Annual Report 2021

CHINA MERCHANTS PORT HOLDINGS COMPANY LIMITED 166 Notes to the Consolidated Financial Statements For the year ended 31 December 2021 33. LEASE LIABILITIES 2021 2020 HK$’million HK$’million Lease liabilities payable: Within 1 year 40 76 Between 1 and 2 years 7 3 Between 2 and 5 years 25 16 More than 5 years 854 867 926 962 Less: Amount due for settlement with 12 months shown under current liabilities (40) (76) Amount due for settlement after 12 months shown under non-current liabilities 886 886 The lease liabilities ranged from 1 to 35 years, depending on the classes of assets rented. The Group does not have a significant liquidity risk with regard to its lease liabilities. Lease liabilities are monitored within the Group’s treasury function. The Group’s weighted average incremental borrowing rate for lease liabilities as at 31 December 2021 is 5.30% (2020: 5.28%). Lease liabilities of HK$926 million (2020: HK$962 million) are recognised with related right-of-use assets of HK$673 million (2020: HK$729 million) as at 31 December 2021. The lease agreements do not impose any covenants other than the security interests in the leased assets that are held by the lessor and the relevant leased assets may not be used as security for borrowing purposes. Details of the lease maturity analysis of the Group’s lease liabilities are set out in note 37.1 (iii). 34. OTHER NON-CURRENT LIABILITIES 2021 2020 HK$’million HK$’million Concession liabilities (Note (a)) 2,772 3,352 Royalty provision (Note (b)) 887 891 Net deferred benefit obligations (Note (c)) 599 496 Deferred income 437 437 Others 40 53 4,735 5,229