Page 252 - Pakistan Oilfield Limited - Annual Report 2022

250
PAKISTAN OILFIELDS LIMITED

Notes to and Forming Part of the -
Consolidated Financial Statements

For the year ended June 30, 2022

38.17 Principal actuarial assumptions
The principal assumptions used in the actuarial valuation are as follows:

2022 2021
%

Discount rate 13 9.75
Expected rate of salary increase 13 9.75
38.18 Mortality was assumed to be 70% of the EFU (61-66) Table at valuations on both dates, June 30,
2022 and 2021.

38.19 Sensitivity analysis
The calculation of the defined benefit obligation is sensitive to assumptions set out above. The
following table summarizes how the impact on the defined benefit obligation at the end of
the reporting period would have increased/ (decreased) as a result of a change in respective
assumptions by one percent.
Defined benefit obligation
1 percent 1 percent
increase decrease
Rupees ('000)

Discount rate (541) 614
Salary increase 608 (546)

The impact of changes in financial assumptions has been determined by revaluation of the
obligation on different rates.

38.20 The weighted average number of the defined benefit obligation is given below:

Plan Duration Years
June 30, 2022 8.5
June 30, 2021 7.1

38.21 Projected payments are as follows:
Rupees ('000)

FY 2023 416
FY 2024 1,704
FY 2025 492
FY 2026 471
FY 2027 561
FY 2028-32 8,408