NPFC Auditor’s Report for 2022/2023 Financial Year

In this report, the auditor noted on page 6 that there was a pension liability derived from the decision by COM06 in adopting the budget for 2021/22 represented in NPFC-2021-FAC04-WP01. This is reflected in NPFC Staff Regulations 8.1. Based on the decision at COM07 to establish separate bank accounts for the separate funds, these funds are now held in a “Repatriation Fund” account that includes international staff retirement funds and other repatriation liabilities. These have consistently been reflected in NPFC budgetsbut not in the audit until now. Transfers from the General Fund (our operational account) to the Repatriation Fund will be documented for transparency and audit purposes. The pension liability for 2022/2023 that is referenced in the audit is ¥6,265,709. This reduces the stated surplus in the audit from ¥11,234,974 to ¥4,969,265. This amount will be transferred to the Working Capital Fund as outlined in the NPFC Financial Regulations paragraph 18.