Ombud Council AR 2026

PART F: FINANCIAL INFORMATION

Amounts in Rand

20. Risk management (continued) Cash flow and fair value interest rate risk The Ombud Council does not have any interest-bearing borrowings and therefore there is no adverse exposure relating to the interest rate movements in borrowings. The table below analyses the Ombud Council’s financial liabilities at reporting date.

Less than 1 year

Between 1 and 2 years

Between 2 and 5 years

Over 5 years

At 31 March 2026

Trade and other payables Finance lease obligation

3 546 067

- - -

- - -

- - -

10 541

3 556 608

Less than 1 year

Between 1 and 2 years

Between 2 and 5 years

Over 5 years

At 31 March 2025

Trade and other payables Finance lease obligation

2 701 839

-

- - -

- - -

22 957

10 541 10 541

2 724 796

Credit risk Financial assets that potentially subject the Ombud Council to credit risk consists mainly of receivables. The Ombud Council maximum exposure to credit risk relating to account receivables is the amount as shown in the Statement of Financial Position. The Ombud Council’s investment policy limits the entity to invest with the Reserve Banks’ Corporation of Public Deposits (CPD). Management does not expect the credit risk exposure to materialise in the medium term, if conditions change, then the risk will be mitigated at such time. The maximum exposure to credit risk at the reporting date is the carrying value of each class financial assets. Financial assets are at amortised cost. 21. Accounting by principals and agents The entity is a party to a principal-agent arrangement. Details of the arrangment is as follows: Section (2)(1)(a) of the Financial Sector and Deposit Insurance Levies (Administration) and Deposit Insurance Premiums Act, 2022 (Act No. 12 of 2022) (Levies (Administration Act) provides that the FSCA is responsible for the collection and administration of the financial sector levy and the special levy referred to in sections 2 to 8 and 12 of the Levies Act read with Schedules 2 to 5 to that Act, to provide for the funding of the Ombud Council.

Ombud Council 2025/26 Annual Report

96