Note 17 – Income from financial items

  Group Parent Company
SEK m 2016 2015 2016 2015
Financial income
Interest income, external investments 1 2 1 1
Interest income, Group companies 24 31
Total financial income 1 2 25 32
Financial expenses
Interest expenses, external loans -7 -8 -6 -7
Interest expenses, pensions -6 -5 -5 -4
Interest expenses, Group companies 0 0
Interest expenses, interest rate swaps -3 -2 -3 -2
Change in fair value, currency forwards -4 -17 -5 -9
Other financial expenses -2 -1 -2 -3
Total financial expenses -23 -33 -22 -25

The interest portion in the year’s expenses is reported among interest expenses. The rate of interest used in the Parent Company is 4.0% (2015: 3.7%) set by PRI, calculated on the average of opening and closing balances on the item “Pension provisions”.

Other financial income and expenses include reported bank charges as well as exchange rate effects on financial loans and investments. Since Duni is primarily a borrower, the entire effect is reported among interest expenses.