KARACHI, Oct 28: The Employees Old-Age Benefits Institution (EOBI) has switched over to accrual accounting system to exercise better control on collection system, eliminate discretion , facilitate proper record keeping and match expenses with contribution collection.

This was stated by the EOBI Chairman Muhammad Shafi Malik while talking to a delegation of Small and Medium Enterprises Alliance (SAMEA).

The seven-member delegation, led by its president Zafar Iqbal, was also briefed about the performance as well as the future plans of the institution.

Mr Malik pointed out that accrual accounting was the pre-requisite for accurate record building and automation.

He asked theSmall and Medium Enterprises Alliance to play its role in order to make the system a success for the benefit of all the stakeholders.

He also enumerated steps taken by the institution to improve the viability of the Employees Old-Age Benefits Institution scheme.

He informed that the comprehensive database of the employers has been developed after collection of information from various sources.

Self-assessment scheme on the basis of flat rate contribution of Rs150 per month from the employer and Rs20 per month from employees has been adopted to facilitate the employers.-APP