- Islamic Relief Academy Library

Islamic Relief SA
2013 Annual Report & Financial Statements
Contents
Message from the Country Director
Our Strategy and Organisational Objectives
Protecting Life and Dignity
Emergency projects around the world
Empowering Communities
Campaigning for Change
Seasonal Projects: Ramadan
Seasonal Projects: Qurbani
Orphan and Child Welfare
• Orphan Sponsorship
• Osizweni Community Centre
• Educate-A-Child Project
Events
•
•
•
•
10 Year Anniversary Gala Dinner
Evening of Inspiration Concert Series
Mandela Day
Amsterdam Million Rand Challenge
Future Plans
Page 3
Audited Financial Statements
Message from the
Country Director
As salamu alaykum
Peace be upon you all
It gives me great pleasure to present the 2013 Annual Report and audited financial statements for Islamic Relief
South Africa.
As you will read in this report, the past year saw the Islamic Relief global humanitarian family, bring about a
lasting change in new and innovative ways, and minimize the impact of disasters in a more disruptive world.
This document showcases some of the successful projects Islamic Relief South Africa had implemented both
locally and abroad. We also reflect on some of the challenges we still face as a growing organization and provide
a glimpse into our future plans.
This year saw Islamic Relief South Africa form a number of strategic partnerships with likeminded organisations.
One notable partner is the 2 Oceans Education Foundation (2OEF) that provides holistic development and
educational guidance for some of the country’s most vulnerable school-aged children.
Through our “Educate A Leader” project and the 2OEF Education model, we believe we can provide one of the
most effective ways to help address and re-dress the socio-economic imbalances in our country.
This initiative together with our flagship Osizweni (Orphans and Vulnerable children) model, exemplifies Islamic
Relief’s strategy towards overall and effective social development.
We were also fortunate to have appointed brand ambassadors from different fields of interest, to support our
various initiatives for the betterment of society.
The notable individuals include local athlete and educator Irafaan Abrahams, South African cricketer Vernon
Philander and internationally renowned Nasheed artists Zain and Rashid Bhikha.
We also celebrated our tenth anniversary of service in South Africa with two successful events. We firstly hosted
a three city gala dinner that not only helped to raise much-needed funds for our local and international projects
but also confirmed that Islamic Relief is a vital conduit to provide humanitarian and relief aid needs both locally
and globally.
The second event that we are especially proud of is the four-city “Evening of Inspiration” nasheed extravaganza
that coupled socially conscious artists with our organizational aims to help raise awareness about the plight of
the disadvantaged and vulnerable persons in our communities.
The world marked the passing of former President Nelson Mandela and at Islamic Relief we are particularly proud
that we can continue his legacy of selfless service by supporting a worldwide initiative to fund the Oncology wing
of the Nelson Mandela Children’s Trust Hospital.
Finally, as I reflect on our various successes I am also reminded that the world is in crisis. Children in amongst
others Palestine, Syria, Iraq, Burma, Central African Republic are enduring disastrous humanitarian ordeals that
no person should ever have to endure.
Therefore despite the positive efforts made, we also know that our work is needed even more and thus we need
to continue to exert our efforts with more fervor and intensity in the coming years.
Was Salaam
Yours in serving Humanity
Yusuf Patel
Country Director South Africa
Our strategy
Our ambitious Global Strategy 2011 - 2015 sets out how we are
putting our faith into action to secure the greatest possible positive
impact on the people we serve. We are guided by the timeless values
and teachings of Islam, with challenging aims designed to facilitate
real social change. In addition, we are also fulfilling a set of core
promises throughout our work:
Strengthening local capacity: We empower communities to manage
their own affairs, and develop the capacity of civil society itself.
Protecting children: We mainstream child protection and ensure that
our programmes are child-focused.
Providing Islamic perspectives: We are a policy leader on Islamic
humanitarianism, and we develop distinctive, practical approaches to
the key issues that are affecting our world.
Protecting the environment: We promote climate-change adaptation
as well as initiatives to safeguard the environment from further harm.
As we approach the end of our current strategy, this Annual Report
reflects on our progress in achieving our aims.
Objectives and
Activities
The overarching aim of Islamic Relief Worldwide is to provide relief of
poverty in any part of the world.
Inspired by our Islamic faith and guided by our values, we envisage a
caring world where communities are empowered, social obligations
are fulfilled and people respond as one to the suffering of others.
We aim to do this through our relief, development and advocacy work
with vulnerable communities around the world - regardless of race,
political affiliation, gender or belief and without expecting anything
in return.
Our mission is to mobilise resources, build partnerships and develop
local capacity, as we work to:
•
•
•
Enable communities to mitigate the effect of disasters, prepare
for their occurrence and respond by providing relief, protection
and recovery
Promote integrated development and environmental
custodianship with a focus on sustainable livelihoods
Support the marginalised and vulnerable to voice their needs
and address the root causes of poverty.
As we lead the way in Islamic humanitarianism, during 2011-2015 we
will:
•
•
Understand the threats to our world, and prepare people for
them
Address the underlying causes of poverty through our
programmes and policies
Develop a deeper faith-based framework for humanitarianism
and development that offers leadership and guidance on issues
affecting the developing world.
Page 5
•
Protecting life
and dignity
Responding to disasters and reducing their impact
Islamic Relief has been responding to emergencies for almost three decades and every year, we increase the
work we do to protect those living in high risk areas. In 2013, we continued to provide a lifeline for vulnerable
communities affected by disaster and poverty around the world.
Syria: ongoing emergency relief
As violent conflict in Syria rages on, we continued to provide a
humanitarian lifeline for those suffering in the worst humanitarian
crisis for our time.
Working deep inside war-torn Syria, we delivered essential items
such as food, hygiene kits and medicine to help more than 1.4 million
people. Over 672,300 vulnerable Syrians seeking safety in nearby
countries also benefited from Islamic Relief programmes.
In Iraq, Islamic Relief managed the Al Qaem camp - where our medical
clinic treated 40,000 Syrian patients. Hundreds participated in classes
to develop their employability skills, such as English language and
computing.
As part of our programmes in Lebanon, 12,000 Syrian and Palestinian
children benefitted from psychosocial support, in a project which
also helped hundreds of displaced families to come to terms with
their experiences.
In Jordan, we covered the cost of rented accommodation for 141
poor families and distributed over 388,300 World Food Programme
(WFP) Vouchers - enabling families to buy essential supplies. In
addition, our Egypt programme provided cash assistance to more
than 63,973 people facing destitution.
The Philippine: typhoon
response
In November 2013, Islamic Relief teams
were on the ground in the aftermath
of one of the most powerful storms
to ever make landfall. Our emergency
response to Typhoon Haiyan reached
133,160 people across the hardest-hit
areas this year.
Working with a local partner, we
grappled with challenges such as
blocked roads and damaged airports to
get vital aid to vulnerable communities
- mostly in northern Cebu. Over 20,000
families received food parcels and
water. Tents provided shelter to almost
2,400 families that had lost their homes.
People used Islamic Relief plastic
sheeting and repair kits to improve
their makeshift shelters
Emergency projects
around the world
Cyclone Phailin crashed into coastal communities in India in October, affecting around 12 million people. We
responded with emergency food aid, benefitting over 18,000 of the most vulnerable individuals.
Almost one million people were affected by flooding across Sudan, which damaged or destroyed tens of thousands
of homes. We distributed hygiene kits, sleeping mats and mosquito nets, and worked with the government to give
over 10,000 people access to safe water.
In Gaza, floodwaters inundated hundreds of homes and heavy rains damaged
temporary shelters in refugee camps. We provided vital aid, including food,
mattresses, blankets and hygiene kits.
In Niger, over 2,300 families living in a refugee camp bought essential staples
using the World Food Programme vouchers that we distributed.
Children and breastfeeding mothers suffering malnutrition in communities
around the world received nutritional support. Around 81,800 people benefited
in northern Mali, as well as over 106,400 Afghans and 4,100 people in Pakistan.
In south eastern Bangladesh – where 1.3 million people were affected by
flooding – almost 8,800 families received cash grants that enabled them to
rebuild their livelihoods.
Protecting communities from disasters
In 2013, we continued much-needed work to protect vulnerable communities from the impact of disasters. We taught
Indonesian school-children what to do when an earthquake strikes, and trained the personnel of mosques to prepare
for disasters and to respond effectively - using the religious buildings as emergency shelters - when the worst happens.
Page 7
In Chad, we kicked-off a comprehensive project to improve the resilience of communities affected by seasonal
flooding. Over 1,800 people are benefitting from the scheme, which is constructing emergency shelters and training
community volunteers to respond to emergencies – and help prevent the spread of disease when the floodwaters
come.
Empowering
Communities
Promoting development and sustainable livelihoods
Every year, our development programmes around the world help poor communities to improve their lives.
Our sustainable development projects give people the opportunity to lift themselves out of poverty through
improving their livelihoods and giving them access to better essential services.
Improving food security
In some of the world’s poorest countries, we are reducing
dependency on humanitarian aid by improving food security.
In Malawi - where 1.85 million people face hunger – we
trained communities to look after fully-stocked fishponds
that provide a sustainable source of food and income.
In Niger, we employed local people to help improve irrigation
systems for much needed farming land and establish
plantations.
To achieve long-term change, communities are learning to
protect vital natural resources – with women empowered as
breadwinners and community decision makers.
Better access to essential services
In Niger’s poorest region, 460 vulnerable children benefitted from a comprehensive project covering three
Tillabery primary schools. The project included providing better water, sanitation and heating facilities, and
hundreds of children were given school bags filled with stationery. We also improved healthcare provision for
over 5,000 people by providing the local health centre with essential medicines and equipment.
In Mandera county, Kenya, more than 5,000 people can now access water locally. We improved the existing
infrastructure and added new systems such as water tanks and pumps, and a solar power generator.
Over 10,700 people in Sudan’s Blue Nile state also gained improved access to water in 2013, when new hand
pumps were installed. Communities were trained to maintain their water sources and to prevent the spread of
disease. In addition, an integrated project provided communities in West Darfur with access to essential services
including water, healthcare and education – and also created opportunities for hundreds of people to earn a
living.
In Pakistan’s mountainous Bagh district, over 21,100 people benefitted from a unique project to improve access
to water as well as other essential services in remote communities. We installed rain-water harvesting systems in
poor households, improved local roads, and constructed safe walking paths to make it easier for local children to
get to school.
In rural Rangpur, around 1,100 poor Bangladeshis regained their sight, thanks to cataract operations – with
thousands more benefitting from eyecare services and general health advice. In Somalia, at a clinic on the outskirts
of the capital, over 10,000 people received essential healthcare, many of them expectant and new mothers.
Also in 2013, Tataouine regional hospital in Tunisia received vital equipment, including foetal monitors and
intensive care unit beds. In addition, approximately 300,000 people in the West Bank will now have improved
access to local healthcare as a community hospital is provided with a fully equipped operating room as well as
other essential apparatus.
In Gaza, 350,000 people will benefit from the extensive repairs carried out on two damaged health clinics.
Campaigning
for change
A force for social justice
We work to tackle the root causes of poverty and suffering worldwide, in accordance with the prophetic example
of speaking out against injustice. This year, our challenging advocacy and campaigning efforts gave vulnerable
and marginalised communities a voice, and were an active force for positive change.
Syria war: action to ease suffering
This year saw greater focus than ever on our efforts to
end the suffering of Syria’s brutal conflict. We pushed
for access and humanitarian corridors in the war-torn
country. Our ‘Syria: Two Years, Too Long’ report set
out key recommendations to reduce the suffering of
Syrians, and was presented to the UK government. A
petition called for international action to secure better
access to the country. In addition – as part of our Take
Action for Syria campaign – children around the world
wrote letters to Ban-Ki-Moon, calling for the United
Nations to save Syria’s children.The report provided
eight key recommendations to ease the suffering of
the Syrian people and called for the implementation of
humanitarian corridors inside Syria
Pakistan: calling for an end to debt
This was also the year we joined forces with the Jubilee
Debt Campaign to call for an end to Pakistan’s debt crisis.
In a country in which over 50 million people live below
the poverty line, the poorest are paying the heaviest
price as the debt burden suffocates public spending
and development. Our ‘Unlocking the Chains’ campaign
pushed for a full and transparent audit of Pakistan’s debt,
and for unjust debts to be cancelled
Tackling global hunger and poverty
We responded to the deepening humanitarian crisis
in Mali, one of the poorest countries on the planet.
Our report on the on-going crisis called for immediate
international action, and a publication, ‘Greening the
Desert’, set out a framework for tackling poverty through
water solutions.
Protecting children’s rights
Over 2,000 Kenyan children living in an
informal settlement in Nairobi benefitted
from an ambitious child protection initiative.
An advertising campaign put issues such as
child homelessness, substance abuse and
domestic violence at the top of the agenda.
Children in four schools learned about
protection issues. We also trained dozens
of teachers and community leaders, and
together they developed an action plan
that prioritises child welfare..
Page 9
In addition, we threw our weight behind a global day
of action on hunger, delivered as part of our work
through the ‘Enough Food for Everyone IF’ partnership.
We mobilised communities in Bangladesh, Indonesia,
South Africa and the UK to lobby for action to address
a global food crisis in which over 200 children die from
malnutrition every hour. Ahead of a key G8 hunger
summit, world leaders and other donors pledged $4.1
billion to tackle malnutrition - which could save the lives
of almost two million children by 2020
Seasonal Projects
Ramadan
This year, our seasonal food distributions once more
provided poor families with vital nutrition during the
festive periods. Over two million people benefitted from
quality Qurbani meat, and - with a budget of almost £3.9
million GBP - our biggest ever Ramadan distribution
reached 735,375 people in 31 countries across the globe.
Ramadan is a month of reflection, prayer and fasting for Muslims. During this time, observers gain a better
understanding of the suffering of impoverished and hungry people around the world. The month also reminds
Muslims of the importance of charity, and their obligation to be charitable throughout the year.
Our fitrah hamper projects supports more than 3,000 of South Africa’s poorest citizens. Our campaign also included
supporting households in Zimbabwe where we facilitated hamper distribution and mass Iftaar programmes at
the Mbare mosque in Harare.
Orphan Iftaar Evening 2013
One of the highlights for the Islamic Relief South Africa family is hosting our annual Orphan Iftaar Evening.
It is an opportunity for our donors and supporters to meet and spent time our orphaned and vulnerable
children, who has benefitted from your charity.
Qurbani
By implementing the Qurbani project, we are able to
reach a diverse range of recipients who include widows,
orphans, the elderly and refugees. It also enables them
to celebrate this auspicious day with dignity.
The Qurbani project complements Islamic Relief’s
on-going food security programme, which provides
orphaned and vulnerable families with a food pack on
a monthly basis.
This year, Islamic Relief performed Qurbani (sheep /
goats / cattle) regionally in Malawi, Zimbabwe and
South Africa.
Page 11
Islamic Relief annually provides meat to impoverished
communities through its Qurbani programme, which
was initiated in 1986. This project allows donors to
purchase sheep and goats for sacrifice for specific
countries on the day of Eid-ul-Adha.
Orphan Sponsorship
Islamic Relief’s Oprhan programme aims to alleviate the suffering of orphans living in
the world’s most impoverished countries.
This is done through an integrated One-to-One sponsorship programme that sees to
the health, educational and social welfare needs of orphaned children.
Islamic Relief began working with orphaned children in 1986 and to date, support
more than 30,000 children worldwide.
Osizweni
Community Centre
An integrated Community model
More than 600 orphans and vulnerable children are being supported by Islamic Relief
South Africa at the Osizweni Community Centre in Ennerdale, south of Johannesburg.
Osizweni targets those infected and affected by HIV and Aids, including widows and
female-headed households and those living with disabilities.
It was designed to facilitate Ennerdale’s youth as well as the elderly who needed an
environment to bridge the gap with people who are facing extreme poverty.
The Department of Agriculture recently donated a borehole facility, which serves as
an irrigation system for the large communal food garden on the premises, which is
run by staff and avid community gardeners.
Islamic Relief donors also contributed towards a sewing room that is equipped to
manufacture school uniforms, clothes for winter and blankets. Some of these items
are sold to the community, with a portion of the income used to cover some of the
Centre’s running costs.
Educate A Child
The Educate A Child campaign is aimed at raising awareness of the challenges faced by orphans and vulnerable children who cannot further
their basic schooling because of extreme poverty.
Through this fundraising project, we are assisting approximately 1,000 righst holders from pre-school through to Primary, Secondary and
Tertiary levels.
Many rights holders come from child-headed households or are being raised by grandparents.
The annual ‘Ready for School’ project forms parts of the educational campaign, which provides young learners with uniforms and school
supplies.
Stanlib generously supported this initiative with a generous donation of R50,000 which helped us kit out more than 200 learners for the new
school year.
Strategic Partnership:
2 Oceans Education Foundation
Strategic Partnership: Nelson Mandela
Children’s Hospital Fund
Islamic Relief South Africa formed a strategic partnership with
the 2 Oceans Education Foundation to provide disadvantaged
youth to access to quality education in townships across
South Africa.
Africa suffers from a lack of dedicated pediatric facilities
with only four on the continent; two situated in Cairo, one
in Nairobi and one in Cape Town. This compares dismally to
developed countries.
The project has been endorsed by Minister of Science and
Technology, Naledi Pandor and Department of Education
and offers a holistic approach to education. This would entail
establishing free, low cost schooling, which includes a sports
academy and leadership academy model where learners are
empowered.
As part of Nelson Mandela’s dedication and compassion for
children, one of his last wishes was to establish a state of the
art children’s hospital to serve all of Southern Africa.
– Yusuf Patel, Islamic Relief South Africa Country Director
According to the Nelson Mandela Fund, the founding
institution of the Nelson Mandela Children’s Hospital Trust,
the facility will not merely serve as a hospital, but will work
towards the creation of a “dedicated academic tertiary and
quaternary pediatric referral facility, serving the children of
southern Africa, irrespective of socio-economic standing.”
Islamic Relief has pledged to raise $10 million to support the
development of the hospital’s Oncology wing.
“Nelson Mandela was an inspiration for many around the world.
He dedicated his life to equality, justice, reconciliation and
freedom. His global legacy is far-reaching and profound. Islamic
Relief is proud to support a hospital, which will carry his name
and will be a leading light in the treatment of children. We pray
that this will be a fitting tribute to his legacy.”
– Dr Mohamed Ashmawey, Chief Executive Officer of Islamic
Relief Worldwide
Page 13
“Islamic Relief together with the 2 Oceans Education Foundation
are committed to making quality education more easily
accessible to those living in impoverished areas as we strongly
believe that education is an imperative in escaping poverty.”
Given the shared values of the Nelson Mandela Children’s
Hospital Trust and Islamic Relief Worldwide, Islamic Relief
South Africa is leading an initiative to raise funds to help build
a hospital.
Events
Islamic Relief South Africa celebrated its 10th anniversary in 2013 and
hosted a series of events to showcase some of its success stories.
10 year Anniversary Gala Dinner
The 10th Anniversary Gala Dinner was hosted by comedian Joey Rasdien and featured special appearances by IR Scotland’s Habib Malik and
nasheed artist Bandar Ashour.
In September and October, we brought together leading performers and artists from across the Islamic world for an Evening of Inspiration
concert series, with world-class production and dynamic performances by Zain Bhikha, Dawud Wharnsby, Khaled Belrhouzi and comedian
Omar Regan.
The events helped raise awareness of Islamic Relief’s activities and generated much-needed funds for children around the world.
Amsterdam Million
Rand Challenge
Islamic Relief South Africa joined forces with the Amsterdam Million
Rand Challenge and educator Irafaan Abrahams, to ensure that good,
quality education becomes more easily accessible to those living in
impoverished communities across South Africa.
“We strongly believe that education is imperative to escaping the
vicious cycle of poverty. Our contribution to Irafaan’s Amsterdam
Marathon Challenge should be viewed, not as a donation, but as an
investment in the future of this country,” said IRSA Country Director
Yusuf Patel during the official launch of the initiative in Cape Town on
Wednesday.
Islamic Relief’s Educate-a-Child campaign is aimed at raising
awareness about the challenges faced by orphans and vulnerable
children (OVC); many of whom cannot further their basic education
because of extreme poverty.
During the school year, the NGO ensures that new school uniforms
and stationery are handed out to beneficiaries of IRSA’s Orphan and
Child Welfare program, restoring their dignity in the classroom.
“Our research has found that many learners coming from poor
households drop out of school as their guardians cannot afford to
purchase the necessary school materials. This is a serious concern
and we are working closely with partners such as Irafaan Abrahams
and the 2 Oceans Education Foundation, to meet our educational
objectives.”
Evening of
Inspiration Concert
Series
In September and October, Islamic Relief South Africa brought together
leading performers from the Islamic cultural world for an Evening of Inspiration
concert series.
Talented artists who shared their talents with ardent South African fans
included Zain Bhikha, Dawud Wharnsby, Khaled Belrhouzi and comedian
Omar Regan.
Page 15
The event helped raise awareness of IRSA’s activities and generated much
needed funds for children around the world.
Future PlanS
Impact-led Approach
Islamic Relief South Africa (IRSA) strongly believes in empowering the people we assist with the abilities and
skills needed to remove themselves from the viscous poverty cycle. We aim to address this through a sustainable,
integrated approach of bringing good quality education to children in underprivileged communities instead
taking them to access education elsewhere. We envision that this will enable these children to improve their own
lives and exit the poverty cycle.
Closer to Ground
Until now, most of our campaigns were focused on our international humanitarian appeals, but now we are
determined to increase our efforts locally. There are far too many social issues directly related to poverty within
South Africa and so we have identified the need to shift our focus to what is happening on our own doorstep.
We aim to tackle these poverty-related ills with the assistance of other local organisations who share the same
vision of poverty alleviation as we do to ensure we maximise the reach and impact of our efforts.
Providing Islamic Perspective
The work IRSA does is driven by Islamic values which makes it imperative that we strive to lead the way in
Islamic policy on humanitarian issues. We will continue to use our faith-guided values and beliefs to implement
our new strategies and projects with the hope that the changing coming from within the organisation will help
change the lives of entire communities. We strongly believe that Islamic teachings are vital to our mission to
alleviating poverty.
Strengthen Local Capacity
Our plans to establish resource centres in local townships will have a positive impact on poverty levels in the
country. The resource centre will assist vulnerable youth to equip themselves with computer literacy skills, which
is an essential skill in today’s workforce. IRSA is committed to ensuring that these communities will be able to
manage their own affairs after Islamic Relief has provided them with the necessary assistance.
Every Penny put to good use
IRSA will continue to be transparent about our financial affairs. We have been and always will be committed to
increasing the output of our projects and to increasingly cut down on administrative expenses.
2013
Page 17
AUDITED FINANCIAL
STATEMENTS
Financials
Board Letter
REPORT OF THE INDEPENDENT
AUDITORS TO THE MEMBERS
ISLAMIC RELIEF WORLDWIDE –SOUTH AFRICA NPC
REGISTRATION NO.2004/025107/08
Report on the financial
statements
Directors ‘responsibility for
the financial statements
The company’s directors are responsible for the
preparation and the fair presentation of these
financial statements in accordance with International
Financial Reporting Standards for Small AND Medium
–sized Entities, and in the manner required by the
Companies Act of South Africa. This responsibility
includes designing, implementing and maintaining
internal controls relevant to the preparation and fair
presentation of financial statements that are free
from material misstatement, whether due to fraud or
error selecting and applying appropriate accounting
policies and making accounting estimates that are
reasonable in the circumstances.
Auditor’s responsibility
Our responsibility is to express an opinion on
these financial statements based on our audit. We
conducted our audit in accordance with International
Standards on Auditing. These standards required that
we comply with ethical requirements and plan and
perform the audit to obtain reasonable assurance
whether the financial statements are free from material
misstatement.
An audit involves performing procedures to obtain
audit evidence about the amounts and disclosures
in the financial statements. The procedures selected
depend on the auditor’s judgement, including the
assessment of the risk of material misstatement of the
financial statements, whether due to fraud or error. In
making those risk assessments, the auditor considers
internal controls relevant to the entity’s preparation
and fair presentation of the financial statements in
order to design audit procedures that are appropriate
in the circumstances, but not for the porpose of
expressing an opinion on the effectiveness of the
entity’s internal control.
An audit also includes evaluating the appropriateness
of accounting policies used and the reasonableness of
accounting estimates made by management, as well
as evaluating the overall presentation of the financial
statements.
We believe that the audit evidence we have obtained
is sufficient and appropriate to provide a basis for our
audit opinion.
Qualification
In common with similar organisations, it is not feasible
for the organisation to institute accounting ‘controls
over collections of income other than interest prior to
the initial entry of the collections in the ‘accounting
records. Accordingly, it was impracticable for us to
extend our examination beyond the ‘receipts actually
recorded.
Qualified Opinion
In our opinion, except for the effects on the financial
statements of the matters referred to in the preceding
paragraphs, the financial statements fairly present,
in all material respects, the financial position of the
Islamic Relief Worldwide- South Africa NPC as at 21
December 2013, and of its financial performance and
its cash flows for the year then ended in accordance
with International Financial Reporting Standards for
Small and Medium –sized Entities, and in the manner
required by the Companies Act of South Africa Act of
South Africa.
Supplementary information
The supplementary schedules set out on pages 15
and 16 does not form part of the annual financial
statements and is presented as additional information.
We have not audited these schedules and accordingly
we do not express an opinion on it.
Douglas &Velcich
Chartered Accountants (SA)
Registered Accountants and Auditors
Johannesburg
14 th June 2014
Page 19
We have audited the accompanying financial
statements of the Islamic Relief Worldwide-South
Africa NPC, which comprises the directors’ report,
statement of financial position as at 31 December
2013, and the statement of comprehensive income,
statement of cash flows for the year then ended, and a
summary of significant accounting policies and other
explanatory notes set out on pages 4 to 14.
Financials
Summarised Statement
ISLAMIC RELIEF WORLDWIDE -­‐ SOUTH AFRICA NPC
REGISTRATION NO. 2004/025107/08
SUMMARISED AUDITED ANNUAL FINANCIAL STATEMENTS
SUMMARISED STATEMENT OF COMPREHENSIVE INCOME
FOR YEAR ENDING
31-­‐Dec-­‐13
R
R'000
31-­‐Dec-­‐12
R
R'000
26 055
8 003
126
30 458
6 560
155
34 184
37 173
21 584
17 931
8 525
7 716
3 976
6 686
TOTAL EXPENDITURE
48 040
18 378
SURPLUS/(DEFICIT) FOR THE YEAR
(13 856)
18 795
OPERATING ACTIVITIES
Cash received from donors
Cash spent on projects
Cash paid to suppliers and employees
31-­‐Dec-­‐13
R
R'000
31-­‐Dec-­‐12
R
R'000
33 097
(39 515)
(8 289)
36 521
(11 692)
(6 558)
CASH GENERATED BY OPERATIONS
(14 707)
18 271
125
155
(14 582)
18 426
(155)
(45)
NET INCREASE (DECREASE) IN CASH RESOURCES
(14 737)
18 381
CASH AT BEGINNING OF YEAR
23 914
5 533
CASH AT YEAR END
9 177
23 914
INCOME
Restricted
Unrestricted
Other
TOTAL INCOME
EXPENDITURE
Project/Programme Distribution (South Africa)
Project/Programme Distribution (International)
Operational Costs
STATEMENT OF CASHFLOW FOR Y/E Other Income
NET CASH INFLOW (OUTFLOW)
Acquisition of tangible assets
Financials
Balance Sheet
ISLAMIC RELIEF WORLDWIDE -­‐ SOUTH AFRICA NPC
REGISTRATION NO. 2004/025107/08
SUMMARISED AUDITED ANNUAL FINANCIAL STATEMENTS
BALANCE SHEET AS AT
31-­‐Dec-­‐13
R
R'000
31-­‐Dec-­‐12
R
R'000
11 251
25 023
545
540
315
230
315
225
10 706
24 483
1 529
9 177
568
23 915
TOTAL ASSETS
11 251
25 023
RESERVES AND LIABILITIES
11 252
25 022
11 102
24 958
5 375
5 727
21 841
3 117
150
64
Accounts Payable
150
64
TOTAL RESERVES AND LIABILITIES
11 252
25 022
Unrestricted
Funds
R'000
Total
R'000
ASSETS
Non-­‐current Assets
Land and Buildings
Equipment
Current Assets
Cash and Cash Equivalents
Trade and Other Receivables
Accumulated Funds
Restricted Funds
Unrestricted Funds
Current Liabilities
Restricted Funds
R'000
Balance as at 31 Dec 2011
5 774 389
6 163
Surplus for the year
16 066 2 728
18 795
Balance as at 31 Dec 2012
21 840 3 117
24 958
(Deficit) Surplus for the year
(16 466) 2 610
(13 856)
Balance as at 31 Dec 2013
5 374 5 727
11 102
Page 21
STATEMENT OF CHANGES IN RESERVES AS AT 31 DECEMBER 2013
Financials
Graphs
Islamic Relief focusses on providing maximum benefit to its rights
holders. Over the years, operational expenditure has been kept to
a minimum, except when it has come to delivering benefit to rights
holders.
The relationship between unrestricted and restricted funds
measures the strength of our organisation in several aspects.
Unrestricted funds are donated to Islamic Relief in order for the
organisation to further its objectives. It can be used for
operational requirements, resource requirements as well as in
programmes and projects which arise in either cases of
emergencies, or as a result of natural or unnatural disasters.
Restricted Funds are funds which are donated to Islamic Relief for
particular causes, programmes and projects. Such cases include
donations towards Ramadhan, Qurbani, Back to School
Programmes, as well as water projects, projects in countries such as
Palestine, Sudan, Central African Republic, etc.
Islamic Relief South Africa are recipients of Sadaqah, Zakat and Lillah
and ensures that funds are receipted, safeguarded and
utilised in accordance with its global policy and framework.
Over the years, our unrestricted funds income has grown to
between 23% and 25%. We predict a slight drop in unrestricted funds
income in 2015, and this is in line with our anticipated
increase in overall income.
In respect of distribution, It is Islamic Relief South Africa’s goal to
reduce the gap between income and distribution to bring it in line with
generally acceptable operational funds being kept – currently 6 to 8
months of our operational budget. This is to safeguard the organisation
in terms of its ability to respond to an emergency, and to ensure that
the organisation does not come under threat of inoperability due to
scarcity of funds.
One of the most responsible tasks faced in finance is the
management and control of operational expenditure. In this
regard, Islamic Relief measures within its budget, and targets an
operational bandwidth of expenditure within 12% to 14%. This will
improve as the anticipated overall income bandwidth
increases.
Islamic Relief South Africa is a registered non-profit company
(2004/025107/08), a non-profit organisation (043-357NPO) and we are
also registered as an Public Benefit Organisation (PBO 930018104). Our
policy framework and governance measures up to and mostly exceeds
best practice standards in the world.
Islamic Relief South Africa prides itself through its transparency and
accountability.
If you require information relating to our policy, processes,
financial guidelines, or financial reports, do not hesitate to email us on
[email protected] or call 021-6960145 to ask to speak to our
Head of Finance for any queries you may have.
Page 23
Islamic Relief South Africa
Johannesburg
1st Floor,
57 Mint Road
Fordsburg
Tel: 011 836 1054
Fax: 011 836 1055
Durban
1st Floor,
169 Brickfield Road
Overport
Tel: 031 208 2838
Fax: 031 207 9141
Cape Town
62 Little Road
Athlone
Tel: 021 696 0145
Fax: 021 696 1783
P.O Box 19434 Dormerton 4015,
South Africa
Registered charity: PBO 930018104