HKSI Institute AR2023

71 HKSI Institute Annual Report 2023 NOTES TO THE FINANCIAL STATEMENTS (CONTINUED) (Expressed in Hong Kong dollars unless otherwise indicated) 14 PROVISIONS Provision for re-instatement cost of office premise 2023 2022 At 1 April $ 2,643,000 $ 650,000 Additional provision made – 1,993,000 Provision utilised (650,000) – At 31 March $ 1,993,000 $ 2,643,000 Under the tenancy agreement of the Group’s office premises, the Group has a contractual obligation to hand back the premise in its original condition. Therefore, the Group applies the “liability approach” and recognises a provision for these reinstatement cost over the period of the lease, based on the best estimate of the expected reinstatement cost in respect of the modifications made to the office premise. The amount of the provision takes into account the Group’s recent reinstatement costs incurred for the existing office premise. The expected timing of utilising the provision is when the Group terminates the tenancy agreement, which is not expected to happen until the tenancy agreement expires. 15 AMOUNT DUE TO THE GOVERNMENT OF THE HONG KONG SPECIAL ADMINISTRATIVE REGION The Group acted as agent for the Government of the Hong Kong Special Administrative Region (the “Government”) to plan and implement the Pilot Programme to Enhance Talent Training for the Asset and Wealth Management Sector (the “Pilot Programme”) and follow any directions given by the Government in relation to the provision of the services. The following table shows the movement of working funds received from the Government. 2023 2022 At the beginning of the financial year $ 4,559,568 $ 4,057,161 Add: Working funds received from the Government 3,000,000 8,230,000 Add: Interest received from bank account 5,017 29 Less: Utilised to compensate expenses incurred by the Group on behalf of the Government (5,843,344) (7,727,622) $ 1,721,241 $ 4,559,568