NTUC Income AR 2019

NOTES TO THE FINANCIAL STATEMENTS FOR THE FINANCIAL YEAR ENDED 31 DECEMBER 2019 31. COMMITMENT Outstanding investment commitments are as follows: The Group 2019 $'000 2018 $'000 Outstanding investment commitments 918,396 653,356 32. ASSETS AND LIABILITIES HELD FOR SALE In the Ministry of Health (“the Ministry”) press release in January 2019, it was announced that they had reached an agreement with the ElderShield Basic Scheme insurers for the Government to take over the administration of the ElderShield Basic Scheme in 2021. The Co-operative will continue to administer the Scheme until 2021. ElderShield Basic Scheme insurers will transfer to the Government the liabilities and corresponding assets backing these liabilities for all policies under the ElderShield Basic Scheme. With the enactment of the CareShield Life and Long-Term Care Act at the end of 2019, and the conditions for transfer confirmed in writing on 6 January 2020 by the Ministry, the related assets and liabilities have been derecognised subsequent to the year end. Accordingly, the assets and liabilities of ElderShield Basic are classified as assets and liabilities held for sale as at 31 December 2019 and will continue to be administered by the Co-operative until physical transfer expected in 2021. As at 31 December 2019, the assets and liabilities held for sale was stated at fair value and comprised of the following assets and liabilities: 2019 $’000 Other financial assets 1,542,789 Derivative financial instruments 605 Insurance and other receivables 4,636 Cash and cash equivalents 102,511 Assets held for sale 1,650,541 Insurance contract provisions 1,603,131 Insurance and other payables 41,663 Liabilities held for sale 1,644,794 140 HERE FOR SURE