12. Net financial expense and similar €/000 (34,625)

Below is the breakdown of borrowing costs and income:

20132012Change
In thousands of Euros
Income:
- Interest receivable from clients 81 142 (61)
- Bank and post office interest payable 910 824 86
- Interest payable on financial receivables 409 509 (100)
‘– Income from fair value measurements 1,148 494 654
- Other 73 47 26
Total financial income2,6212,016605
 
20132012Change
In thousands of Euros 
Borrowing costs payable to affiliated companies 105 300(195)
Borrowing costs paid to others:1,916
- Interest payable on bank accounts 5,311 3,395  
- Interest payable on debenture loans 14,381 14,672 (291)
- Interest payable on bank loans 14,101 14,388 14,388 (287)
- Interest payable to other lenders 2,098 2,654 2,654 (556)
- Interest to suppliers52793434
- Cash discounts to clients 360 553 553 (193)
- Bank charges on loans 1,831 2,151 2,151 (320)
- Borrowing costs from discounting back termination benefits 1,608 2,001 (393)
- Interest payable on lease agreements 114 180 180 (66)
- Other20514263
Total borrowing costs Vs others40,53640,229307
Total borrowing costs40,64140,529112
Costs capitalised on Property, Plant and Equipment 1,6223,538(1,916)
Costs capitalised on Intangible Assets2,1493,382(1,233)
Total Capitalised Costs 3,7716,920(3,149)
Total borrowing costs36,87033,6093,261
     
20132012Change
In thousands of Euros
Exchange gains 10,474 11,016 (542)
Exchange losses10,85011,676(826)
Total net exchange gains/(losses)(376)(660)284
    
Net financial income (borrowing costs)(34,625)(32,253)(2,372)
 

The balance of net financial expense and similar in 2013 was equal to €/000 34,625, registering an increase compared to the sum of €/000 32,253 of the previous year. This increase is mainly due to a lower capitalisation of interest for work in progress amounting to €3.1 million partially offset by the improvement of €0.8 million in the balance of Financial Income and Borrowing Expenses and currency management.
The average rate used during 2013 for the capitalisation of borrowing costs (because of general loans), was equal to 8.67%.