Consolidated Annual Report 2017

57 BARBADOS PUBLIC WORKERS’ CO-OPERATIVE CREDIT UNION LIMITED | CONSOLIDATED ANNUAL REPORT 2017 BARBADOS PUBLIC WORKERS' CO-OPERATIVE CREDIT UNION LIMITED Notes to the Consolidated Financial Statements For the year ended March 31, 2017 (Expressed in Barbados dollars) 45 21. Statutory Reserves 2017 2016 Statutory reserve (i) $ 107,687,256 97,657,847 $ 107,687,256 97,657,847 (i) Statutory reserve The movement in this reserve during the year is as follows: 2017 2016 Balance, beginning of year $ 97,657,847 89,803,786 Transfers to reserve – statutory * 5,557,892 5,101,250 Transfer to reserve – statutory ** 67,451 101,605 Transfers to reserve – voluntary 4,371,806 2,620,906 107,654,996 97,627,547 Entrance fees 32,260 30,300 Balance, end of year $ 107,687,256 97,657,847 * Section 197(2) of the Co-operative Societies (Amendment) Act 2007-39 requires for the Credit Union that an appropriation equivalent to the greater of one half of one per cent (0.5%) of total assets or twenty-five per cent (25%) of net surplus shall be credited to the reserve fund annually until capital equals ten per cent (10%) of total assets. The Registrar of Co-operatives may increase the appropriation amount to forty per cent (40%) of net surplus or one per cent (1%) of total assets in certain circumstances. ** Under the provisions of the Financial Institutions Act, a subsidiary is required to transfer a minimum of 15% of its after tax profits to a reserve fund until such fund equals the share capital. A transfer of $67,451 was required during 2017 (2016 - $101,605).