From choice, a world of possibilities
Financial Statements 2007
IPPF is a global service provider and a leading advocate of sexual and reproductive health and rights for all. We are a worldwide movement of national organizations working with and for communities and individuals. IPPF works towards a world where women, men and young people everywhere have control over their own bodies, and therefore their destinies. A world where they are free to choose parenthood or not; free to decide how many children they will have and when; free to pursue healthy sexual lives without fear of unwanted pregnancies and sexually transmitted infections, including HIV. A world where gender or sexuality are no longer a source of inequality or stigma. We will not retreat from doing everything we can to safeguard these important choices and rights for current and future generations.
Contents
Executive summary
2
Annual report of the Governing Council
3
Report of the independent auditors to the Governing Council of the International Planned Parenthood Federation
16
Statement of financial activities
18
Balance sheets
19
Cash flow statement
21
Notes to the financial statements
23
Contacts
58
2 IPPF Financial Statements 2007
Executive summary Income in 2007 of US$120.6 million Income received from governments, foundations and other sources has increased over the past five years by 39%. Donors continue to support unrestricted activities with over 72% of funds being available for IPPF to allocate to Strategic Priority areas.
Figure 1: IPPF Income 2002-2007 US$m 120 100 80 60 40 20
2002
Expenditure in 2007 of US$101.8 million Expenditure on grants to Member Associations and partner organizations of US$61.7 million. The costs of our staff involved in raising resources represents 3.2% of our expenditure.
2003
2004
2005
2006
2007
Figure 2: Expenditure in 2007 of US$101.8 million A. Grants to Member Associations
DE F C
B. Programme activities C. Support costs D. Fundraising E. Governance
B
F. Trading company
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Audit opinion Our auditors, KPMG LLP have provided an unqualified audit opinion on our 2007 financial results.
Figure 3: IPPF Governance Overview Member Associations Volunteers from each association elect their own governing body
All Member Associations represented at Regional Council
Six Regional Councils meet once per year
REC members elected by RC
Six Regional Executive Committees meet twice per year
Five volunteers from each region elected to Governing Council
Audit Committee All regions represented, meets twice per year
Governing Council Thirty members meet twice per year
Membership Committee All regions represented meets twice per year
IPPF Financial Statements 2007 3
Annual report of the Governing Council Introduction The International Planned Parenthood Federation (IPPF) is a global service provider and a leading advocate of sexual and reproductive rights for all. We are a worldwide movement of national organizations working with and for communities and individuals. IPPF currently has 152 Member Associations. These Member Associations are working in 168 countries (the Caribbean Family Planning Affiliation operates in 17 countries). In addition, IPPF is active in a further 12 countries where there is not currently
a Member Association. This brings the total number of countries in which IPPF is working to 180. The Member Associations of IPPF are autonomous and report independently, therefore their accounts are not presented here. The accounts contained herein have been prepared in accordance with the Statement of Recommended Practice (SORP), Accounting and Reporting by Charities as issued by the Charity Commissioners in 2005.
“I was a youth volunteer here when I was 12. We started a theatre group, giving out condoms.” Ana Catarina Aranjo.
4 IPPF Financial Statements 2007
For us, services which meet the needs of the poor, marginalized, socially excluded and/or under-served groups are crucial.
Structure, governance and management Governing document IPPF was formed in 1952 and incorporated in 1977 under a UK Act of Parliament: The International Planned Parenthood Federation Act 1977. The Governing Council confirm that the Strategic Framework is in alignment with the purposes stated in the Act.
Public benefit In April 2008 the Charity Commission guidance on Public Benefit was considered and the recommended self-assessment for the public benefit principles was undertaken. The Governing Council confirm that the aims of the organization as stated in The International Planned Parenthood Act 1977 meet the charitable purposes as outlined in the Charities Act 2006. Specifically IPPF is engaged with purposes in relation to the ‘advancement of health or the saving of lives’ and the ‘advancement of human rights’. As outlined in the Strategic Framework, IPPF is engaged in purposes which have general public benefit in the 152 countries in which we currently work with our Member Associations. We work through one organization in each of these countries. Member Associations do not pay any fee to join or maintain their membership of the IPPF. Through the Global Indicators we assess our stated mission to meet the needs of the poor, marginalized, sociallyexcluded and/or under-served groups and thus meet the criteria to ensure that those in poverty are not excluded from the opportunity to benefit from the organization.
Governance IPPF is governed by a Governing Council composed of 30 volunteers from the governing bodies of the membership organizations, and appoints a DirectorGeneral as its chief executive officer responsible for managing the affairs of the Federation as determined by the Governing Council. Governing Council members are elected for a period of three years. Each Regional Council elects five members to serve as Governing Council members. Each Member Association has a volunteer Board of Directors (elected by the membership of the Association) and sends one or more as a delegate to one of six Regional Councils. The Governing Council meets twice per year, for three days at a time. This Council has two sub-committees; the Membership Committee and the Audit Committee which meet twice per year for one day at a time. Following the election of a new Governing Council, members receive a comprehensive induction pack outlining the responsibilities as UK charity trustees. In addition, an interactive session is held where members are provided with background in relation to strategy, policies and finances as well as practical elements concerning the role distinctions between volunteers and staff.
IPPF Financial Statements 2007 5
The responsibilities of the Governing Council Under charity law, the members of the Governing Council are responsible for preparing the Trustee Report and the financial statements for each financial year which show a true and fair view of the state of affairs of IPPF and the result for that period. In preparing these financial statements, generally accepted accounting practice entails that the Governing Council members: Select suitable accounting policies and then apply them consistently Make judgements and estimates that are reasonable and prudent State whether the recommendations of the Statements of Recommended Practice have been followed, subject to any material departures disclosed and explained in the financial statements State whether the financial statements comply with The International Planned Parenthood Act 1977, subject to any material departures disclosed and explained in the financial statements Prepare the financial statements on the going concern basis unless it is inappropriate to presume that the group and the charity will continue its activities Safeguard the assets of IPPF and hence take reasonable steps for the prevention and detection of fraud and other irregularities The Governing Council members are required to act in accordance with The International Planned Parenthood Act 1977, within the framework of trust law. They are responsible for keeping proper accounting records,
sufficient to disclose at any time, with reasonable accuracy, the financial position of the charity at that time, and to enable Governing Council members to ensure that, where any statements of accounts are prepared by them under section 42(1) of The Charities Act 1993, those statements of accounts comply with the requirements of regulations under that provision. The Governing Council members are responsible for the maintenance and integrity of the financial and other information included on the IPPF website. Legislation in the UK governing the preparation and dissemination of financial statements may differ from legislation in other jurisdictions.
Organization IPPF has a Secretariat that carries out the policies and functions as approved by the Governing Council. The Secretariat has its headquarters in London and is divided into Central and Regional functional units. There are six regional offices: Africa (Nairobi, Kenya), Arab World (Tunis, Tunisia), East/South East Asia and Oceania (Kuala Lumpur, Malaysia), Europe (Brussels, Belgium), South Asia (New Delhi, India), and Western Hemisphere (New York, USA). These regional offices all act as branches of IPPF and in accordance with The International Planned Parenthood Federation Act 1977 constitute IPPF as the entity. The Director-General and Deputy Director-General are based in Central Office, London. There are six Regional Directors who report to the Director-General together with three Central Office Directors and the Financial Controller.
Our Member Associations’ service capacity enables them to deliver high-quality basic primary care, with over 20 million contraceptive services and 18 million non contraceptive services each year.
6 IPPF Financial Statements 2007
The Syrian Family Planning Association’s weekly mobile clinic is an integral part of its community outreach and service delivery programme, serving many lowincome areas.
IPPF has a trading subsidiary, ICON Ltd, based in Central Office, London. The company primarily engages in commodity supply services and with the social marketing of contraceptives in conjunction with Member Associations. Within the Western Hemisphere Region there are two entities, the Regional Office, IPPF Western Hemisphere Inc and a separate entity used for investing significant bequests, the IPPF WHR Fund. The results of both these entities are reported within these accounts.
Risk management Whilst no system of internal control can provide absolute assurance against material misstatement or loss, the IPPF risk management system has been developed to provide reasonable assurance to the Governing Council that there are proper procedures in place and that they are operating effectively. The five key elements of the system of internal control are: 1. Delegation: there is a clear organizational structure with lines of authority and responsibility for control; and procedures for reporting decisions, actions and issues 2. Reporting: the Governing Council approves and reviews the annual work programme budget and income predictions and monitors actual and forecast income and expenditure on a regular basis 3. Risk management: there are processes in place for identifying, evaluating and managing significant risks faced by IPPF. Each Regional
Office and the Central Office prepare individual risk maps. These risks are classified according to type (governance, strategic, operational, financial, compliance and external/ reputational). From these the Top 10 Organizational Risks are identified together with the assessment of the impact and likelihood of the risk occurring, together with any action still required to improve the management of that risk and the person who will be responsible to undertake this. These are reviewed annually by the Audit Committee and the Governing Council who believe that all the major risks to which IPPF is exposed have been identified and reviewed and that systems have been established to mitigate those risks 4. Internal audit: an internal audit function assesses risks and reviews controls within IPPF, this function was outsourced during 2007 with Haysmacintrye appointed to undertake the role 5. Review: the Audit Committee is comprised of four members elected by Governing Council from a list of persons who are either volunteer members of a member organization but who are not members of Governing Council, as well as the President and Treasurer. The Committee oversees the adequacy of the system of internal control, and IPPF compliance with relevant statutory and other finance regulations and advises the Governing Council of any relevant matters
IPPF Financial Statements 2007 7
Objectives and activities Strategic framework The November 2003 Governing Council approved the IPPF Strategic Framework, 2005-2015. This framework is built around five priority focus areas called the ‘Five A’s’: Adolescents/Young People Providing youth friendly services to meet the needs and rights of young people. HIV/AIDS Increasing access to prevention, care, support and treatment globally, and to reduce barriers that make people vulnerable to infection. Abortion To advocate for the right to safe abortion services and provide them to the fullest extent permitted by law.
embraces the diversity of situations Member Associations and regions face. Underpinning the Five A’s is a commitment to organizational accountability, efficiency and effectiveness. The accreditation system is dedicated to ensuring that Member Associations are well governed and managed and that they provide relevant up-to-date information and high quality training and clinical services. There is also an emphasis on building Member Associations’ capacity and that of the Federation as a whole to develop the skills and technical knowledge needed to implement and resource the new framework.
Grant making procedures
Advocacy To strengthen recognition of the importance of sexual and reproductive health within the context of international development and to increase resources in support of sexual and reproductive health services.
IPPF revised the system of resource allocation which up to 2004 had been based on the UNFPA’s (United Nations Fund for Population Activities) classification list of global unmet needs for sexual and reproductive health services. The revised system incorporates criteria relating to the level of need in each of the five strategic priority areas, using internationally recognized data to assess these needs.
The Strategic Framework is not intended to impose a rigid set of rules or constraints. Rather, it
The Governing Council have established the level of unrestricted funding which should be allocated
Access Ensuring access to information and services to improve sexual and reproductive health with particular focus on marginalized communities.
“I have been volunteering with SFPA for 11 years now. It is important for me to help women in my community access the mobile clinic.” Awattef, volunteer.
to each region. The regions then make decisions on the individual funding to their Member Associations. The highest priority is within the Africa and South Asia Regions which are allocated 44.5% and 16.0% respectively. Unrestricted grants are awarded on an annual basis with Member Associations submitting an Annual Programme Budget which outlines the activities and funding in relation to the Strategic Framework. This process is undertaken by many Associations using the electronic Integrated Management System (eIMS). Once approved, Member Associations receive funding in five instalments during the year based on satisfactory submission of half yearly and annual reports, audited financial statements and management letters. The regional offices act as the main agents in monitoring individual Member Associations and providing technical assistance as required. In relation to restricted grants, these are organized for a diverse range of donors and project activities and the Secretariat acts as the implementing partner and reporting mechanism for Member Associations receiving the funding. The specific procedures in relation to issuing grants are guided by the donor funding agreement.
8 IPPF Financial Statements 2007
Areas of IPPF’s work The following provides a brief overview of some IPPF activities and achievements in 2007. Further information is available from our website (www.ippf.org) and in our Annual Performance Report which has more extensive information regarding each of the strategic areas, case studies highlighting achievements in a range of Member Associations and commentary on the outcome of the 2006 Global Indicators. Adolescents and young people IPPF has a long history of working with young people. In many areas of the world they are the largest component of the population representing, for example, between 30 and 35 per cent of the population in Africa. Access to SRH services remains a challenge for many young people because programmes continue to fail to acknowledge young people’s sexuality. They are often designed by adults and there is increasing signs of morality based programs. IPPF continues to implement the Framework for Comprehensive Sexuality Education. This aims to move away from the reductive aspects of adolescent sexuality education towards sexual expression, fulfilment and pleasure. The framework provides guidance on assessing current programmes, the key aspects of a comprehensive approach as well as useful links and assistance. The August 2007 edition of X-press focused on young people living with a disability. Society often views such young people as not having sexual needs and focuses if anything on fertility and pregnancy rather than sexual feelings or capabilities. Such lack of targeted sexuality education and services can lead to risky and abusive situations. With examples from many Associations IPPF continues to promote targeted work to ensure that those with disability do not continue to be ignored and denied their sexual rights.
HIV and AIDS Building competency in HIV and AIDS in the Member Associations is a key part of the IPPF HIV strategy. The four key components of this strategy are: prevention; treatment, care and support: reducing HIV related stigma, and linking sexual and reproductive health and HIV. The fourth annual IPPF HIV Competencies workshop was held in Nairobi in July 2007 and was attended by the HIV focal points in each of the 20 HIV focus countries and Regional and Central Office staff. Significant progress has been seen in relation to HIV within the Federation in both small and large ways. This ranges from integrating antiretroviral service delivery within a sexual and reproductive health setting in Kenya, to addressing the needs of key vulnerable populations (such as men who have sex with men) in Colombia, and from working with young people living with HIV in Sudan to providing micro-credit as a way to empower women and girls in Thailand. In 2007 IPPF successfully contributed to both the Latin American Forum on HIV and STIs (FORO 2007) and the Eighth International Congress on AIDS in Asia and the Pacific (ICAAP). The East South East Asia and Oceania Regional Office continued to provide the technical support facility in the South East Asia and Pacific Region for UNAIDS, one of four such centres globally. This facility strengthens local and regional competency to respond to HIV/AIDS by offering services to national AIDS coordinating authorities, government ministries and departments, civil society, NGOs, the business sector and development agencies. HIV related stigma and discrimination pose critical barriers to HIV prevention, treatment, care and support programmes. The role of healthcare providers and communities in perpetuating stigma is well known and understood. IPPF – together with UNAIDS, the Global Network of People living with HIV (GNP+) and the International Community of Women living with HIV (ICW) – have developed
a ‘People Living with HIV Stigma Index’. To ensure the Index will be effective, accessible and reliable this has involved consulting grassroots organizations, research experts, stigma and discrimination specialists and policy and programme managers. The process of gathering the information contained in the Index is as important as the goal of understanding stigma and discrimination. The index tools, a questionnaire and user guide, were finalized in 2007 after the pilot phase in India, Kenya, Lesotho, South Africa, and Trinidad and Tobago. With these building blocks in place, preparation was made to roll-out the Index worldwide in 2008 helping IPPF towards realizing our strategic goal of reducing HIV-related stigma. Abortion In the publication Death and Denial: Unsafe Abortion and Poverty, IPPF demonstrates that unsafe abortion is one of the most neglected public health and human rights issues facing women throughout the developing world. This preventable human tragedy highlights the failure of national governments and the international community to address a public health issue that perpetuates one of the greatest social injustices separating rich and poor nations. Since publishing this in 2006, IPPF have made some progress in addressing this issue. IPPF manages the operation of the Safe Abortion Action Fund which was established in 2006 to support initiatives and programmes that are focused on increasing access to safe abortion care within a comprehensive package of reproductive health services. In 2007 we facilitated the technical review of over 200 applications for funding. The resources allowed funding to be provided for 45 organizations in 29 countries. The projects started in June 2007. Funding has been provided to a range of organizations, including 10 IPPF Member Associations. In May 2007, a global project on comprehensive abortion care was approved for funding by an anonymous donor for an initial period of five years. This grant represents a
IPPF Financial Statements 2007 9
great opportunity for IPPF to extend the scale, scope and quality of its abortion-related activities. The primary goal is to increase the capacity of Member Associations to provide high quality comprehensive abortion care services. Lessons learned from initiatives such as the IPPF’s Quality of Care programme and the activities on youth friendly services continue to provide valuable input. The projects approved to date include training of staff and counsellors, upgrading clinics in preparation for comprehensive abortion care and funding for services. It is intended that the learning acquired from this project will allow abortion programmes and services to be scaled up throughout the Federation. Access The International Medical Advisory Panel continued to produce global guidance on key medical issues. In 2007 this included statements on male circumcision and HIV, cervical cancer prevention and the HPV vaccine, and reproductive tract infections and sexually transmitted infections. The work of the panel will be further strengthened in the future with the appointment of a member with nursing/midwifery experience. The origins of the family planning movement led to a focus within Member Associations on fertility, which, in turn, isolated men, and particularly young men, from concerns about pregnancy and child rearing.
There remains a lack of services which cater for the specific needs of young men, and/or staff with the necessary counselling skills to advise this group. Because the behaviours and values of boys and young men affect the health and well-being of girls and young women, sexual and reproductive health programmes are likely to have greater impact if they constructively involve young men. This need is being tackled through policy developments and training programmes to highlight this important and often neglected area. Advocacy IPPF plays an important role in raising the profile of sexual and reproductive health on the poverty and international development agendas, and in protecting legislation and policies that support sexual and reproductive health and rights. IPPF has increased public, political and financial commitment to and support for sexual and reproductive health and rights at national and international levels. IPPF continue to seek to influence global policy making. We contributed to the UN Convention of Disability and the Commission on the Status of Women. We also lobbied at the UN Summit on Children to ensure that young people’s rights to access confidential health services are protected. In April 2007 we were successful in ensuring that the World Bank’s new strategy for Health, Nutrition and Population included reference to sexual and reproductive
These young men join in a weekly support group to learn about safer sex at the Lapas Correctional Centre for Boys.
rights and family planning issues. In April, IPPF welcomed the adoption of the Maputo Plan of Action by the Africa Union. This was drafted in September 2006 by the African Union Ministers of Health to focus the integration of sexual and reproductive health services into primary healthcare in order to improve reproductive health conditions for millions of women across the African continent. Accreditation IPPF launched a systematic and comprehensive accreditation system in 2003. This scheme reviews and measures the extent to which all Member Associations comply with IPPF’s 65 essential standards of membership. These standards cover issues of governance, management, programming and service delivery. The accreditation reviews continued during 2007 and covered 30 Member Associations in all six regions. This brings the total number of reviews since 2003 to 130. At the end of 2007, 73 Member Associations had received IPPF Accreditation. The Secretariat staff continue to work with the remainder in order to resolve outstanding issues. Following five years of this system being in place a review is currently in process to see how it can be adapted and improved for the future. This has involved assessing similar models in place by other membership based organizations and commissioning an independent evaluation of IPPF’s system.
10 IPPF Financial Statements 2007
Achievements and performance Global Indicators IPPF is aware of the increasing need to demonstrate our collective achievements and performance to donors and other stakeholders. On an annual basis we hold a Donors’ Meeting with representatives from each of our large donors
(governments, foundations). This is an opportunity for us to engage in dialogue on progress made in meeting the goals and objectives of our Strategic Framework, and on the future programme and funding challenges. In December 2007 we published the Annual Performance
Report, including the results for 30 Global Indicators. These are summarized below, and further information showing regional results and greater details are provided in the Performance Report. The 30 Global Indicators are:
ADOLESCENTS 1 Proportion of Member Associations with 20% or more young people aged under 25 on their Governing Board 2 Percentage of Member Association staff who are under 25 years of age 3 Proportion of Member Associations providing sexuality information and education to young people 4 Proportion of Member Associations providing sexual and reproductive health services to young people 5 Proportion of Member Associations advocating for improved access to services for young people 6 Number of sexual and reproductive health services (including family planning) provided to young people under 25 years of age HIV and AIDS 7 Proportion of Member Associations with a written HIV and AIDS workplace policy 8 Proportion of Member Associations providing HIV-related services along the prevention to care continuum Proportion of Member Associations advocating for increased access to HIV/AIDS prevention, treatment 9 and care, and reduced discriminatory policies and practices for those affected by HIV and AIDS 10 Proportion of Member Associations with strategies to reach people particularly vulnerable to HIV infection Proportion of Member Associations conducting behaviour change communication activities to reduce stigma and 11 promote health-seeking behaviour 12 Number of HIV-related services provided 13 Number of condoms distributed ABORTION 14 Proportion of Member Associations advocating for reduced restrictions and/or increased access to safe legal abortion Proportion of Member Associations conducting IEC/education activities on (un)safe abortion, 15 the legal status of abortion and the availability of legal abortion services 16 Proportion of Member Associations providing abortion-related services 17 Number of abortion-related services provided ACCESS Proportion of Member Associations conducting programmes aimed at increased access to SRH 18 services by poor, marginalized, socially excluded and/or under-served groups 19 Estimated percentage of Member Associations clients who are poor, marginalized socially excluded and/or under-served 20 Number of Couple Years of Protection (CYP) 21 Number of contraceptive services provided 22 Number of non-contraceptive sexual and reproductive health services provided 23 Number of service delivery points 24 Proportion of Member Associations with gender-focused policies and programmes 25 Proportion of Member Associations with quality of care assurance systems, using a rights-based approach ADVOCACY 26 Proportion of Member Associations involved in influencing public opinion on sexual and reproductive health and rights Proportion of Member Associations involved in advancing national policy and legislation 27 on sexual and reproductive health and rights Number of successful national policy initiatives and/or positive legislative changes in support of sexual 28 and reproductive health and rights to which the Member Association’s advocacy efforts have contributed 29 Proportion of Member Associations involved in counteracting opposition to sexual and reproductive health and rights Proportion of Member Associations advocating for national governments to commit more financial 30 resources to sexual and reproductive health and rights
Latest results (2006) 17.2% 4.7% 100.0% 97.2% 98.6% 11,514,850 40.7% 32.4% 57.9% 75.9% 79.3% 2,539,629 105,336,066 54.5% 48.3% 85.5% 435,294
81.4% 59.3% 7,800,073 20,384,904 18,261,652 55,911 71.0% 72.1% 73.1% 91.0% 56 82.8% 84.8%
IPPF Financial Statements 2007 11
The results from the 2005 data acted as a benchmark in order to monitor annual performance in future years and with most indicators there have been modest improvements during 2006. The 2007 data is not available at the time of approving these accounts. The results will be available in October 2008 and published within the IPPF Annual Performance Report.
whole and not just the funding which flows directly through IPPF. In the Western Hemisphere there is a well developed public fundraising initiative which realizes well over US$1.5 million per annum. This is through direct mailing and credit card commitments. Efforts continue to maintain this crucial fundraising and advocacy resource.
During 2007, the Governing Council approved a revised resource mobilization policy which outlines the impact of the evolving donor aid architecture as well as steps being taken to ensure that aid is provided in a more effective and efficient manner by donors. This policy is supported by specific Secretariat strategies being devised in 2008.
Resource mobilization Resource mobilization within IPPF involves developing long term donor relationships with the key governments and foundations who support our work. The staff involved are required to compile funding proposals and regular progress reports. With over 100 individual restricted projects at any one time, significant efforts are made to ensure that donor funding requirements are complied with, and that reporting is provided on a timely basis. IPPF continues to explore the opportunities to widen the pool of government donors who contribute. They also increasingly work in expanding foundation support, particularly in the US. With donors decentralizing funding and decision making, a key role is now supporting Member Associations to apply for funds allocated via Sector Wide Approaches and through local embassies/delegations. In 2006 (the latest available figures) the total income for our grant receiving Member Associations was US$262.7 million. Of this funding, IPPF represented 23%, local income was 65% with other international sources providing 12%. Whilst this global picture masks large regional differences (for example in Africa the IPPF support represented 56% of income sources) we are seeing long term trends of slowly increasing income levels overall, and positive diversification of that funding base. Therefore considerable resource mobilization efforts are made to increase funding to the sector as a
At the current rate of donor-funded condom distribution, couples living in the developing world and choosing this method of contraception would be allowed sex once a year.
12 IPPF Financial Statements 2007
Financial review Statement on reserves The members of the Governing Council have reviewed the level of reserves. Note 16 to the financial statements shows the funds of IPPF. This indicates the split of reserves between the general, designated, restricted and endowment funds. Over the longer term, the members of the Governing Council aim to have a general reserve balance of 25% of the next year’s (3 months) approved unrestricted expenditure. This recognizes the timing of the majority of annual unrestricted government grants which are received in the second half of each year, and the need for IPPF to meet its commitments to Member Associations and the Secretariat (regional and central offices). At the time of approving the 2008 budget in November 2007, the general reserve at 1 January 2008 was estimated to be US$33.1 million. The unrestricted expenditure programme budget approved for 2008 is US$74.9 million. The general reserve therefore reflected 44% against our ideal position of 25%. The actual level of the general reserve at 1 January 2008 was US$37.4 million. This represents 49% or 6 months of the budgeted 2008 unrestricted expenditure. The 25% general reserve balance has proved to be too low a figure in terms of cash flow management over the past five year period and the optimum level is being re-assed in 2008. Once this has been completed any surplus funds within the general fund will be re-allocated in addition to the approved budget.
Unrestricted funds are designated at the discretion of the trustees. The largest designated fund relates to the Western Hemisphere Sustainability Fund. This fund of US$28.1 million was created in 2002 following the receipt of a legacy for use in the Western Hemisphere Region, as such it has been designated for that purpose. Since 2002 further legacies have been added to the fund.
Statement on investments There are no restrictions under the 1977 Act in relation to the charity’s powers to invest. IPPF currently holds investments in terms of shares and securities as well as cash deposits. Shares and securities All shares and securities held are traded on the New York Stock Exchange. The Western Hemisphere Regional Board have appointed an Investment Committee to monitor these investments. The Committee is comprised of seven members independent of the Board and who have relevant investment experience. A review of the investment managers’ performance was undertaken during 2004 and following a tender review of four managers, Merrill Lynch Asset Management were replaced on the bulk of the portfolio by GMO (Grantham, Mayo, Otterloo & Co). The investment managers provide quarterly performance reports to the Investment Committee detailing all asset information as well as investment returns against appropriate indices. The investments within the GMO Balanced Allocation Fund are held in at least 65% equities (28% USA, 6% emerging markets and 31% other countries) and
at least 35% fixed income. No specific social, environmental or ethical considerations are placed on the investment managers. IPPF continues to closely monitor the performance of their investments and in 2007 the stock market continued to improve. A benchmark of 9.4% yield return (net of fees) was set for the GMO Balanced Allocation Strategy in 2007. Actual performance at 11.8% was above the target benchmark. Cash Regular cash-flow predictions for both unrestricted and restricted income and expenditure are prepared. Given the historical timing of receipts, the level of cash on deposit varies significantly during the year. In order to obtain sufficient returns on such balances, yet allow for reaction to emergencies, surplus liquid assets are placed on short-term deposit on a weekly basis. Investment options are regularly reviewed and IPPF has identified deposit accounts which allow the maximum interest to be generated from cash balances whilst giving the flexibility of access to those funds at short notice, and these accounts are used when the cash reserves warrant such investment.
Financial summary During 2007, IPPF provided US$61.7 million to Member Associations and partner organizations in the form of grants. Through the regional and central offices a further US$24.5 million was provided in direct technical assistance and support, enhancing the quality of services of all IPPF Member Associations.
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Income The overall income received by IPPF in 2007 was US$120.6 million, compared with US$107.4 million in the previous year. This increase of 12% reflects both unrestricted and restricted income growth. It also includes a significant foreign exchange gain of US$1.1 million in relation to revaluation of the balance sheet at the year-end. This revaluation adjustment reflects in particular the weakening of the US dollar against the Euro between the 2006 and 2007 year-ends. Since 2003, our income has seen a very welcome increase from US$87.0 million, representing 39% growth. IPPF’s main source of funding is government contributions which accounted for 71% of the total incoming resources. Unrestricted government grants showed an increase of 6% or US$4.1 million. This was due to increased contributions from the Governments of Australia, Canada and Finland. In addition the further weakening of the US dollar against European currencies increased the value of local currency contributions.
Restricted government grants amounted to US$11.2 million, up from US$5.8 million in 2006. The Japanese Government provided a further US$1 million for the IPPF Japan Trust Fund. The Australian Government provided substantial resources for the Pacific Islands and the Danish Government supported sexuality education work with young people. In addition IPPF holds the funding for the Safe Abortion Action Fund established in 2006 to which a number of European donor governments continued to contribute with US$6.1 million received. Grants from multilaterals and other income sources amounted to US$28.9 million compared with US$24.7 million in the previous year. The support of a number of US Foundations who provide unrestricted funding along with support from the European Commission, the UK Big Lottery Fund, UN Agencies (UNFPA and UNAIDS in particular) and income raised by the IPPF private sector fundraising programme from the general public has allowed IPPF to diversify funding and see support for a number of innovative projects being undertaken.
The GFPA clinic in Njaba Kunda is more than a family planning and child health service: for many of these women it provides an important social network.
14 IPPF Financial Statements 2007
IPPF’s ‘Sexual Rights: An IPPF declaration’ will define sexual rights within a human rights context. It will be unique in promoting sexuality, not reproduction.
Expenditure The overall expenditure in 2007 was US$101.8 million. This compared with US$98.3 million in the previous year. Grants to Member Associations remained almost static, however the unexpected increased funding received from unrestricted donors will be programmed for activities in 2008. Restricted income received was greater than the restricted expenditure during the year reflecting multiyear agreements where funding is received at the start of a project with expenditure continuing for a number of subsequent years. Funds (including pension fund deficit) When compared with 2006, IPPF’s total funds and reserves increased from US$83.4 million to US$111.3 million. The general fund increased by US$9.6 million in 2007, to an overall level of US$37.7 million. US$1.1 million of the general fund increase reflects the revaluation of the balance sheet and is therefore a paper movement rather than representing cash or other assets. The largest designated reserve (US$28.1 million) relates to a substantial individual legacy received by Western Hemisphere Region in 2002 which is being invested and the income used to fund projects within that region (3.5% of the capital is released per annum). The restricted fund balance of US$26.2 million reflects funds received in advance of the projects taking place. These funds will be used in 2008 and beyond. Any funds showing a negative balance at the year-end (where expenditure to date has exceeded income) have funding secured per project agreement and will be cleared when funds are received in 2008. Income has not been recorded for these projects as the funding agreements stipulate that the funds are only eligible for reimbursement in 2008.
The balance sheet in 2007 includes the pension liability of US$10.3 million. This has substantially decreased from a liability of US$20.7 million in 2006. This liability forms part of the unrestricted funds and represents the total future liability arising from the Central Office Defined Benefit Scheme. Like most UK organizations with such a scheme, IPPF have a deficit of long term funding. Whilst the performance of the assets continues to increase, this is more than offset by the increased life expectancy of members, which increases the liabilities. Having taken early action in 2003 to close the scheme to new members, IPPF developed a long term strategy during 2006 to find manageable ways of addressing this funding liability. Following the finalization of the triennial valuation in 2007 the scheme was closed to current members in September 2007. This together with an exceptional payment of US$3 million in December 2007 has reduced the long term liability. A deficit elimination plan was submitted to the UK Pension Regulator during 2007 and they have approved the 10 year funding plan which aims to clear the current deficit by 2017. Trading subsidiary 2007 was the sixth year in which the trading subsidiary of IPPF, ICON Ltd operated. The company primarily engages in commodity supply services and with the social marketing of contraceptives in conjunction with Member Associations. In 2007 the company made a trading profit after tax of US$15k, including inter-company income from IPPF, for the year to 31 December 2007. This will be retained by the company in order to fund cash flow and expansion.
IPPF Financial Statements 2007 15
Plans for future periods Plans for 2008 The vision for 2008 and beyond is a Federation strongly committed to delivering the Five A’s. The ongoing challenge is to strengthen the organization at every level in order to ensure that we deliver comprehensive and high quality services which contribute to a reduction in morbidity and mortality, and make a real difference in people’s lives. IPPF will continue to improve services for the prevention and treatment of sexually transmitted infections including HIV. Efforts will continue to focus on more effective integration of sexual and reproductive health and HIV services across the continuum of care, including condom distribution, VCT, prevention of mother-tochild transmission, treatment of opportunistic infection, antiretroviral treatment and palliative care. Equally important, IPPF will continue to work with other partners and communities to fight stigma and discrimination. The work of the High Level Panel on Sexual Rights will result in a Declaration of sexual rights being presented to the May Governing Council for approval. The Declaration will define sexual rights within a human rights context, and thereby inform advocacy and service delivery. It will be unique in promoting sexuality, not reproduction, as the basis for respecting and protecting sexual rights. In the year in which the Universal Declaration of Human Rights marks its 60th anniversary, this Bill will highlight that much is still required to be done to bring the reality of sexual rights to individual communities and people. In May 2008 the Governing Council will consider the recommendations of the 18 month review undertaken by the Governance Task Force. This group of volunteers and senior staff have looked at volunteerism
and governance at the Member Association, Regional and Central levels and identified areas where improvements can be made in order to strengthen the organization and respond to the need for a strong reproductive health and rights movement over the next 10 years. A major priority continues to be the need to strengthen advocacy and resource mobilization to ensure that the critical role of civil society is not forgotten in an increasingly competitive and complex world of new development aid architecture. We will continue to put in place strategies to assist the organization at ever level to access the funding available. The new Millennium Development Goal target of universal reproductive health and the Maputo Plan will require substantial investment in order to be achieved. IPPF has a unique and extensive global reach and diversity. We recognize the importance of learning from our own experiences and from others. We shall continue to strengthen partnerships at all levels; local, regional and globally. This is important if we are to achieve the vision of a global movement committed to sexual and reproductive health and rights for all. Future funding IPPF continues to try to increase longer term stability and income. Government donors do not generally confirm their contributions until shortly before they are paid and usually only for the particular year in question. Indications for 2008 are generally positive with many government donors committing to the same level of funding as 2007. IPPF continues to work on diversifying its funding base by increasing the number of fundraising opportunities among non-governmental organizations including trusts, foundations, the private sector and individual giving.
Disclosure of information to auditors The Governing Council members who held office at the date this report was approved, confirm that, so far as they are each aware, there is no relevant audit information of which the Charity’s auditors are unaware; and each Governing Council member has taken all steps that s/he ought to have taken to make themselves aware of any relevant audit information and to establish that the Charity’s auditors are aware of that information.
Thanks IPPF thanks all its donors for their continuing and generous support. It also wishes to acknowledge the immense on-going contribution it receives from its volunteers, in terms of the time, hard work, and personal commitment. Volunteers provide a huge range of help to the organization from assisting in clinics, sitting as Board members, acting as peer educators, meeting donors etc. Without this volunteer commitment IPPF could not achieve its mission or be the strong voice it currently is within the field of sexual and reproductive health and choices. Approved on behalf of the Governing Council on 11 May 2008.
Dr Jacqueline Sharpe, President
Mrs Helen Eskett, Treasurer
16 IPPF Financial Statements 2007
Report of the independent auditors to the Governing Council of the International Planned Parenthood Federation We have audited the group and charity financial statements (the ’financial statements’) of the International Planned Parenthood Federation for the year ended 31 December 2007 which comprise the group statement of financial activities, the group and charity balance sheets, the group cash flow statement and the related notes. These financial statements have been prepared under the accounting policies set out therein. This report is made solely to the charity’s Governing Council members, as a body, in accordance with section 43 of the Charities Act 1993 and regulations made under section 44 of that Act. Our audit work has been undertaken so that we might state to the charity’s Governing Council those matters we are required to state to them in an auditor’s report and for no other purpose. To the fullest extent permitted by law, we do not accept or assume responsibility to anyone other than the charity and the Governing Council members as a body, for our audit work, for this report, or for the opinions we have formed.
Respective responsibilities of the members of the Governing Council and auditors The Governing Council members’ responsibilities for the preparation of the financial statements in accordance with applicable law and UK Accounting Standards (UK Generally Accepted Accounting Practice) are set out in the Statement of Governing Council Members’ Responsibilities on page 5.
We have been appointed as auditors under section 43 of the Charities Act 1993 and report in accordance with regulations made under section 44 of that Act. Our responsibility is to audit the financial statements in accordance with relevant legal and regulatory requirements and International Standards on Auditing (UK and Ireland). We report to you our opinion as to whether the financial statements give a true and fair view and are properly prepared in accordance with the Charities Act 1993 and the International Planned Parenthood Federation Act 1977. We also report to you whether in our opinion the information given in the Governing Council’s Annual Report is not consistent with the financial statements. In addition we report to you if, in our opinion, the charity has not kept proper accounting records, if we have not received all the information and explanations we require for our audit, or if information specified by law regarding Governing Council members’ remuneration and other transactions is not disclosed. We read the Annual Report of the Governing Council and consider the implications for our report if we become aware of any apparent misstatements within it. Our responsibilities do not extend to any other information.
Basis of audit opinion We conducted our audit in accordance with International Standards on Auditing (UK and Ireland) issued by the Auditing Practices Board. An audit includes examination, on a test basis, of evidence relevant to the amounts and disclosures in the financial statements. It also includes an assessment of the significant estimates and judgements made by the Governing Council in the preparation of the financial statements, and of whether the accounting policies are appropriate to the group’s and charity’s circumstances, consistently applied and adequately disclosed. We planned and performed our audit so as to obtain all the information and explanations which we considered necessary in order to provide us with sufficient evidence to give reasonable assurance that the financial statements are free from material misstatement, whether caused by fraud or other irregularity or error. In forming our opinion we also evaluated the overall adequacy of the presentation of information in the financial statements.
IPPF Financial Statements 2007 17
Opinion In our opinion: the financial statements give a true and fair view, in accordance with UK Generally Accepted Accounting Practice, of the state of the group’s and charity’s affairs as at 31 December 2007 and of the group’s incoming resources and application of resources in the year then ended the financial statements have been properly prepared in accordance with the Charities Act 1993 and the International Planned Parenthood Federation Act 1977
the information given in the Governing Council’s Annual Report is consistent with the financial statements
KPMG LLP, Chartered Accountants & Registered Auditor 11 May 2008 1 Forest Gate, Brighton Road, Crawley, RH11 9PT, UK
IPPF provides 90% of its services at the community level, helping to reach some of the poorest, most marginalized and vulnerable people.
18 IPPF Financial Statements 2007
Statement of financial activities Consolidated statement of financial activities for the year ended 31 December 2007 Unrestricted Notes $’000
Restricted Endowment $’000 $’000
2007 Total $’000
2006 Total $’000
Incoming resources Incoming resources from generated funds: Voluntary income: Grants from governments Grants from multilaterals and other income sources Investment income and interest Incoming resources from charitable activities: Income of subsidiary trading company Other incoming resources: Foreign exchange gains Other incoming resources Total incoming resources
2 3 4
75,571 7,161 1,951
11,160 21,764 532
– – –
86,731 28,925 2,483
77,219 24,726 1,632
771
–
–
771
789
1,086 176 86,716
– 395 33,851
– – –
1,086 571 120,567
3,044 25 107,435
7 6
1,771 1,441 16 1,499
– – – 15
– – – –
1,771 1,441 16 1,514
1,149 1,590 19 1,577
5 7 6 8 20
45,146 9,010 15,197 2,486 519 77,085 9,631 (5)
16,624 1,890 6,225 35 – 24,789 9,062 5
– – – – – – – –
61,770 10,900 21,422 2,521 519 101,874 18,693 –
61,288 10,776 19,017 2,251 585 98,252 9,183 –
9,626 2,911 6,226 (508) 18,255 65,323 264 83,842
9,067 233 – – 9,300 16,959 – 26,259
– 98 – – 98 1,143 – 1,241
18,693 3,242 6,226 (508) 27,654 83,425 264 111,342
9,183 4,060 1,396 (2,614) 12,025 71,301 99 83,425
Resources expended Cost of generating funds: Central fundraising Regional fundraising Investment management costs Expenditure of subsidiary trading company Charitable activities: Grants to Member Associations & partners Central expenditure Regional expenditure Governance costs Pension finance charge Total resources expended
Net incoming resources before transfers Transfers between funds
16
Net incoming resources before other recognised gains and losses Gains on investment assets Actuarial gains on defined benefit pension scheme Foreign exchange movements on pension liability
11 20 20
Net movement in funds Funds brought forward at 1 January Unrealized foreign exchange movements taken to reserves
16
Funds carried forward at 31 December
16
There are no recognized gains and losses other than those included above. All the above results arise from continuing operations. The notes on pages 23 to 57 form part of these accounts.
IPPF Financial Statements 2007 19
Balance sheets Consolidated balance sheet as at 31 December 2007
Unrestricted Notes $’000
Restricted Endowment $’000 $’000
2007 Total $’000
2006 Total $’000
Fixed assets Tangible assets Investments Long term loans Total fixed assets
10 11 12
10,168 38,255 359 48,782
– 2,534 880 3,414
– 1,241 – 1,241
10,168 42,030 1,239 53,437
10,884 39,566 1,411 51,861
602 1,132 995 883 504 49,452 53,568
– 2,501 165 103 709 21,373 24,851
– – – – – – –
602 3,633 1,160 986 1,213 70,825 78,419
1,776 5,590 841 610 527 54,764 64,108
2,544 2,038 1,419 1,967 7,968
159 642 46 1,159 2,006
– – – – –
2,703 2,680 1,465 3,126 9,974
2,841 5,443 2,127 1,207 11,618
45,600 204 10,336 83,842
22,845 – – 26,259
– – – 1,241
68,445 204 10,336 111,342
52,490 182 20,744 83,425
37,714 56,464 – – 94,178 (10,336) 83,842
– – 26,259 – 26,259 – 26,259
– – – 1,241 1,241 – 1,241
37,714 56,464 26,259 1,241 121,678 (10,336) 111,342
28,163 57,904 16,959 1,143 104,169 (20,744) 83,425
Current assets Stock of goods Receivable from donors Receivable from associations Receivable from others Prepayments Cash at bank Total current assets
13
Creditors: amounts falling due within one year Accounts payable Payable to associations Accruals and other creditors Deferred income Total current liabilities
14
Net current assets excluding pension liability Provisions for liabilities and charges Pension liability
15 20
Total net assets including pension liability
Represented by: Unrestricted: General Designated Restricted Endowment
Total funds and reserves excluding pension liability Pension reserve
16 20
Total funds and reserves including pension liability Approved on behalf of the Governing Council on 11 May 2008
Dr Jacqueline Sharpe President
Mrs Helen Eskett Treasurer
20 IPPF Financial Statements 2007
Balance sheets Balance sheet (charity) as at 31 December 2007
Notes
2007 Total $’000
2006 Total $’000
10,164 42,030 991 53,185
10,880 39,566 1,658 52,104
588 3,633 1,161 705 1,214 70,360 77,661
1,772 5,590 841 553 527 54,125 63,408
1,768 2,679 1,465 3,126 9,038
2,445 5,443 2,127 1,207 11,222
68,623 204 10,336 111,268
52,186 182 20,744 83,364
37,638 56,463 26,262 1,241 121,604 (10,336) 111,268
28,106 57,900 16,959 1,143 104,108 (20,744) 83,364
Fixed assets Tangible assets Investments Long term loans Total fixed assets
11
Current assets Stock of goods Receivable from donors Receivable from associations Receivable from others Prepayments Cash at bank Total current assets
13
Creditors: amounts falling due within one year Accounts payable Payable to associations Accruals and other creditors Deferred income Total current liabilities
14
Net current assets excluding pension liability Provisions for liabilities and charges Pension liability Total net assets including pension liability
15 20
Represented by: Unrestricted: General Designated Restricted Endowment
Total funds and reserves excluding pension liability Pension reserve
Total funds and reserves including pension liability Approved on behalf of the Governing Council on 11 May 2008
Dr Jacqueline Sharpe President
Mrs Helen Eskett Treasurer
IPPF Financial Statements 2007 21
Cash flow statement Consolidated cash flow statement for the year ended 31 December 2007 Note
Net cash inflow from operating activities
$’000
a
2007 $’000
$’000
2006 $’000
5,705
9,501
2,478
1,578
Returns on investments Interest received and similar income
Capital expenditure Purchase of tangible assets Purchase of marketable securities Long term loans issued Sale of tangible assets Sale of marketable securities Long term loan repayments received
Increase in cash
(323) (273) (397) 7 6,938 355 b
(457) (4,581) (546) 9 4,731 461 6,307 14,490
(383) 10,696
Note a: Reconciliation of net incoming resources to net cash inflow from operating activities Net incoming resources Interest receivable and similar income Depreciation Exchange movement on tangible assets Exchange movement on pension liability (Decrease)/increase in pension liability Actuarial gain on pension scheme Loss on disposal of fixed assets Donations in kind Long term loans written off Decrease/(increase) in stock Decrease in receivables from donors (Increase)/decrease in receivables from associations (Increase)/decrease in receivables from others (Increase)/decrease in prepayments (Decrease)/increase in accounts payable (Decrease)/increase in payable to associations (Decrease)/increase in accruals and other creditors Increase/(decrease) in deferred income Increase in provisions Exchange movement on net funds Net cash inflow from operating activities
18,693 (2,482) 1,045 (7) (508) (10,408) 6,226 (5) (5,886) 212 1,174 1,957 (319) (376) (686) (138) (2,763) (662) 1,919 22 (1,303) 5,705
9,183 (1,632) 1,094 (832) (2,614) 1,493 1,396 1 (183) – (618) 3,481 205 336 8 77 928 123 (818) 182 (2,309) 9,501
22 IPPF Financial Statements 2007
Consolidated cash flow statement for the year ended 31 December 2007 (continued) 2007 $’000
2006 $’000
Increase in cash in the year Movement on foreign exchange Movement in net funds for the period
14,490 1,571 16,061
10,696 2,408 13,104
Net funds at 1 January
54,764
41,660
c
70,825
54,764
At 1 Jan 2007 $’000
Cash flows $’000
Exchange movements $’000
At 31 Dec 2007 $’000
54,764
14,490
1,571
70,825
Note
Note b: Reconciliation of net cash flow to movements in net funds:
Net funds at 31 December
Note c: Analysis of changes in net funds: Cash in hand and at bank
Note of explanation Cash balances are historically higher at 31 December each year due to the timing of government receipts, many of which are received in the last quarter of the financial year. However, the timing of grant payments to Member Associations means that the cash funds are significantly reduced in the first quarter of each financial year. The cash balance also includes restricted funds for use in the following years.
IPPF Financial Statements 2007 23
Notes to the financial statements 1 Accounting policies Basis of accounting These financial statements have been prepared under the historical cost convention, as modified for the revaluation of certain investments, and in accordance with applicable United Kingdom accounting standards, applicable United Kingdom law and the Statement of Recommended Practice (“SORP”), Accounting and Reporting by Charities (revised 2005), issued by the Charity Commissioners.
Basis of preparation IPPF exists as an entity under the provisions of the IPPF Act. There are six regions within the Federation and the accounts of these are combined to form the IPPF. All of the regional offices act as branches of IPPF and therefore fall under the term ‘branches’ in accordance with FRS 2 ‘Accounting for Subsidiary Undertakings’ and the Charities SORP. IPPF Arab World Regional Office (Tunis, Tunisia), IPPF East and Southeast Asia and Oceania Regional Office (Kuala Lumpur, Malaysia) and IPPF South Asia Regional Office (New Delhi, India) are not separate entities and their results are included in those of the Central Office (London, UK). IPPF Africa Regional Office (Nairobi, Kenya) and IPPF Europe Regional Office (Brussels, Belgium) are separate legal entities in their respective regions, and are treated as branches of the Central Office in London. Their results are included with those of the Charity. The IPPF Western Hemisphere Regional Office (New York, USA) – IPPF Western Hemisphere Inc. is a separate company incorporated in the State of New York,
USA, as a membership corporation with not–for–profit status. All its results are combined with those of the charity, on the basis that its members are also members of IPPF, and are in a regional office pursuing the same objectives and policies as the rest of IPPF. IPPF WHR is not a trading subsidiary, and therefore its results have not been separately disclosed. In addition to the regional office, there are two other entities within this region – The IPPF WHR Fund and IPPF Worldwide Inc. The IPPF WHR Fund is a separate entity used for investing significant bequests, the results of which are reported within these accounts. This entity is also considered to be a branch of IPPF. IPPF Worldwide Inc (established in 2006) is a separately registered not–for–profit organization. This is established for the purpose of receiving funding from United States of America based organizations with income received being reflected within these financial statements. This entity is also considered to be a branch of IPPF. IPPF has a trading subsidiary, ICON Ltd. This primarily engages in commodity supply services and social marketing of contraceptives in conjunction with Member Associations. Its results for the trading period to 31 December 2007 have been consolidated in accordance with FRS 2 ‘Accounting for Subsidiary Undertakings’ on a line by line basis.
Incoming resources Income is recognized in the period to which it is receivable (see separate deferred income policy).
Commercial trading activities Income from commercial trading activities is included in the period in which the group is entitled to receipt.
Donations and grants Grants from governments and other agencies have been included as donations and similar incoming resources as these relate to core funding or are provided for a general purpose rather than being service agreements. These are included in incoming resources when these are receivable, except as follows: When donors specify that donations and grants given to the charity must be used in future accounting periods, the income is deferred until those periods When donors impose conditions which have to be fulfilled before the charity becomes entitled to use such income, the income is deferred and not included in incoming resources until the pre–conditions for use have been met
Legacies Legacies are recognized when the charity is advised by the personal representatives of an estate that payment will be made or property transferred and the amount involved can be quantified.
Investment income & interest Investment income in the form of dividends together with interest is included when receivable by the charity.
24 IPPF Financial Statements 2007
1 Accounting policies (continued) Intangible income Donations in kind are included in donations and similar incoming resources where the amounts are material and an estimated market value is readily attainable. Commodities donated to IPPF for distribution to Member Associations are recognized as incoming resources to the extent that they have been distributed (or allocated for distribution) in the year. IPPF wishes to acknowledge the immense ongoing contribution it receives from its volunteers, in terms of the time, hard work, and personal commitment given to IPPF and its objectives. IPPF does not believe it is possible, or desirable, to place a monetary value on this contribution, and subsequently does not recognize volunteer time as incoming resources in the Financial Statements. IPPF does not believe there is a concise, workable, or accurate method of quantifying this contribution, or establishing how this contribution is expressed in financial terms.
Resources expended and basis of allocation of costs Grants payable to Member Associations of cash and commodities (being contraceptives and related goods) represent direct aid to affiliated and non–affiliated organizations. These grants are given on an annual basis. Amounts not yet given at the year end relating to commodities are accrued for as liabilities on the basis that a commitment exists to supply these remaining commodities or cash. Expenditure other than grants is classified between Regional and Central activities. Regional activities are those carried out by the regional offices serving local Member Associations. Central activities are exclusively those of the Central Office, London, which serve IPPF as a whole.
Costs of generating voluntary income comprise the costs incurred in commercial trading activities and fundraising. Fundraising costs include all direct costs including personnel costs, publicity material and direct mailing material. Programme activities represent expenses directly attributable to the issuing or monitoring of grants to Member Associations as well as providing technical assistance to allow the grant recipients to implement programmes effectively. At the regional offices most staff will be involved as focal points for a selected number of Associations as well as being an expert in a technical area e.g. HIV and AIDS, Access, Accreditation etc. At the Central Office, staff generally provide technical support to regional office staff and indirectly to Associations.
Where overheads on IPPF’s own projects are recovered by way of donations and grants, these and their related costs are not netted off but are shown separately.
Deferred income Deferred income comprises amounts received in the period which the donor has given for use in future accounting periods only. Other forms of income, such as lease benefits, are also deferred in order to match the income with the periods that they are intended to benefit.
Fixed assets All assets costing more than $1,000 are capitalized. All assets are stated at cost. All assets are depreciated in line with their expected useful lives using the straight line method at the following rates:
Support costs represent expenses on activities that are not directly attributable to the issuing or monitoring of grants to Member Associations and include general management, finance, office facilities, human resources and information technology.
Land
Governance costs include the costs of governance arrangements relating to IPPF as a UK registered charity. Direct costs include internal and external audit, financial statement publication costs, legal advice for the Governing Council members and costs associated with constitutional and statutory requirements such as Governing Council meetings as well as supporting committee meetings. As a Federation, the costs associated with regional governance structures (Regional Council Meetings and Regional Executive Meetings) are also included. Where IPPF acts as an agent for another party upon specific projects, all costs and overheads recovered are netted off against those costs.
Freehold buildings
no depreciation 2%
Office furniture
10%
Office equipment
20%
Computer hardware
33%
Vehicles
33%
Freehold improvements
10%
Leasehold improvements
Period of lease
Any realized gains or losses on disposals of fixed assets are taken to the Statement of Financial Activities in the year in which they occur. The transitional rules of FRS 15 ‘Tangible Fixed Assets’ have been adopted.
Investments Investments are valued at market value as at 31 December 2007. All gains and losses are taken to the Statement of Financial Activities as they arise.
IPPF Financial Statements 2007 25
Stock of goods
Contingent liabilities
Funds
Stock is valued at the lower of cost and net realizable value and consists of contraceptives and related medical equipment.
Contingent liabilities are disclosed in accordance with FRS 12, ‘Provisions, Contingent Liabilities and Contingent Assets’. No recognition is made in the Statement of Financial Activities. Where it becomes probable that there will be a future outflow of resources the liability will cease to be contingent and is accrued in the Financial Statements. Full details on each contingent liability are disclosed in note 18.
IPPF maintains five types of fund:
Foreign currency Transactions in foreign currencies are recorded using the rate of exchange ruling at the date of the transaction. Monetary assets and liabilities denominated in foreign currencies are translated using the rate of exchange ruling at the balance sheet date, and the gains and losses on translation are included in the Statement of Financial Activities. The results from overseas branches with operations denominated in foreign currency are translated into US Dollars at the average rate of exchange during the year for the Statement of Financial Activities, and the year end rate for the assets and liabilities. Gains and losses arising on these translations are taken to the general reserve.
Leased assets The annual payments in relation to lease arrangements, known as operating leases, are charged to the Statement of Financial Activities on an accruals basis.
Provisions Provision is made, where material, for the present value of future liabilities and losses which have occurred during the financial year and up to the date on which the Financial Statements are approved by Governing Council. The recognition of a provision is in accordance with FRS 12 ‘Provisions, Contingent Liabilities and Contingent Assets’. The charge for a provision is made against the appropriate resources expended category to which it relates.
Pension contributions IPPF contributes to both a closed defined benefit scheme and a number of defined contribution pension schemes (see note 20). Defined contribution scheme costs are charged to the Statement of Financial Activities as they are incurred. IPPF makes contributions to the Central Office defined benefit pension scheme (closed to new members from 1 September 2003 and current members from 1 September 2007) based on the advice from triennial actuarial valuations. Any material deficiencies or surpluses that arise are dealt with by changes to the level of contributions. In accordance with FRS 17 ‘Retirement Benefits’, the Statement of Financial Activities includes: the cost of benefits accruing during the year in respect of current and past service (charged against net outgoing resources); the expected return on the scheme’s assets and the increase in the present value of the scheme’s liabilities arising from the passage of time (shown as pensions finance charge); actuarial gain recognized in the pension scheme (shown within net movement of funds). The balance sheet includes the deficit in the scheme taking assets at their year–end market value and liabilities at their actuarially calculated values.
1. Permanent Endowment – where the capital is held in perpetuity to generate income to further the charitable objects of IPPF 2. Restricted – where the purposes for which the funds can be used have been restricted by donors or the terms of an appeal 3. Pension Reserve – in accordance with FRS 17 ‘Retirement Benefits’, the liability attributed to the Central Office defined benefit scheme is shown as a separate fund. As the scheme is currently in deficit this is a negative reserve. No designation of unrestricted funds to meet pension commitments at the balance sheet date is in place as IPPF anticipates meeting such commitments through future cash flows 4. Designated – where the funds are unrestricted, but where the Governing Council have designated them for a specific purpose 5. Unrestricted – where the funds are not restricted as to use but may be applied for any purpose within the charity’s objects Transfers between funds are made where the donor restrictions allow with appropriate disclosure in note 16.
26 IPPF Financial Statements 2007
2 Grants from governments Local currency (LC)
2007 LC’000
2006 LC’000
2007 $’000
2006 $’000
Australian $ US $ Canadian $ US $ Danish Krone Euro Euro US $ US $ US $ Euro New Zealand $ Norwegian Krone Swedish Krona Swiss Franc US $ £ Sterling
2,250 4 6,000 160 40,000 600 3,000 11,705 100 15 4,311 1,300 40,000 95,000 1,000 2 7,500
2,000 4 5,000 160 40,000 450 3,000 12,278 100 15 4,311 1,300 41,000 100,000 1,000 2 7,500
1,744 4 5,530 160 7,440 818 4,142 11,705 100 15 5,767 919 6,762 14,739 797 2 14,927 75,571
1,435 4 4,338 160 6,900 565 3,839 12,278 100 15 5,356 868 6,628 14,136 814 2 13,983 71,421
Australian $ Danish Kroner Euro Euro US $ £ Sterling US $ Euro Norwegian Krone Swedish Krona Swiss Franc £ Sterling
1,333 4,659 95 563 1,022 51 750 60 10,000 10,000 – 1,602
250 9,000 225 631 1,022 48 – – – 10,000 75 227
1,177 901 129 763 1,022 100 750 81 1,636 1,444 – 3,157 11,160
179 1,533 288 775 1,022 84 – – – 1,440 60 417 5,798
86,731
77,219
Unrestricted Australia Barbados Canada China Denmark Finland Germany Japan South Korea Malaysia The Netherlands New Zealand Norway Sweden Switzerland Thailand United Kingdom Unrestricted
Restricted Australia Denmark Finland Germany Japan States of Jersey South Korea The Netherlands Norway Sweden Switzerland United Kingdom Restricted Total
IPPF Financial Statements 2007 27
3 Grants from multilaterals and other income sources
Arab Gulf Fund United Nations Development Programme Big Lottery Fund Erik E & Edith H Bergstrom Foundation Fred B Bixby Foundation Harry & Julia A Brahamson Fund Compton Foundation Elton John AIDS Foundation EngenderHealth European Commission (EC) Ford Foundation Bill & Melinda Gates Foundation Good Gifts The R H and Esther Goodrich Foundation Gesellschaft fur Technische Zusammenarbeit (GTZ) The William & Flora Hewlett Foundation International AIDS Vaccine Initiative (IAVI) International Federation Of Red Cross International HIV/AIDS Alliance Intrahealth IPAS Fund JHPEIGO Levi Strauss Foundation Libra Foundation Liz Claiborne & Art Ortenberg Foundation London School of Hygiene & Tropical Medicine The John D & Catherine T MacArthur Foundation Management Sciences for Health (MSH) Nike Foundation Overbrook Foundation David & Lucile Packard Foundation Pathfinder Planned Parenthood Federation of America (PPFA) Population Action International (PAI) Program for Appropriate Technology in Health (PATH) Louise & Harold Price Foundation The Scherman Foundation The Summit Foundation The World Conservation Union United Nations Development Programme (UNDP) United Nations Foundation (UNF) United Nations Fund for Population Activities (UNFPA) United Nations Programme on HIV/AIDS (UNAIDS) West African Health Organisation Westwind Foundation World Bank World Health Organization (WHO) Anonymous (not to be disclosed at their request) Legacies Other <$5,000, or individuals not wishing to be disclosed Total
Unrestricted $’000
Restricted $’000
2007 Total $’000
2006 Total $’000
– – – 35 – 10 – – – – – – – – 1,500 – – – – – – – 50 20 – – – – 40 – – – – – – – – – – – – – – – – – 750 1,305 3,451 7,161
120 215 518 – 200 25 55 – 3,940 106 3,809 75 – 7 1,050 – 12 25 25 15 – – – – – 340 25 42 – 1,092 25 – 452 20 50 – 113 25 – – 1,024 1,675 5 63 – 10 6,524 – 82 21,764
120 215 518 35 200 35 55 – 3,940 106 3,809 75 – 7 2,550 – 12 25 25 15 – – 50 20 – 340 25 42 40 1,092 25 – 452 20 50 – 113 25 – – 1,024 1,675 5 63 – 10 7,274 1,305 3,533 28,925
– 243 201 – – – 102 25 3,575 144 1,255 138 21 288 4,690 25 – – – – 25 55 50 20 9 701 – 58 40 1,025 – 23 – 25 – 30 50 – 12 50 3,228 1,099 – 260 (75) – 4,415 858 2,062 24,726
28 IPPF Financial Statements 2007
4 Investment income and interest Unrestricted $’000 Interest receivable from cash deposits Dividends and similar income from US listed securities Total
1,872 79 1,951
Restricted $’000 532 – 532
2007 Total $’000
2006 Total $’000
2,404 79 2,483
1,491 141 1,632
IPPF Financial Statements 2007 29
5 Grants to Member Associations and partner organizations
2007 Cash grants $’000 Africa Arab World E & SE Asia and Oceania Europe South Asia Western Hemisphere Total 2007 Total 2006
14,931 3,218 4,682 1,817 6,835 6,697 38,180 39,546
Unrestricted 2007 Commodity grants $’000
2007 Technical assistance $’000
1,010 208 760 9 26 2,489 4,502 3,887
1,873 331 – 45 – 215 2,464 2,835
Restricted 2007 2007 Cash Commodity grants grants $’000 $’000 4,418 717 1,416 1,419 2,079 6,249 16,298 12,239
328 82 (3) (4) – (77) 326 2,781
2007 Total $’000
2006 Total $’000
22,560 4,556 6,855 3,286 8,940 15,573 61,770
21,685 4,998 6,574 5,294 9,129 13,608 61,288
Commodity grants consist of contraceptives and related goods. Technical assistance represents advisory services provided by IPPF and funded by Member Associations from unrestricted core grants and locally generated income sources. Negative values arise where amounts accrued in previous years at the year end are reversed / paid in the following year at a lower value.
Grants to Member Associations and partner organizations by IPPF strategic priorities and supporting strategies 2007 Unrestricted $’000
2007 Restricted $’000
2007 Total $’000
2006 Total $’000
5,492 3,228 20,216 2,350 3,947
2,071 1,414 3,046 7,890 1,983
7,563 4,642 23,262 10,240 5,930
9,838 3,966 27,329 3,794 5,518
3,440 1,889 3,399 1,185 45,146
33 – 169 18 16,624
3,473 1,889 3,568 1,203 61,770
3,872 1,144 4,282 1,545 61,288
Strategic priorities Adolescents HIV/AIDS Access Abortion Advocacy
Supporting strategies Accreditation & governance Resource mobilization Capacity building Evaluation Total
The above figures are based on funding agreements. They are indicative in the sense that ensuring global standards of classifying projects is still something IPPF is refining. For example, a Member Association undertaking projects to increase clinical services to young people and with an emphasis on HIV and AIDS prevention will generally classify this as ‘access’. This can lead to other priority areas being lower than expected.
30 IPPF Financial Statements 2007
5 Grants to Member Associations and partner organizations (continued) The following associations received cash and commodity grants as shown below. They are ranked in order of total unrestricted grants. Rank 1 2 3 4 5 6 7 8 9 10 11 12
Country India Pakistan Nepal Bangladesh Nigeria Tanzania Kenya Ghana Uganda Zambia Ethiopia
19 20 21 22 23 24 25 26 27 28 29 30
Antigua And Barbuda Aruba Bahamas Caribbean Curacao Dominica Grenada St Lucia St Vincent Brazil Sudan Colombia Burkina Faso Peru Democratic Republic of Congo Nicaragua Mexico Guatemala Togo Egypt Senegal Dominican Republic Benin Lesotho Sierra Leone Haiti Bolivia
31
Mali
32 33
Cote D’Ivoire Gambia
13 14 15 16 17 18
Association Family Planning Association of India Family Planning Association of Pakistan Family Planning Association of Nepal Family Planning Association of Bangladesh Planned Parenthood Federation of Nigeria Uzazi na Malezi Bora Tanzania Family Health Options Kenya Planned Parenthood Association of Ghana Family Planning Association of Uganda Planned Parenthood Association of Zambia Family Guidance Association of Ethiopia Caribbean Family Planning Affiliation comprising of: Antigua Planned Parenthood Association Foundation for the Promotion of Responsible Parenthood Bahamas Family Planning Association Caribbean Family Planning Affiliation Ltd Foundation for the Promotion of Responsible Parenthood Dominica Planned Parenthood Association Grenada Planned Parenthood Association Saint Lucia Planned Parenthood Association St. Vincent Planned Parenthood Association Sociedad Civil Bem–Estar Familiar no Brasil Sudan Family Planning Association Asociación Pro–Bienestar de la Familia Colombiana Association Burkinabé pour le Bien–Etre Familial Instituto Peruano de Paternidad Responsable Association pour le Bien–Etre Familial/ Naissances Désirables Asociación Pro–Bienestar de la Familia Nicaragüense Fundación Mexicana para la Planeación Familiar, A.C. Asociación Pro–Bienestar de la Familia de Guatemala Association Togolaise pour le Bien–Etre Familial Egyptian Family Planning Association Association Sénégalaise pour le Bien–Étre Familial Asociación Dominicana Pro–Bienestar de la Familia Association Béninoise pour la Promotion de la Famille Lesotho Planned Parenthood Association Planned Parenthood Association of Sierra Leone Association pour la Promotion de la Famille Haïtienne Centro de Investigación, Educación y Servicios Association Malienne pour la Protection et la Promotion de la Famille Association Ivoirienne pour le Bien–Etre Familial Gambia Family Planning Association
Unrestricted $ 1,793,157 1,731,551 1,451,190 1,310,305 1,003,471 896,140 861,148 834,153 802,069 771,265 756,616
Restricted $ 282,122 60,000 371,440 444,167 86,052 55,487 103,489 291,445 334,181 – 88,550
Total $ 2,075,279 1,791,551 1,822,630 1,754,472 1,089,523 951,627 964,637 1,125,598 1,136,250 771,265 845,166
68,345 21,703 17,857 192,755 20,763 89,156 80,136 163,539 44,059 688,931 649,497 631,825 582,943 582,791
– (63) 306 – 125 (15) – 12,379 (1,020) 181,783 324,813 183,489 272,423 334,619
68,345 21,640 18,163 192,755 20,888 89,141 80,136 175,918 43,039 870,714 974,310 815,314 855,366 917,410
568,983
45,716
614,699
567,559 562,766 560,999 552,328 548,459 544,872 514,200 511,552 504,000 499,508 491,700 473,986
(9,271) 473,130 107,748 24,248 54,442 (1,099) 309,600 13,009 370,946 – 453,899 468,655
558,288 1,035,896 668,747 576,576 602,901 543,773 823,800 524,561 874,946 499,508 945,599 942,641
470,836
63,413
534,249
469,119 449,114
226,742 233,782
695,861 682,896
IPPF Financial Statements 2007 31
Rank 34 35 36 37 38 39 40 41 42 43 44 45 46 47 48 49 50 51 52 53 54 55 56 57 58 59 60 61 62 63 64 65 66 67 68 69 70 71 72 73 74
Country
Association Associação Moçambicana para Desenvolvimento Mozambique da Família Palestine Palestinian Family Planning and Protection Association Paraguay Centro Paraguayo de Estudios de Poblacíon Venezuela Asociación Civil de Planificación Familiar Congo Association Congolaise pour le Bien–Etre Familial Indonesia The Indonesian Planned Parenthood Association Cameroon Cameroon National Association for Family Welfare Afghanistan Afghan Family Guidance Association Liberia Family Planning Association of Liberia Burundi Association Burundaise pour le Bien–Etre Familial Guinea Conakry Association Guinéenne pour le Bien–Etre Familial South Africa Planned Parenthood Association of South Africa Madagascar Fianakaviana Sambatra Philippines Family Planning Organization of the Philippines Chad Association Tchadienne pour le Bien–Etre Familial Central African Republic Association Centrafricaine pour le Bien–Etre Familial Tunisia Association Tunisienne de la Santé de la Reproduction Niger Association Nigérienne pour le Bien–Etre Familial Honduras Asociación Hondureña de Planificación de Familia Morocco Association Marocaine de Planification Familiale Malawi Family Planning Association of Malawi Mauritania Association Mauritanienne pour la Promotion de la Famille China China Family Planning Association Trinidad And Tobago Family Planning Association of Trinidad and Tobago Korean Family Planning & Maternal Child Health North Korea Association of DPRK Association Djiboutienne pour l’équilibre et la promotion Djibouti de la famille Malaysia Federation of Family Planning Associations of Malaysia Syria Syrian Family Planning Association El Salvador Asociación Demográfica Salvadoreña Swaziland Family Life Association of Swaziland Russia Russian Family Planning Association Associacao da Guine–Bissau Para a Educacao e Promocao Guinea Bissau de Saude Familiar Thailand Planned Parenthood Association of Thailand Jamaica Jamaica Family Planning Association Canada Canadian Federation for Sexual Health Papua New Guinea* Papua New Guinea Family Health Association Comoros Association Comorienne pour le Bien–Etre de la Famille Algeria Association Algérienne pour la Planification Familiale Vietnam Vietnam Family Planning Association Belize Belize Family Life Association Botswana Botswana Family Welfare Association
Unrestricted $
Restricted $
Total $
426,441
70,425
496,866
423,675 413,564 400,966 398,485 392,690 376,304 370,200 360,137 356,413 354,181 348,891 337,134 332,679 325,450 324,515 323,586 323,045 320,618 316,025 301,902 297,418 297,298 290,950
2,118 19,000 82,879 120,470 344,594 77,459 350,665 5,198 3,985 14,092 (53,476) 111,641 79,322 3,325 26,128 57,578 (85) (14,800) (1,275) 111,577 193,848 13,730 150,000
425,793 432,564 483,845 518,955 737,284 453,763 720,865 365,335 360,398 368,273 295,415 448,775 412,001 328,775 350,643 381,164 322,960 305,818 314,750 413,479 491,266 311,028 440,950
284,245
(81)
284,164
284,066
–
284,066
282,724 281,586 277,010 272,471 258,926
– – 8,323 20,481 –
282,724 281,586 285,333 292,952 258,926
254,860
(679)
254,181
251,075 243,761 230,383 223,837 220,480 220,433 220,158 218,448 212,448
4,329 – – 6,691 (300) (97) 111,797 28,309 –
255,404 243,761 230,383 230,528 220,180 220,336 331,955 246,757 212,448
32 IPPF Financial Statements 2007
5 Grants to Member Associations and partner organizations (continued)
Rank 75 76 77 78 79 80 81 82 83 84 85 86 87 88
Country Suriname Bulgaria Bosnia Herzegovina Guyana Angola Solomon Islands Rwanda Namibia Cape Verde Islands Samoa Panama Vanuatu Kazakhstan Jordan
89
Ecuador
90 91 92 93 94 95 96 97 98 99 100
Armenia Chile South Korea Tonga Laos* Zimbabwe* Cuba Kiribati Mongolia Sao Tome & Principe* Maldives
101
Bahrain
102 103 104 105 106 107 108 109 110 111 112 113 114 115 116 117
Tuvalu* Mauritius Myanmar* Georgia Fiji Hong Kong Puerto Rico Portugal Tajikistan Costa Rica Cook Islands Uruguay Kyrgyzstan Barbados Yemen Singapore
Association Stichting Lobi Bulgarian Family Planning and Sexual Health Association Association for Sexual and Reproductive Health XY Guyana Responsible Parenthood Association Associação Angolana para o Bem Estar da Familia Solomon Islands Planned Parenthood Association Association Rwandaise pour le Bien–Etre Familial Namibia Planned Parenthood Association Associação Caboverdiana para a Proteção da Familia Samoa Family Health Association Asociación Panameña para el Planeamiento de la Familia Vanuatu Family Health Association Kazakhstan Association on Sexual and Reproductive Health Jordan Association for Family Planning and Protection Centro Ecuatoriano para la Promocion y Occion de la Muyer For Family and Health Pan–Armenian Association Asociación Chilena de Protección de la Familia Planned Population Federation of Korea Tonga Family Health Association Lao Field Office Zimbabwe National Family Planning Council Sociedad Científica Cubana Para el Desarrollo de la Familia Kiribati Family Health Association Mongolian Family Welfare Association Associação Santomense para o Planeamiento Familiar Society for Health Education Bahrain Reproductive Health and Family Planning Association Tuvalu Family Health Association Mauritius Family Planning & Welfare Association Myanmar Maternal and Child Welfare Association Association HERA XXI Reproductive & Family Health Association of Fiji Family Planning Association of Hong Kong Asociación Puertorriqueña Pro–Bienestar de la Familia Associação Para o Planeamiento da Família Tajik Family Planning Alliance Asociación Demográfica Costarricense Cook Islands Family Welfare Association Asociación Uruguaya de Planificación Familiar Reproductive Health Alliance of Kyrgyzstan The Barbados Family Planning Association Yemen Family Care Association Singapore Planned Parenthood Association
Unrestricted $ 210,352 208,682 194,834 191,984 186,840 185,033 178,646 164,308 163,510 158,403 152,087 151,197 145,689 144,412
Restricted $ (3,106) 4,051 (1,153) (2,196) 105,121 47,952 178,938 9,975 (446) 14,350 13,991 30,444 142,968 –
Total $ 207,246 212,733 193,681 189,788 291,961 232,985 357,584 174,283 163,064 172,753 166,078 181,641 288,657 144,412
140,526
1,863
142,389
136,908 134,713 133,811 131,149 126,222 124,457 124,208 123,920 123,080 120,237 113,075
– 214,952 (369) 8,973 (734) – (10,043) 12,308 (463) (161) –
136,908 349,665 133,442 140,122 125,488 124,457 114,165 136,228 122,617 120,076 113,075
111,850
–
111,850
110,121 106,603 105,043 102,442 101,991 96,818 94,012 86,478 86,123 84,484 83,780 82,370 78,786 70,231 70,076 64,960
68,873 (51) – – 18,924 – 190,000 73,547 (1,931) 32,866 10,278 158,000 158,164 162,500 (50,606) –
178,994 106,552 105,043 102,442 120,915 96,818 284,012 160,025 84,192 117,350 94,058 240,370 236,950 232,731 19,470 64,960
IPPF Financial Statements 2007 33
Rank
Country
118
Albania
119
Latvia
120 121 122 123 124 125
127 128 129 130 131 132 133
Irish Republic Lithuania Poland Moldova Iran Germany The Former Yugoslav Republic of Macedonia Ukraine Eritrea Gabon Slovak Republic Equatorial Guinea* Sri Lanka Switzerland
134
Estonia
135 136 137 138 139 140 141 142
Uzbekistan Seychelles* Spain Denmark Finland Sweden Austria Cyprus
143
Italy
144 145
Cambodia Various
126
Association Shoqata Shqiptare per Popullsine dhe Zhvillimin/ Albanian Center for Population and Development Latvijas Ìimenes plânoðanas un seksuâlâs veselîbas asociâcija “Papardes zieds” Irish Family Planning Association Seimos Planavimo ir Seksualines Sveikatos Asociacija Towarzystwo Rozwoju Rodziny Societatea de Planificare a Familiei din Moldova Family Planning Association of the Islamic Republic of Iran Pro Familia Bundesverband
Unrestricted $
Restricted $
Total $
62,489
66,884
129,373
61,584
16,180
77,764
56,667 53,639 53,163 50,475 47,269 38,000
65,513 681 1,872 – – 65,059
122,180 54,320 55,035 50,475 47,269 103,059
Health Education and Research Association
30,050
–
30,050
Ukraine Family Planning Association Family Reproductive Health Association of Eritrea Mouvement Gabonais pour le Bien–Etre Familial Slovak Family Planning Association Association Bienestar Familiar de Guinea Equatorial Family Planning Association of Sri Lanka Fondation Suisse pour la santé Sexuelle et Reproductive Eesti Seksuaaltervise Liit / Estonian Sexual Health Association Uzbek Association on Reproductive Health Alliance of Solidarity for the Family Federación de Planificación Familiar de España Sex & Samfund Väestöliitto Riksförbundet för Sexuell Upplysning Österreichische Gesellschaft für familienplanung Family Planning Association of Cyprus Unione Italiana dei Centri di Educazione Matrimoniale e Prematrimoniale Reproductive Health Association of Cambodia Grants below $5,000 Total Grants to Member Associations
29,972 29,642 25,751 25,000 24,461 23,430 20,000
– – – 681 (14) (6,034) –
29,972 29,642 25,751 25,681 24,447 17,396 20,000
16,681
3,925
20,606
15,000 10,757 5,533 – – – – –
– – 50,000 66,345 66,325 57,364 14,292 13,062
15,000 10,757 55,533 66,345 66,325 57,364 14,292 13,062
–
7,926
7,926
– (107,106) 43,061,732
5,941 (8,218) 10,283,466
5,941 (115,324) 53,345,198
* Non–member countries in which IPPF is active
34 IPPF Financial Statements 2007
5 Grants to Member Associations and partner organizations (continued) The following Partner Associations received cash and commodity grants as shown below. Partners include organizations where IPPF are requested by donors to act as a secretariat for their funds and issue grants to specific groups and organizations they have identified. Rank
Country
1
2 3 4 5 6 7
China Africa (Various) Japan Japan Kenya Thailand Japan Africa Thailand Belgium
8
USA
9
United Kingdom
10 11 12 13
Somalia India USA India
14
Various
15 16 17 18 19 20 21 22 23 24 25 26 27 28 29 30 31 32 33 34 35 36 37
Mexico Thailand Ethiopia Brazil Burkina Faso Brazil Uruguay South Africa Ghana Germany Sudan Kenya Mozambique Bangladesh Vietnam South Africa Bolivia Nepal India Mexico Nigeria Argentina Uruguay
Partner Japanese Organization for International Cooperation in Family Planning (JOICFP) – Grants to organizations in China – Grants to organizations in Sub–Saharan Africa – Information & Campaigning – International Advocacy / Resource Mobilization Centre for African Family Studies Interact Worldwide Asian Population and Development Association Association for the Chief Executives of Member Associations Asian Forum of Parliamentarians on Population & Development European Parliamentary Forum Inter–American Parliamentary Group on Population & Development All Party Parliamentary Group on Population, Development & Reproductive Health Edna Adan Maternity Hospital National Institute for Research in Reproductive Health Population Council Asia Pacific Conference on Reproductive and Sexual Health Other organizations (Grants below $5,000 and requests to withhold public disclosure) Centro de Atención Integral a la Pareja, A. C. The Royal Thai College of Obstetricians and Gynecologists Marie Stopes International – Ethiopia Feminist Center for Studies and Advisory Services Institut Supérieur des Sciences de la Population Center for Research in Reproductive Health of Campinas Iniciativas Sanitarias Mosaic Training, Service and Healing Centre for Women Pathfinder International – Ghana Deutsche Stiftung Weltbevolkerung (DSW) PPFA International – Sudan PPFA International – Kenya Pathfinder International – Mozambique Bangladesh Women’s Health Coalition Marie Stopes International – Viet Nam Ibis Reproductive Health, South Africa Ipas Bolivia Sunaulo Parivar Nepal (MSI) Pathfinder International – India Grupo de Información en Reproducción Elegida Women’s Health & Action Research Centre Católicas por el Derecho a Decidir (CDD) Córdoba, Argentina Mujer y Salud en Uruguay
Unrestricted $
Restricted $
Total $
110,000 100,000 260,000 830,000 308,000 126,152 100,000 93,840 35,000 30,000
– – – – – – – – – –
110,000 100,000 260,000 830,000 308,000 126,152 100,000 93,840 35,000 30,000
20,000
–
20,000
18,500
–
18,500
18,000 15,298 10,000 5,130
– – – –
18,000 15,298 10,000 5,130
4,309
93,127
97,436
– – – – – – – – – – – – – – – – – – – – – – –
253,406 211,482 207,220 193,421 188,996 185,068 169,279 164,962 164,543 162,294 159,150 157,898 154,860 153,446 145,373 142,789 141,615 141,504 141,147 140,868 140,723 135,503 135,243
253,406 211,482 207,220 193,421 188,996 185,068 169,279 164,962 164,543 162,294 159,150 157,898 154,860 153,446 145,373 142,789 141,615 141,504 141,147 140,868 140,723 135,503 135,243
IPPF Financial Statements 2007 35
Rank 38 39 40
Country Uganda Colombia South Africa
41
Philippines
42
Colombia
43
Mexico
44 45 46 47
Peru Various Nigeria Brazil
48
Nepal
49 50 51 52 53 54 55 56 57 58 59 60 61 62 63 64 65 66 67 68
Belgium Bolivia Chile The Netherlands France Nepal Australia USA United Kingdom Columbia United Kingdom Thailand Argentina Argentina Swaziland Australia Colombia Mexico USA Burkina Faso
Partner Marie Stopes International – Uganda Fundación Educación para la Salud Reproductiva Pathfinder International – South Africa General Assembly Binding Women for Reforms, Integrity, Equality, Leadership and Action Orientame Comunicación, Intercambio y Desarrollo Humano en América Latina Centro de la Mujer Peruana ‘Flora Tristan’ Global Network of People Living with HIV Health Reform Foundation of Nigeria Cunhã Coletivo Feminista Center for Research on Environment Health and Population Activities European Parliamentary forum on Population & Development Católicas por el Derecho a Decidir Red de Salud de las mujeres Latinoamericanas y del Caribe World Population Foundation Equilibres & Populations National Association of People living with HIV Nepal The University of New South Wales Institute for Global Health Interact Worldwide LigaSida Marie Stopes International Mae Tao Clinic Centro de Estudios de Estado y Sociedad Centro de Estudios Sociales y Políticos para el Desarrollo Humano Population Services International Australian Reproductive Health Alliance Fundación Educación para Salud Reproductiva Católicas por el Derecho a Decidir Catholics for a Free Choice Festival Panafricain du Cinéma et de la Télévision Total Grants to Partner Organizations Total Grants to Member and Partner Organizations
Unrestricted $ – – –
Restricted $ 134,122 130,586 130,172
Total $ 134,122 130,586 130,172
–
129,980
129,980
–
124,383
124,383
–
110,531
110,531
– – – –
100,222 100,000 94,096 93,678
100,222 100,000 94,096 93,678
–
80,321
80,321
– – – – – – – – – – – – – – – – – – – – 2,084,229
79,879 77,340 71,552 65,420 64,526 60,070 60,053 60,000 58,665 58,314 56,315 49,848 46,625 46,507 45,339 38,839 128,500 79,835 72,868 8,196 6,340,699
79,879 77,340 71,552 65,420 64,526 60,070 60,053 60,000 58,665 58,314 56,315 49,848 46,625 46,507 45,339 38,839 128,500 79,835 72,868 8,196 8,424,928
45,145,961
16,624,165
61,770,126
36 IPPF Financial Statements 2007
6 Regional activities – 2007 (1) Programme activities $’000 Personnel costs Consultancies Travel Occupancy Communications Other costs Total 2007
6,905 836 2,249 695 220 325 11,230
Unrestricted (2) Support costs $’000 2,297 139 710 742 207 (128) 3,967
Charitable activities Sub total $’000
(3) Regional fundraising $’000
Restricted Programme activities $’000
Total $’000
9,202 975 2,959 1,437 427 197 15,197
472 135 40 129 186 479 1,441
2,343 850 1,805 73 74 1,080 6,225
12,017 1,960 4,804 1,639 687 1,756 22,863
1) Programme activities represent expenses directly attributable to the issuing or monitoring of grants to Member Associations as well as providing technical assistance to allow the grant recipients to implement programmes effectively. At the regional offices most staff will be involved as focal points for a selected number of Member Associations as well as being an expert in a technical area e.g. HIV and AIDs, Access, Accreditation etc.
Regional activities by IPPF strategic priorities and supporting strategies – 2007
Strategic Priorities Adolescents HIV/AIDS Access Abortion Advocacy Supporting Strategies Accreditation & governance Resource mobilization Capacity building Evaluation Total 2007
Support costs $’000
Programme activities $’000
Regional fundraising $’000
Total $’000
344 420 557 341 377
1,841 2,111 1,972 1,491 2,956
– – – – –
2,185 2,531 2,529 1,832 3,333
360 190 1,095 283 3,967
1,521 89 4,596 878 17,455
– 1,441 – – 1,441
1,881 1,720 5,691 1,161 22,863
IPPF Financial Statements 2007 37
6 Regional activities – 2006 (1) Programme activities $’000 Personnel costs Consultancies Travel Occupancy Communications Other costs Total 2006
6,309 655 2,086 447 115 312 9,924
Unrestricted (2) Support costs $’000 2,921 117 197 640 243 571 4,689
Charitable activities Sub total $’000
(3) Regional fundraising $’000
Restricted Programme activities $’000
Total $’000
9,230 772 2,283 1,087 358 883 14,613
666 49 46 106 176 547 1,589
1,643 352 1,505 429 59 416 4,404
11,539 1,173 3,834 1,622 593 1,846 20,607
2) Support costs represent expenses on activities that are not directly attributable to the issuing or monitoring of grants to Member Associations and include general management, finance, office facilities, human resources and information technology. These are allocated across the strategic priorities and supporting strategies based on a proportion of direct personnel costs attributable the implementation of the activities. This is the methodology used as part of the budget cycle in order to correctly measure the overall costs of undertaking projects on the internal electronic Integrated Management System. This methodology is applied to all areas of IPPF and has been selected for consistency of use and ease of implementation. 3) Fundraising costs comprise of activities related to regional income generation and resource development.
Regional activities by IPPF strategic priorities and supporting strategies – 2006 Support costs $’000
Programme activities $’000
Regional fundraising $’000
Total $’000
Strategic priorities Adolescents HIV/AIDS Access Abortion Advocacy
411 309 403 358 403
1,728 1,120 1,792 1,395 2,111
– – – – –
2,139 1,429 2,195 1,753 2,514
633 225 1,694 253 4,689
888 118 4,084 1,092 14,328
– 1,590 – – 1,590
1,521 1,933 5,778 1,345 20,607
Supporting strategies Accreditation & governance Resource mobilization Capacity building Evaluation Total 2006
38 IPPF Financial Statements 2007
7 Central activities – 2007 (1) Programme activities $’000 Personnel costs Consultancies Travel Occupancy Communications Other costs Total 2007
3,867 286 639 – 63 386 5,241
Unrestricted (2) Charitable Support activities costs Sub total $’000 $’000 1,381 602 220 417 66 1,083 3,769
5,248 888 859 417 129 1,469 9,010
(3) Central fundraising $’000 1,515 7 194 – 23 32 1,771
Restricted Programme activities $’000 536 471 564 1 26 292 1,890
Total $’000 7,299 1,366 1,617 418 178 1,793 12,671
1) Programme activities represent expenses directly attributable to the issuing or monitoring of grants to Member Associations as well as providing technical assistance to allow the grant recipients to implement programmes effectively. At the Central Office staff are generally not involved in issuing grants to Member Associations but provide technical support to regional office staff and Member Associations.
Central activities by IPPF strategic priorities and supporting strategies – 2007
Strategic Priorities Adolescents HIV/AIDS Access Abortion Advocacy Supporting Strategies Accreditation & governance Resource mobilization Capacity building Evaluation Total 2007
Support costs $’000
Programme activities $’000
Central fundraising $’000
Total $’000
223 278 226 262 543
439 1,242 366 701 1,420
– – – – –
662 1,520 592 963 1,963
416 970 233 618 3,769
739 – 473 1,751 7,131
– 1,771 – – 1,771
1,155 2,741 706 2,369 12,671
IPPF Financial Statements 2007 39
7 Central activities – 2006 (1) Programme activities $’000 Personnel costs Consultancies Travel Occupancy Communications Other costs Total 2006
3,619 170 607 – 55 (174) 4,277
Unrestricted (2) Charitable Support activities costs Sub total $’000 $’000 2,804 445 428 65 71 894 4,707
6,423 615 1,035 65 126 720 8,984
(3) Central fundraising $’000
Restricted Programme activities $’000
Total $’000
960 20 167 – 28 (26) 1,149
512 218 340 – 25 697 1,792
7,895 853 1,542 65 179 1,391 11,925
2) Support costs represent all other expenses incurred in the running of IPPF, and are allocated across the strategic priorities and supporting strategies based on a proportion of direct personnel costs attributable the implementation of the activities. This is the methodology used as part of the budget cycle in order to correctly measure the overall costs of undertaking projects on the internal electronic Integrated Management System. This methodology is applied to all areas of IPPF and has been selected for consistency of use and ease of implementation 3) Fundraising costs comprise of activities related to the Federation’s global income generation and resource development.
Central activities by IPPF strategic priorities and supporting strategies – 2006 Support costs $’000
Programme activities $’000
Central fundraising $’000
Total $’000
278 400 319 254 670
384 1,204 270 317 1,224
– – – – –
662 1,604 589 571 1,894
632 887 405 862 4,707
803 – 614 1,253 6,069
– 1,149 – – 1,149
1,435 2,036 1,019 2,115 11,925
Strategic Priorities Adolescents HIV/AIDS Access Abortion Advocacy Supporting Strategies Accreditation & governance Resource mobilization Capacity building Evaluation Total 2006
40 IPPF Financial Statements 2007
8 Governance costs Unrestricted $’000
Restricted $’000
2007 Total $’000
2006 Total $’000
311 23 29 12 2,111 2,486
– 31 4 – – 35
311 54 33 12 2,111 2,521
273 13 20 8 1,937 2,251
External audit fees Other fees paid to external auditor (individual donor grant certificates) Other audit/accountancy fees Publishing financial statements Cost of trustee meetings Total
Cost of trustee meetings comprises: Air fares Hotels Per diems Other Total
Governing Council Audit Committee Membership Committee Regional Councils Regional Executive Committees Other Total
Frequency
Volunteers Attending
Twice per annum Twice per annum Twice per annum Once per annum Twice per annum Ad–hoc
30 6 5 391 54 10
2007 Total $’000
2006 Total $’000
654 597 202 658 2,111
764 418 198 557 1,937
2007 Total $’000
2006 Total $’000
498 36 78 1,049 355 95 2,111
506 46 74 950 361 – 1,937
The above costs are based on volunteer and staff costs associated with attending the meetings. The number of volunteers attending the meetings are indicated. Only the 30 Governing Council members are UK trustees of IPPF.
IPPF Financial Statements 2007 41
9 Employee numbers and emoluments The average total number of staff employed during the year on full time contracts were:
Technical Knowledge & Support Strategic Planning, External Affairs, Advocacy & Communications Management, Governance, Accreditation & Policy Resource Mobilization Support Services – Finance, Information Technology, Human Resources & Administration Trading Subsidiary (ICON) Total 2007 Total 2006
The cost of employing these staff was: Gross salaries of individuals on IPPF payroll Social security costs Pension1 Temporary staff employed through third party agencies Other employee benefits Redundancy costs Staff employed through trading subsidiary Total
Central Office 2007
Regional Offices 2007
Total 2007
18 12 15 8 18 10 81 72
107 9 17 14 62 – 209 203
125 21 32 22 80 10 290 275
2007 $’000
2006 $’000
15,394 1,703 85 263 1,873 – 741 20,059
13,917 1,500 1,531 608 1,587 291 601 20,035
1) Pension costs prior to FRS 17 adjustment were $5.210 million in 2007 and $1.840 million in 2006. The adjustment in 2007 substantially reflects the curtailment gains as outlined in Note 20. Total employee costs in 2007 would have been $25.3 million if no FRS17 adjustment was required.
42 IPPF Financial Statements 2007
9 Employee numbers and emoluments (continued) The numbers of staff whose emoluments were over $120,000 (i.e. £60,000) fell into the following bands: $120,000 to $130,000 $130,000 to $140,000 $140,000 to $150,000 $150,000 to $160,000 $160,000 to $170,000 $180,000 to $190,000 $190,000 to $200,000 $200,000 to $210,000 $220,000 to $230,000 $230,000 to $240,000 $260,000 to $270,000 $270,000 to $280,000 $300,000 to $310,000 $340,000 to $350,000 $470,000 to $480,000
2007
2006
7 3 – 2 – 1 – 2 2 3 1 1 1 – 1
1 – 2 2 1 2 1 3 1 1 – 2 – 1 –
Contributions were made to defined benefit pension schemes on behalf of 8 higher paid employees (2006: 6) and contributions amounting to $257,706 (2006: $284,442) were made to defined contribution schemes on behalf of 28 higher paid employees (2006: 22). No ex–gratia payments were made during the year (2006: nil) No trustee received remuneration during the year (2006: nil)
IPPF Financial Statements 2007 43
10 Tangible fixed assets Freehold property $’000
Short leasehold property & improvements $’000
Fixtures, fittings, equipment & computers $’000
Total $’000
9,815 – – – 9,815
1,357 9 – – 1,366
3,905 51 323 (73) 4,206
15,077 60 323 (73) 15,387
773 – 447 – 1,220
930 8 8 – 946
2,490 45 590 (72) 3,053
4,193 53 1,045 (72) 5,219
8,595 9,042
420 427
1,153 1,415
10,168 10,884
Cost or valuation At 1 January 2007 Exchange adjustments Additions Disposals At 31 December 2007
Depreciation and amortization At 1 January 2007 Exchange adjustments Charge for the year Released on disposal At 31 December 2007
Net book values At 31 December 2007 At 31 December 2006 All tangible fixed assets are held for charity use. The transitional rules of FRS 15 ‘Tangible Fixed Assets’ were adopted by IPPF which allows fixed assets not to be subject to regular revaluations. Freehold property relates to land and buildings held in Kuala Lumpur and London. The Kuala Lumpur, Malaysia property was valued at 30 September 2006 by Jones Lang Wootoon, external qualified valuers. The market value using the comparison method was RM7,800,000 ($2,354,767). The London, UK property was valued at 20 November 2006 by Atisreal, external qualified valuers. The market value using the comparison method was £4,275,000 ($8,538,500).
44 IPPF Financial Statements 2007
11 Investments Listed on the American and New York Stock Exchanges Unrestricted $’000
Restricted $’000
Endowment $’000
Total $’000
Shares and securities at market value: At 1 January 2007 Additions Disposal proceeds Unrealized/realized gains for the year At 31 December 2007
35,622 6,159 (6,437) 2,911 38,255
2,801 – (500) 233 2,534
1,143 – – 98 1,241
39,566 6,159 (6,937) 3,242 42,030
Shares and securities at historical cost: At 31 December 2007 At 31 December 2006
34,673 26,742
1,575 1,869
852 852
37,100 29,463
The above figures include no cash held as part of the investment portfolio (2006: nil). IPPF owns one £1 ordinary share in ICON Ltd. This wholly owned trading subsidiary is incorporated and registered in England and Wales. The principal activity of the subsidiary is the supply of commodity services and social marketing of contraceptives in conjunction with Member Associations. Financial statements for the period ending 31 December 2007 have been prepared. The company ordinarily transfers its profits to IPPF via gift aid. Due to the size of the profit no transfer will me made in 2008. Summary of the turnover and expenditure and its profit for the year:
Turnover Cost of sales Gross profit Total expenses Profit on ordinary activities before taxation Corporation tax Profit on ordinary activities after taxation Gift Aid to IPPF Retained profit for the year
2007 $’000
2006 $’000
2,716 (1,696) 1,020 (1,005) 15 – 15 – 15
3,919 (2,907) 1,012 (921) 91 (4) 87 (60) 27
IPPF has an interest bearing loan of $247,500 to ICON Ltd repayable in 2009. Interest receivable on the loans in the year amounted to $14,850 (2006: $13,614). These results have been adjusted on consolidation into IPPF’s financial statements for intra–group transactions. The aggregate amount of assets, liabilities and funds was:
Assets Liabilities Funds
2007 $’000
2006 $’000
763 (687) 76
1,245 (1,184) 61
IPPF Financial Statements 2007 45
12 Long term loans
Loans to Member Associations Total
Unrestricted $’000
Restricted $’000
2007 Total $’000
2006 Total $’000
359 359
880 880
1,239 1,239
1,411 1,411
Loans of $321,630 to Member Associations are interest free. All other Member Association loans are fixed at market rates of interest at the time of issue.
13 Receivable from donors
Compton Foundation European Commission (EC) Eric E & Edith H Bergstrom Foundation Gesellschaft fur Technische Zusammenarbeit (GTZ) Government of Denmark Government of United Kingdom Government of United Kingdom, British Embassy Tunisia The William & Flora Hewlett Foundation The John D and Catherine T MacArthur Foundation Prospect Hill Foundation United Nations Fund for Population Activities (UNFPA) Westwind Foundation Anonymous donors Other (various) Total
Unrestricted $’000
Restricted $’000
2007 Total $’000
2006 Total $’000
10 – – – – – – – – – – – – 1,122 1,132
– 1,132 101 – 920 11 – – 9 – 10 – 300 18 2,501
10 1,132 101 – 920 11 – – 9 – 10 – 300 1,140 3,633
– 797 – 44 – – 13 4,150 – 35 16 100 – 435 5,590
46 IPPF Financial Statements 2007
14 Deferred income
Deferred income balances brought forward Recognition of prior year’s deferred income Income received for activities in future periods Movement on lease benefits to be amortized over the lease period Deferred income balances carried forward
Unrestricted $’000
Restricted $’000
2007 Total $’000
2006 Total $’000
636 – 1,467 (136) 1,967
571 (571) 1,159 – 1,159
1,207 (571) 2,626 (136) 3,126
2,025 (1,253) 571 (136) 1,207
2007 $’000
2006 $’000
182 22 204
157 24 181
15 Provisions
Opening balance Arising in year due to exchange rate movement Closing balance
Following an investigation by the Kenyan Revenue Authority in relation to unpaid employment taxes, IPPF have provided $173,828. The remaining balance relates to a contractual dispute in Belgium.
IPPF Financial Statements 2007 47
16 Funds and reserves Restricted funds The use of these funds has been restricted by the donor indicated below. Balance at 1 January 2007 $’000
Income $’000
179 –
25 1,153
204 132
– 1,021
11 – 28
– 901 129
7 – 139
4 901 18
– (50) 146 84 2,260 –
471 – 316 6 1,119 100
112 (50) 427 63 775 63
359 – 35 27 2,604 37
125 – 10 24
– 750 81 –
97 435 56 6
28 315 35 18
1 178 40 – –
– – 182 1 9
1 178 178 1 9
– – 44
3,604 3,036 9,676
298 6,233 11,774
535 6,002 9,370
3,367 3,267 12,080
Balance at 31 December Expenditure 2007 $’000 $’000
Government Australia Capacity Building in the Pacific Phase I Capacity Building in the Pacific Phase II Denmark Capacity Building the 5As Promoting SRH Education Finland – Meeting Young People’s Sexual & Reproductive Health Needs (Nepal) Germany Addressing SRH of Youth in Angola European Network Improving Sexual & Reproductive Health of Young People in Haiti Reproductive Health in Sudan Japan – HIV/STI/AIDS Trust Fund States of Jersey – Access to Health Care in Mali South Korea Emergency Reproductive Health Services in Banda Aceh (post Tsunami) Access to RH in Burkina Faso, Lesotho and Uganda The Netherlands – Youth Incentives Funds Sweden – Africa Region United Kingdom British Embassy, Tunis – Braille Equipment for Tunisia Eastern Europe Safe Motherhood Gender Based Violence in South Asia Region People Living with HIV Stigma Index Research Men’s SRHR and Men as Partners United States of America (USAID)1 Western Hemisphere Region – Sustainability Fund Multi–donor Fund – Safe Abortion Action Fund Total government restricted funds
– –
1. Income represents interest earned on capital funds granted by USAID before the re–imposition of the Global Gag Rule
48 IPPF Financial Statements 2007
16 Funds and reserves (continued) Balance at 1 January 2007 $’000
Income $’000
Expenditure $’000
Balance at 31 December 2007 $’000
– 8
120 –
93 8
27 –
– 2 –
201 196 120
201 196 120
– 2
– 225 2
150 – 65
158 225 (86)
(8) – 153
64 –
– 25
64 –
– 25
60 –
– 55
60 55
–
– 84 66 258 27 62 – – 10 144
296 278 492 809 427 1,602 – 77 – 102
259 407 377 376 377 1,546 31 77 3 144
37 (45) 181 691 77 118 (31) – 7 102
– 338 149 2 – 8 –
2,744 5 (207) (1) 1,276 – 7
– 380 (57) – 707 8 –
2,744 (37) (1) 1 569 – 7
154 – –
63 12 200
197 12 –
20
Multilateral and other sources Arab Gulf Fund – Youth Health Protection Asia Pacific Alliance for Reproductive Health Erik E & Edith H Bergstrom Foundation Promoting Real Options WHR Clinic Services (Bolivia) Sucre Clinic Big Lottery Fund Brongo–ahafo project, Ghana Capacity Building in Europe Region Saving Mothers’ Lives in Yemen Compton Foundation Mainstreaming EC into Reproductive Healthcare, Ghana Public Health Institute – Emergency Contraceptives Elton John AIDS Foundation Colours of the Rainbow (Brazil) Integration of HIV Services within a SRH Setting European Commission ECOWAS: Ownership to Donorship Europe Region Youth SRH&R Promotion Family Based Violence in Afghanistan Improving SRH&R for Street Kids Safe Motherhood in South Asia Vision 2000 Fund Project Tacis – Building a Civil Society Platform on SRHR Sexual and Reproductive Health Equilibres et Population – Emergency Contraception Ford Foundation – Bill of Sexual Rights Bill & Melinda Gates Foundation Assessing Benefits of Integrated HIV and Reproductive Health – Africa Europe Champions RH Champions Worldwide South Africa MA Gates Youth Centre Strengthen the Quality of Reproductive Health Care Tackling the Supply Challenge Gerbode Foundation – Abortion Strategy Gesellschaft fur Technische. Zusammenarbeit (GTZ) – Making Money Work for Women Good Gifts Bicycles for Midwives – Africa Bicycles for Midwives – India Harry and Julia Abrahamson Fund for Youth SRH Services
–
–
–
200
IPPF Financial Statements 2007 49
William and Flora Hewlett Foundation Emergency Assistance for RH in Tsunami Affected Areas Getting Closer: HIV/AIDS and SRH Global Advocacy Europe Region Global Advocacy Umbrella grant High Level Panel on Sexual Rights Video Conferencing Equipment International Federation of the Red Cross – Code of Practice IPAS Fund for Advocacy Workshop Levi Strauss Foundation The John D & Catherine T MacArthur Foundation ASTECS Europe Region – Strengthening ICPD International Advocacy to Advance SRH&R Capacity Building MAs’ Research APCRSH Conference Building Capacity of MAs to enhance Governance, Management SRH Youth Mexico Nike Foundation Overbrook Foundation Sir David Owen Memorial Fund The David and Lucile Packard Foundation Country Global Pathways I Country Global Pathways II APCRSH Conference Leadership Transition Fund Institutional Strengthening – Ethiopia MA NPOKI Project Southern Advocacy and ICPD Co–ordinator Global Advocacy Brazil L & H Price Foundation Expanding Social and Economic Empowerment of Women – Pakistan Improving the SRH Status of Young Women – Nepal Prospect Hill Foundation – SRH Guatemala The Rockefeller Foundation – Concept Paper Europe Region Helen Seymour Fund Population Action International – Resource Mobilisation and Awareness Program for Appropriate Technology in Health – RHS Coalition Supplies Summit Foundation – Youth Friendly Services (Belize) United Nations Development Programme (UNDP) Safe Motherhood in Malaysia EuroNGOs – Annual General Meeting
Balance at 1 January 2007 $’000
Income $’000
Expenditure $’000
Balance at 31 December 2007 $’000
73 295 104 1,150 – 65 – – 15
– – – 1,056 4 – 12 15 –
55 248 71 1,059 4 64 9 15 15
18 47 33 1,147 – 1 3 – –
128 6 300 – – – 34 11 40 61
– 122 (150) 20 100 80 150 42 – 3
132 118 160 – 100 – 34 53 – –
(4) 10 (10) 20 – 80 150 – 40 64
734 – – – – – 23 –
25 785 104 158 42 50 – 3
388 19 100 21 32 50 23 3
371 766 4 137 10 – – –
80 – 35 68 192 – – –
– 50 – – 10 469 20 114
60 – 35 68 – 43 20 101
20 50 – – 202 426 – 13
17 –
– 11
17 –
– 11
50 IPPF Financial Statements 2007
16 Funds and reserves (continued)
United Nations Foundation – BWF Total Market Initiative United Nations Fund for Population Activities (UNFPA) Adolescent Reproductive Health Myanmar Implementing Rights Based RH Programmes for & with Young People APCRSH Symposium Reproductive Health Europe Central Asian Republics Linking SRH and HIV/AIDS to Prevent Infection Reproductive Health Mozambique Reproductive Health Sri Lanka SRH Services to the Community at Gizo, Soloman Islands Support IEFPD Europe Support to IPPF for Reproductive Health Commodity Security United Nations Programme on HIV/AIDS (UNAIDS) Global Coalition Report Cards National Advocacy on HIV Prevention Services PLWA Index Briefing Pack PLWA Index Workshop SRH & HIV/AIDS: Framework for Priority Linkages Technical Support Facility (ESEAOR) 4th Asia Pacific Conference on RSH&R Wallace Global Fund – Testimonies ICPD, Lome, Europe Region West African Health Organisation – WAHO The Westwind Foundation – MA Awards The Westwind Foundation – Advocacy World Conservation Union – IUCN Multi–donor Fund – EuroNGOs Multi–donor Fund – NPOKI Anonymous donors (not disclosed at their request) Other (various) Total multilateral and other sources Total restricted funds
Balance at 1 January 2007 $’000
Income $’000
Expenditure $’000
Balance at 31 December 2007 $’000
15
(15)
–
–
(3) 34 – 39 – 32 – – 17 53
– 38 8 – 821 – (6) 33 – 68
(3) 72 8 39 821 – (6) 33 17 122
– – – – – 32 – – – (1)
(28) – – (8) 10 807 – 34 – – 70 – 29 34 593 461 7,283
42 41 15 8 – 1,961 60 – 5 63 – 25 7 100 6,492 125 22,300
14 – 2 – – 1,322 60 34 – 63 10 7 – 21 3,459 254 15,404
– 41 13 – 10 1,446 – – 5 – 60 18 36 113 3,626 332 14,179
16,959
34,074
24,774
26,259
IPPF Financial Statements 2007 51
Unrestricted funds and reserves Unrestricted funds and reserves are those free of any donor restriction on their use. All unrestricted funds and reserves, apart from the general fund, are designated by IPPF for specific purposes as noted below.
Note
Balance at 1 January 2007 Regional savings IPPF allocation to Innovation Fund WHR fundraising income surplus Fixed asset purchase Other transfers Total transfers between funds Net incoming (outgoing) resources Net gains on investment assets Foreign exchange movement arising upon consolidation Balance at 31 December 2007
a b c d e
Fixed asset reserve $’000
Other WHR Staff Translation designated sustainability reserve reserve funds fund $’000 $’000 $’000 $’000
10,884 – – – 323 – 323
1,224 – – – – – –
2,532 – – – – – –
11,927 2,479 – 2,043 – (523) 3,999
(1,046)
–
–
–
–
7 10,168
Explanations of movements on unrestricted funds and reserves in the year: a During the year regions made savings of US$2,478,735. These funds are allocated to a designated fund for utilization in projects occurring in 2008. b US$1.5 million was allocated to the Innovation Fund to allow the completion of the former Vision 2000 projects as well as provide new funds for projects selected for funding under the new Innovation Fund criteria.
Innovation fund $’000
General fund $’000
Total $’000
26,687 – – – – – –
4,650 – 1,500 – – – 1,500
28,163 (2,479) (1,500) (2,043) (323) 523 (5,822)
86,067 – – – – – –
(5,318)
(457)
(2,357)
14,114
4,936
–
–
1,909
–
1,002
2,911
–
–
–
–
–
257
264
1,224
2,532
10,608
28,139
3,793
37,714
94,178
c Surplus funds generated by the Western Hemisphere were transferred to a designated fund for Member Associations in their region. d The fixed asset reserve represents the net book value of the fixed assets. The transfer of $323,272 represents a transfer from the general fund in order to meet purchase costs of new assets. e A number of smaller transfers $522,812 represent funding transferred from designated reserves back into the general fund as they were no longer required to be designated.
52 IPPF Financial Statements 2007
16 Funds and reserves (continued)
Unrestricted funds and reserves (continued) Fixed asset reserve Staff reserve Translation reserve Other designated funds WHR sustainability fund
Innovation fund
General fund
This represents the value of IPPF funds invested in unrestricted fixed assets (see note 10) or allocated for their replacement. These funds have been set aside to provide for redundancy and other separation costs in the event that IPPF should terminate its activities. This requirement only applies to the staff within the Western Hemisphere Regional Office. This reserve is used to absorb unexpected movements in the exchange rate which adversely affect the IPPF income forecasts. These include the 21st Century Fund (for sustainability projects in South American Member Associations) and various funds set aside for use by specific IPPF regional offices. This fund was established by the Western Hemisphere Region during 2002 following the receipt of a single legacy to be used within that region. The WHR Board have agreed to keep the legacy intact and to use the income generated for activities within the region. 3.5% of the fund is released per annum, 50% of which funds regional office projects and 50% funds Member Association projects. Established in 1994, the Vision 2000 Fund was created to increase the proportion of IPPF’s resources available to priority countries, with high unmet needs in reproductive and sexual health, by up to fifty percent of its annual unrestricted income. In 2004 the fund was reviewed and re–established as the Innovation Fund. This is now used to develop innovative projects centred around the Five A’s. This contains the unrestricted funds of IPPF which are free of donor restrictions for specific activities or countries. These will fund future activities.
17 Forward commitments
Orders for contraceptives and services due within one year
2007 $’000
2006 $’000
128
151
The commitments recognized are orders placed by the year–end but not yet delivered to IPPF, for which there is a legal obligation to make payment to the supplier.
Operating lease commitments: At 31 December, the following annual non–cancellable operating lease rental commitments existed: Expiring In the next 1–2 years Between 2–5 years
242 749
234 590
IPPF Financial Statements 2007 53
18 Contingent liability The Kenyan Revenue Authority is currently requesting payment of taxes on employment income which IPPF believed was exempt by the Ministry of Foreign Affairs. Following similar claims relating to other tax periods which were successfully defended, management disclose a contingent liability of $285,240. In the ordinary course of business IPPF is subject to certain legal actions. In the opinion of management, such matters will not have a material effect on the ďŹ nancial position of IPPF.
19 Funds held on behalf of third parties At the 31 December 2007, IPPF held funds on behalf of the Member Association of Guatemala amounting to $10,037,263 (2006: $9,244,467). These funds are held by IPPF WHR Inc as part of the overall investment portfolio. The funds are not included in the balance sheet as the trustees do not have a legal obligation to ensure their charitable application. The funds are invested as a separate fund, managed by the investment managers, GMO.
54 IPPF Financial Statements 2007
20 Pension schemes IPPF operates four pension schemes as described below:
The Central Office defined benefit pension scheme This is a defined benefit scheme covering full–time staff in the Central Office, London. The assets of the fund are managed by independent professional investment managers. The scheme’s assets and liabilities are calculated by professional actuaries. The most recent formal actuarial valuation as at 1 July 2006 was performed using the Projected Unit Credit Method with a control period of 20 years. Under this method the current service cost will increase as the members of the Fund approach retirement. The main assumptions used in the valuation were: Investment return 6.6% per annum pre retirement and 4.8% per annum post-retirement Pension increases 2.75% per annum Salary growth 3.75% per annum The report for the actuarial valuation as at 1 July 2006 showed the fund to have an asset value of $30.111 million under the ongoing valuation method. This is equivalent to a funding level of 62% (market value of assets versus liabilities). A pension strategy was approved in October 2006 which commits IPPF to funding the current deficit in the scheme over the next 10 years.
Following the actuarial valuation results at 1 July 2006 a decision was taken to close the scheme to the current members from 1 September 2007. This followed the earlier decision in September 2003 to close the scheme to new members. The Recovery Plan was submitted to the UK Pension Regulator on 27 September 2007 and accepted on 4 February 2008. The plan will eliminate the deficit by 30 September 2017 based on annual employer contributions of $1.959 million. As part of the deficit elimination plan an employer contribution of $3 million was made in December 2007. This was in addition to the funding levels agreed as part of the July 2003 actuarial valuation and recognized the importance to IPPF of reducing the deficit in the scheme. From 1 September 2007 the former members of this scheme were offered defined contribution pension arrangements.
The Central Office defined contribution pension scheme Since 2003, a defined contribution pension scheme has been offered to permanent staff in the Central Office, London. IPPF contributes 7% of salary (2006: 7%), and it is non–contributory for staff. For staff previously included in the defined benefit scheme a contribution of 10% of salary is made. The 2007 pension charge for this scheme is $411,016 (2006: $238,625).
The Western Hemisphere Regional Office pension scheme Most full–time staff in the Western Hemisphere Regional Office are members of this defined contribution scheme. It is non–contributory for staff, and IPPF contributes 11.37% of eligible employee compensation. The 2007 pension charge for this scheme is $458,568 (2006: $441,827).
The Overseas Staff pension scheme Most full–time staff in the Africa Regional Office and some members of the Arab World and South Asia Regional Offices are members of this scheme. It is a defined contribution scheme under which IPPF contributes 12% of basic salary, and is non– contributory for staff. The 2007 pension charge for this scheme is $237,112 (2006: $221,372). At 31 December 2007 there were no outstanding or prepaid contributions for any of the defined contribution schemes.
IPPF Financial Statements 2007 55
FRS 17 disclosure note There is one defined benefit pension scheme providing benefits on final pensionable salary, the Central Office pension scheme. The latest full actuarial valuation of this scheme was carried out at 1 July 2006 and was updated for FRS 17 purposes to 31 December 2007 by a qualified independent actuary. The pension cost charge for the period represents contributions payable by IPPF to the scheme and were as follows:
2007 $’000
2006 $’000
3,955
678
There were no outstanding or prepaid contributions at the year end (2006: nil).
The major assumptions used in the FRS 17 valuation were:
Inflation Salary increases Rate of discount Pension increases: Pre 88 GMP Post 88 GMP Excess over GMP accrued pre 1.3.1998 Excess over GMP accrued between 1.3.1998 and 31.7.2002 Excess over GMP accrued between 1.8.2002 and 5.4.2005 Excess over GMP accrued from 5.4.2005
2007 per annum 3.0% N/a 5.8%
2006 per annum 2.75% 3.75% 5.1%
2005 per annum 2.5% 3.5% 4.75%
Nil 3.0% 6.0% 5.5% 3.0% 2.5%
Nil 2.75% 6.0% 5.5% 2.5% 2.25%
Nil 2.5% 6.0% 5.5% 2.5% 2.0%
The present value of the scheme liability was calculated as follows, using the updated year of birth series adjusted for the medium cohort. 2007 Pre retirement mortality (male/female) PMA92BY/PFA92BY Post-retirement mortality for non pensioner members (male/female) PMA92BY/PFA92BY Post-retirement mortality for pensioner members (male/female) PMA92BY/PFA92BY
2006 PMA92BY/PFA92BY PMA92BY/PFA92BY PMA92BY/PFA92BY
2005 AM92/AF92 PMA92C2020/PFA92C2020 PMA92C2005/ PFA92C2005
The assumptions used by the actuary are chosen from a range of possible actuarial assumptions which, due to the timescale covered, may not necessarily be borne out in practice.
56 IPPF Financial Statements 2007
20 Pension schemes (continued) Scheme assets The fair value of the scheme’s assets, which are not intended to be realised in the short term and may be subject to significant change before they are realised, and the present value of the scheme’s liabilities, which are derived from cash flow projections over long periods and thus inherently uncertain, were:
Equities Bonds Cash Total market value of assets Present value of scheme liability Deficit in scheme – Net pension liability
2007 $’000
2006 $’000
2005 $’000
19,668 13,755 3,170 36,593 (46,929) (10,336)
18,347 12,322 668 31,377 (52,081) (20,744)
16,010 9,316 354 25,680 (44,931) (19,251)
The expected rates of return on the assets in the scheme were:
Equities Bonds Cash
Long–term rate of return expected at 31/12/2007
Long–term rate of return expected at 31/12/2006
Long–term rate of return expected at 31/12/2005
8.0% 4.5% 4.75%
7.75% 4.75% 4.5%
7.5% 4.25% 4.5%
Movement in pension fund liability during the year:
Deficit in scheme at 1 January 2007 Movement in year: Employer’s current service cost Employer’s contributions Curtailment gain Other finance income Actuarial gain Exchange rate movement Deficit in scheme at 31 December 2007
2007 $’000
2006 $’000
(20,744)
(19,251)
(236) 3,955 1,490 (519) 6,226 (508) (10,336)
(368) 678 – (585) 1,396 (2,614) (20,744)
The curtailment gain arises because the scheme closed to future accrual on 1 September 2007, with all active members being given deferred pensions at that date. This means that benefits for those members now increase broadly in line with price inflation in future. Previously, these benefits increased in line with salary. The exchange rate movement represents the difference in the exchange rate used to value the balance sheet in 2006 and 2007. The actuary has confirmed that the valuations made above under the requirements of FRS 17 do not indicate that there is an immediate funding requirement or that there is any need to change the current funding rates made by the employer to the pension scheme. The pension fund liability of $10.336 million does not exceed the unrestricted funds balance.
IPPF Financial Statements 2007 57
Charge to the Statement of Financial Activities over the financial year:
Operating charge: Employer’s current service cost Curtailment gain Total operating charge Pension finance costs: Expected return on pension fund assets Interest on pension funds liabilities Net Return Total charge to the Statement of Financial Activities
2007 $’000
2006 $’000
236 1,490 (1,254)
368 – 368
(2,165) 2,684 519 (735)
(1,837) 2,422 585 953
History of experience gains and losses
Difference between the actual and expected return on scheme assets: Amount ($’000) Percentage of year end scheme assets Experience gains and losses on scheme liabilities: Amount ($’000) Percentage of year end present value of the scheme liabilities Total amount recognized in the statement of total recognized gains and losses: Amount ($’000) Percentage of year end present value of scheme liabilities
2007
2006
2005
2004
2003
(190) (1%)
227 1%
2,224 9%
431 2%
1,623 8%
– 0%
1,848 4%
(368) (1%)
(314) (1%)
(1,292) (4%)
6,226 13%
1,396 3%
(5,965) (13%)
(1,578) (4%)
(707) (2%)
21 Related parties IPPF requires each Governing Council member and Audit Committee member to complete an annual declaration of material transactions and interest form. These are reviewed by senior management and the Audit Committee. All IPPF staff are also required to complete such a form on joining the organization which is then updated as individual circumstances change. These forms are reviewed by Senior Management. These procedures are part of the policy which aims to ensure that people act in the best interests of IPPF at all times and that there is openness and transparency concerning any actual or potential conflict of interest.
Some members of the Governing Council are Presidents of Member Associations who receive grants from IPPF in accordance with the volunteer governance structure of IPPF. One trustee, Mrs Mariam Mint Ahmed Aicha has a brother who is a senior staff member in the Member Association of Mauritania. The total grant to the Member Association in 2007 was $491,266. The Treasurer, Mrs Helen Eskett served as a Board member and Chair of the IPPF subsidiary company, ICON Ltd during 2007.
The Audit Committee of IPPF have reviewed the above disclosures and do not consider that any indicate a conflict of interest. There are no other related party interests or transactions that require disclosure.
58 IPPF Financial Statements 2007
Contacts Members of the Governing Council entitled to vote at its 2007 meetings
Africa Region Ms Aku Xornam Adzraku
Ghana
Mr Bebe Fidaly
Madagascar
Mrs Hannatu L Ibrahim
Nigeria
Dr Malefetsane Ngatane
South Africa
Dr Naomi Seboni
Botswana
Arab World Region Mrs Mariam Mint Ahmed Aicha
Mauritania
Mrs Kawthar Al–Khaier
Syria
Dr Moncef Ben Brahim
Tunisia
Prof Said Badri Kabouya
Algeria
Ms Abeer Ghaleb
Yemen
East, South East Asia & Oceania Region Mrs Sally Betham
Samoa
Mrs Helen Eskett (Treasurer)
New Zealand
Prof Ho Pak Chung
Hong Kong
Prof Dr Mary Huang Soo Lee
Malaysia
Mr Tang Kun
China
Europe Region Mr Gert–Inge Brander
Sweden
Ms Elena Dmitrieva
Russia
Ms Eva Palasthy
Switzerland
Mr Paul Soemer
Germany
Ms Lene Stavngaard
Denmark
South Asia Region Mr Dinidu De Alwis
Sri Lanka
Mr Syed Munir Husain
Pakistan
Ms Fathimath Shafeega
Maldives
Dr Safieh Shahriari
Iran
Dr Nozer Sheriar
India
Western Hemisphere Region Ms Diana Barco
Colombia
Ms Andrea Cohen
Canada
Mr Moisés Russo
Chile
Dr Jacqueline Sharpe (President)
Trinidad and Tobago
Ms Esther Vicente
Puerto Rico
IPPF Financial Statements 2007 59
Members of the Audit Committee
Members of the Membership Committee
Senior Management Team
Mrs Khadiga Ismail Magzoub
Sudan
Prof Barbro Lenner–Axelson (Chair)
Sweden
Ms Bernadetta Ndunguru
Tanzania
Mr Saeed Ahmand Qureshi
Pakistan
Mr Gert–Inge Brander
Sweden
Prof Dr Mary Huang Soo Lee
Malaysia
Prof Said Badri Kabouya
Algeria
Dr Malefetsane Ngatane
South Africa
Ms Fathimath Shafeega (Chair)
Maldives
Ms Esther Vicente
Puerto Rico
Director–General: Gill Greer Deputy Director–General: Lyn Thomas Director, External Affairs: Valerie DeFillipo Director, Organizational Effectiveness & Governance: Garry Dearden Director, Technical Knowledge & Support: Nono Simelela Africa Regional Director: Tewodros Melesse Arab World Regional Director: Mohamed Kamel East and South East Asia and Oceania Regional Director: Raj Karim European Network Regional Director: Vicky Claeys South Asia Regional Director: Madhu Bala Nath Western Hemisphere Regional Director: Carmen Barroso Financial Controller: Colin Munro
Registered Address
4 Newhams Row, London, SE1 3UZ, United Kingdom Telephone: +44 (0)20 7939 8200 Facsimile: +44 (0)20 7939 8300 www.ippf.org info@ippf.org
Principal Banker
Barclays Bank Plc, One Churchill Place, London, E14 5HP, United Kingdom
Principal Investment Managers
GMO, 40 Rowes Wharf, Boston MA 02110, Massachussets
External Auditor
KPMG LLP, 1 Forest Gate, Brighton Road, Crawley, RH11 9PT, United Kingdom
Solicitor
IPPF uses the services of several law firms, each one in accordance with their area of expertise. Further information is available on request.
How to help
If you would like to support the work of IPPF or any of our national affiliates by making a financial donation please visit our website at www.ippf.org or contact IPPF Central Office in London, UK.
60 IPPF Financial Statements 2007
Our Vision IPPF envisages a world in which all women, men and young people have access to the information and services they need; a world in which sexuality is recognized both as a natural and precious aspect of life and as a fundamental human right; a world in which choices are fully respected and where stigma and discrimination have no place. Our Mission IPPF aims to improve the quality of life of individuals by campaigning for sexual and reproductive health and rights through advocacy and services, especially for poor and vulnerable people. We defend the right of all young people to enjoy their sexual lives free from ill health, unwanted pregnancy, violence and discrimination. We work to ensure that women are not put at unnecessary risk of injury, illness and death as a result of pregnancy and childbirth. We support a womanâ&#x20AC;&#x2122;s right to choose to terminate her pregnancy legally and safely. We strive to eliminate sexually transmitted infections (STIs) and reduce the spread and impact of HIV/AIDS. Our Core Values IPPF believes that sexual and reproductive rights should be guaranteed for everyone because they are internationally recognized basic human rights. We are committed to gender equality, and to eliminating the discrimination which threatens individual well-being and leads to the widespread violation of health and human rights, particularly those of young women. We value diversity and especially emphasize the participation of young people and people living with HIV/AIDS in our governance and in our programmes. We consider the spirit of volunteerism to be central to achieving our mandate and advancing our cause. We are committed to working in partnership with communities, governments, other organizations and donors.
Cover • IPPF/Peter Caton/Nepal Back cover (L-R) • IPPF/Chloe Hall/Indonesia • IPPF/Nichole Sobecki/Bolivia • IPPF/Chloe Hall/The Gambia Inside pages P3 IPPF/Chloe Hall/Portugal P5 IPPF/Chloe Hall/Portugal P7 IPPF/Chloe Hall/Syria P9 IPPF/Chloe Hall/Indonesia P11 IPPF/Peter Caton/India P13 IPPF/Chloe Hall/The Gambia P17 IPPF/Peter Caton/India
IPPF 4 Newhams Row London SE1 3UZ United Kingdom tel +44 (0)20 7939 8200 fax +44 (0)20 7939 8300 email info@ippf.org web www.ippf.org UK Registered Charity No. 229476 Printed on 75% recycled, chlorine-free paper, an NAPM approved recycled product.
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Published in May 2008 by International Planned Parenthood Federation