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Creditors and other payables due within 12 months are recognised at their nominal value unless the effect of discounting is material. Creditors and other payables due beyond 12 months are subsequently measured at amortised cost using the effective interest rate method, where applicable.

Creditors and other payables are normally settled on 30-day terms. Therefore, the carrying value of creditors and other payables approximates to their fair value. The Government’s objective is to pay 95% of domestic suppliers within 10 business days, and invoices. Inland Revenue achieved 96.3% of domestic suppliers paid within 10 working days in 2022–23.

Explanation of major variances against budget 

Creditors and other payables were $12.271 million above budget due to the timing of some large supplier’s invoices recognised in June 2023 and paid in July 2023.  

Last updated: 19 Dec 2023
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