| |
| |
2017
Rm |
|
2016
Rm |
|
| Trade payables |
11 126 |
|
16 186 |
|
| Sundry creditors |
3 674 |
|
3 447 |
|
| Accrued expenses1 |
21 999 |
|
19 866 |
|
| Nigeria regulatory fine2 |
3 481 |
|
1 311 |
|
| Other payables3 |
5 438 |
|
4 332 |
|
| |
45 718 |
|
45 142 |
|
| 1 |
Includes accruals for operating expenses, inventories and capital expenditure for which supplier invoices are outstanding at year-end. |
| 2 |
The accrual for the Nigeria regulatory fine comprises N110 billion (2016: N30 billion) discounted at 14,71% per
annum and translated at the 31 December 2017 closing rate of R1 = N29,05 (2016: R1 = N22,81). The amount of
N110 billion is payable in two instalments of N55 billion on 31 March 2018 and 31 December 2018 (note 1.5.8). |
| 3 |
Includes dealer commissions, withholding taxes and VAT payable. |
MTN Benin frequency fees
On 30 March 2017, the government of Benin issued MTN Benin frequency fees invoices for
an amount equivalent to approximately US$213 million for the period March 2016 to
December 2017. MTN Benin’s licence agreement provides that frequency fees should take
into account regional benchmarks, international practices and the local economy. MTN Benin
has contested this amount on the basis that, inter alia, the amount is excessive, which has
been confirmed by an independent benchmark report commissioned in terms of MTN Benin’s
licence. MTN Benin will continue to engage with the regulatory authorities in Benin to find an
amicable solution to this matter.
The group has recognised a contractual liability in respect of this matter based on the
independent benchmark report commissioned.
|
