary celebrations The National Archives of Singapore (NAS) celebrated its 50th anniversary in 2018 with four initiatives.

A public call for donations of historical materials saw 400 items contributed which included 1950s footage of Singapore and old bus tickets.

Preserving Memories – 50 Moments in Time, an online showcase of 50 clips illustrated significant moments in Singapore’s history for the past 50 years.
NAS then launched the first oral history video challenge which encouraged the public to produce videos inspired by oral history interviews.

Most recently, our Jubilee Photo Studio exhibition showcased photographic gems of life in Singapore during the 19th and 20th centuries.
REIMAGINING OUR LIBRARIES AND ARCHIVES 14 NATIONAL LIBRARY BOARD ANNUAL REPORT 18/19 A Year Reimagined - Keeping History Alive Selling Dreams: Early Advertising in Singapore exhibition Modelled after a department store, the exhibition presented by the National Library featured print advertisements from the 1830s to 1960s.

These advertisements promoted products, services and brands that were part of Singapore’s consumer market then.
The exhibition also incorporated engaging interactive multimedia stations, such as a photo booth where visitors could digitally dress themselves up in the fashions from vintage advertisements.

Volunteers’ Appreciation Day 2018 NLB’s volunteers contribute widely, from managing several volunteer-run libraries to conducting exhibition tours.

The most senior, for example, is Mdm Ngo Joon, 89, who helps out at the DIY club, an arts and craft interest group in Pasir Ris Public Library and library@chinatown.
An appreciation evening – which included a cake-cutting ceremony and a movie screening – was held to thank the generous volunteers!

Amendments to the NLB Act With the growth of digital publishing in Singapore, the National Library Board Act was updated so that NLB can also collect and preserve works published digitally.

The changes took effect on 31 January 2019.

This empowers NLB to collect not only physical but electronic publications under legal deposit, as well as to archive Singapore websites.
Our Published Heritage was an event organised by the National Library to increase the public’s appreciation for Singapore’s published heritage.

REIMAGINING OUR LIBRARIES AND ARCHIVES 15 NATIONAL LIBRARY BOARD ANNUAL REPORT 18/19 A Year Reimagined - Keeping History Alive Digital Archive of Singapore Tamil Music A new digital repository of Tamil music was launched with more than 800 items that captured the rich classical music culture of the Indian community in Singapore.
The project, called the Digital Archive of Singapore Tamil Music, was the third collaboration between NLB and the Tamil Digital Heritage Group.

Community donation of heritage materials Public donations are crucial to enrich NLB’s collection.
Last year, NLB received heritage materials from individuals, organisations and community groups such as Chinese clan associations like the Singapore Chin Kang Huay Kuan, Tiang Lim Association; and performing arts groups such as Ping Sheh Singapore, Singapore Indian Fine Arts Society and SRIWANA.

The heritage materials, including historical documents, letters, audio-visual recordings, photographs and ephemera, will be made accessible soon at the National Library.
State of Motion 2019 State of Motion, the Asian Film Archive’s annual film and visual arts series of programmes, went darker with its fourth edition titled ‘A Fear of Monsters’.

There were film history and art exhibitions, including thematic exhibition tours held at night.

Works of contemporary Southeast Asian artists were featured for the first time, showcasing the transnational legacy of regional monsters.
REIMAGINING OUR LIBRARIES AND ARCHIVES 16 NATIONAL LIBRARY BOARD ANNUAL REPORT 18/19 A Year Reimagined - Keeping History Alive The First Print exhibition A rare book documenting Singapore’s early history was on public display for the first time as Singapore marked its bicentennial celebrations in 2019.

Sejarah Melayu (Malay Annals) is one of the earliest documentations of Singapore’s history.

This first printed version was edited by scholar Munsyi Abdullah in 1840.
There are only five known copies in public institutions worldwide today, one of which is permanently in the National Library’s collection.

Launch of Singapore Biographical Database of Chinese Personalities More than 800 ties that bind 200 significant Chinese men and women from the 19th to the 21st centuries were captured in the newly launched Singapore Biographical Database of Chinese Personalities.
This new database is a three-way collaboration between NLB, the Singapore Federation of Chinese Clan Associations, and the National University of Singapore’s Department of Chinese Studies.

REIMAGINING OUR LIBRARIES AND ARCHIVES 17 NATIONAL LIBRARY BOARD ANNUAL REPORT 18/19 A Year Reimagined - Key Highlights A Winning Year What did NLB achieve in the past year?
Being part of the Citizen Archivist Project opened my eyes to historical facts that were not taught to us in school, and enabled me to discover important but forgotten personalities who were part of Singapore’s story.

Gary Chow, Citizen Archivist Project volunteer We have been part of the Book Bugs project for three years now.

It was only when we started volunteering did we find out the numerous fun and engaging activities organised by NLB to encourage reading, such as storytelling sessions and quizzes.
Swati Mahadevan and Svetha Mahadevan, Volunteers at Cheng San Public Library REIMAGINING OUR LIBRARIES AND ARCHIVES 18 NATIONAL LIBRARY BOARD ANNUAL REPORT 18/19 A Year Reimagined - A Winning Year Singapore Quality Award with Special Commendation In 2018, NLB clinched the prestigious Singapore Quality Award with Special Commendation for our stellar services throughout the years.
This award highlights NLB’s role in proactively raising the profile of libraries and archives in the region and in hosting many international forums.

In today’s digital economy, NLB is a leader in leveraging technology to allow patrons to navigate through the library resources and services on their own.

NLB also constantly works with partners and volunteers in the community through its innovations to promote reading and learning to its patrons.
REIMAGINING OUR LIBRARIES AND ARCHIVES 19 NATIONAL LIBRARY BOARD ANNUAL REPORT 18/19 A Year Reimagined - A Winning Year OverDrive’s Digital Innovation award NLB was awarded the Rakuten OverDrive’s 2018 Digital Innovation Award for its innovative features and services that it has developed over the years.

Aside from offering the world’s first Digital Business Library such as the Digital Learning Zone at Yishun Public Library, NLB has dedicated spaces and initiatives for users to access digital content.
International Data Corporation Digital Transformation Awards 2018 In September 2018, the NLB mobile app was named the Operating Model Master of the Year at the second International Data Corporation Digital Transformation Awards held in Singapore.

It is the first library app in the world to allow for a one-step secure mobile borrowing of materials by scanning the barcode.

The app also serves as a library in the pocket and offers the latest eBook titles and courses.
REIMAGINING OUR LIBRARIES AND ARCHIVES 20 NATIONAL LIBRARY BOARD ANNUAL REPORT 18/19 Our Board and Management NLB's Board and Management REIMAGINING OUR LIBRARIES AND ARCHIVES 21 NATIONAL LIBRARY BOARD ANNUAL REPORT 18/19 Our Board and Management - Board Members Mr Chan Heng Kee Board Chairman and Chair of Establishment Committee Permanent Secretary, Ministry of Health Mr Derrick Goh Chair of Audit and Risk Committee Managing Director & Head of Group Audit, DBS Bank Ltd Mr John Koh Chair of National Library Advisory Committee Dr Lee Shiang Long Chair of Innovation & Technology Advisory Committee Mr Michael Koh Chair of Public Library Advisory Committee Independent Director, NSL Limited President, ST Engineering Land Systems Ltd Executive Fellow, Centre for Liveable Cities, Ministry of National Development Mr Sajjad Akhtar Chair of Finance Committee Executive Chairman, PKF-CAP LLP Dr Shashi Jayakumar Chair of National Archives Advisory Committee Head, Centre of Excellence for National Security, S Rajaratnam School of International Studies Assoc Prof Albert Lau Associate Professor, Department of History, National University of Singapore Mr Chan Cheow Hoe Deputy Chief Executive and Government Chief Information Oﬀicer, Government Technology Agency (GovTech) Dr Elmie Nekmat Assistant Professor, Communications and New Media, National University of Singapore REIMAGINING OUR LIBRARIES AND ARCHIVES 22 NATIONAL LIBRARY BOARD ANNUAL REPORT 18/19 Our Board and Management - Board Members Dr Eugene Tan Director, National Gallery Singapore Director, Singapore Art Museum Mr Khor Un-Hun Director, The Lo!
Hotel Company Pte Ltd Ms Lim Wan Yong Deputy Secretary (Planning), Ministry of National Development Mr Ling Tok Hong Partner, PricewaterhouseCoopers LLP Ms Neo Gim Huay Managing Director, Enterprise Development Group, Temasek International Pte Ltd Ms Sia Aik Kor Deputy Chief Counsel (Transactions & Administration), Civil Division, Attorney-General’s Chambers Mdm Zuraidah Binte Abdullah Domain Commander (Air), Integrated Checkpoints Command (Air), Immigration & Checkpoints Authority REIMAGINING OUR LIBRARIES AND ARCHIVES 23 NATIONAL LIBRARY BOARD ANNUAL REPORT 18/19 Our Board and Management - Senior Management Committee Mrs Elaine Ng Chief Executive Oﬀicer Ms Tay Ai Cheng Deputy Chief Executive, Chief Librarian Mr William Tan Assistant Chief Executive, Corporate Ms Catherine Lau Assistant Chief Executive, Public Library Services Ms Sabitri Devi Director, Communications, Relations & Development Director, Finance & Administration Mr Eric Chin General Counsel, Executive Oﬀice Mr Patrick Yee Director, People Management & Development Mr Chua Kim Pau Director, Properties & Facilities Management Mr Kevin Cheah Director, Strategic Planning & Research Ms Wendy Ang Director, National Archives of Singapore REIMAGINING OUR LIBRARIES AND ARCHIVES 24 NATIONAL LIBRARY BOARD ANNUAL REPORT 18/19 Our Board and Management - Senior Management Committee Ms Tan Huism Director, National Library Ms Valerie Cheng Director, Content & Services Mr Stanley Tan Director, Library Planning & Development Mr Ian Yap Director, Public Library Operations Mr Lee Kee Siang Director Resource Discovery & Management Mr Siow Shong Seng Chief Information Oﬀicer, Technology & Digital Services Mr Ramachandran Narayanan Director and Deputy Chief Information Oﬀicer, Technology & Digital Services REIMAGINING OUR LIBRARIES AND ARCHIVES 25 24 NATIONAL LIBRARY BOARD ANNUAL REPORT 18/19 Acknowledgement A big thank you to our donors, sponsors, and partners who supported us over the past year.
REIMAGINING OUR LIBRARIES AND ARCHIVES 26 NATIONAL LIBRARY BOARD ANNUAL REPORT 18/19 Acknowledgement Donors who enriched our collections & archives National Library’s Rare Collection Individuals Ms Cho Yoke Lan, Cynthia Associate Professor Farish A. Noor Ms Jennifer Bateson Mr Koh Seow Chuan Mr Lim Chin Leong Mr Lim Shao Bin The late Mr Muhammad Ariff Ahmad The late Mr Peter Wee Mr Rabi Doraisamy Ms Sharifah Zahra Binte Syed Junied Aljunied Family of the late Bishop and Mrs T R Doraisamy Mr Yeo Oi Sang Organisation/Group Singapore Chin Kang Huay Kuan National Library’s Singapore & Southeast Asia Collections Individuals Ms Aishwariyaa Ramakanthan Mrs Ann Wee Mrs Anna Kwan-Terry Mdm Annie Cheong Mr Aravind Ratnam Ganesh Dr Bhagya Murthy Mr Cheng Kim Liang Ms Chitra Poornima Sathish Ms Chitra Shankar Mr Dick Lee Mr Dixon Chen Family of Feng Yee Family of the late Francis J D'Costa Mr and Mrs George Hicks Dr Gopal Baratham and Dr Ban Kah Choon Mr Gurunathan Manikantan Mdm Ina Zhang Xing Hong Mr Jamal Ismail Ms Jamuna Rangan Ms Janani Ganesh Mdm Joanna Wong Quee Heng Professor John Ernest Gardiner Mr and Mrs John and Cynthia Koh Mr K.T.M.
Iqbal Family of the late Mr Koh Chin Ghee and Mdm Ham Wee Lun Mdm Kwek Ping Cheng Ms Lalitha Subramony Mrs Lalitha Vaidyanathan Dr Lavanya Balachandran Mr Lee Fong Yuen Mr and Mrs Lee Kng Hock Dr Ler Chin Tuan Family of the late Dr Liaw Yock Fang Datuk Seri Lim Chong Keat Family of the late Lim Teck Kim Mdm Loh Kha Teck Mdm Loh Mary and Mr Mak Keen Weng Mr Loo Pak Cheong Dr Meira Chand Mr Ng Khee Choong Mr Nishanth Thiagarajan Ms Nuraliah Norasid Mr Ong Kuan Datin Patricia Lim Pui Huen Mdm Peng Lee Er Ms Punitha Arumugam Mrs Rathi Karthigesu Mr SB Smart Mr Seet Joon Chuah Mr Shankar Rajan Ms Shantha Ratii Mr Sharadh Rajaraman Mr Sim Soo Tee Mdm Soh Shiou Kam Mr Soh Shong Ying Mdm Soong Soei Yin Ms Srividya Sriram Ms Sushma Somasekharan Mr Tan Boen Ho Mr Tan Swie Hian Mr Tay Kheng Soon Family of Tian Liu (Chong Fun Liam) Natya Acharya Mani Guru V. Balakrishnan Mr V M Sai Vigneshwar Ms Vaishnavi Anand (CHETHAS) Ms Verena Tay Mr & Mrs William and Judith Bollinger Mr William Laws Mr Wong Sai Won Family of Mr Wu Chang Sheng Anonymous Donor Organisations/Groups Chung Cheng High School (Main) Dance Ensemble Singapore JTC Corporation (JTC) Neptune Orient Lines Limited / APL Co. Pte Ltd Nrityalaya Aesthetics Society NSL Ltd (formerly known as NatSteel Ltd) Ping Sheh Singapore Singapore Federation of Chinese Clan Associations Singapore Indian Fine Arts Society Singapore Lee Clan General Association Singapore Organisation of Seamen Singapore Polytechnic Sri Warisan Som Said Performing Arts Ltd SRIWANA Tampines Arts Troupe Temple of Fine Arts Tiang Lim Association W!LD RICE LTD Archival Collections Individuals Mr Ivan Loh Mr Sanjay Sharma Ms Sivapriya Ravindran Thayil Mr Kelvin Tan Mr George Hayhurst Mdm Heng Ik Koon Mr Chong Ah Beng Mr Freddie Lee Thiam Hock Mrs Kiang-Koh Lai Lin Ms Kwan Woon Chui Ms Kwok Kin Ho Ms Lee Liang Chian Mr Lee Leng Kiong Mr Tung Poh Fatt Mr Laurence Leong Yow Kee Ms Huang Chi Ling Mdm Tan Lee Kheng Mr Diong Chay Ing Mr Lim Cheng Poh Mr Tng Swee Huat Mr Ho Tat Hung Mr Lee Kok Kong Mr Yeo Kee Heong
 Ms Claire Lim Ms Wong Fong Pheng Wendy Mr Eric G. Cooke Mr Tan Kien Huat Ms Khoo Lay Ping Ms Peng Lee Er Mr Francis Ng Boon Song Ms Margaret Loe Soh Hun Mr Tan Ngan Piang Mr Wong Siew Cheong Mr Soh Chai Drok Steven Mdm Ang Siew Hoon Mr Yit Chin Chuan Mr Jasmin Samat Simon Mr Mun Chor Seng Ms Geraldine Lim Mr Yan Tong Loke Mr Rick Burnett Baker Mr Charles William Debney Mr Chin Kiang Song Ms Christina Lim Ms Dorothy Chan Mr Eelke Wolters Mrs Joan Gorrie Mr N Narayanan Ms Lim Mu Sing Mr Chiang Poh Long Mr Heng Teck Kim Mrs Wilma Begg Mr Eric Chin Mr Lew Wai Meng Ms Choo Cheng Yee Ms Koh Yan Yock Dr Chen Ai Ju Mr Jan Van Den Bogaert Mr Ian Johnson Mr Tan Teck Ling Mr Rick Burgess Mr Saiful Amri Bin Ahmad Elahi Ms Leslie Shaffer Mr S Varathan Ms Jenna Reed Burns Ms Tan Guat Kheng Ms Esther Ang Na Suan Mr Nigel Sumner Mr Lim Eng Guan Mr Koh Kim Chay Ms Andree Elizabeth Gregory REIMAGINING OUR LIBRARIES AND ARCHIVES 27 NATIONAL LIBRARY BOARD ANNUAL REPORT 18/19 Mr Yeo Siew Kean Andy Mr Ivan Goh Mr Sunny Cheok Mr Robert Hebblewhite Mr Duncan Wallace Mr Lim Soon Hoe Organisations/Groups Koufu Pte Ltd Gunong Sayang Association Singapore Chin Kang Huay Kuan Acknowledgement Sponsors of libraries & archives Partners who brought our books to the less priviledged at home & abroad Chinese Children’s Collection in Tampines Regional Library Chou Sing Chu Foundation library@chinatown CP1 Pte Ltd Kwan Im Thong Hood Cho Temple library@harbourfront Mapletree Commercial Trust Mobile Libraries Kwan Im Thong Hood Cho Temple “My Tree House”, The World’s First Green Library for Kids City Developments Limited National Reading Movement: Read for Books Prudential Assurance Company Singapore (Pte) Ltd Scholastic Education International (Singapore) Pte Ltd POSB – NLB Kids’ Lit Quiz™ POSB Charity Book Donation Alzheimer's Disease Association (New Horizon Centre-Tampines) Alzheimer's Disease Association (New Horizon Centre-Toa Payoh) Barker Road Methodist Church Kindergarten Bishan Home for the
 Intellectually Disabled Brahm Centre Limited Bright Vision Hospital Cerebral Palsy Alliance Singapore (Early Intervention) Church of Our Lady of Perpetual Succour Clare Cantabile Consulate – General of the Republic of Singapore – Indonesia (Batam) Consulate – General of the Sultanate of Oman Filos Community Services Ltd High Commission of the Democratic Socialist Republic of Sri Lanka Hougang Sheng Shong Student Care Centre Institute of Mental Health Jamiyah Singapore Kits4Kids Kindergarten Life Community Services Society (Student Care @ Park View Primary School) Life Community Services Society (Student Care @ Sengkang) Life Community Services Society (Student Care @ Yishun) Life Student Care Centre - Happy Meridians Malay Youth Literary Association 4PM Childcare MERCU Learning Point Meththaippalli Vidyalaya (Sri Lanka) Ministry of Home Affairs (MHA) Ministry of Social & Family Development (MSF) Morning Star Community Services Limited Muhammadiyah Welfare Home Nanyang Technological University Hall of Residence OCIP (Tenderhearts) Nanyang Technological University School of Humanities (Overseas Exposure Programme 2019) National University of Singapore Muslim Society National University of Singapore Science Club Project Angel XXII NTUC First Campus Student Care Pte Ltd Pathlight School PPIS Bedok (Tan Chin Tuan Foundation) Presbyterian Community Services Singapore Buddhist Welfare Services Hearty Care Centre Singapore Civil Defence Force Detention Barracks Singapore Management University - Project Touch XI SPD St Andrew's Adult Home (Sengkang) St Andrew's Autism School Tanoto Foundation The Development Bank of Singapore Limited The Learning Grid Pte Ltd The University of the Philippines Diliman Library Thong Kheng Student Care Centre Touch Family Services Limited (Touch Child Care) TS Group Pte Ltd West Coast Community Centre Yayasan MENDAKI YMCA KCC@Oasis Primary School YMCA KCC@Sengkang Green Primary School YMCA KCC@Springdale Primary School YMCA SCC@@De La Salle
 School YMCA SCC@Canberra YMCA SCC@CHIJ Kellock Primary School YMCA SCC@CHIJ Our Lady of Good Counsel YMCA SCC@Choa Chu Kang Primary School YMCA SCC@Gan Eng Seng Primary School YMCA SCC@Greenridge Primary School YMCA SCC@Jurong West 1 YMCA SCC@Jurong West Primary School YMCA SCC@Kuo Chuan Presbyterian Primary School YMCA SCC@Oasis Primary School YMCA SCC@Punggol Waterway YMCA SCC@Rulang Primary School YMCA SCC@Sengkang Green Primary School YMCA SCC@Sengkang Primary School YMCA SCC@Simei YMCA SCC@Springdale Primary School YMCA SCC@St Anthony's Canossian Primary School YMCA SCC@St Anthony's Primary School YMCA SCC@St Margaret's Primary School YMCA SCC@St Stephen's School YMCA SCC@Tao Nan School YMCA SCC@Zhangde Primary School YMCA School REIMAGINING OUR LIBRARIES AND ARCHIVES 28 NATIONAL LIBRARY BOARD ANNUAL REPORT 18/19 Acknowledgement Singapore Girls’ Home (Youth Residential Service by Ministry of Social and Family Development) Thong Kheng Student Care Centre YMCA Student Care @ St. Anthony’s Primary School Project Deliver Me Asian Women’s Welfare Association Disabled People’s Association Handicaps Welfare Association Muscular Dystrophy Association (Singapore) Singapore Association of the Visually Handicapped The Singapore Cheshire Home SPD Community-Owned Libraries and Reading Spaces 4PM Childcare Active Global Active Ageing Hub at Ghim Moh Edge Active Global Active Ageing Hub at Telok Blangah Parcview Admiralty Medical Centre AWWA Rehab & Daycare Center Basic Student Care, Sengkang Beyond Social Services Bukit Merah Community Centre Care Corner Seniors Services Ltd – SAC (W L569A) Changi Airport Group Changi Simei Community Club Covenant Evangelical Church Dornier Med Tech Asia Pte Ltd Enabling Village Jalan Besar Boon Keng Ville Residents Committee Jamiyah Nursing Home (Darul Syifaa) Kwong Wai Shiu Care @ McNair Lakeside Family Services (Kaki Kampong Seniors Wellness Centre) Leng Kee Community Club Mendaki@Choa Chu Kang Naval Base Primary School NTUC Health Active Ageing
 Hub (Kampung Admiralty) NTUC Health SILV ERACE (Boon Lay) NTUC Health SILV ERACE (Bukit Merah) NTUC Health SILV ERACE (Lengkok Bahru) NTUC Health SILV ERACE (Mount Faber) NTUC Health SILV ERACE (Redhill) NTUC Health SILV ERACE (Telok Blangah) OUE Downtown Gallery Pearl’s Hill Care Home Punggol West Citizens’ Consultative Committee Raffles Student Care Learning Centre LLP REACH Seniors Care@ Bukit Gombak Vista Renci Hospital Sengkang Community Hospital Sengkang West Zone K Residents’ Committee Singapore Hokkien Huay Kuan Cultural Academy Singapore Prisons Sree Narayana Mission Nursing Home St Andrew Senior Care (Henderson) St Andrew’s Community Hospital St Luke’s ElderCare Ltd – Marine Parade T-Net Club @ Bukit Merah Taman Jurong Community Club Tembusu Senior Activity Centre (TSAC) THK Seniors Services @ Taman Jurong Tiong Bahru Community Centre Toa Payoh East Zone 5 Residents’ Committee Toa Payoh East Zone 6 Residents’ Committee U lu Pandan Community Club UOL Property Investments Pte Ltd WeLL Centre Wellness Kampung @ 115 c/o Yishun Health Wellness Kampung @ 260 c/o Yishun Health Wisma Geylang Serai WondeRead Ananias Centre (Ang Mo Kio) Ananias Centre (Choa Chu Kang) Ananias Centre (Clementi) Ang Mo Kio Family Service Centre Big Heart Student Care @ Evergreen Primary School Big Heart Student Care @ Innova Primary School Big Heart Student Care @ Lianhua Primary School Big Heart Student Care @ Unity Primary School Chen Su Lan Methodist Children’s Home Children’s Wishing Well Ernst & Young LLP Hanbaobao Pte.
Ltd. (Licensee of McDonald’s) Hearty Care Centre Hougang Sheng Hong Student Care Centre Lakeside Family Services (Jurong East Centre) Lakeside Family Services (Jurong West Centre) Land Transport Authority Life Student Care Centre @ Ahmad Ibrahim Primary School Mediacorp Pte Ltd Morning Star Community Services Prudential Assurance Company Singapore (Pte) Ltd ReadAble Ltd Singapore Boys’ Home (Youth Residential Service by Ministry of Social and Family Development) REIMAGINING OUR LIBRARIES AND ARCHIVES 29 NATIONAL LIBRARY BOARD ANNUAL REPORT 18/19 Corporate Governance Corporate Governance REIMAGINING OUR LIBRARIES AND ARCHIVES 30 NATIONAL LIBRARY BOARD ANNUAL REPORT 18/19 Corporate Governance The National Library Board (NLB) is established under the National Library All NLB staﬀ also uphold public trust by complying with a Code of Ethics and Board Act (Chapter 197) and is governed by the statutory functions and Conduct.
NLB staﬀ are empowered to report potential ethical breaches constitution set out in the NLB Act.

A Board comprising the Chairman and conﬁdentially to the Board’s Establishment Committee.

16 non-executive members from sectors such as academia, the ﬁnance and social sectors, and public institutions, guides NLB in the performance As a charity, NLB adheres to the recommended guidelines set out in the Code of of its functions to the public.
With their diverse backgrounds and Governance for Charities and Institutions of Public Character proposed by the experience, members of the Board are well placed to provide NLB with Charity Council (the Code).

NLB openly discloses its corporate governance strategic leadership as well as to put in place eﬀective controls to meet practices covering board governance, conﬂict of interest policy and other relevant the highest standards of governance.
There is also one observer from the governance practices and controls on an annual basis.

Any deviations from the Ministry of Communications and Information.

Code are also explained as part of this annual submission.

NLB continually seeks to improve governance to maintain the trust and conﬁdence of our stakeholders.
The Board reviews and oversees NLB’s plans, performance and policies; ensures accountability in its operations; and develops mechanisms for The members of the Board are paid allowances based on a tiered structure, which gathering and responding to stakeholders’ feedback.

Board members takes into consideration the diﬀerent workload and responsibilities held by the helm seven committees.

These are: the Audit and Risk Committee, the various members.
Twelve of our Board members receive an annual allowance of Establishment Committee, the Finance Committee, the National Library between $10,000 and $25,000, while ﬁve members receive an annual allowance of Advisory Committee, the Public Library Advisory Committee, the less than $10,000.

The annual remuneration of our four highest paid executives is Innovation & Technology Advisory Committee and the National Archives between $300,000 and $600,000.
This comprises their salary, bonus, beneﬁts and Advisory Committee.

employers’ CPF contributions.

An Internal Audit Unit further strengthens NLB’s corporate governance.

NLB manages its reserves proactively to ensure funding sustainability for Reporting directly to the Chairman of the Audit and Risk Committee and operating expenditure as well as long term commitments.
The quantum of administratively to the Chief Executive Oﬀicer, the Internal Audit Unit minimum and maximum cash reserve, taking into account working capital needs reviews the adequacy and eﬀectiveness of NLB’s internal control system.

and long-term commitments, is reviewed and approved annually by the Finance This includes evaluating policies, procedures and systems to assess the Committee of the Board.
Our Board regularly reviews our ﬁnancial results and integrity of ﬁnancial and operating information, compliance with laws position via quarterly management reports.

The cash reserve as at the balance and regulations, and economical and eﬀicient use of resources.

sheet date was below one year’s annual expenditure.

REIMAGINING OUR LIBRARIES AND ARCHIVES 29 31 NATIONAL LIBRARY BOARD ANNUAL REPORT 18/19 100 Victoria Street #14-01, Singapore 188064 www.nlb.gov.sg All rights reserved.
National Library Board Singapore ISSN 2424-9394 1 1 NATIONAL LIBRARY BOARD AND ITS SUBSIDIARIES Contents Index Page Statement by Board Members Independent Auditor’s Report Statements of Financial Position Statements of Comprehensive Income Statements of Changes in Equity Consolidated Statement of Cash Flows Notes to the Financial Statements 1 2 6 8 10 12 13 2 3 NATIONAL LIBRARY BOARD AND ITS SUBSIDIARIES National Library Board and its subsidaries Statement by board members For the financial year ended 31 March 2019 In our opinion, (a) (b) (c) the accompanying financial statements of the National Library Board (the “Board”) and its subsidiaries (collectively, the “Group”) are properly drawn up in accordance with the provisions of the Public Sector (Governance) Act 2018 (Act 5 of 2018) (the “PSG Act”), National Library Board Act (Chapter 197) (the “NLB Act”), Singapore Charities Act (Chapter 37) and other relevant regulations (the “Charities Act and Regulations”) and Singapore Statutory Board Financial Reporting Standards (“SB-FRS”) so as to present fairly, in all material respects, the financial position of the Group and of the Board as at 31 March 2019 and the financial performance and changes in equity of the Group and the Board and cash flows of the Group for the financial year then ended on that date; the receipts, expenditure and investment of moneys and the acquisition and disposal of assets by the Board during the financial year have been in accordance with the provisions of the PSG Act and the NLB Act; and proper accounting and other records have been kept, including records of all assets of the Board whether purchased, donated or otherwise.
The Members of the Board have, on the date of this statement, authorised these financial statements for issue.
On behalf of the Board, Chan Heng Kee Chairman 20 June 2019 Elaine Ng Chief Executive Officer 20 June 2019 1 1 2 NATIONAL LIBRARY BOARD AND ITS SUBSIDIARIES Independent auditor’s report For the financial year ended 31 March 2019 Independent auditor’s report For the financial year ended 31 March 2019 Independent auditor’s report to the members of the board of the National Library Board Independent auditor’s report to the members of the board of the National Library Board Report on the audit of the financial statements (cont’d) Report on the audit of the financial statements (cont’d) Opinion Responsibilities of management and those charged with governance for the financial statements We have audited the financial statements of the National Library Board (the “Board”) and its subsidiaries (collectively, the “Group”), which comprise the statements of financial position of the Group and the Board as at 31 March 2019, the statements of comprehensive income and the statements of changes in equity of the Group and the Board and the consolidated statement of cash flows of the Group for the year then ended, and notes to the financial statements, including a summary of significant accounting policies.
In our opinion, the accompanying consolidated financial statements of the Group, the statement of financial position, statement of comprehensive income and statement of changes in equity of the Board are properly drawn up in accordance with the provisions of the Public Sector (Governance) Act 2018 (Act 5 of 2018) (the “PSG Act”), the National Library Board Act (Chapter 197) (the “NLB Act”), the Singapore Charities Act (Chapter 37) and other relevant regulations (the “Charities Act and Regulations”) and Singapore Statutory Board Financial Reporting Standards (“SB-FRS”) so as to give a true and fair view of the financial position of the Group and the Board as at 31 March 2019 and of the financial performance and changes in equity of the Group and the Board and cash flows of the Group for the year ended on that date.
Basis for opinion We conducted our audit in accordance with Singapore Standards on Auditing (“SSAs”).

Our responsibilities under those standards are further described in the Auditor’s Responsibilities for the Audit of the Financial Statements section of our report.
We are independent of the Group in accordance with the Accounting and Corporate Regulatory Authority (“ACRA”) Code of Professional Conduct and Ethics for Public Accountants and Accounting Entities (“ACRA Code”) together with the ethical requirements that are relevant to our audit of the financial statements in Singapore, and we have fulfilled our other ethical responsibilities in accordance with these requirements and the ACRA Code.
We believe that the audit evidence Management is responsible for the preparation of financial statements to give a true and fair view in accordance with the provisions of the PSG Act, the NLB Act, the Charities Act and Regulations and SB-FRS, and for such internal controls as management determines is necessary to enable the preparation of financial statements that are free from material misstatement, whether due to fraud or error.
A statutory board is constituted based on its constitutional act and its dissolution requires Parliament’s approval.

In preparing the financial statements, management is responsible for assessing the Group’s ability to continue as a going concern, disclosing, as applicable, matters related to going concern and using the going concern basis of accounting unless there is intention to wind up the Group or for the Group to cease operations.
Those charged with governance are responsible for overseeing the Group’s financial reporting process.

Auditor’s responsibilities for the audit of the financial statements Our objectives are to obtain reasonable assurance about whether the financial statements as a whole are free from material misstatement, whether due to fraud or error, and to issue an auditor’s report that includes our opinion.
Reasonable assurance is a high level of assurance, but is not a guarantee that an audit conducted in accordance with SSAs will always detect a material misstatement when it exists.

Misstatements can arise from fraud or error and are considered material if, individually or in the aggregate, they could reasonably be expected to influence the economic decisions of users taken on the basis of these financial statements.

we have obtained is sufficient and appropriate to provide a basis for our opinion.
As part of an audit in accordance with SSAs, we exercise professional judgement and maintain professional scepticism throughout the audit.

We also: Other information Identify and assess the risks of material misstatement of the financial statements, whether due to fraud or error, design and perform audit procedures responsive to those risks, and obtain audit evidence that is sufficient and Management is responsible for the other information.
The other information comprises the Statement by Board Members appropriate to provide a basis for our opinion.

The risk of not detecting a material misstatement resulting from set out on page 1.

Our opinion on the financial statements does not cover the other information and we do not express any form of assurance conclusion thereon.

fraud is higher than for one resulting from error, as fraud may involve collusion, forgery, intentional omissions, misrepresentations, or the override of internal control.
Obtain an understanding of internal control relevant to the audit in order to design audit procedures that are appropriate in the circumstances, but not for the purpose of expressing an opinion on the effectiveness of the Group’s In connection with our audit of the financial statements, our responsibility is to read the other information and, in doing so, internal control.
consider whether the other information is materially inconsistent with the financial statements or our knowledge obtained in the audit or otherwise appears to be materially misstated.

If, based on the work we have performed, we conclude that there is a material misstatement of this other information, we are required to report that fact.

We have nothing to report in this regard.


Evaluate the appropriateness of accounting policies used and the reasonableness of accounting estimates and related disclosures made by management.
2 3 NATIONAL LIBRARY BOARD AND ITS SUBSIDIARIES Independent auditor’s report For the financial year ended 31 March 2019 Independent auditor’s report For the financial year ended 31 March 2019 Independent auditor’s report to the members of the board of the National Library Board Independent auditor’s report to the members of the board of the National Library Board Report on the audit of the financial statements (cont’d) Report on the audit of the financial statements (cont’d) Auditor’s responsibilities for the audit of the financial statements (cont’d) Conclude on the appropriateness of management’s use of the going concern basis of accounting and, based on the audit evidence obtained, whether a material uncertainty exists related to events or conditions that may cast significant doubt on the Group’s ability to continue as a going concern.
If we conclude that a material uncertainty exists, we are required to draw attention in our auditor’s report to the related disclosures in the financial statements or, if such disclosures are inadequate, to modify our opinion.

Our conclusions are based on the audit evidence obtained up to the date of our auditor’s report.

However, future events or conditions may cause the Group to cease to continue as a going concern.
Evaluate the overall presentation, structure and content of the financial statements, including the disclosures, and whether the financial statements represent the underlying transactions and events in a manner that achieves fair presentation.

Obtain sufficient appropriate audit evidence regarding the financial information of the entities or business activities within the Group to express an opinion on the consolidated financial statements.
We are responsible for the direction, supervision and performance of the group audit.

We remain solely responsible for our audit opinion.

We communicate with the management and those charged with governance regarding, among other matters, the planned scope and timing of the audit and significant audit findings, including any significant deficiencies in internal control that we identify during our audit.
Report on other legal and regulatory requirements Opinion In our opinion: (a) the receipts, expenditure and investment of moneys and the acquisition and disposal of assets by the Board during the financial year are, in all material respects, in accordance with the provisions of the PSG Act, the NLB Act and the requirements of any other written law applicable to moneys of or managed by the Board.
(b) proper accounting and other records have been kept, including records of all assets of the Board and of the subsidiaries incorporated in Singapore of which we are the auditors, whether purchased, donated or otherwise.

Report on other legal and regulatory requirements (cont’d) Basis for opinion We concluded our audit in accordance with SSAs.

Our responsibilities under those standards are further described in the Auditor’s Responsibilities for the Compliance Audit section of our report.
We are independent of the Board in accordance with the ACRA Code together with the ethical requirements that are relevant to our audit of the financial statements in Singapore, and we have fulfilled our ethical responsibilities in accordance with these requirements and the ACRA Code.

We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our opinion on management’s compliance.
Responsibilities of management for compliance with legal and regulatory requirements Management is responsible for ensuring that the receipts, expenditure, investment of moneys and the acquisition and disposal of assets, are in accordance with the provisions of the PSG Act, the NLB Act and the requirements of any other written law applicable to moneys of or managed by the Board.
This responsibility includes monitoring related compliance requirements relevant to the Board, and implementing internal controls as management determines are necessary to enable compliance with the requirements.

Auditor’s responsibilities for the compliance audit Our responsibility is to express an opinion on management’s compliance based on our audit of the financial statements.
We planned and performed the compliance audit to obtain reasonable assurance about whether the receipts, expenditure, investment of moneys and the acquisition and disposal of assets, are in accordance with the provisions of the PSG Act, the NLB Act and the requirements of any other written law applicable to moneys of or managed by the Board.
Our compliance audit includes obtaining an understanding of the internal control relevant to the receipts, expenditure, investment of moneys and the acquisition and disposal of assets; and assessing the risks of material misstatement of the financial statements from non-compliance, if any, but not for the purpose of expressing an opinion on the effectiveness of the Group’s internal control.
Because of the inherent limitations in any accounting and internal control system, non- compliances may nevertheless occur and not be detected.
During the course of our audit, nothing has come to our attention that causes us to believe that during the financial year: (a) the Library Fund has not used the donation moneys in accordance with its objectives as required under Regulation 11 of the Charities (Institutions of a Public Character) Regulations; and (b) the Library Fund has not complied with the requirements of Regulation 15 of the Charities (Institutions of a Public Ernst & Young LLP Public Accountants and Chartered Accountants Singapore 20 June 2019 Character) Regulations.
4 5 NATIONAL LIBRARY BOARD AND ITS SUBSIDIARIES Consolidated statement of financial position As at 31 March 2019 Statement of financial position As at 31 March 2019 Group Note 2018/2019 2017/2018 $ $ Board Note 2018/2019 2017/2018 $ $ Equity Capital account Heritage reserves Accumulated surplus - General funds - Restricted funds Total equity Non-current assets Property, plant and equipment Heritage assets Restricted cash and deposits Current assets Investment securities at fair value through profit or loss Trade and other receivables Derivative financial instruments Development grants receivables Cash and cash equivalents 613,289,963 18,299,168 5,334,049 65,195,685 585,688,570 17,349,090 18,878,339 65,397,634 Equity Capital account Heritage reserves Accumulated surplus - General funds - Restricted funds 702,118,865 687,313,633 Total equity 4 6 7 9 6 15(b) 11 12 14 18 356,152,249 18,299,168 484,855 352,852,714 17,349,090 – 374,936,272 370,201,804 446,692,189 7,315,005 – – 455,751,902 11,647,968 57,115 227,537 15(a) 130,165,820 143,021,993 584,173,014 610,706,515 Non-current assets Property, plant and equipment Heritage assets Investments in subsidiaries Current assets Investment securities at fair value through profit or loss Trade and other receivables Derivative financial instruments Development grants receivables Cash and cash equivalents Total assets 959,109,286 980,908,319 Total assets Current liabilities Derivative financial instruments Trade and other payables Provision for retirement benefits Development grants received in advance Deferred capital grants Non-current liabilities Provision for retirement benefits Deferred capital grants Total liabilities Net assets 14 16 17 18 19 17 19 26,572 65,554,959 437,207 29,250 – 92,437,761 200,496 – Current liabilities Derivative financial instruments Trade and other payables Provision for retirement benefits Development grants received in advance 13,298,907 14,022,641 Deferred capital grants 79,346,895 106,660,898 4,913,490 172,730,036 5,488,769 181,445,019
 177,643,526 186,933,788 Non-current liabilities Provision for retirement benefits Deferred capital grants 256,990,421 293,594,686 Total liabilities 702,118,865 687,313,633 Net assets – – 454,977,527 11,257,994 57,115 227,537 126,897,668 140,515,987 580,429,488 607,036,160 954,634,368 976,996,800 26,572 64,874,373 437,207 29,250 – 92,091,601 200,496 – 13,298,907 14,022,641 78,666,309 106,314,738 4,913,490 172,730,036 5,488,769 181,445,019 177,643,526 186,933,788 256,309,835 293,248,526 698,324,533 683,748,274 Net assets of trust fund 8 – 1,975 Net assets of trust fund 8 – 1,975 The accompanying accounting policies and explanatory notes form an integral part of the financial statements.
6 7 NATIONAL LIBRARY BOARD AND ITS SUBSIDIARIES Consolidated statement of comprehensive income For the financial year ended 31 March 2019 Group Income Consultancy and other services Professional library services Rental income Book fines and lost book charges Interest income Library services and programmes Membership fees Investment income Other income Donations1 Expenditure Manpower and staff welfare Depreciation of property, plant and equipment Books, periodicals, films and serials General and administrative expenses Maintenance and other property expenses Rental expenses Agency and other professional fees Other expenses Allowance for expected credited losses of book fines and lost book charges (Deficit)/surplus before grants Grants Operating grants Deferred capital grants amortised (Deficit)/surplus for the financial year before tax Income tax expense Net (deficit)/surplus for the financial year Other comprehensive income Re-measurement loss on defined benefit pension plan General funds Restricted funds Total Note 2018/2019 $ 2017/2018 $ 2018/2019 $ 2017/2018 $ 2018/2019 $ 2017/2018 $ – – – – 129,879 – – 918,845 – 871,582 – – – – 97,980 – – 1,617,875 – 649,604 5,620,890 3,124,307 5,667,788 2,690,972 1,606,116 903,598 869,223 8,763,758 1,356,948 1,124,048 4,817,847 2,930,038 6,343,233 2,889,037 1,402,890 1,151,856 785,355 14,634,819 1,391,205 1,932,842 29,807,342 35,913,663 1,920,306 2,365,459 31,727,648 38,279,122 (105,730,948) (49,944,187) (24,291,069) (50,174,981) (37,814,877) (13,594,376) (16,080,901) (8,871,346) (425,765) (104,141,992) (37,840,628) (27,941,160) (55,754,285) (23,541,951) (25,629,304) (16,618,204) (14,963,262) (481,096) (14,375) (698,047) (105,402) (636,778) (242,103) (1,914) (352,945) (70,691) – (14,212) (657,323) (170,450) (605,803) (118,755) (178,846) (407,282)
 (71,058) – (105,745,323) (50,642,234) (24,396,471) (50,811,759) (38,056,980) (13,596,290) (16,433,846) (8,942,037) (425,765) (104,156,204) (38,497,951) (28,111,610) (56,360,088) (23,660,706) (25,808,150) (17,025,486) (15,034,320) (481,096) (306,928,450) (306,911,882) (2,122,255) (2,223,729) (309,050,705) (309,135,611) (277,121,108) (270,998,219) (201,949) 141,730 (277,323,057) (270,856,489) 250,067,912 14,602,417 246,441,261 14,768,838 264,670,329 261,210,099 (12,450,779) – (9,788,120) – (12,450,779) (9,788,120) – – – (201,949) – (201,949) – – – – – 141,730 – 141,730 – – 250,067,912 14,602,417 246,441,261 14,768,838 264,670,329 261,210,099 (12,652,728) – (9,646,390) – (12,652,728) (9,646,390) (143,433) (143,433) – – Total other comprehensive income for the financial year (143,433) 17 (143,433) – – Total comprehensive income for the financial year (12,594,212) (9,788,120) (201,949) 141,730 (12,796,161) (9,646,390) 1 Of the total donations received, $1,357,635 (2017/2018: $643,575) relate to tax-deductible donations.
This includes cash donations received under The Library Fund (“TLF”) amounting to $1,348,323 (2017/2018: $649,604) of which $476,741 were being accounted for as deferred income as disclosed under Note 7(c) of the financial statements.

The deferred income represents unutilised donations as at 31 March 2019 available for use in the following financial year.

The accompanying accounting policies and explanatory notes form an integral part of the financial statements.
8 NATIONAL LIBRARY BOARD AND ITS SUBSIDIARIES Statement of comprehensive income For the financial year ended 31 March 2019 Board Income Consultancy and other services Professional library services Rental income Book fines and lost book charges Interest income Library services and programmes Membership fees Investment income Other income Donations2 Expenditure Manpower and staff welfare Depreciation of property, plant and equipment Books, periodicals and serials General and administrative expenses Maintenance and other property expenses Rental expenses Agency and other professional fees Other expenses Allowance for expected credit losses of book fines and lost book charges (Deficit)/surplus before grants Grants Operating grants Deferred capital grants amortised (Deficit)/surplus for the financial year before tax Income tax expense General funds Restricted funds Total Note 2018/2019 $ 2017/2018 $ 2018/2019 $ 2017/2018 $ 2018/2019 $ 5,563,518 1,795,904 5,857,307 2,690,972 1,432,920 903,598 869,223 7,849,676 862,418 240,240 4,789,641 1,698,117 6,433,298 2,889,037 1,261,423 1,151,856 785,355 13,015,069 1,011,368 1,281,838 28,065,776 34,317,002 (104,204,508) (49,808,020) (23,161,912) (49,483,971) (37,809,981) (13,677,244) (15,978,207) (10,866,249) (425,765) (102,824,440) (37,747,136) (26,521,932) (55,198,779) (23,523,116) (25,629,303) (16,513,090) (16,259,418) (481,096) – – – – 129,879 – – 918,845 – 871,582 1,920,306 (14,375) (698,047) (105,402) (636,778) (242,103) (1,914) (352,945) (70,691) – 2017/2018 $ 4,789,641 1,698,117 6,433,298 2,889,037 1,359,403 1,151,856 785,355 14,632,944 1,011,368 1,931,442 – – – – 97,980 – – 1,617,875 – 649,604 5,563,518 1,795,904 5,857,307 2,690,972 1,562,799 903,598 869,223 8,768,521 862,418 1,111,822 2,365,459 29,986,082 36,682,461 (14,212) (657,323) (170,450) (605,803) (118,755) (178,846) (407,282) (71,058) – (104,218,883) (50,506,067) (23,267,314) (50,120,749) (38,052,084) (13,679,158) (16,331,152) (10,936,940) (425,765) (102,838,652) (38,404,459) (26,692,382) (55,804,582)
 (23,641,871) (25,808,149) (16,920,372) (16,330,476) (481,096) (305,415,857) (304,698,310) (2,122,255) (2,223,729) (307,538,112) (306,922,039) (277,350,081) (270,381,308) (201,949) 141,730 (277,552,030) (270,239,578) 250,067,912 14,602,417 246,441,261 14,768,838 264,670,329 261,210,099 – – – – – – 250,067,912 14,602,417 246,441,261 14,768,838 264,670,329 261,210,099 (12,679,752) – (9,171,209) – (201,949) – 141,730 – (12,881,701) – (9,029,479) – 25 25 25 25 25 22 20 9 13 21 19 23 Net (deficit)/surplus for the financial year (12,679,752) (9,171,209) (201,949) 141,730 (12,881,701) (9,029,479) Other comprehensive income Re-measurement loss on defined benefit pension plan Total other comprehensive income for the financial year Total comprehensive income for the financial year 17 (143,433) (143,433) (12,823,185) – – – – – – (9,171,209) (201,949) 141,730 (143,433) (143,433) (13,025,134) – – (9,029,479) 2 During the financial year, The Library Fund (“TLF”) received cash donations amounting to $1,348,323 (2017/2018: $649,604) of which $476,741 were being accounted for as deferred income as disclosed under Note 7(c) of the financial statements.
The deferred income represents unutilised donations as at 31 March 2019 available for use in the following financial year.

The accompanying accounting policies and explanatory notes form an integral part of the financial statements.
9 NATIONAL LIBRARY BOARD AND ITS SUBSIDIARIES Consolidated statement of changes in equity For the financial year ended 31 March 2019 Group At 1 April 2017 Net (deficit)/surplus for the financial year Total comprehensive income for the financial year Dividends paid Issuance of shares Transfer to heritage reserves At 31 March 2018 At 1 April 2018 Net deficit for the financial year Re-measurement loss on defined benefit pension plan Total comprehensive income for the financial year Issuance of shares Transfer to heritage reserves At 31 March 2019 Capital account Accumulated surplus Note Establishment account Equity financing account $ $ Heritage reserves $ General funds $ 10,334,137 426,282,126 11,950,430 35,555,119 Restricted funds $ (Note 7) 65,255,904 Total $ 549,377,716 5 5 6 17 5 6 – – – – – – – – 149,072,307 – – – – (9,788,120) 141,730 (9,646,390) (9,788,120) (1,490,000) – 141,730 – – – (9,646,390) (1,490,000) 149,072,307 – – 5,398,660 (5,398,660) 10,334,137 575,354,433 17,349,090 18,878,339 65,397,634 687,313,633 10,334,137 575,354,433 17,349,090 18,878,339 65,397,634 687,313,633 – – – – – – – – 27,601,393 – – – – – (12,450,779) (143,433) (201,949) – (12,594,212) (201,949) 950,078 (950,078) – – – (12,652,728) (143,433) (12,796,161) 27,601,393 – 10,334,137 602,955,826 18,299,168 5,334,049 65,195,685 702,118,865 The accompanying accounting policies and explanatory notes form an integral part of the financial statements.
10 NATIONAL LIBRARY BOARD AND ITS SUBSIDIARIES Statement of changes in equity For the financial year ended 31 March 2019 Board At 1 April 2017 Net (deficit)/surplus for the financial year Total comprehensive income for the financial year Dividends paid Issuance of shares Transfer to heritage reserves At 31 March 2018 At 1 April 2018 Net deficit for the financial year Re-measurement loss on defined benefit pension plan Total comprehensive income for the financial year Issuance of shares Transfer to heritage reserves Capital account Accumulated surplus Note Establishment account Equity financing account $ $ Heritage reserves $ General funds $ 10,334,137 426,282,126 11,950,430 31,372,849 Restricted funds $ (Note 7) 65,255,904 Total $ 545,195,446 – – – – – – – – 149,072,307 – – – – (9,171,209) 141,730 (9,029,479) (9,171,209) (1,490,000) – 141,730 – – – (9,029,479) (1,490,000) 149,072,307 – – 5,398,660 (5,398,660) 10,334,137 575,354,433 17,349,090 15,312,980 65,397,634 683,748,274 10,334,137 575,354,433 17,349,090 15,312,980 65,397,634 683,748,274 – – – – – – – – 27,601,393 – – – – – (12,679,752) (143,433) (201,949) – (12,823,185) (201,949) 950,078 (950,078) – – – (12,881,701) (143,433) (13,025,134) 27,601,393 – 5 5 6 17 5 6 At 31 March 2019 10,334,137 602,955,826 18,299,168 1,539,717 65,195,685 698,324,533 The accompanying accounting policies and explanatory notes form an integral part of the financial statements.
11 NATIONAL LIBRARY BOARD AND ITS SUBSIDIARIES Consolidated statement of cash flows For the financial year ended 31 March 2019 Cash flows from operating activities Deficit before grants and before tax Adjustments for: Depreciation of property, plant and equipment Interest income from fixed deposits with banks Investment income - net Fund management fees Retirement benefits Gain on disposal of property, plant and equipment Property, plant and equipment written off Donation in kind received Allowance for expected credit losses Group Note 2018/2019 $ 2017/2018 $ (277,323,057) (270,856,489) 9 22 20 13 50,642,234 (1,629,161) (8,763,758) 191,273 116,015 (8,985) 222,530 (207,507) 425,765 38,497,951 (1,420,595) (14,634,819) 196,312 131,286 (5,011) 105,765 (1,267,137) 481,096 Deficit before changes in working capital (236,334,651) (248,771,641) Changes in working capital: Trade and other receivables Trade and other payables Derivative financial instruments Cash used in operating activities Retirement benefits paid 4,113,857 (27,736,155) 83,687 132,143 24,533,407 468,614 (259,873,262) (223,637,477) 17(a) (598,016) (189,677) Notes to the financial statements For the financial year ended 31 March 2019 1.
General information The National Library Board (the “Board”) was established on 1 September 1995 under the National Library Board Act (Chapter 197) (the “NLB Act”).

The address of its registered office and principal place of operations is at 100 Victoria Street, #14-01, Singapore 188064.

The Board is subjected to the control of its supervisory ministry, Ministry of Communications and Information (“MCI”).
The Board is required to follow the policies and instructions issued from time to time by MCI and other government ministries and departments such as the Ministry of Finance (“MOF”).

The Board is also subjected to the provisions of the Public Sector (Governance) Act 2018 (Act 5 of 2018) (the “PSG Act”).

With effect from 1 November 2012, the National Archives of Singapore (“NAS”) was transferred from National Heritage Board to National Library Board.
The Board is also registered as a charity (Unique Entity No: T08GB0037J) under the Charities Act (Chapter 37) since 16 September 2002.
The principal activities of the Board are: (a) to establish and maintain libraries, and provide library information services; (b) to promote reading and encourage learning through the use of libraries and their services; (c) to provide a repository for library materials published in Singapore; Net cash flows used in operating activities (260,471,278) (223,827,154) (d) to acquire and maintain a comprehensive collection of library materials relating to Singapore and its people; Cash flows from investing activities Funds withdrawn from/(placed with) fund managers Purchases of property, plant and equipment Purchases of heritage assets Proceeds from disposal of property, plant and equipment Proceeds from disposal of investment securities 11 Interest income received 18,000,000 (53,310,946) (742,571) 8,985 769,612 1,245,892 (88,000,000) (58,101,829) (537,404) 5,011 – 1,723,594 Net cash flows used in investing activities (34,029,028) (144,910,628) Cash flows from financing activities Government grants received Dividends paid Proceeds from equity financing Increase in restricted cash and deposits 5 5 15(b) 255,703,246 – 26,951,393 (484,855) 255,936,061 (1,490,000) 148,192,307 – Net cash flows from financing activities 282,169,784 402,638,368 Net (decrease)/increase in cash and cash equivalents Cash and cash equivalents at beginning of the financial year (12,330,522) 33,900,586 142,098,203 108,197,617 Cash and cash equivalents at end of the financial year 15(a) 129,767,681 142,098,203 The accompanying accounting policies and explanatory notes form an integral part of the financial statements.
(e) to establish standards for the training of library personnel in Singapore; (f) to provide advisory and consultancy services concerning libraries and library information services; (g) to compile and maintain a national union catalogue and a national bibliography; (h) to advise the Government on national needs and policies in respect of matters relating to publicly-funded libraries and library information services in Singapore; (i) to provide a permanent repository of records of national or historical significance and to facilitate access to those records; (j) to conduct records management programmes for the Government; and (k) to record, preserve and disseminate the history of Singapore through oral history methodology or other means.
There have been no significant changes in the nature of these activities during the financial year.

The consolidated financial statements relate to the Group.

The principal activities of the subsidiaries are disclosed in Note 10 to the financial statements.

12 13 NATIONAL LIBRARY BOARD AND ITS SUBSIDIARIES Notes to the financial statements For the financial year ended 31 March 2019 2.
Summary of significant accounting policies 2.1 Basis of accounting The financial statements have been prepared in accordance with the historical cost basis, except as disclosed in the accounting policies below, and are drawn up in accordance with the provisions of the PSG Act, the NLB Act, Singapore Statutory Board Financial Reporting Standards (“SB-FRS”), including Interpretation of SB-FRS (“INT SB- FRS”) and SB-FRS Guidance Notes.
2.2 Adoption of new and revised standards On 1 April 2018, the Group adopted all the new and revised SB-FRSs and INT SB-FRS and SB-FRS Guidance Notes that are effective for annual periods beginning on or after 1 April 2018 and relevant to its operations.
The adoption of these new and revised SB-FRSs, INT SB-FRSs and SB-FRS Guidance Notes, including SB-FRS 109 Financial Instruments and SB-FRS 115 Revenue from Contracts with Customers, did not result in changes to the Group’s and the Board’s accounting policies and did not have any material effect on the financial performance or position of the Group.
The Group has not adopted the following standards applicable to the Group that have been issued but not yet effective: Description SB-FRS 116 Leases SB-FRS Guidance Note 1 Accounting and Disclosure for Funds, Grants, Accumulated Surplus and Reserves Effective for annual periods beginning on or after 1 January 2019 1 January 2019 Management has considered and is of the view that the adoption of the above standards that were issued as at the date of authorisation of these financial statements but not effective until future periods will have no material impact on the financial statements of the Group in the period of their initial adoption except for SB-FRS 116.
The nature of the impending changes in accounting policy on adoption of SB-FRS 116 is described below.

SB-FRS 116 Leases SB-FRS 116 will result in almost all leases being recognised on the balance sheet, as the distinction between operating and finance leases is removed.

Under the new standard, a lessee recognises a right-of-use (“ROU”) asset representing its right to use the leased item and a lease liability representing its obligation to make lease payments.
The only exemptions are short-term and low-value leases.

The accounting for lessors will not change significantly.

The Group plans to adopt the new standard on the required effective date, using the modified retrospective approach.

The Group expects to choose to measure the ROU assets for its leases at amounts equal to their lease liabilities, adjusted by the amount of any prepaid or accrued lease payments recognised in the statement of financial position immediately before 1 April 2019.
Accordingly, the Group does not expect any impact to the opening retained earnings as at 1 April 2019.

Notes to the financial statements For the financial year ended 31 March 2019 2.

Summary of significant accounting policies (cont’d) 2.2 Adoption of new and revised standards (cont’d) SB-FRS 116 Leases (cont’d) Non-cancellable operating lease commitments of the Group amounted to $77.3 million as at 31 March 2019 and are disclosed in Note 26(a) to the financial statements.
Under SB-FRS 116, all non-cancellable lease obligations other than those that fall within the exemptions for leases which are short-term and of low-value assets will be recognised as liabilities concurrently with the recognition of ROU assets.

The new standard also introduces expanded disclosure requirements and changes in presentation.

The Group has performed a preliminary impact assessment and expects that the adoption of SB-FRS 116 will result in an increase in total assets and total liabilities.
2.3 Basis of consolidation The consolidated financial statements comprise the financial statements of the Board and its subsidiaries as at the end of the reporting period.

The financial statements of the subsidiaries used in the preparation of the consolidated financial statements are prepared for the same reporting date as the Board.

Consistent accounting policies are applied to like transactions and events in similar circumstances.
All intra-group balances, income and expenses and unrealised gains and losses resulting from intra-group transactions are eliminated in full.

Subsidiaries are consolidated from the date of acquisition, being the date on which the Group obtains control, and continue to be consolidated until the date that such control ceases.

2.4 Foreign currency The financial statements are presented in Singapore Dollars (“SGD”), which is also the Board’s functional currency.
Each entity in the Group determines its own functional currency and items included in the financial statements of each entity are measured using that functional currency.

Transactions and balances Transactions in foreign currencies are measured in the respective functional currencies of the Board and its subsidiaries and are recorded on initial recognition in the functional currencies at exchange rates approximating those ruling at the transaction dates.
Monetary assets and liabilities denominated in foreign currencies are translated at the rate of exchange ruling at the end of the reporting period.

Non-monetary items that are measured in terms of historical cost in a foreign currency are translated using the exchange rates as at the dates of the initial transactions.

Non-monetary items measured at fair value in a foreign currency are translated using the exchange rates at the date when the fair value was measured.
Exchange differences arising on the settlement of monetary items or on translating monetary items at the end of the reporting period are recognised in profit or loss.

14 15 NATIONAL LIBRARY BOARD AND ITS SUBSIDIARIES Notes to the financial statements For the financial year ended 31 March 2019 Notes to the financial statements For the financial year ended 31 March 2019 2.

Summary of significant accounting policies (cont’d) 2.
5 Property, plant and equipment 2.6 Heritage assets All items of property, plant and equipment are initially recorded at cost.

Subsequent to recognition, property, plant and equipment are measured at cost less accumulated depreciation and any accumulated impairment losses.
The cost of an item of property, plant and equipment initially recognised includes its purchase price and any cost that is directly attributable to bringing the asset to the location and condition necessary for it to be capable of operating in the manner intended by management.

The projected cost of dismantlement, removal or restoration is also recognised as part of the cost of property, plant and equipment if such obligation is incurred as a consequence of acquiring the asset or use of the assets.
Purchased software that is integral to the functionality of the related equipment is capitalised as part of that equipment.

Structural and development costs allocated under co-location projects for certain libraries are included under “shared building cost, building improvements and renovation”.
Depreciation is computed on a straight-line basis over the estimated useful lives of the assets as follows: Leasehold premises Motor vehicles Shared building costs, building improvements and renovation Furniture and fittings Office equipment Computer hardware and software - - - - - - Useful lives 30 to 60 years 5 years 5 years or lease period whichever is shorter 5 years 5 years 4 years Works-of-art are not depreciated and are carried at cost, less any accumulated impairment loss.
Projects-in-progress are not depreciated as these assets are not yet available for use.

Leased assets are depreciated over the shorter of the lease term or their useful lives unless it is reasonably certain that the Group will obtain ownership by end of the lease term.

The carrying values of property, plant and equipment are reviewed for impairment when events or changes in circumstances indicate that the carrying value may not be recoverable.
The residual value, useful lives and depreciation method are reviewed at each financial year-end, and adjusted prospectively, if appropriate.

An item of property, plant and equipment is de-recognised upon disposal or when no future economic benefits are expected from its use or disposal.

Any gain or loss on de-recognition of the asset is included in profit or loss in the year the asset is de-recognised.

Heritage assets relate to rare books and other rare materials.
Heritage assets purchased by the Group are measured at cost less impairment losses, if any.

Heritage assets received by the Group as donations are recognised at the valuation determined by external valuers or the Group’s panel of valuers consisting of professional staff at the time of receipt of the assets.
Subsequent expenditure relating to heritage assets that has been recognised is added to the carrying amount of the asset only when it is probable that future economic benefits associated with the item will flow to the Group and the cost of the item can be measured reliably.

The heritage assets are held in perpetuity with an indefinite economic lifespan and are not depreciated.
Heritage reserves Funds from government grants and cash donations used to procure heritage assets are recognised as income in accordance with Note 2.13 and Note 2.16(h) to the financial statements.

When grants and cash donations are utilised to fund the acquisition of heritage assets, an amount equivalent to the cost of the heritage asset is transferred from the general funds or restricted funds to the heritage reserve.
Donations of heritage assets are recognised as revenue in accordance with Note 2.16(h) to the financial statements.

In the previous financial year, the reserve in general funds supporting donated heritage assets was reclassified to heritage reserves, in view that these reserves relate to heritage assets.

Accordingly, the cumulative amount of $4,959,583 was transferred from general funds to heritage reserves in 2017/2018.
2.7 Impairment of non-financial assets The Group assesses at each reporting date whether there is an indication that an asset may be impaired.

If any indication exists, or when an annual impairment testing for an asset is required, the Group makes an estimate of the asset’s recoverable amount.
An asset’s recoverable amount is the higher of an asset’s or cash-generating unit’s fair value less costs of disposal and its value in use and is determined for an individual asset, unless the asset does not generate cash inflows that are largely independent of those from other assets or groups of assets.

Where the carrying amount of an asset or cash-generating unit exceeds its recoverable amount, the asset is considered impaired and is written down to its recoverable amount.
Impairment losses are recognised in profit or loss.

A previously recognised impairment loss is reversed only if there has been a change in the estimates used to determine the asset’s recoverable amount since the last impairment loss was recognised.

If that is the case, the carrying amount of the asset is increased to its recoverable amount.

That increase cannot exceed the carrying amount that would have been determined, net of depreciation, had no impairment loss been recognised previously.
Such reversal is recognised in profit or loss.

16 17 NATIONAL LIBRARY BOARD AND ITS SUBSIDIARIES Notes to the financial statements For the financial year ended 31 March 2019 Notes to the financial statements For the financial year ended 31 March 2019 2.

Summary of significant accounting policies (cont’d) 2.

Summary of significant accounting policies (cont’d) 2.8 Subsidiaries A subsidiary is an investee that is controlled by the Group.
The Group controls an investee when it is exposed, or has rights, to variable returns from its involvement with the investee and has the ability to affect those returns through its power over the investee.

In the Board’s separate statement of financial position, investments in subsidiaries are accounted for at cost less impairment losses.
2.9 Financial instruments (cont’d) (a) Financial assets (cont’d) Subsequent measurement (cont’d) Investments in equity instruments 2.9 Financial instruments (a) Financial assets Initial recognition and measurement Financial assets are recognised when, and only when, the Group becomes a party to the contractual provisions of the financial instruments.
At initial recognition, the Group measures a financial asset at its fair value plus, in the case of a financial asset not at fair value through profit or loss, transaction costs that are directly attributable to the acquisition of the financial asset.

Transaction costs of financial assets carried at fair value through profit or loss are expensed in profit or loss.
Trade receivables are measured at the amount of consideration to which the Group expects to be entitled in exchange for transferring promised goods or services to a customer, excluding amounts collected on behalf of third party, if the trade receivables do not contain a significant financing component at initial recognition.
Subsequent measurement Investments in debt instruments Subsequent measurement of debt instruments depends on the Group’s business model for managing the asset and the contractual cash flow characteristics of the asset.

The measurement categories for classification of the Group’s instruments are: (i) Amortised cost Financial assets that are held for the collection of contractual cash flows where those cash flows represent solely payments of principal and interest are measured at amortised cost.
Financial assets are measured at amortised cost using the effective interest method, less impairment.

Gains and losses are recognised in profit or loss when the assets are de-recognised or impaired, and through the amortisation process.

(ii) Fair value through profit or loss Assets that do not meet the criteria for amortised cost or fair value through other comprehensive income are measured at fair value through profit or loss.
Gain or loss on a debt instrument that is subsequently measured at fair value through profit or loss and is not part of a hedging relationship is recognised in profit or loss in the period in which it arises.

On initial recognition of an investment in equity instrument that is not held for trading, the Group may irrevocably elect to present subsequent changes in fair value in other comprehensive income (“OCI”).
Dividends from such investments are to be recognised in profit or loss when the Group’s right to receive payments is established.

For investments in equity instruments which the Group has not elected to present subsequent changes in fair value in OCI, changes in fair value are recognised in profit or loss.

Derivatives The Group is exposed primarily to the financial risk of foreign exchange fluctuations on debt and equity securities and cash and cash equivalents placed with fund managers.
The Group enters into currency forwards and swaps through fund managers to manage the risk.

Derivatives are initially recognised at fair value on the date a derivative contract is entered into and are subsequently re-measured to their fair value at the end of each reporting period.

Changes in fair value of derivatives are recognised in profit or loss.

De-recognition A financial asset is de-recognised when the contractual right to receive cash flows from the asset has expired.
On de-recognition of a financial asset in its entirety, the difference between the carrying amount and the sum of the consideration received and any cumulative gain or loss that had been recognised in other comprehensive income for debt instruments is recognised in profit or loss.

(b) Financial liabilities Initial recognition and measurement Financial liabilities are recognised when, and only when, the Group becomes a party to the contractual provisions of the financial instruments.
The Group determines the classification of its financial liabilities at initial recognition.

All financial liabilities are recognised initially at fair value plus, in the case of financial liabilities not at fair value through profit or loss, directly attributable transaction costs.

Subsequent measurement After initial recognition, financial liabilities that are not carried at fair value through profit or loss are subsequently measured at amortised cost using the effective interest method.
Gains and losses are recognised in profit or loss when the liabilities are de-recognised, and through the amortisation process.

18 19 NATIONAL LIBRARY BOARD AND ITS SUBSIDIARIES Notes to the financial statements For the financial year ended 31 March 2019 Notes to the financial statements For the financial year ended 31 March 2019 2.

Summary of significant accounting policies (cont’d) 2.
9 Financial instruments (cont’d) 2.12 Provisions (b) Financial liabilities (cont’d) De-recognition A financial liability is de-recognised when the obligation under the liability is discharged or cancelled or expires.

On de-recognition, the difference between the carrying amounts and the consideration paid is recognised in profit or loss.
2.10 Impairment of financial assets Provisions are recognised when the Group has a present obligation (legal or constructive) as a result of a past event, it is probable that an outflow of resources embodying economic benefits will be required to settle the obligation and the amount of the obligation can be estimated reliably.

Provisions are reviewed at the end of each reporting period and adjusted to reflect the current best estimate.
If it is no longer probable that an outflow of economic resources will be required to settle the obligation, the provision is reversed.

If the effect of the time value of money is material, provisions are discounted using a current pre-tax rate that reflects, where appropriate, the risks specific to the liability.

When discounting is used, the increase in the provision due to the passage of time is recognised as a finance cost.
The Group recognises an allowance for expected credit losses (“ECLs”) for all debt instruments not held at fair value through profit or loss.

ECLs are based on the difference between the contractual cash flows due in accordance with the contract and all the cash flows that the Group expects to receive, discounted at an approximation of the original effective interest rate.
The expected cash flows will include cash flows from the sale of collateral held or other credit enhancements that are integral to the contractual terms.

Provision for restoration costs The Group recognises the estimated liability on dismantlement, removal or restoration of items of property, plant and equipment arising from the acquisition or use of assets.
This provision is calculated based on the best estimate of the expenditure required to settle the obligation, taking into consideration time value of money.

ECLs are recognised in two stages.

For credit exposures for which there has not been a significant increase in credit risk since initial recognition, ECLs are provided for credit losses that result from default events that are possible within the next 12-months (“a 12-month ECL”).
For those credit exposures for which there has been a significant increase in credit risk since initial recognition, a loss allowance is recognised for credit losses expected over the remaining life of the exposure, irrespective of timing of the default (“a lifetime ECL”).
Changes in the estimated timing or amount of the expenditure for asset dismantlement, removal and restoration costs are adjusted against the cost of the related property, plant and equipment, unless the decrease in the liability exceeds the carrying amount of the asset or the asset has reached the end of its useful life.

In such cases, the excess of the decrease over the carrying amount of the asset or the changes in the liability is recognised in profit or loss immediately.
For trade receivables and receivables from book fines and lost book charges, the Group applies a simplified approach in calculating ECLs.

Therefore, the Group does not track changes in credit risk, but instead recognises a loss allowance based on lifetime ECLs at each reporting date.

The Group has established a provision matrix that is based on its historical credit loss experience, adjusted for forward-looking factors specific to the debtors and the economic environment.
The Group considers a financial asset in default when contractual payments are 90 days past due.

However, in certain cases, the Group may also consider a financial asset to be in default when internal or external information indicates that the Group is unlikely to receive the outstanding contractual amounts in full before taking into account any credit enhancements held by the Group.

A financial asset is written off when there is no reasonable expectation of recovering the contractual cash flows.
2.11 Cash and cash equivalents Under the Accountant-General Circular No.4/2009 dated 2 November 2009, the Board is required to participate in the Centralised Liquidity Management Framework (“CLM”).

Under the CLM, all bank accounts maintained with selected banks will be linked up with the bank accounts of Accountant-General’s Department (“AGD”) such that available excess cash can be automatically aggregated for central management on a daily basis.
The Board will continue to own/act as trustees for their funds and operate its bank accounts, including giving instructions for payment and revenue collection.

These balances are included in cash and cash equivalents.
For the purpose of presentation in the statement of cash flows, cash and cash equivalents include cash on hand and at bank, cash managed by AGD and short-term deposits with financial institutions that are readily convertible to cash and which are subject to an insignificant risk of changes in value.
2.13 Government grants Government grants and contributions from other organisations are recognised initially at their fair value when there is reasonable assurance that the grant will be received and the Group will comply with all attached conditions.

Government grants received by the Group to meet the current year’s operating expenses are recognised by the Group as income in the year these operating expenses are incurred.
Other government grants are recognised as income over the periods necessary to match them with the related costs which they are intended to compensate, on a systematic basis.

Government grants and contributions from other organisations utilised for the purchase or construction of depreciable assets are initially recorded as “deferred capital grants” on the statement of financial position of the Group.
Deferred capital grants are then recognised in profit or loss over the periods necessary to match the depreciation of the assets with the related grants.

On disposal of the property, plant and equipment, the balance of the related deferred capital grants is recognised in profit or loss to match the net book value of the property, plant and equipment disposed or written off.
20 21 NATIONAL LIBRARY BOARD AND ITS SUBSIDIARIES Notes to the financial statements For the financial year ended 31 March 2019 Notes to the financial statements For the financial year ended 31 March 2019 2.

Summary of significant accounting policies (cont’d) 2.

Summary of significant accounting policies (cont’d) 2.14 Employee benefits 2.15 Operating leases Employee benefits are recognised as an expense, unless the cost qualifies to be capitalised as an asset.
(a) Where the Group is the lessee (a) Defined contribution plans Payments to the Central Provident Fund scheme in Singapore, a defined contribution plan, are recognised as an expense in the period in which the related service is performed.

(b) Defined benefit plans The Group operates unfunded defined benefit schemes for certain employees under the provisions of the Pensions Act (Chapter 225).
Leases where the lessor effectively retains substantially all the risks and benefits of ownership of the leased item are classified as operating leases.

Operating lease payments (net of any incentives received from the lessor) are recognised as an expense in profit or loss on a straight-line basis over the lease term.

(b) Where the Group is the lessor Leases in which the Group does not transfer substantially all the risks and rewards of ownership of the asset are classified as operating leases.
Initial direct costs incurred in negotiating an operating lease are added to the carrying amount of the leased asset and recognised over the lease term on the same bases as rental income.

The accounting policy for rental income is set out in Note 2.16(c).

Defined benefit plans typically define the amount of benefit that an employee will receive on or after retirement, usually dependent on one or more factors such as age, years of service and compensation.
2.16 Revenue recognition The liability recognised in the balance sheet in respect of a defined benefit pension plan is the present value of the defined benefit obligation at the reporting date together with adjustments for unrecognised past- service costs.

The defined benefit obligation is calculated once every two years by independent professional actuaries using the projected unit credit method.
The present value of the defined benefit obligation is determined by discounting the estimated future cash outflows using yield of 10-year government bonds and have tenures approximating to that of the related post-employment benefit obligations.

Revenue is measured based on the consideration to which the Group expects to be entitled in exchange for transferring promised goods or services to a customer, excluding amounts collected on behalf of third parties.
Revenue is recognised when the Group satisfies a performance obligation by transferring a promised good or service to the customer, which is when the customer obtains control of the good or service.

A performance obligation may be satisfied at a point in time or over time.

The amount of revenue recognised is the amount allocated to the satisfied performance obligation.
Actuarial gains and losses arising from experience adjustments and changes in actuarial assumptions are charged or credited to equity in other comprehensive income in the period when they arise.

(a) Consultancy and other services Past service costs are recognised immediately in profit or loss.
(c) Short-term benefits Income from the provision of library consultancy services as well as library solutions including collection acquisition and library operation management is recognised when the services are rendered based on rates specified in the respective service contracts.

Short-term employee benefit obligations are measured on an undiscounted basis and are expensed as the related service is provided.
(b) Professional library services (d) Employee leave entitlement Professional library services are rendered to government ministries, statutory boards and other commercial entities and the income is recognised when the services are rendered based on rates specified in the respective service agreements.

Employee entitlements to annual leave are recognised when they are accrued to employees.
A provision is made for the estimated liability for annual leave as a result of services rendered by employees up to the end of the reporting period.

(c) Rental income Rental income from operating leases (net of any incentives given to lessees) is accounted for on a straight- line basis over the lease terms.
22 23 NATIONAL LIBRARY BOARD AND ITS SUBSIDIARIES Notes to the financial statements For the financial year ended 31 March 2019 Notes to the financial statements For the financial year ended 31 March 2019 2.

Summary of significant accounting policies (cont’d) 2.
16 Revenue recognition (cont’d) (d) Book fines and lost book charges 2.17 Taxes (cont’d) (b) Deferred tax Income from book fines and lost book charges is recognised when library items are overdue, lost or damaged.

(e) Interest income Interest income from bank deposits and bonds is recognised using the effective interest method.
(f) Library services and programmes Income from library services and programme includes the use of multi-media, programme delivery and reservation fee and is recognised when the services are rendered.

(g) Membership fees Membership fees include one-time registration fees for permanent residents, registration and annual membership fees for foreigners and premium plus annual membership fees.

These fees are non-refundable and are accounted for upon membership issuance.
(h) Donations Donations (cash or in kind) received are recognised as income upon receipt.

For donations received with attached conditions, income is not recognised but deferred until certainty exists that the conditions imposed can be met.

Donations in kind received by the Group is recognised based on market value or at the valuation determined by the Group’s panel of valuers consisting of professional staff at the time of receipt of the donations in kind.
2.17 Taxes The Group is tax-exempted under the provisions of the Income Tax Act (Chapter 134) except for one of its subsidiaries, which is subjected to local income tax legislation.

(a) Current income tax Current income tax assets and liabilities for the current and prior periods are measured at the amount expected to be recovered from or paid to the taxation authorities.
The tax rates and tax laws used to compute the amount are those that are enacted or substantively enacted at the end of the reporting period.

Current income taxes are recognised in profit or loss.

Management periodically evaluates positions taken in the tax returns with respect to situations in which applicable tax regulations are subject to interpretation and establishes provisions where appropriate.
Deferred tax is provided using the liability method on temporary differences at the end of the reporting period between the tax bases of assets and liabilities and their carrying amounts for financial reporting purposes except when the deferred tax liability arises from the initial recognition of an asset or liability in a transaction that is not a business combination and, at the time of the transaction, affects neither the accounting profit nor taxable profit or loss.
Deferred tax liabilities are recognised for all temporary differences.

Deferred tax assets are recognised for all deductible temporary differences, the carry forward of unused tax credits and unused tax losses, to the extent that it is probable that taxable profit will be available against which the deductible temporary differences, and the carry forward of unused tax credits and unused tax losses can be utilised.
The carrying amount of deferred tax assets is reviewed at the end of each reporting period and reduced to the extent that it is no longer probable that sufficient taxable profit will be available to allow all or part of the deferred tax asset to be utilised.

Unrecognised deferred tax assets are reassessed at the end of each reporting period and are recognised to the extent that it has become probable that future taxable profit will allow the deferred tax asset to be recovered.
Deferred tax assets and liabilities are measured at the tax rates that are expected to apply in the year when the asset is realised or the liability is settled, based on tax rates and tax laws that have been enacted or substantively enacted at the end of each reporting period.
(c) Sales tax Revenues, expenses and assets are recognised net of the amount of sales tax except: - - Where the sales tax incurred on a purchase of assets or services is not recoverable from the taxation authority, in which case the sales tax is recognised as part of the cost of acquisition of the asset or as part of the expense item as applicable; and Receivables and payables that are stated with the amount of sales tax included.
24 25 NATIONAL LIBRARY BOARD AND ITS SUBSIDIARIES Notes to the financial statements For the financial year ended 31 March 2019 Notes to the financial statements For the financial year ended 31 March 2019 2.

Summary of significant accounting policies (cont’d) 3.

Significant accounting judgements and estimates 2.18 Funds Assets and liabilities of the general funds and restricted funds are pooled in the statement of financial position.
(i) General funds The preparation of the Group’s consolidated financial statements requires management to make judgements, estimates and assumptions that affect the reported amounts of revenues, expenses, assets and liabilities, and the disclosure of contingent liabilities at the end of each reporting period.

Uncertainty about these assumptions and estimates could result in outcomes that require a material adjustment to the carrying amount of the asset or liability affected in the future periods.
Income and expenditure relating to the main activities of the Group and the Board are accounted for as “General Funds” in the statements of comprehensive income.

3.1 Judgements made in applying accounting policies (ii) Restricted funds Income and expenditure relating to funds received for specific purposes and for which separate disclosure is necessary as these funds are material and there are legal and other restrictions on the ability of the Board to distribute or otherwise apply these funds.
They are accounted for as “Restricted Funds” and are separately disclosed in Note 7 to the financial statements.

2.19 Trust funds Trust funds are funds for which the Board acts as a custodian, trustee, manager or agent but does not exercise control over the funds.

The net assets of the trust fund are presented as a line item in the statements of financial position as prescribed by SB-FRS Guidance Note 3.

The receipt and expenditure items relating to these funds are accounted for directly in these funds.
Details of income, expenditure, assets and liabilities are disclosed in Note 8 to the financial statements.

2.20 Expenditure on books, periodicals, films and serials Expenditure on books, periodicals, films and serials are charged to profit or loss in the year of purchase, except when the items purchased are rare books or other rare materials that are accounted for as heritage assets in accordance with Note 2.6 and separately disclosed in Note 6 to the financial statements.
2.21 Equity financing account Ordinary shares are classified as equity in the equity financing account.

Dividends paid or payable to the Minister of Finance, the ultimate shareholder and a body incorporated by the Minister for Finance (Incorporation) Act (Chapter 183), are recognised when the dividends are approved for payment by the Board.
2.22 Offsetting of financial instruments Financial assets and liabilities are offset and the net amount is presented in the statement of financial position when there is a legally enforceable right to offset the asset and the liability and there is an intention to settle on a net basis or realise the asset and settle the liability simultaneously.
Management is of the opinion that there is no significant judgement made in applying accounting policies that have a significant risk of causing a material adjustment to the carrying amounts of assets and liabilities within the next financial period.

3.2 Key sources of estimation uncertainty The key assumptions concerning the future and other key sources of estimation uncertainty at the end of the reporting period are discussed below.
The Group based its assumptions and estimates on parameters available when the financial statements were prepared.

Existing circumstances and assumptions about future developments, however, may change due to market changes or circumstances arising beyond the control of the Group.

Such changes are reflected in the assumptions when they occur.
(a) Provision for expected credit losses of book fines and lost book charges The Group uses a provision matrix to calculate expected credit losses (“ECLs”) for potential uncollectible book fines and lost book charges.

The provision rates are based on factors that affect the collectability of the accounts including but not limited to aging of the outstanding arrears and historical payment patterns of the patrons.

The provision matrix is initially based on the Group’s historical observed default rates.
The Group will calibrate the matrix to adjust historical credit loss experience with forward-looking information.

At every reporting date, historical default rates are updated and changes in the forward-looking estimates are analysed.

The assessment of the correlation between historical observed default rates, forecast economic conditions and ECLs involves estimation.

The amount of ECLs is sensitive to changes in circumstances and of forecasted economic conditions.
The Group’s historical credit loss experience and forecast of economic conditions may also not be representative of customer’s actual default in the future.

The information about the ECLs on the Group’s book fines and lost book charges is disclosed in Note 28(a) to the financial statements.

The carrying amount of the Group’s book fines and lost book charges is as disclosed in Note 13 to the financial statements.
(b) Provision for retirement benefits Pension expense is determined using certain actuarial estimates and assumptions relating to the discount rate used in valuing the defined benefit obligation and future expectations such as future salary increment, retirement date or age, mortality and turnover rate of covered employees.

Any change in management’s estimates and assumptions directly influence the amount of the pension expensed recognised in the financial statements.
26 27 NATIONAL LIBRARY BOARD AND ITS SUBSIDIARIES Notes to the financial statements For the financial year ended 31 March 2019 Notes to the financial statements For the financial year ended 31 March 2019 3.

Significant accounting judgements and estimates (cont’d) 5.
Equity financing account 3.2 Key sources of estimation uncertainty (cont’d) (b) Provision for retirement benefits (cont’d) Note 2018/2019 2017/2018 2018/2019 2017/2018 Group and Board The valuation of the retirement benefits is determined using the projected unit credit method.

Number of shares $ $ The annual contribution to the pension plan consists of payments covering the current service cost for the year and payments towards funding the actuarial accrued liability.
Further details about the assumptions used are provided in Note 17 to the financial statements.

Issued: At 1 April 575,354,433 426,282,126 575,354,433 426,282,126 4.
Capital account Group and Board Note 2018/2019 2017/2018 $ $ Establishment account 10,334,137 10,334,137 Equity financing account 5 602,955,826 575,354,433 Issued during the year 27,601,393 149,072,307 27,601,393 149,072,307 At 31 March 4 602,955,826 575,354,433 602,955,826 575,354,433 During the financial year, the Minister for Finance injected equity amounting to $27,601,393 (2017/2018: $149,072,307) of which $26,951,393 (2017/2018: $148,192,307) was received.
The balance was received by the Board subsequent to year end.

The holder of ordinary shares (at $1 each), the Minister for Finance, is entitled to dividends as declared by the Board from time to time if the Board recognises an accounting surplus.

During the previous financial year, dividends amounting to $1,490,000 were paid on the ordinary shares issued to the Minister for Finance.

613,289,963 585,688,570 6.


Heritage reserves and assets The capital account comprises the net book value of the assets held by the former National Library, which were transferred to the Board on its establishment on 1 September 1995 (“Establishment account”) and “Equity Financing” received from the Ministry of Finance (“MOF”) subsequently (“Equity financing account”).
The equity financing account comprises equity injections by the MOF in its capacity as the shareholder under the debt-equity framework for statutory boards, implemented with effect from 1 September 2004.

It also includes equity injection for Sinking Fund received for the purpose of replacement of fixed assets held by the Board and additional funds are placed with the Group’s appointed fund managers to make investments in accordance with the Group’s investment policy.
Under this framework, capital projects will be partially funded by the MOF as equity injection, and the balance through general funds.

Capital management Capital consists of capital account, heritage reserves and accumulated surplus of the Group.

The Group proactively manages its capital structure to achieve efficiency in its cost of capital.
The quantum of minimum and maximum cash reserve, taking into account working capital needs and long-term commitments, is reviewed and approved annually by the Finance Committee of the Board.

To maintain the minimum cash reserve to meet working capital needs and achieve efficiency in management of capital, the cash reserve as at the balance sheet date was below one year’s annual expenditure, within the minimum and maximum cash reserves.
There were no changes in the Group’s approach to capital management during the financial year.

The Group is not subject to any externally imposed capital requirements.
Heritage reserves At 1 April Movements during the financial year - Transferred from operating grants - Transferred from general funds At 31 March Heritage assets At 1 April Movements during the financial year - Donation in kind - Funded by operating grants - Processing fees Group and Board 2018/2019 2017/2018 $ $ 17,349,090 11,950,430 742,571 207,507 950,078 18,299,168 439,077 4,959,583 5,398,660 17,349,090 17,349,090 16,549,549 207,507 549,026 193,545 950,078 262,137 397,616 139,788 799,541 28 29 At 31 March 18,299,168 17,349,090 NATIONAL LIBRARY BOARD AND ITS SUBSIDIARIES Notes to the financial statements For the financial year ended 31 March 2019 7.
Accumulated surplus (a) General funds Notes to the financial statements For the financial year ended 31 March 2019 7.

Accumulated surplus (cont’d) (b) Restricted funds (cont’d) Income and expenditure relating to the main activities of the Group and the Board are accounted for in the “General Funds” in the statements of comprehensive income.
The key projects funded under TLF in the current year comprise mainly the following: Name of projects Purpose (b) Restricted funds The Group’s restricted funds comprise donations to The Library Fund (“TLF”) and other donations and funds received for specific purposes for which there are restrictions on the Group in relation to the application of those funds.

These include specific donations received for programmes.
TLF is a trust, which is separately registered as a charity (Unique Entity No: T03CC1744D) since 26 November 2003.

TLF has been conferred the status of an Institution of a Public Character to receive tax-deductible donations for the furtherance of the objects of TLF, those of the Board and other beneficiaries.

The Board of Trustees of TLF comprises mainly the members of the Board of the National Library Board.
As the Board of Trustees has the discretion and control over the application of the donations for the Board’s projects (i.e.

TLF is operated and managed by the Board), the Board is deemed to have control over TLF and in accordance with SB-FRS Guidance Note 1, TLF has been included in the financial statements of the Board with effect from 1 April 2009.
Library @ Chinatown Mini MOLLYs Big MOLLY George Lyndon Hicks Research Fellowship The library was set up and operated with donations from Kwan Im Thong Hood Cho Temple and CPI Pte Ltd, owner of Chinatown Point Retail.

It carries a collection of books and audio visual materials on Chinese arts and culture largely in Chinese and English.

The two mini mobile library buses were set up and operated with do- nations from Kwan Im Thong Hood Cho Temple.
It brings the library experience to children in childcare centres and kindergartens.

The big mobile library bus was set up and operated with donations from Kwan Im Thong Hood Cho Temple.

It brings the library experi- ence to those in special needs schools, homes and orphanages, wel- fare homes and lower income groups.
This research fellowship programme aims to award professionals to help grow and enhance the National Library of Singapore’s (“NL”) Spe- cial Collections and to raise the capability of NL’s librarians so as to elevate the standing of the National Library.

The use of the moneys under TLF is restricted to purposes specified in the trust deed and requires the approval of the trustees of TLF.

(c) Donations The Board of Trustees of TLF comprises the Chairman and members of the Board and staff trustees.
The objectives of TLF are: (i) To support performance of any of the functions of the National Library Board as set out under Sections 6, 14A and 14J of the National Library Board Act (Chapter 197); and (ii) To exercise any of the powers of the National Library Board under section 7 of the National Library Board Act (Chapter 197).

The Library Endowment Fund was established under TLF’s trust deed on 1 December 2010 to ensure financial sustainability in the furtherance of its strategic objectives.
An initial capital sum of $12 million carved out from TLF was further augmented by a sum of $25 million government grant from Ministry of Communications and Information (“MCI”).

During the financial year, TLF received cash donations amounting to $1,348,323 (2017/2018: $649,604) of which $476,741(2017/2018: $Nil) were being accounted for as deferred income in accordance with SB-FRS 1001 Accounting and Disclosure for Non-Exchange Revenue.
The deferred income represents unutilised donations available for use in the following financial year.

Donations received relate to tax-deductible and non-tax deductible donations for TLF amounting to $1,345,635 (2017/2018: $642,275) and $2,688 (2017/2018: $7,329) respectively.

Group and Board 2018/2019 2017/2018 $ $ The initial capital sum of $12 million was reflected as a transfer of reserves from TLF to The Library Endowment Fund, a sub-fund created under TLF.
Reconciliation of deferred income At 1 April – – Donations received during the financial year 1,348,323 649,604 Less: Donation income recognised during the financial year (871,582) (649,604) At 31 March 476,741 – 30 31 NATIONAL LIBRARY BOARD AND ITS SUBSIDIARIES Notes to the financial statements For the financial year ended 31 March 2019 7.
Accumulated surplus (cont’d) The breakdown of the income, expenditure, assets and liabilities of The Library Fund for the Group and the Board is as follows: Group and Board Income Interest income Investment income Donations Expenditures Manpower and staff welfare Depreciation of property, plant and equipment Books, periodicals and serials General and administrative expenses Maintenance and other property expenses Rental expenses Agency and other professional fees Other expenses Surplus/(deficit) for the financial year Total comprehensive income for the financial year Accumulated surplus at 1 April Accumulated surplus at 31 March Heritage reserves at 31 March Total capital and accumulated surplus Represented by: Property, plant and equipment Heritage assets Investment securities at fair value through profit or loss Cash and cash equivalents Trade and other receivables Derivative financial instruments Trade and other payables Endowment Fund Other funds Total 2018/2019 2017/2018 2018/2019 2017/2018 2018/2019 2017/2018 $ $ $ $ $ $ 6,407 784,881 – 791,288 – – – – – – (163,379) – (163,379) 627,909 627,909 42,574,659 43,202,568 – 4,067 1,381,935 – 1,386,002 – – – – – – (167,683) – (167,683) 1,218,319 1,218,319 41,356,340 42,574,659 – 43,202,568 42,574,659 – – 42,332,898 665,259 250,150 (22,697) (23,042) – – 40,739,898 1,109,463 715,825 48,785 (39,312) 43,202,568 42,574,659 123,472 133,964 871,582 1,129,018 (14,375) (698,047) (105,402) (636,778) (242,103) (1,914) (189,566) (70,691) (1,958,876) (829,858) (829,858) 22,822,975 21,993,117 444,044 22,437,161 8,735,963 444,044 7,227,578 6,443,865 167,588 (3,875) (578,002) 22,437,161 93,913 235,940 649,604 979,457 (14,212) (657,323) (170,450) (605,803) (118,755) (178,846) (239,599) (71,058) 129,879 918,845 871,582 1,920,306 (14,375) (698,047) (105,402) (636,778) (242,103) (1,914) (352,945) (70,691) 97,980 1,617,875 649,604 2,365,459 (14,212) (657,323) (170,450) (605,803) (118,755) (178,846) (407,282) (71,058) (2,056,046) (2,122,255) (2,223,729) (1,076,589) (1,076,589)
 23,899,564 22,822,975 444,044 23,267,019 9,287,259 444,044 6,955,592 6,550,049 163,809 8,330 (142,064) 23,267,019 (201,949) (201,949) 65,397,634 65,195,685 444,044 65,639,729 8,735,963 444,044 49,560,476 7,109,124 417,738 (26,572) (601,044) 65,639,729 141,730 141,730 65,255,904 65,397,634 444,044 65,841,678 9,287,259 444,044 47,695,490 7,659,512 879,634 57,115 (181,376) 65,841,678 32 NATIONAL LIBRARY BOARD AND ITS SUBSIDIARIES Notes to the financial statements For the financial year ended 31 March 2019 Notes to the financial statements For the financial year ended 31 March 2019 8.
Net assets of trust fund 8.

Net assets of trust fund (cont’d) The trust fund comprises one (2017/2018: one) international fund managed by the Board on behalf of other agencies.
The nature of the trust fund as at 31 March 2019 is as follows: The International Federation of Library Associations and Institutions (“IFLA-RSCAO”) (cont’d) The International Federation of Library Associations and Institutions (“IFLA-RSCAO”) IFLA-RSCAO is the leading international body representing the interests of library and information services and their users.

The expenditure for IFLA Regional Office of Asia and Oceania is recorded under this project fund.
Details of the trust fund are set out below and have been prepared from the records of the trust fund and reflect only transactions handled by the Group and the Board: Statement of comprehensive income of trust fund Income Interest income Other income Expenditure Other expenses Net deficit for the financial year Accumulated surplus at 1 April Accumulated surplus at 31 March Group and Board 2018/2019 2017/2018 $ (1,975) (1,975) 1,975 – – – – $ 1 2 3 (2,518) (2,515) 4,490 1,975 Statement of financial position of trust fund Equity Accumulated surplus Represented by: Assets Cash and cash equivalents Liabilities Accruals for operating expenses Other payables Net assets Group and Board 2018/2019 2017/2018 $ $ – 1,975 10,133 10,133 133 10,000 10,133 – 11,975 11,975 – 10,000 10,000 1,975 33 34 NATIONAL LIBRARY BOARD AND ITS SUBSIDIARIES Notes to the financial statements For the financial year ended 31 March 2019 9.
Property, plant and equipment Group Cost At 1 April 2017 Additions Disposals/write-offs Transfers Leasehold premises Motor vehicles Shared building costs, building improvements and renovation Furniture and fittings Office equipment Computer hardware and software Works- of-art Projects-in- progress $ $ $ $ $ $ $ $ Total $ 249,935,889 1,172,297 201,945,093 18,287,836 22,926,273 113,150,048 3,676,229 88,967,863 700,061,528 – – – – – – 18,002,923 394,025 10,021,598 10,371,491 1,005,000 19,768,782 59,563,819 (10,646,520) (424,665) (2,307,954) (3,204,378) (71,779) – (16,655,296) 92,161,940 – 870,270 3,762,477 – (96,794,687) – At 31 March 2018 and 1 April 2018 249,935,889 1,172,297 301,463,436 18,257,196 31,510,187 124,079,638 4,609,450 11,941,958 742,970,051 – – – – – – 3,134,857 88,085 77,672 16,272,665 (6,581,243) (121,778) (3,323,157) (7,976,868) 5,183,372 201,319 166,733 4,481,406 – – – 34,591,020 54,164,299 (80,250) (18,083,296) (10,032,830) – 249,935,889 1,172,297 303,200,422 18,424,822 28,431,435 136,856,841 4,609,450 36,419,898 779,051,054 70,688,800 459,506 171,574,712 16,404,947 16,306,049 92,734,903 Depreciation for the financial year 5,035,957 234,459 21,305,090 467,646 2,856,915 8,597,884 Disposals/write-offs – – (10,633,628) (423,118) (2,288,407) (3,204,378) At 31 March 2018 and 1 April 2018 75,724,757 693,965 182,246,174 16,449,475 16,874,557 98,128,409 Depreciation for the financial year 5,035,957 234,460 29,315,643 510,207 3,949,093 11,596,874 Disposals/write-offs – – (6,553,982) (121,778) (3,210,563) (7,974,443) 80,760,714 928,425 205,007,835 16,837,904 17,613,087 101,750,840 – – – – – – – – – – – – – – 368,168,917 38,497,951 (16,549,531) 390,117,337 50,642,234 (17,860,766) 422,898,805 Additions Disposals/write-offs Transfers At 31 March 2019 Accumulated depreciation At 1 April 2017 At 31 March 2019 Net book value At 31 March 2018 At 31 March 2019 174,211,132 478,332 119,217,262 1,807,721 14,635,630 25,951,229 4,609,450 11,941,958 352,852,714 169,175,175 243,872 98,192,587 1,586,918 10,818,348
 35,106,001 4,609,450 36,419,898 356,152,249 35 NATIONAL LIBRARY BOARD AND ITS SUBSIDIARIES Notes to the financial statements For the financial year ended 31 March 2019 9.
Property, plant and equipment (cont’d) Board Cost At 1 April 2017 Additions Disposals/write-offs Transfers Leasehold premises Motor vehicles Shared building costs, building improvements and renovation Furniture and fittings Office equipment Computer hardware and software Works- of-art Projects-in- progress Total $ $ $ $ $ $ $ $ $ 249,935,889 1,172,297 201,945,093 18,287,836 22,911,407 112,720,809 3,676,229 88,967,863 699,617,423 – – – – – – 18,002,923 394,025 10,021,598 10,342,291 1,005,000 19,768,782 59,534,619 (10,646,520) (424,665) (2,307,954) (3,119,615) (71,779) – (16,570,533) 92,161,940 – 870,270 3,762,477 – (96,794,687) – At 31 March 2018 and 1 April 2018 249,935,889 1,172,297 301,463,436 18,257,196 31,495,321 123,705,962 4,609,450 11,941,958 742,581,509 – – – – – – 3,024,712 88,085 77,672 16,241,270 (6,581,243) (121,778) (3,323,157) (7,976,868) 5,183,372 201,319 166,733 4,481,406 – – – 34,591,020 54,022,759 (80,250) (18,083,296) (10,032,830) – 249,935,889 1,172,297 303,090,277 18,424,822 28,416,569 136,451,770 4,609,450 36,419,898 778,520,972 70,688,800 459,506 171,574,712 16,404,947 16,301,561 92,601,248 Depreciation for the financial year 5,035,957 234,459 21,305,090 467,646 2,853,484 8,507,823 Disposals/write-offs – – (10,633,628) (423,118) (2,288,407) (3,119,615) At 31 March 2018 and 1 April 2018 75,724,757 693,965 182,246,174 16,449,475 16,866,638 97,989,456 Depreciation for the financial year 5,035,957 234,460 29,278,928 510,207 3,946,093 11,500,422 Disposals/write-offs – – (6,553,982) (121,778) (3,210,563) (7,974,443) 80,760,714 928,425 204,971,120 16,837,904 17,602,168 101,515,435 – – – – – – – – – – – – – – 368,030,774 38,404,459 (16,464,768) 389,970,465 50,506,067 (17,860,766) 422,615,766 Additions Disposals/write-offs Transfers At 31 March 2019 Accumulated depreciation At 1 April 2017 At 31 March 2019 Net book value At 31 March 2018 At 31 March 2019 174,211,132 478,332 119,217,262 1,807,721 14,628,683 25,716,506 4,609,450 11,941,958 352,611,044 169,175,175 243,872 98,119,157 1,586,918
 10,814,401 34,936,335 4,609,450 36,419,898 355,905,206 36 NATIONAL LIBRARY BOARD AND ITS SUBSIDIARIES Notes to the financial statements For the financial year ended 31 March 2019 Notes to the financial statements For the financial year ended 31 March 2019 10.
Investments in subsidiaries 11.
Investment securities at fair value through profit or loss (cont’d) Unquoted ordinary shares, at cost Details of the subsidiaries are as follows: Board 2018/2019 2017/2018 $ 506 $ 506 Name of subsidiaries Principal activities Place of incorporation 2018/2019 2017/2018 2018/2019 2017/2018 Effective equity interest held Cost of investment The quoted debt securities managed by fund managers earned fixed interest rates ranging from 1.55% to 4.75% (2017/2018: 1.55% to 4.85%) per annum as at the balance sheet date.
Interest was received on a semi-annual basis.

The maturity dates ranged from October 2019 to April 2022 (2017/2018: October 2019 to April 2022).

The quoted debt securities held by subsidiary earned fixed interest rate of 4.25% (2017/2018: 4.25%) per annum for the financial year ended 31 March 2019.

Interest is receivable on a semi-annual basis.

These debt securities are perpetual and do not have a maturity date.
During the financial year, the subsidiary disposed of the quoted debt securities for proceeds amounting to $769,612, which approximate the fair value of quoted debt securities on the date of disposal.

During the financial year, quoted unit trust amounting to $205,140,099 was transferred from Level 1 to Level 2 of the fair value hierarchy (Note 29(b)).

Cybrarian Ventures Pte.


Ltd. [1] Asian Film Archive [1] Provision of library consultancy services Preservation of film heritage of Singapore and Asia [1] Audited by Ernst & Young LLP, Singapore.

% % Singapore 100 100 $ 1 $ 1 12.

Trade and other receivables Group Board Note 2018/2019 2017/2018 2018/2019 2017/2018 Singapore 100 100 505 505 $ $ $ $ Trade receivables – from non-related parties Grant receivables 650,393 484,005 462,495 260,456 – 4,205,272 – 4,205,272 11.
Investment securities at fair value through profit or loss Equity funding receivables 650,000 880,000 650,000 880,000 Group Board Note 2018/2019 2017/2018 2018/2019 2017/2018 $ $ $ $ Quoted debt securities managed by fund managers - Fixed interest rates Quoted equity securities managed by fund managers Quoted unit trusts Quoted debt securities held by subsidiary 24 24 24 44,338,292 42,954,512 44,338,292 42,954,512 5,222,184 4,740,977 5,222,184 4,740,977 397,131,713 407,282,038 397,131,713 407,282,038 – 774,375 – – 446,692,189 455,751,902 446,692,189 454,977,527 Total investment securities at fair value through profit or loss 446,692,189 455,751,902 446,692,189 454,977,527 Add: Derivative financial instruments 14 (26,572) 57,115 (26,572) 57,115 Total financial assets at fair value through profit or loss 446,665,617 455,809,017 446,665,617 455,034,642 Deposits 839,846 834,698 839,596 832,598 Book fines and lost book charges 13 571,614 620,210 571,614 620,210 Accrued receivables Other receivables 625,251 1,182,410 447,697 1,095,202 69,735 23,403 – – Interest and dividend receivables 1,178,754 1,365,943 1,175,621 1,344,172 Prepayments 2,729,412 2,052,027 2,692,608 2,020,084 Total trade and other receivables 7,315,005 11,647,968 6,839,631 11,257,994 Add: Cash and cash equivalents 15(a) 130,165,820 143,021,993 126,897,668 140,515,987 Add: Restricted cash and deposits 15(b) 484,855 – – – Less: Prepayments (2,729,412) (2,052,027) (2,692,608) (2,020,084) Total financial assets carried at amortised cost 135,236,268 152,617,934 131,044,691 149,753,897 37 38 NATIONAL LIBRARY BOARD AND ITS SUBSIDIARIES Notes to the financial statements For the financial year ended 31 March 2019 Notes to the financial statements For the financial year ended 31 March 2019 12.
Trade and other receivables (cont’d) 13.
Book fines and lost book charges (cont’d) Impairment losses Movement in allowance for ECLs of book fines and lost book charges is as follows: The aging of trade, grant and equity funding receivables at the balance sheet date is as follows: Group Board 2018/2019 2017/2018 2018/2019 2017/2018 $ $ $ $ Not past due 1,178,157 5,338,118 1,062,320 5,338,118 Past due less than 30 days 72,061 225,058 – Past due 30 - 60 days Past due 61 - 90 days Past due 91 - 120 days Past due more than 120 days 50,175 5,848 50,175 – – – 98 – 155 – – – 5,521 1,836 98 – 155 1,300,393 5,569,277 1,112,495 5,345,728 Debtors included in the above table mainly consist of government statutory boards or debtors that have good payment records with the Group.
Management has assessed that the loss allowance provision as at 31 March 2019 on the above trade, grant and equity funding receivables is negligible as the Group has no significant default in these receivables based on historical experience.

13.
Book fines and lost book charges Book fines and lost book charges Group and Board 2018/2019 2017/2018 $ $ 5,788,945 5,924,934 At 1 April Charge for the year Allowance utilised At 31 March Group and Board 2018/2019 2017/2018 $ $ (5,304,724) (5,766,708) (425,765) (481,096) 513,158 943,080 (5,217,331) (5,304,724) The aging of book fines and lost book charges at the balance sheet date is as follows: Gross amounts: Past due 1 - 90 days Past due 91 - 180 days Past due 181 - 270 days Past due 271 - 365 days Past due more than 365 days Group and Board 2018/2019 2017/2018 $ $ 366,433 423,217 301,904 330,818 218,441 236,053 191,327 210,918 4,710,840 4,723,928 5,788,945 5,924,934 Less: Allowance for expected credit losses of book fines and lost book charges (5,217,331) (5,304,724) 571,614 620,210 Less: Allowance for expected credit losses of book fines and lost book charges (5,217,331) (5,304,724) Allowance for expected credit losses of book fines and lost book charges 571,614 620,210 The ECLs of book fines and lost book charges are estimated based on the Group’s historical loss rates.
The historical loss rates are adjusted to reflect current and forward-looking information on macroeconomic factors which may affect the patrons’ ability to pay.

The Group has identified the gross domestic product of Singapore to be the most relevant factor in its determination of ECLs.

The allowance for expected credit losses (“ECLs”) of book fines and lost book charges represents the lifetime ECLs computed using the simplified approach.
The allowance is determined based on a provision matrix based on the historical observed default rate and payment pattern of patrons.

39 40 NATIONAL LIBRARY BOARD AND ITS SUBSIDIARIES Notes to the financial statements For the financial year ended 31 March 2019 13.
Book fines and lost book charges (cont’d) Information about the book fines and lost book charges as well as the ECLs provided by the Group and the Board is summarised below: Group and Board 2018/2019 2017/2018 Past due 1 - 90 days Past due 91 - 180 days Past due 181 - 270 days Past due 271 - 365 days Past due for more than 365 days Total Gross carrying amount $ Loss allowance provision $ Gross carrying amount $ Loss allowance provision $ 366,433 164,895 423,217 190,448 301,904 187,180 330,818 205,107 218,441 172,568 236,053 186,482 191,327 170,281 210,918 187,717 4,710,840 4,522,407 4,723,928 4,534,970 5,788,945 5,217,331 5,924,934 5,304,724 Concentration of credit risk relating to ECLs of book fines and lost book charges is limited due to the Group’s many varied debtors.
These debtors mainly consist of individual library patrons.

The recorded ECLs is based on Group’s historical experience in the collection of book fines and lost book charges.

Due to these factors, management believes that no additional credit risk beyond amounts provided for the ECLs is inherent in the Group’s receivables relating to book fines and lost book charges.

14.
14.

Derivative financial instruments Group and Board Contract notional Fair value amount Assets Liabilities $ $ $ 68,993,160 – (26,572) 49,797,658 57,115 – 2018/2019 Currency swaps 2017/2018 Currency swaps Currency swaps are entered into by the fund managers to hedge highly probable forecasted transactions which are denominated in foreign currencies and expected to occur at various dates within one month (2017/2018: one month) from the balance sheet date.
Notes to the financial statements For the financial year ended 31 March 2019 15.
Cash, restricted cash and deposits (a) Cash and cash equivalents Group Board 2018/2019 2017/2018 2018/2019 2017/2018 $ $ $ $ Cash at bank and on hand 128,851,074 142,037,190 126,897,668 140,515,987 Fixed deposits 1,314,746 984,803 – – 130,165,820 143,021,993 126,897,668 140,515,987 The fixed deposits are placed with financial institutions and mature on varying dates within one to two (2017/2018: one to two) years from the balance sheet date.
The weighted average effective interest rate related to fixed deposits at year-end is 1% (2017/2018: 1%) per annum.

Interest rates are re-priced at intervals of one to six months, upon roll over of fixed deposits on maturity.
For the purpose of presenting the consolidated statement of cash flows, cash and cash equivalents comprise the following: Group Note 2018/2019 2017/2018 $ $ Cash and bank balances (as above) 130,165,820 143,021,993 Less: Cash balances managed by fund manager 24 (398,139) (923,790) Cash and cash equivalents per consolidated statement of cash flows 129,767,681 142,098,203 (b) Restricted cash and deposits During the financial year, a subsidiary of the Group provided a banker’s guarantee to an external party for the performance of a sales contract.
The banker’s guarantee is secured by bank deposits amounting to $484,855.

These cash and deposits are restricted for use for at least the next 12 months.

41 42 NATIONAL LIBRARY BOARD AND ITS SUBSIDIARIES Notes to the financial statements For the financial year ended 31 March 2019 16.

Trade and other payables Notes to the financial statements For the financial year ended 31 March 2019 17.
Provision for retirement benefits Group Board Note 2018/2019 2017/2018 2018/2019 2017/2018 $ $ $ $ Trade payables 1,006,369 12,325,390 989,051 12,323,662 The Board operates an unfunded defined retirement benefit plan for certain employees under the provisions of the Pension Act (Chapter 225).

Benefits are payable based on the last drawn salaries of the respective employees and the employees’ cumulative service period with the Board at the time of retirement.
The Board performed an actuarial valuation to determine the liability of the Board in respect of its defined retirement benefit plan.

The present value of unfunded obligations is recognised based on the actuarial valuation performed by Milliman Private Limited.
Accrued operating expenses 40,615,990 56,824,738 40,341,301 56,601,440 The amounts recognised in the statement of financial position are as follows: Provision for restoration costs 19,400,404 19,586,255 19,382,404 19,586,255 Retention payable 1,143,682 86,478 1,143,682 86,478 Receipts-in-advance 448,220 206,908 439,204 175,362 Deferred income 7(c) 476,741 – 476,741 – Security and other deposits 1,819,222 3,228,172 1,819,222 3,233,722 Other payables relating to investment transactions Other payables to: - Subsidiaries 26,976 46,023 26,976 46,023 – – 217,153 – - Non-related parties 617,355 133,797 38,639 38,659 Total trade and other payables 65,554,959 92,437,761 64,874,373 92,091,601 Less: Provision for restoration costs (19,400,404) (19,586,255) (19,382,404) (19,586,255) Less: Receipts-in-advance (448,220) (206,908) (439,204) (175,362) Less: Deferred income 7(c) (476,741) – (476,741) – Total financial liabilities carried at amortised cost 45,229,594 72,644,598 44,576,024 72,329,984 Trade payables are normally settled on 30 to 60 days terms.
Other payables to subsidiaries are unsecured, non-interest bearing and repayable on demand.

Deferred income represents the unutilised donations as at 31 March 2019 available for use in the following financial year.

Details of the deferred income are disclosed in Note 7(c) of the financial statements.
Present value of unfunded obligations Comprised: - Current provision - Non-current provision Group and Board 2018/2019 2017/2018 $ $ 5,350,697 5,689,265 437,207 4,913,490 5,350,697 200,496 5,488,769 5,689,265 The weighted average duration of the defined benefit obligations is 11 years (2017/2018: 11 years).
(a) Movement in the defined benefit obligations is as follows: At 1 April Current service costs and interest cost Re-measurement loss on defined benefit pension plan Retirement benefits paid At 31 March (b) The amounts charged to profit or loss are as follows: Current service cost Interest cost Group and Board 2018/2019 2017/2018 $ $ 5,689,265 5,747,656 116,015 131,286 143,433 – (598,016) (189,677) 5,350,697 5,689,265 Group and Board 2018/2019 2017/2018 $ – 116,015 116,015 $ 7,538 123,748 131,286 43 44 NATIONAL LIBRARY BOARD AND ITS SUBSIDIARIES Notes to the financial statements For the financial year ended 31 March 2019 Notes to the financial statements For the financial year ended 31 March 2019 17.
Provision for retirement benefits (cont’d) 17.
Provision for retirement benefits (cont’d) (c) The amounts charged to other comprehensive income are as follows: (d) Principal actuarial assumptions used are as follows (cont’d): Re-measurement loss on defined benefit pension plan (d) Principal actuarial assumptions used are as follows: Discount rate Future salary increment Group and Board 2018/2019 2017/2018 $ 143,433 $ – Group and Board 2018/2019 2017/2018 % 2.2 1 % 2.3 1 The mortality rate assumed for pensioners at age 60, based on the latest published Singapore mortality table S04/08 is as follows: Female Male Group and Board 2018/2019 2017/2018 % 0.234 0.402 % 0.234 0.402 This means that out of 10,000 pensioners, it is assumed that 23 females and 40 males will pass on before their 60th birthday (2017/2018: 23 females and 40 males).
This defined retirement benefit plan provides a lump sum benefit or a lifetime pension or a mix that are both defined by salary and length of service.

This plan exposes the Board to risks such as life expectancy and interest rate used for discounting in the principal actuarial assumptions.
The sensitivity of the provision for retirement benefits to changes in the principal actuarial assumptions is as follows: Discount rate - 0.5% (2017/2018: 0.5%) increase - 0.5% (2017/2018: 0.5%) decrease Future salary increment - 0.5% (2017/2018: 0.5%) increase - 0.5% (2017/2018: 0.5%) decrease Life expectancy - 1 year increase - 1 year decrease Group and Board Impact on provision for retirement benefits 2018/2019 2017/2018 $ $ (274,860) (281,913) 300,494 298,258 11,446 3,344 (11,331) (3,327) 151,360 133,753 (155,739) (144,042) The above sensitivity analysis is based on a change in an assumption while holding all other assumptions constant.
When calculating the sensitivity of the provision for retirement benefits to significant actuarial assumptions, the same method has been applied as when calculating the provision for retirement benefits recognised within the statement of financial position.

The methods and types of assumptions used in preparing the sensitivity analysis did not change compared to the previous period.
(e) Historical information are as follows: Group and Board 2018/2019 2017/2018 2016/2017 2015/2016 2014/2015 $ $ $ $ $ Present value of the unfunded obligations 5,350,697 5,689,265 5,747,656 6,925,128 7,019,713 45 46 NATIONAL LIBRARY BOARD AND ITS SUBSIDIARIES Notes to the financial statements For the financial year ended 31 March 2019 Notes to the financial statements For the financial year ended 31 March 2019 18.

Development grants received in advance/(receivables) 20.
Manpower and staff welfare At 1 April Group and Board Note 2018/2019 2017/2018 $ $ (227,537) (107,665) Development grants received during the financial year 345,092 1,220,752 117,555 1,113,087 Less: Amounts transferred to deferred capital grants 19 (65,260) (1,322,919) Amounts transferred to operating grants At 31 March (23,045) (17,705) 29,250 (227,537) Group Board 2018/2019 2017/2018 2018/2019 2017/2018 $ $ $ $ Board members’ allowances 188,440 181,366 185,625 178,551 Wages and salaries 87,044,973 86,143,935 85,757,672 85,023,669 Employer’s contributions to Central Provident Fund 11,446,722 11,254,703 11,231,746 11,078,144 Retirement benefits (Note 17(b)) 116,015 131,286 116,015 131,286 Other employee benefits 6,949,173 6,444,914 6,927,825 6,427,002 105,745,323 104,156,204 104,218,883 102,838,652 The development grants of $345,092 (2017/2018: $1,220,752) received during the financial year were disbursed by the Ministry of Finance.
21.

Operating grants 19.
Deferred capital grants Group and Board Note 2018/2019 2017/2018 $ $ 195,467,660 204,135,540 65,260 1,322,919 At 1 April Amounts transferred from development grants Amounts transferred from operating grants 18 21 Less: Deferred capital grants amortised during the financial year At 31 March Comprised: Current balances Non-current balances Group and Board Note 2018/2019 2017/2018 $ $ Operating grants received during the financial year 255,344,900 251,027,498 Operating grant receivables as at 31 March – 191,802 Less: Amounts transferred to deferred capital grants 19 (5,098,440) (4,778,039) Less: Amounts refunded (178,548) – 5,098,440 4,778,039 Operating grants utilised during the financial year 250,067,912 246,441,261 200,631,360 210,236,498 (14,602,417) (14,768,838) 186,028,943 195,467,660 13,298,907 14,022,641 172,730,036 181,445,019 186,028,943 195,467,660 The operating grants of $250,067,912 (2017/2018: $246,441,261) utilised during the financial year were disbursed by Ministry of Communications and Information and Ministry of Culture, Community and Youth (“MCCY”).
During the financial year, unutilised operating grants amounting to $178,548 (2017/2018: $Nil) were refunded to MCCY.

In accordance with the agreement with MCCY for the funding over certain programme, the Board is required to refund the unutilised amounts of grants to MCCY on completion of the programme.

47 48 NATIONAL LIBRARY BOARD AND ITS SUBSIDIARIES Notes to the financial statements For the financial year ended 31 March 2019 22.
Investment income - net The following items have been included in arriving at the investment income for the year: Group Board 2018/2019 2017/2018 2018/2019 2017/2018 $ $ $ $ Notes to the financial statements For the financial year ended 31 March 2019 23.
Income tax expense (cont’d) At the end of the reporting period, a subsidiary of the Group has unrecognised tax losses of $Nil (2017/2018: $164,816) and unutilised capital allowances of $129,174 (2017/2018: $130,663) that are available for offset against future taxable income.

No deferred tax asset is recognised on these losses and capital allowances due to uncertainty of its recoverability.
The use of these losses and capital allowances is subject to the agreement of tax authorities and compliance with certain provisions of the tax regulations.

These tax benefits have no expiry date.

Interest income from quoted debt securities 1,100,738 1,024,101 1,100,738 1,024,101 24.

Investments with fund managers 23.
Income tax expense Investment securities at fair value through profit or loss Dividend income from quoted equity securities 92,946 153,165 92,946 153,165 (Loss)/gain on sale of investment securities at fair value through profit or loss: - Quoted equity securities (319,131) 1,105,174 (319,131) 1,105,174 - Quoted debt securities (349,578) (160,599) (349,578) (160,599) - Quoted unit trusts 137,703 – 137,703 – Net gain from investment securities at fair value through profit or loss 8,639,230 11,410,183 8,643,993 11,408,308 Foreign exchange (loss)/gain - net (538,150) 1,102,795 (538,150) 1,102,795 8,763,758 14,634,819 8,768,521 14,632,944 Except for one of its subsidiaries which is subject to tax under Singapore income tax legislation, the Group is tax exempted under the provisions of the Income Tax Act.
Group Board 2018/2019 2017/2018 2018/2019 2017/2018 $ $ $ $ Reconciliation of effective tax rate Deficit before tax (12,652,728) (9,646,390) (12,881,701) (9,029,479) Tax calculated at tax rate of 17% (2,150,964) (1,639,886) (2,189,889) (1,535,011) Effects of: - Deficit exempted from tax 2,186,485 1,651,441 2,189,889 1,535,011 - Non-deductible expenses 1,265 1,220 - Statutory stepped income exemption – (1,275) - Income not subject to tax (8,514) (1,084) - Utilisation of previously unrecognised tax losses (28,272) (10,416) – – – – – – – – – – – – The Group placed its surplus funds with fund managers.
The fund managers are given discretion in managing their respective portfolios, subject to the investment guidelines and the mandate set out in the external fund management agreements.

As part of its risk management activities, the fund managers managing the segregated mandate use currency swaps for hedging purposes.

They are not used for speculative purposes.
As at the balance sheet date, the funds managed by fund managers comprise the following assets and liabilities: - Quoted debt securities - Quoted equity securities Cash balances Net other receivables relating to investment transactions Currency swaps Investment securities at fair value through profit or loss - Quoted unit trusts Group and Board Note 2018/2019 2017/2018 $ $ 11 11 15 14 44,338,292 42,954,512 5,222,184 4,740,977 398,139 261,572 (26,572) 923,790 789,938 57,115 50,193,615 49,466,332 11 397,131,713 407,282,038 447,325,328 456,748,370 The investments with fund managers are designated at fair value through profit or loss as the Group manages such investments based on their fair value in accordance with the Group’s documented investment strategy.
Investments with fund managers include quoted debt securities issued by statutory boards and organs of state of $12,973,964 (2017/2018: $13,746,314).

Sales and redemption of debt securities, and purchases of investments carried out by the fund managers with statutory boards amounted to $5,490,933 (2017/2018: $9,744,759) and $4,725,949 (2017/2018: $7,467,875) respectively.
During the financial year, quoted unit trust amounting to $205,140,099 was transferred from Level 1 to Level 2 of the fair value hierarchy (Note 29(b)).

49 50 NATIONAL LIBRARY BOARD AND ITS SUBSIDIARIES Notes to the financial statements For the financial year ended 31 March 2019 25.

Revenue The table below shows the disaggregation of the revenue of the Group and the Board based on the various key income streams and the timing of transfer of goods or services (either at a point in time or over time).
Group 2018/2019 Timing of transfer of goods or services At a point in time Over time $ $ Total $ Notes to the financial statements For the financial year ended 31 March 2019 25.
Revenue (cont’d) Board 2018/2019 Consultancy and other services Professional library services Book fines and lost book charges Library services and programmes Timing of transfer of goods or services At a point in time Over time $ $ Total $ – – – – 5,563,518 5,563,518 1,795,904 1,795,904 2,690,972 2,690,972 903,598 903,598 Consultancy and other services 17,131 5,603,759 5,620,890 Membership fees 869,223 – 869,223 Professional library services 106,584 3,017,723 3,124,307 Book fines and lost book charges Library services and programmes – – 2,690,972 2,690,972 903,598 903,598 Membership fees 869,223 – 869,223 992,938 12,216,052 13,208,990 Group 2017/2018 Timing of transfer of goods or services At a point in time Over time $ $ Total $ Consultancy and other services 220,976 4,596,871 4,817,847 Professional library services Book fines and lost book charges Library services and programmes – – – 2,930,038 2,930,038 2,889,037 2,889,037 1,151,856 1,151,856 Membership fees 785,355 – 785,355 1,006,331 11,567,802 12,574,133 Board 2017/2018 Consultancy and other services Professional library services Book fines and lost book charges Library services and programmes 869,223 10,953,992 11,823,215 Timing of transfer of goods or services At a point in time Over time $ $ Total $ – – – – 4,789,641 4,789,641 1,698,117 1,698,117 2,889,037 2,889,037 1,151,856 1,151,856 Membership fees 785,355 – 785,355 785,355 10,528,651 11,314,006 51 52 NATIONAL LIBRARY BOARD AND ITS SUBSIDIARIES Notes to the financial statements For the financial year ended 31 March 2019 Notes to the financial statements For the financial year ended 31 March 2019 26.
Commitments 26.
Commitments (cont’d) (a) Operating lease commitments - where the Board is a lessee (c) Collection commitment Purchase orders on book collections approved by the Board at the balance sheet date but not provided for in the financial statements are as follows: Amounts approved and contracted (d) Capital commitments Group and Board 2018/2019 2017/2018 $ $ 1,669,563 2,066,482 Capital expenditures contracted for at the balance sheet date but not recognised in the financial statements are as follows: The Board leases certain properties under non-cancellable operating lease agreements.
These leases have no purchase options.

These leases, most of which contain renewal options, expire at various dates up to the year 2034 and contain provisions for rental adjustments and provisions which restrict the Board’s usage of the premises.
The future minimum lease payables under non-cancellable operating leases contracted for at the balance sheet date but not recognised as liabilities are as follows: Not later than one year Between one and five years Later than five years Group and Board 2018/2019 2017/2018 $ $ 16,757,146 20,653,242 34,323,531 27,094,558 26,208,812 19,070,183 77,289,489 66,817,983 The future minimum lease receivables under non-cancellable operating leases contracted for at the balance sheet date but not recognised as receivables, are as follows: Not later than one year Between one and five years Group and Board 2018/2019 2017/2018 $ $ 2,161,295 2,935,267 1,804,346 963,636 (b) Operating lease commitments - where the Board is a lessor Amounts approved and contracted The Board leases out certain commercial property space to non-related parties under non-cancellable operating leases.
These leases have remaining non-cancellable lease terms of between one and five years.

27.
Related party transactions In addition to the information disclosed elsewhere in the financial statements, the following significant transactions took place between the Group and related parties at terms agreed between the parties: (a) Transactions with Ministries, Organs of State, Statutory Boards, educational institutions and other government agencies Consultancy service income 3,965,641 3,898,903 Professional service income Rental income Rental expenses IT services 53 54 Maintenance and other property expenses (7,013,349) (5,668,546) Group and Board 2018/2019 2017/2018 $ $ 6,757,403 35,811,366 Group 2018/2019 2017/2018 $ $ 5,368,190 4,337,176 1,795,904 1,698,117 2,775,943 2,589,412 (9,437,289) (11,980,555) (4,701,558) (5,574,518) NATIONAL LIBRARY BOARD AND ITS SUBSIDIARIES Notes to the financial statements For the financial year ended 31 March 2019 27.
Related party transactions (cont’d) (b) Transactions with subsidiaries Consultancy and other services Rental income General and administrative expenses Agency and other professional fees Board 2018/2019 2017/2018 $ $ 228,788 253,340 189,519 (7,494) (900) 90,065 (7,876) (1,450) Disbursement of grants (2,026,527) (1,307,326) (c) Compensation of key management personnel Key management personnel are those parties having the authority and responsibility for planning, directing and controlling the activities of the Group.
The chief executive and the group heads are considered by the Group to be key management personnel.
Details of the compensation of key management personnel are as follows: Group Board 2018/2019 2017/2018 2018/2019 2017/2018 $ $ $ $ Salaries, bonuses and other short-term benefits 1,932,915 1,822,114 1,553,177 1,495,701 Employer’s contribution to defined contribution plans, including Central Provident Fund 108,959 105,573 71,869 73,467 2,041,874 1,927,687 1,625,046 1,569,168 Notes to the financial statements For the financial year ended 31 March 2019 28.
Financial risk management objectives and policies The Group’s principal financial instruments comprise cash and cash equivalents, unit trusts as well as debt securities, equity securities and currency swaps managed by fund managers.

The Group has various other financial assets and liabilities such as trade receivables and trade payables, which are directly attributable to its operations.

The Group does not hold or issue derivative financial instruments for trading purposes.
The Group’s exposure to risk predominantly arises from its funds placed with fund managers.

Funds with fund managers The Group established an investment policy which governs the overall investment guidelines including the overarching investment objectives as well as asset allocations and restrictions with an appropriate risk management framework.

The investment contracts with the fund managers were established based on approved policies and guidelines.
Regular investment performance reports are sent to the members of the Finance Committee and Board for monitoring purposes.

Review sessions with the fund managers are held once in every six months.

The appointed fund managers are held responsible in achieving the investment objectives set forth in their respective fund manager agreements entered into with the Group.

All income and realised capital gains are to be reinvested by the fund managers unless otherwise instructed by the Group.
The fund managers’ overall risk management programme seeks to maximise the returns derived for the level of risk to which they are exposed and seeks to minimise the potential adverse effects on the fund managers’ financial performance.

The investment risks undertaken by the fund managers is managed and governed by the mandate set forth in the fund managers’ agreements approved by the Group’s Finance Committee.
The mandate provides written principles for overall risk management, as well as written policies covering specific areas, such as foreign exchange risk, interest rate risk and credit risk.

The Finance Committee has reviewed and agreed on policies for managing each of these risks in relation to the funds with fund managers.

55 56 NATIONAL LIBRARY BOARD AND ITS SUBSIDIARIES Notes to the financial statements For the financial year ended 31 March 2019 28.
Financial risk management objectives and policies (cont’d) The Group is exposed to financial risks arising from its operations and the use of financial instruments.

The key financial risks include credit risk, liquidity risk and market risk.

The following sections provide details regarding the Group’s exposure to the above-mentioned financial risks and the objectives, policies and processes for the management of these risks.
(a) Credit risk Credit risk is the risk of loss that may arise on outstanding financial instruments should a counterparty default on its obligations.

The Group’s exposure to credit risk arise primarily from trade and other receivables.

For other financial assets (including investment securities, cash and cash equivalents and derivatives), the Group adopt the policy of dealing exclusively with high credit rating counterparties to minimise credit risk.
For investments in debt securities managed by professional fund managers, the Group adopts the policy of dealing only with counterparties whose credit rating is at least “A-” (Standard and Poor) or equivalent, further subject to industry and geographical limits.

Notes to the financial statements For the financial year ended 31 March 2019 28.
Financial risk management objectives and policies (cont’d) (a) Credit risk (cont’d) Financial assets are written off when there is no reasonable expectation of recovery, such as a debtor failing to meet a repayment plan with the Group.

Where receivables have been written off, the Group continues to engage enforcement activity to attempt to recover the receivables due.

Where recoveries are made, these are recognised in profit or loss.
Trade receivables and receivables from book fines and lost book charges For trade receivables and receivables from book fines and lost book charges, the Group provides for lifetime expected credit losses using a provision matrix.

The provision rates are determined based on the Group’s historical observed default rates analysed in accordance with days past due.
Management has assessed that the loss allowance provision as at 31 March 2019 on the Group’s trade receivables (excluding receivables from book fines and lost book charges) is negligible as the Group has no significant default in trade receivables based on historical experience.

The Group trades only with recognised and creditworthy third parties.

Receivable balances are monitored on an ongoing basis with the result that the Group’s exposure to bad debts is not significant.
Information regarding the loss allowance provision on the Group’s receivables from book fines and lost book charges and the provision matrix is disclosed in Note 13 to the financial statements.

The Group considers the probability of default upon initial recognition of financial asset and whether there has been a significant increase in credit risk on an ongoing basis throughout each reporting period.
Financial assets that are neither past due nor impaired To assess whether there is a significant increase in credit risk, the Group compares the risk of a default occurring on the asset as at reporting date with the risk of default as at the date of initial recognition.
The Group considers available reasonable and supportive forward-looking information which includes indicators such as significant changes in the expected performance and behaviour of the debtor, including changes in the payment status of debtors in the Group, and changes in the operating results of the debtor.

Regardless of the analysis above, a significant increase in credit risk is presumed if a debtor is more than 60 days due in making contractual payment.
The Group determined that its financial assets are credit-impaired when: - There is significant financial difficulty of the debtor; - A breach of contract, such as a default or past due event; - - It is becoming probable that the debtor will enter bankruptcy or other financial reorganisation; or There is disappearance of an active market for that financial asset because of financial difficulty.
Trade and other receivables that are neither past due nor impaired are with creditworthy debtors with good payment records with the Group.

Cash and cash equivalents, investment securities and derivatives that are neither past due nor impaired are placed with or entered into with reputable financial institutions or companies with high credit ratings and no history of default.
Financial assets that are either past due or impaired Information regarding financial assets that are either past due or impaired is disclosed in Notes 12 and 13 to the financial statements.

Concentration and exposure to credit risk At the end of the reporting period, there is no significant concentration of credit risk.

The maximum exposure to credit risk for each class of financial instruments is the carrying amount of that class of financial instruments presented on the statement of financial position.
57 58 NATIONAL LIBRARY BOARD AND ITS SUBSIDIARIES Notes to the financial statements For the financial year ended 31 March 2019 Notes to the financial statements For the financial year ended 31 March 2019 28.

Financial risk management objectives and policies(cont’d) 28.

Financial risk management objectives and policies (cont’d) (b) Liquidity risk Liquidity risk arises in the general funding of the Group’s operating activities.
It includes the risks of not being able to fund operating activities in a timely manner.

To manage liquidity risk, the Group places majority of its surplus funds with the Accountant-General’s Department which are readily available when required.

(c) Market risk (i) Price risk The Group is exposed to price risk arising from quoted equity securities and unit trusts held by the fund managers.
Where financial instruments are denominated in currencies other than the functional currency of the Group, the prices initially expressed in foreign currency and then converted into the functional currency will also fluctuate because of changes in foreign exchange rates.

To manage its price risk, the Group diversifies its portfolio.

Diversification of the portfolio is done in accordance with the limits in the agreements with the fund managers.
The overall market position of these investments is reviewed on a semi-annual basis by the Finance Committee.

Compliance with the limits in the agreement with the fund managers are reported by the fund managers on a monthly basis.
At the balance sheet date, a 3% (2017/2018: 3%) increase in the underlying prices of the unit trusts, –* (2017/2018: 4%) increase in the prices of the underlying debt securities and 1% (2017/2018: 4%) increase in the prices of the underlying equity securities would increase portfolio gains and the fair value of these investment securities recognised in profit or loss by the amounts presented in the table below: Group Board Net surplus for the financial year Net surplus for the financial year 2018/2019 2017/2018 2018/2019 2017/2018 $ or loss: $ $ $ Investment securities at fair value through profit or loss - Quoted unit trusts 11,913,951 12,218,461 11,913,951 12,218,461 - Quoted debt securities –* 1,749,155 –* 1,718,180 - Quoted equity securities 52,222 189,639 52,222 189,639 *As at 31 March 2019, management believes that no reasonably possible change in the prices is expected to result in a material fluctuation in the portfolio gains and the fair value of the quoted debt securities.
The above sensitivity analysis assumes that all other variables are held constant.

(c) Market risk (cont’d) (ii) Interest rate risk Exposure to interest rate risk relates primarily to the Group’s investment portfolio managed by fund managers and the fixed deposits placed with banks.

The Group relies on fund managers to monitor and mitigate the adverse effects of interest rate changes on its investment portfolios.
The fund managers have absolute discretion in managing the funds within the agreed investment guidelines.

A portfolio diversification approach is adopted.
At the balance sheet date, the profile of the interest-earning financial instruments is as follows: Group Board Carrying amount Carrying amount 2018/2019 2017/2018 2018/2019 2017/2018 $ $ $ $ Fixed rate instruments Fixed deposits with banks 1,799,601 984,803 – – Quoted debt securities 44,338,292 43,728,887 44,338,292 42,954,512 46,137,893 44,713,690 44,338,292 42,954,512 Fair value sensitivity analysis for fixed rate instruments Changes in interest rates do not affect the fair value of fixed rate instruments (i.e.
fixed deposits managed by fund managers and fixed deposits at bank) measured at amortised costs.

Debt securities are the only fixed rate instruments which are accounted for at fair value through profit or loss by the Group.

This analysis assumes that all other variables remain constant and there is an inverse linear relationship between interest rates and bond prices.
An increase of 10 (2017/2018: 75) basis points in interest rate would decrease the fair value of debt securities and net surplus as follows: Group Board 2018/2019 2017/2018 2018/2019 2017/2018 $ $ $ $ Quoted debt securities 44,338 327,967 44,338 322,159 59 60 NATIONAL LIBRARY BOARD AND ITS SUBSIDIARIES Notes to the financial statements For the financial year ended 31 March 2019 Notes to the financial statements For the financial year ended 31 March 2019 28.
Financial risk management objectives and policies (cont’d) 28.

Financial risk management objectives and policies (cont’d) (c) Market risk (cont’d) (iii) Currency risk (c) Market risk (cont’d) (iii) Currency risk (cont’d) The Group operates in Singapore and income and expenditure are primarily incurred in its functional currency, Singapore Dollars.

Currency risk arises when transactions are denominated in foreign currencies such as the United States Dollars (“USD”).
To manage the currency risk, the Group enters into currency swaps through fund managers.

Please see details disclosed in Note 14 to the financial statements.

In addition, the Group is exposed to currency translation risk on financial assets or liabilities denominated in foreign currencies.

Quoted equity securities and unit trusts are denominated in Singapore Dollars and therefore not exposed to currency risk.
The Group’s currency exposure based on the information provided to key management is as follows: SGD $ USD $ Others Total $ $ At 31 March 2019 Financial assets SGD USD Others Total $ $ $ $ At 31 March 2018 Financial assets Quoted debt securities 14,520,689 28,184,113 1,024,085 43,728,887 Trade and other receivables 8,966,973 47,731 581,237 9,595,941 Cash and cash equivalents 142,494,661 304,905 222,427 143,021,993 165,982,323 28,536,749 1,827,749 196,346,821 Financial liabilities Quoted debt securities 12,973,964 31,364,328 – 44,338,292 Trade and other payables (72,456,389) (167,166) (21,043) (72,644,598) Trade and other receivables 4,343,862 72,127 169,604 4,585,593 Cash and cash equivalents 129,911,954 215,458 38,408 130,165,820 147,229,780 31,651,913 208,012 179,089,705 (72,456,389) (167,166) (21,043) (72,644,598) Net financial assets 93,525,934 28,369,583 1,806,706 123,702,223 Financial liabilities Less: Currency swaps – (24,408,158) – (24,408,158) Trade and other payables (45,131,018) (65,485) (33,091) (45,229,594) (45,131,018) (65,485) (33,091) (45,229,594) Net financial assets 102,098,762 31,586,428 174,921 133,860,111 Less: Currency swaps – (32,459,114) – (32,459,114) Less: Net financial assets denominated in functional currency Currency exposure of financial (liabilities)/ assets net of those denominated in functional currency (102,098,762) – – (102,098,762) – (872,686) 174,921 (697,765) Less: Net financial assets denominated in functional currency Currency exposure of financial assets net of those denominated in functional currency (93,525,934) – – (93,525,934) – 3,961,425 1,806,706 5,768,131 61 62 NATIONAL LIBRARY BOARD AND ITS SUBSIDIARIES Notes to the financial statements For the financial year ended 31 March 2019 Notes to the financial statements For the financial year ended 31 March 2019 28.
Financial risk management objectives and policies (cont’d) 28.
Financial risk management objectives and policies (cont’d) (c) Market risk (cont’d) (iii) Currency risk (cont’d) (c) Market risk (cont’d) (iii) Currency risk (cont’d) The Board’s currency exposure based on the information provided to key management is as follows: SGD $ USD $ Others Total $ $ SGD $ USD $ Others Total $ $ At 31 March 2018 Financial assets At 31 March 2019 Financial assets Quoted debt securities 12,973,964 31,364,328 – 44,338,292 Trade and other receivables 3,905,292 72,127 169,604 4,147,023 Cash and cash equivalents 126,711,819 147,441 38,408 126,897,668 143,591,075 31,583,896 208,012 175,382,983 Financial liabilities Trade and other payables (44,477,448) (65,485) (33,091) (44,576,024) (44,477,448) (65,485) (33,091) (44,576,024) Net financial assets 99,113,627 31,518,411 174,921 130,806,959 Less: Currency swaps – (32,459,114) – (32,459,114) Less: Net financial assets denominated in functional currency Currency exposure of financial (liabilities)/ assets net of those denominated in functional currency (99,113,627) – – (99,113,627) – (940,703) 174,921 (765,782) Quoted debt securities 13,746,314 28,184,113 1,024,085 42,954,512 Trade and other receivables 8,608,942 47,731 581,237 9,237,910 Cash and cash equivalents 140,054,373 239,187 222,427 140,515,987 162,409,629 28,471,031 1,827,749 192,708,409 Financial liabilities Trade and other payables (72,163,097) (145,844) (21,043) (72,329,984) (72,163,097) (145,844) (21,043) (72,329,984) Net financial assets 90,246,532 28,325,187 1,806,706 120,378,425 Less: Currency swaps – (24,408,158) – (24,408,158) Less: Net financial assets denominated in functional currency Currency exposure of financial assets net of those denominated in functional currency (90,246,532) – – (90,246,532) – 3,917,029 1,806,706 5,723,735 63 64 NATIONAL LIBRARY BOARD AND ITS SUBSIDIARIES Notes to the financial statements For the financial year ended 31 March 2019 28.
Financial risk management objectives and policies (cont’d) (c) Market risk (cont’d) (iii) Currency risk (cont’d) If the USD changes against SGD by 5% (2017/2018: 5%), with all other variables including interest rates being held constant, the effects on the accumulated surplus is as follows: (Decrease)/Increase in accumulated surplus 2018/2019 2017/2018 $ $ (43,634) 43,634 (47,035) 47,035 198,071 (198,071) 195,851 (195,851) Group USD against SGD Strengthened Weakened Board USD against SGD Strengthened Weakened 29.
Fair value of financial instruments (a) Fair value hierarchy The Group and the Board categorise fair value measurements using a fair value hierarchy that is dependent on the valuation inputs used as follows: Level 1 - Quoted prices (unadjusted) in active markets for identical assets or liabilities that the Group and the Board can access at the measurement date; Level 2 - Inputs other than quoted prices included within Level 1 that are observable for the asset or liability, either directly (i.e.
as prices) or indirectly (i.e.

derived from prices); and Level 3 - Unobservable inputs for the asset or liability.

Fair value measurements that use inputs of different hierarchy levels are categorised in its entirety in the same level of the fair value hierarchy as the lowest level input that is significant to the entire measurement.

Notes to the financial statements For the financial year ended 31 March 2019 29.
Fair value of financial instruments (cont’d) (b) Financial assets and liabilities carried at fair value Level 1 Level 2 Level 3 Total $ $ $ $ Group At 31 March 2019 Investment securities at fair value through profit or loss - Quoted debt securities 44,338,292 - Quoted equity securities 5,222,184 – – - Quoted unit trusts 191,991,614 205,140,099 Derivative financial instruments – (26,572) 241,552,090 205,113,527 At 31 March 2018 Investment securities at fair value through profit or loss - Quoted debt securities 43,728,887 - Quoted equity securities 4,740,977 - Quoted unit trusts 407,282,038 Derivative financial instruments – 455,751,902 – – – 57,115 57,115 – – – – – – – – – – 44,338,292 5,222,184 397,131,713 (26,572) 446,665,617 43,728,887 4,740,977 407,282,038 57,115 455,809,017 65 66 NATIONAL LIBRARY BOARD AND ITS SUBSIDIARIES Notes to the financial statements For the financial year ended 31 March 2019 29.
Fair value of financial instruments (cont’d) Notes to the financial statements For the financial year ended 31 March 2019 29.
Fair value of financial instruments (cont’d) (b) Financial assets and liabilities carried at fair value (cont’d) (b) Financial assets and liabilities carried at fair value (cont’d) Level 1 Level 2 Level 3 $ $ $ Total $ Board At 31 March 2019 Investment securities at fair value through profit or loss - Quoted debt securities 44,338,292 - Quoted equity securities 5,222,184 – – - Quoted unit trusts 191,991,614 205,140,099 Derivative financial instruments – (26,572) 241,552,090 205,113,527 At 31 March 2018 Investment securities at fair value through profit or loss - Quoted debt securities 42,954,512 - Quoted equity securities 4,740,977 - Quoted unit trusts 407,282,038 Derivative financial instruments – 454,977,527 – – – 57,115 57,115 Level 1: – – – – – – – – – – 44,338,292 5,222,184 397,131,713 (26,572) 446,665,617 42,954,512 4,740,977 407,282,038 57,115 455,034,642 The fair value of financial instruments traded in active markets (such as exchange traded and over-the- counter securities and derivatives) is based on quoted market prices at the balance sheet date.
The quoted market prices used for financial assets held by the Group and the Board are the current bid prices.

Level 2: Quoted unit trust During the financial year, the quoted unit trust included in the table below was transferred from Level 1 to Level 2 as the market price in active markets at the balance sheet date for identical instrument is no longer publicly available.
The fair value of the unit trust was based on the quoted prices provided by the fund manager for the underlying financial instruments.

There was no transfer between Level 1 and 2 during the financial year ended 31 March 2018.
Investment securities at fair value through profit or loss - Quoted unit trust Group and Board $ 205,140,099 (c) Financial assets and liabilities that are not carried at fair value and whose carrying amounts are reasonable approximation of fair value The fair value of current financial assets and liabilities carried at amortised cost approximates their carrying amounts because these instruments are either short term in nature or repriced frequently.

30.
Offsetting financial assets and financial liabilities The Group and the Board have the following financial instruments subject to enforceable master netting arrangements or similar agreements as follows: Related amounts set off in the balance sheet Gross amounts - financial assets (a) $ - financial liabilities (b) $ Net amounts - financial (liabilities)/ assets presented in balance sheet (c) = (a)-(b) $ Derivative financial instruments – currency swaps At 31 March 2019 34,496,580 (34,523,152) (26,572) At 31 March 2018 24,919,233 (24,862,118) 57,115 The fair value of the quoted unit trust is determined based on quoted prices provided by the fund manager.
Derivative financial instruments 31.

Authorisation of financial statements The fair value of currency swaps is determined using actively quoted currency rates.

The financial statements were authorised for issue by the Members of the Board on 20 June 2019.

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