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period and a decrease in claims provision from P239.53 million to P142.50 million in the year under review. 

Total operating income decreased by 50.39% from P156.05 million in the previous year to P77.42 million in the year under review mainly as a result of the considerable change in the following comparative figures: 

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However, the total expenses decreased by 18.73% from P407.38 million in the previous year to P331.07 million in the year under review. The major contributor to the reduction in total expenses is the 40% reduction in claims provision from P239.53 million in the previous year to P142.50 million in the year under review. 

## 2.3 Working Capital 

As at 31 December 2017, the working capital position of the Fund showed current assets of P727.21 million and current liabilities of P247.20 million, resulting in a net current asset position of P480.01 million. 

## 3.0 Management Letter 

The financial statements submitted to me did not include management letter. Consequently, I have not been able to comment on any issues that might had been raised therein. 

## 169. National Development Bank 

As part of my writing of this report, and in line with the long standing arrangement with the Public Accounts Committee, I had circularized all statutory bodies and state-owned enterprises requesting them to forward to me copies of their audited financial statements and reports for purposes of review and inclusion of the review results in this report. The Chief Executive Officer of the Bank has responded stating that they were unable to do so as the audit had not yet been concluded, pending confirmation of an outstanding matter with the Ministry of Finance and Economic Development. 

