Note 21 - Government Assistance

12 Months Ended

Dec. 31, 2022

Notes to Financial Statements

Government Assistance Disclosure [Textblock]

21. Government Assistance

In November 2021, the FASB issued ASU 2021-10, Government Assistance (Topic 832): Disclosures by Business Entities about Government Assistance. This update requires annual disclosures about transactions with a government that are accounted for by applying a grant or contribution accounting model by analogy. This standard is effective for annual financial statements for the year ended December 31, 2022. The summary of government assistance received/receivable by the Company during the financial year at each geo-graphical level is provided below:

	India		Malaysia		Australia		South Africa		Total
December 31, 2022		808		188		1,444		329		2,769
December 31, 2021		742		330		1,484		284		2,840

India:

During the year, India geography has received following two assistance from government:

a. Service Exports from India Scheme (SEIS)

During the year ended December 31, 2022 and December 31, 2021, India geography has received an amount of $697 and $694 relating to Service Exports from India Scheme (SEIS). Service Exports from India Scheme (SEIS) aims to promote the export of services from India by providing duty scrip credit for eligible exports. These scrips can be used for payment of essential customs duty and specific other duties and freely transferable. The assistance is given under the Foreign Trade Policy 2015-20. The amount received from the Government is reported as 'Revenue' in the Consolidated Statement of Income (loss) and the amount receivable as at December 31, 2022 and December 31, 2021 is $483 and $653 respectively and the same has been reported as a part of 'Prepaid expense and other current assets' in the Balance Sheet.

b. National Apprenticeship Promotion Scheme (NAPS)

During the year ended December 31, 2022 and December 31, 2021, India geography has received an amount of $111 and $48 relating to National Apprenticeship Promotion Scheme (NAPS) introduced by Government of India to promote apprenticeship. The assistance is provided to businesses for sharing their cost as per the prescribed limits. Apprenticeship is implemented by the Ministry of Skill Development and Entrepreneurship at the national level. The amount received from the Government is netted off from 'Salary Cost' in the Consolidated Statement of Income (loss) and no amount is pending to be receivable as on December 31, 2022 and December 31, 2021, respectively.

Malaysia:

During the year ended December 31, 2022 and December 31, 2021, Malaysia geography has received an amount of $188 and $330 respectively from I2M and Iskander Regional Development Authority. The assistance is provided in relation to the expansion of an establishment of a Business Process Outsourcing Centre of Excellence in Iskandar Puteri, Johor. The assistance is provided to businesses for sharing their rent and training costs as per the prescribed limits. The amount receivable from the Government for the financial year is netted off from 'Rent Cost' in the Consolidated Statement of Income (loss). The amount receivable as at December 31, 2022 and December 31, 2021 is $444 and $256 respectively and the same is reported as a part of 'Prepaid expense and other current assets' in the Balance Sheet.

Australia:

During the year ended December 31, 2022 and December 31, 2021, Australia geography has received an amount of $1,444 and $1,484 respectively from Department of Education, Skills, and Employment. This assistance is introduced by the Govt in Oct 2020 due to Pandemic to incentivised the employer to control on layoff. Under this scheme, Wage subsidy is provided to Upskill the employees if they have not done the specified courses earlier. The amount receivable from the Government for the financial year is netted off from 'Salary Cost' in the Consolidated Statement of Income (loss). The amount receivable as at December 31, 2022 and December 31, 2021 is $818 and $124 respectively and the same has been reported as a part of 'Prepaid expense and other current assets' in the Balance Sheet.

South Africa:

During the year ended December 31, 2022 and December 31, 2021, South Africa geography has received an amount of $329 and $284 respectively from Ministry of Trade and Industry of South Africa. The objective of the incentive is to create youth employment in South Africa through servicing offshore activities by contributing to the country's export revenue. The amount receivable from the Government for the financial year is netted off from 'Salary Cost' in the Consolidated Statement of Income. The amount receivable as at December 31, 2022 and December 31, 2021 is $23 and $17 respectively and the same has been reported as a part of 'Prepaid expense and other current assets' in the Balance Sheet.