2023-12-31-accounts

COMPANIES HOUSE Pharo Foundation Annual Report 2023 OD7)IUII 1710712024 COMPANIES HOUSE A13

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@ Pharo Foundation 2023. Registered Charity No. 1143152. Pharo Foundation is registered in England and Wales and is a Company Limited by guarantee. Registered Cornpany No. 7678862. Registered Office= 154 Brompton Road. 3rd Floor. London. SW3 IHX. ww.pharofoundation.org

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FOUINIDA

Key Results in Numbers 4,700 Total Pharo Students after we gained 1,687 new students due to the acquisition of 3/5 branches of Tender Care in Nairobi

500 households and their livestock per dam have access to water in Somaliland after we built two Hafir dams in ljaara and Wadomakahil. of Pharo School Homosha students going to university making it the top school in Benishangal-Gumuz Pharo School Assosa registered top results in Benishangul-Gumuz national grade 8 exams. 850 patients treated per month on average at our Pharo Diagnostic and Clinical Services centre in Assosa. 80 new students in Rwanda after Pharo School Kigali launched in 2023. 62 students graduated from our vocational training program - 28 employed in private companies, 5 in government agencies & 5 subcontractors.

Trustees Report (Strategic Report) Development on a Mission Pharo Foundation is a mission-drRven, impact-oriented organisation that designs, funds. and operates economic development programmes towards a vibrant. productive, and self-reliant Africa. 2023 has been been quite a year for Pharo Foundation. We have opened new school& built new dams and created a robust system to Measure the impact of our work It has been a year of transforn)aEion. both conceptually and practically. As always, these changes are geared iowards reaiising ow core vision which 15 a vibrant. productive and self-reliant Afric For the Foundation to contribute Meaningfully 10sw(Ls a thrivRng continent. it ljas to have a dear purpose and to be shaped accordingly. Thavs why we have a new strategy and structure. Strategically, we are now focussing on three core missions. As the fll￿re is our chi]dren, a key focal point is education. As thtie can be no life wiihout water. another Pharo priority is proV￿1ng safe dTinking water especially in areas ravaged by near-constant drought. And as people cannot work unless they are healthy and have the righi skills, our third target is to rernove barriers to produclivity and employment. In conjunction with this. our for-profit arrn. Pharo Venluies, is contrtbuting to the development of a dynamic private secior which is e￿ntIal to the fowidations of a strong economy. To implement our strategy effectively. we have devised a new striiciure for Pharo Foundation which reflects our central belief in country ownership of our pro8Tammes. We have also refreshed our leadersbip team. One of the most rewardin8 milestones of 2023 was 8athering concrete data on the trnpact of our projects. For its first Study our reseuch team focused on the Early Childhood Educaiion centre in Berbera. Somaldand. The evidence showed a sAgnificatJt increase in attainment, especially in literacy. even cornpared with studies of sirnilar educational interven- lions in other countries. Another Study found that graduates from OUT vocational training centre in Somaliland are more than twice as likdy to find employment than those who have not been on the course. They also earn more. When it comes to programrnes. Pharo Foundation has made giant strides in all three of our mission areas. In education. we have expanded into two more countTies: Rwanda and Kenya. In 2023 we opened a brand new school in Kigali and acquired an existing one in Nairobi which is now ph￿0$ largest sthool with nearly 1,800 pupds.

Ifs not just about the numbers. It's about quality to￿ Our primary and secondary schools in Ethiopias Benishangul-Gu- rnuz region are ranked top in the state. with 66% of graduates going to universiry. We took a step further by pooling our knowledge to develop a blueprint for educats"on. the Pharo Hallmark Thts be fin￿lSea in 2024 and wil] enable us io spread the word about otsr unique approach to learning. 2023 was a year of great progress for our water programmes. We started WOTk on five rural water supply piojects in Ethiopia. In Somaliland we completed the construction of two ￿'ant dams to haryest rainwater. each serving 500 households and their livesiock. We are now working on an even bigger dam which wi]1 provide water for 5.400 households. When At comes to removin8 barrlers to productivity and employment. we focwed on raising awareness about non-com- munithle diseases in Somaliland as thry are a major cause of deaih and long-terni sickness in the territory. We also added to our existing Diagnostic Qnter in Ethiopia by providing onsite dinical servicts with a doctOT. In addition to working towards a healthier and therefore more productive population. the Foundation in August wel- comed its third cohort of students to its vocational training centre in Somaliland. Here they learn much sought-after skills in construciion. leadin8 to employThent and a reduction in the nttd for imported labour. With ils cledr vision and structure in place. we decided it was time to fully launch Pharo Foundation out into the world. Our new website provides a window to our activities and our core mission statements. Now is the time ro branch out fur-ther, focusing on partnerships with institutions that will help us extend the scale of our projects for grealer impact. This includes enterprises which FLave a specific expertise in one of our missions which we lack, multilaterals which can add fi-nancial levera8e to our work and want to tap into our own expertiselcommunity network, as well as academi institutions that can PTovide us with external va]idaERon of our worL also allowin8 US to add our experience to the 8lobai repository of knowledge on development. To all ofthe above. we are open foT ¢oUaborarion. Education Our Central Missions Water Produrtivity

OLllr HllSt(Dry Our mi55ion-based approach hs the result of a long history where we found the organisation adapting to suit our agendas aThd to adequately represent our goals to the cornmunities we serve. The result is that the Foundation has gone through phases in its history, starting with an era of grant giving in its early concep- tion. Building on the experiences which the Foundation accumu]ated in its grant-giving phase. the Foun- dation reached a turning point in 2017, when our Board decided that it wanted the Foundation to be on the ground, operating the projects it invested in. Thus we adapted to an approach centred around 5 pillars. This era allowed us to see which projects had the potential to make the biggest impact. allowing us to strategize our next step. Now our mission-based approach allows us to reach for the moon with ambitious targets and goals. 2016 2017 2022 *rant.making Mission Driven 2011 2016 Earty grantmaking efforts helped us learn how ¥ve could make an impacL 2017- 2023 Pharo launches S-plllar strategy, prioritizing integrated programs in education, water, agriculture, health and ventures with a strong focus on job ereation. 2023 . Beyond Pharo launches new mission-dTiven, impact-oriented strategy. Ear￿ grantees: African education Trust, Windle Trust Iniernational, etc. Pharo School Hom05ha- Foundation sione Ethiop Pharo savin85 8roup,

Our mission is to ensure that all students have an opportunity to access a high-quality and affordable education and become productive citizens in a rapidly changing world. ucation systems in Africa lace rnany challenges. First arnongst them is low enrolment rate& For many famdie& education-related expenses are too costly. or the need lor labour is prioritised over schfy)l. Second. even for enrolled We are workn.ng towards our mission in two ways. First. childTen, gaps in sth¢)ol. teacher. and peda808ical quality at Pharo Schools, we are buJ]ding and opernting an AtLter- mean that many chjjdren struggle to rnaster the futllre-ori- national network of locally relevant and globauy compet- ented skills that they will need to purslle productive IRves. live sthools. ¢overing early ¢hildhood education IECE). Third. even where access to quality education is avallable. prlmary. and secondary school. The Tnajority ofPharo At is often unaffordable. Fourth. despite massive 8ains in Sthoois are private. but we also have partnerships to run educational outcomes over the past couple of decades. proBrams in public schools. Our goal is to develop S￿dents pandemic-related disruptions to schooling have set a gen- and young adults who will be lifelong learners and locally eration of African learners back The World Bank looked rooted global citizens. tn their PUTSUit of academic excd- at the participation rate of the share of households with lence, we encoura8e them to be curiou5. respectful. creative children engaged in learning across Burkina Faso. Ethiopil and responsible and prepare them to solve 21st century Matawi, Mali, Nigeria and Ugand4 before and after COV- problems. S￿ond, outside Pharo Schools, we are commit- ID. They compared it with the enrolrnent rate to meas- ted to increasing the quah.ty and relevance of education in ure the reduction in learning thai could be attributed to public schools. For instanc< we co-created the Somaltiand pandemic-driven school dosure& They found a substantial national ¢urri¢u]wn for ECES with the government of negative impact from the pandemic. with the difference$ Somaliland. Similarly, our education acceleration ranging from 30 to 80 pcrcenfage points. With the world$ programme for public sth00]s Benishangul-Gumuz fastest-growing young population, empowering the next Re￿onal State (BGRSI is introducing SiTuaured pedagogy generalioTh of Africans with a high-quality and affordable and computer-wisted learning to these schools. education is perhaps the most critiol and urgent task on the coniinent today.

Watie,r Our mission is to ensure that people and communities across Afriea have access to a safe and affordable source of water. ro&% the Horn of Africa. multiple years of poor rainfall and high ternperarnres have killed crops. pasture. and livesiock In some regions. the extended droughi. which is now the longest in around 70 years of reliable rainfall record& has broughi communities to the brink of famin As temperatures rÈse. Somaldand. Somalia. Ethiopia. and Kenya are expected to experience even more frequent and severe drought periods. the effects of which will be magni- fied by {OT will magnify) underlying political and economic vlllnerabilities. This trend will place a further strain on ihe regions limited water resources, exacerbating food insecu- rity, destroying household assets, displacing populations, and increasing the risk of disease and conAict. we are nowlookin8 to scale up our impact across Africa and provide a systemic solution to water scarcity. Because a systemic solution to waier scarcity musi also improve the qualiry and affordabiiiry o(water. the resolution of the wa- ter problem will require the cooperation oEpartneTS which have more expertise in solving these specific aspects of the pmblem. Our water mission is to ensure that people and commu- nities across Africa have access to a safe and affoTdable source of water. We have already created a network of wa- ter infrastructure points and reservoirs. which has reduced the average disiance thal people hav¢ to travel to acce&s water. especiailyin rura] Somaldand. In Ethiopia. we have upgraded the water suppty coverage in Assosa town by 8%. while also providing 24-hour water supply to Assosa Gen- eral Hospital. Beyond providtThg new water infra5tructur¢

Our mission is to eliminate health, financial and structural barriers to employment and produCti￿ty for working people. i programs of Pharo Foundation follow the premise that economic development, measured by GDP growth have a positive impact on the development indicators of the respective community and improve the well-being and dignity of the population. Eventllally. Pharo Foundation wants to becorne the biggest employer in Africa. Pharo Found￿10￿ is striving to achieve tangible outcome& which will be achieved through creation of jobs. strengthenin8 the private sector and investing in entrepreneur& people rnust dea.de whether to relo0*. work informally. or remain unernployed. Tesvlting in them becoming disen- d￿nted and sometirnes violent in the absence of prospects. while deprivin8 Clties of what could be a natural engine of 8rowth. Even if sa]aried jobs exist. job search frictions. skills and knowledge gaps. financial constraints, or health problem& might lead to job rnismaiches. lowering expected productivity and stalling economic growth. Our mission is focused on the creation of jobs and the direct or indirect contribution of these lobs to the overajl economy. We recognise that barriers to employnent and productivity can manifest in various foTms. includmg education, peace, security, customs, politics. and othets. However, by focusing on health. financial. and StructL￿al obstades, we aim to create a conducive environrnent where individuals can secure gainful employment. contribute meaningfully to the workforce. and achieve their full Potent￿1. In are4 remoteness means that poor acce￿ to healthcare aggravates low productivity from employees. sick days and absences. Obstades to the smooth ￿nctIOn- ID8 of the labour market extend to societal norms, which may for instaoce limit female workforce participation, or lead to gender-based job segregation, thereby reducing economic efficiency. Failing to address these constraints will hamper long-terni economic growth. By 2050, Afrlca will be home to nedtly half of the world's young worker5 entering the labour force for the first time. Thus, before ¢reatingjobs for them. we must Temove obstacles to the functioning of the ]2bour marker. so that ihey can enter a rnarket which functions smoothly. African economies face the dual challenge5 of kn.gh unem- ployment and low productivity. In wban areas, the lack of salaried jobs means that many young. working-age

We are working towards our M￿s1On goals byfocusing 071 three types of con- straints.. (i) structural," (2)financial," and (3) health. In lerm5 of structural constraints, we have witne&sed rnismatches between private employer needs and the skills provided by the education system, wkn.ch exacerbate W￿M- ployment. We have also seen persistent pockets of unem- ployment. particularly in the young unskilled labour for hence we creat¢d a Technical atLd Vocational Trainin8 Centre in Hargeisa, Somaliland. to address these problems. We focus the training on subjects that could lead to direct employment afier trainin& such as solar electrical trainin& pairlting atjd decoratin& or plwnbing. Graduates are given placements in private companies to facilitate access to forma] employment. PharoTVET- Eiecinc4J tTriniDg pracLicai1¢5$0n Meanwhi]e. the lack of urbanisation tn Djral Ethiopia has limited farmers. access to financial service& storage facili- ties and transportation of inputs and technolo&es. Henc4 we created a four-y¢ar dimirLishin8 subsidy iniliative, over which an investsneni of approximatdy USD 500 per farmer is channe]]ed towards the th"stribution of improved seeds. fertllisers, and customi5ed training sessioDS. tn health. we have created joini diagnosiic and dinical services iti Ben- ishangul-Gumuz, which facilitate illness ireatment as the first step towards a more productive labour force. ph￿oTvET. Plumbing pr•ciicai st$￿n Pharo TVEf. p]ainting Below, for each mission. we will track the quantitative and quaIitative Progre￿ made over the year and the mile- stones achieved on the way to mission completion. 10

fjtIL. Ellnpowerll]rng t]he Next Ge]rneratll(D]rn h EdLllcati(D]rn On Mission I, quantitatively the greatest outcorne of 2023 was that we added two more Pharo schools to our portfolio, leaving us with 8 schools, 4 coun- tries and more than 3600 pupils. Offiicial openiDgof Phato Sthooi Kigali Handl￿ cctCrnODy forTeDderCate. Pharo School Nairobi espite the significant progress made in recent years. we remain acutely aware of the Jnillions of children in Africa who si]ll struggle to access a qua]ity education and of the support they need to thrive. In this perspective, our new Pharo School Kigali, which opened in September, is dedicated to readllng and pro- viding education to more thildren. As we rell¢ct on the months gone by since it started in SepEember 2023, we have successfiLUy enrolled more than 80 students a nwnber that continues lo grow daily. This is a testament to the hard work. dedication. and collaborative efforts of our ieam and partners. Pharo S(hoo] KJ"Bakn das$room Over IS teachers and 5 5UPPOrt staff from pre-nursery to Grade 3 have been recruited. Play-based learning is a priority at Pharo School Ki8aii. espec&ally for the preschool aJJd primary levds. We also provide learning resources for children to manipulate and ¢xplore learning content with. Pharo School Kigah. also provided 7 scholarships to under- privileged %￿dentS within rhe communiry. The stholarship announcemeThl was put throu8h the sector leaders who then hdp in identifying the homes with needy students. This ensured that there was collaboration with the local community.

In October, we also acquired an existin8 school in Nairobi called Tender Care Junior Academy ITCJAI with main campuses in Komarock and Umoja in Nairobi's Eastlands. We renamed it Tender Care Pharo School Nairobi. It brings us 1687 new Pharo pupils, now making it the largest Pharo School in ¢xi5teno. As a result of the ¢ondusion of the aqutsition. we success-fijlly transferred 150 staff members194 teaching staff and 56 administrative staffj from TCIA to Pharo Schools. We have Increas￿ parental enga8ementthrou8b the I launcb of the tenDIyttew5kttff amongst other commujtstlon througb our Sod￿ meth pagth And the Stsff traiDill8 includes drivers training on road safety and defnsive driving. pension training for all staff (thLS LS a new initiative introduced by Pharo as stsff members did noi have pensions prior to the acquisltion). training on thanges in the curriculum, child safeguarding training for all sta(f etL However. it is worth noting that we have already inherited an above-average school perforrnatlce from Tender Care. which provides us with a solid foundation.. Tender Care placed its female primary students In￿ 21 different reputable high schools across Nairobi in 2023 Students scored well in rhe (National Exams) Kenyan Certificaie o( Primary Education IKCPE) with 14 achieving top ￿adeS between 380-4(KJ, 24 scoring between 350-380. and 33 scoring between 300-350. Shenelle Akinyi scored top marks in the KCPE exams with 420. the KCPE rnean score was 369. In 2022 the best-￿r[0￿Mlng primary schools Nairobi had a mean of 375 and in 2023 the nationa] averag¢ was 250. TENDER CARE SCHOOLS Tendercare. Pharo SthocA Nairobi 13

Pharosecondaryshethh graduation eyond these two international expansions, we have continued to deliver on our education programs in our first countries of operation, i.e. Somaliiand and Erhiopi& at an Trnipressiye scale, not just in our own Pharo brand schools. but also in our partnership Ministries of Education. This is because our new missions emphasise the achievement of Systemic impact above and beyond the expansion of our existing network of fixed assets such as our own sthools, in the pursUIt of partnerships that rnove us into the realrn of poh"cy-relevant. large-scale change. In sum, our imprint is not just our Pharo Sch<M)]s. There is no better example of this than the devdopment of our flagship Early ChÉldhood Development (ECDI pro- gramme in collaboration with the Ministry ofEducatson. This year. IO% public school chddren benefited from our FArly Childhood Development prO￿amme and under the same programme, 245 mothers atso benefited frorn our literacy and sk￿$ devdopment modules. Indeenent. Finally, as part of Pharo Foundation's health involvement in Pharo Sthools. its medical team conduct- ed health assessments of Earty Childhood Devdoprnent students in 17 5chw15 lincluding assessrnents of maJnutri- tionl, with a view to increase their learnlng ¢apabditie6. Pharo ECD sthool mea]s 14

imilarly, the scale ofour workbeyond the confines of our own schools and into the public schth)Is that we su port is also ¢vid¢nt in Ethiopia. wh¢re we have engaged in a pilot project called the Benishaugul-Gumuz Education Accderation Programme (BEAP). BEAP aims io improve the test scores of students in two public PTIW schools in Assosa town. through the inlr(Mluction of strurtured pedagogy thaf combines itaching at the right level and cornputer-as-sisted learning. Cornmenced in October 2023, the project is already making significant strides towards achieving its objectives. Teaching and learning materials for foundational literacy and numetacy have been developed. through a participatory workshop which was held on 22-24 November at Pharo School Homosh& Education experts from the regional state and Assosa city administration edllcation bureau. Pharo education pro8ramrne staff and Pharo Schools. Camara Education compuier-asststed learning lab leadership participated in the workshop, facililated by Teaching at The RJ"ght Levd experts from Street Child UK and Africa Fducational TrusL On the computer support front. in partnership with Camara Education. two computer-assisted learning labs equipped with 25 computers each were establithed in both Benishan￿1 and Assosa primary schools. Following the establishment of the centre5. high-level. regional, and zonal officia15 induding the mayor of Assosa City have been furth¢I briefed uri IC.T in ediicatloL Through thLS project, we train teachers to teach at the right level of methodology. and we equip them with basic computer skn"lls. We also en- sure that ail teachers can effectively manage computer-as- sisted learning labs le-learning labs} so that they #re used BW ie•cher rr8tning •r ph¥0￿001 Homos￿ to their potentiaL Achieving Consistency and Quality in Pharo Education nceptually, one of our achievements this year h&% been that we have explicitly forniulated what constirutes the principles of a Pharo Hallmark of education. which will help us mainiain consisiency across schools. The educa- tional expertise which we have accumu]ated over the years has cuiminated this pmce&s. The Haiitnatk is built on the following.. mative assessments that sw)porl Progressive maturing and the building of skills and competencies to measure student progress and understanding. 1hese include exams, project d presentations. which allow SDJdents to demonstrate their knowledge and skills. We have embraced personal di5cAplin¢ for students to take OWDership of their academic journry. A rigorous curriculum: For OIIT schoojs. curriculum io be rigorous. we have incorporated some elernents induding offcring an in-depth coverage of core subjects, mathematics, sciences. language arts. and social studies. This has allowed our students to explore eath subject comprehensivety. We conduct fomative and sum- Competent and well-trained teachers: We have highty qualified teadjers with a deep w)deTStand- in8 of the subject matter who can guide students through complex concepts. Our teachers encourage explorats.on and crilicai thinkng. Witb their enga8ing learning experience. rhey have fostrred children's natural curiosity atsd enthusi- asm for learning. 15

State-of-the-art infrastructure: Top- notth facdities are geared towards helping chddren thrive. The school environment helps children nurture creativity and independence. The school structure promotes good relationships between teachers and Students. The school environment fosters love and care for the ch￿dre[L At Pharo Schools, we make sure student5 are kept healthyand safe in all corners of the school. Effectlve teaching and learning prac- tices: As we prepare our students to be global citizen& we believe we need to use modern Iwids-on learning activities. At Pharo khool Kigah. we Integra￿ learning through play in our conieni delivery. This approach makes learnin8 fijn, interestin& relatable and meaningful. We believe learn- ing should equip the learners with enough skills, knowledge. values and a positive attitude. LeaYnin8 at our school is hands-on. and chddren are encowagcd to discover knowledge on their own, leaTn from pttrs and get inspired by their teachers. We are geared towards producing learners with 21st-centt]ry skills who will be lifelong learners. InternaDo[￿] Wojnen's Daywith Pharo School Homosha g)rls A good example of the Ampaa of the definiiion of a Pharo Pharo Sthoo] HfAnoshagirb chemistryexperunent School Hallmark comes from Pharo School Homosha in school conbnued to top the region in the Ethiopian Ethiopia. The Pharo Hallmark pdiars have supported Secondary School Leaving Certificate Exams for the Homosha atigDiJJg its praclices and goals. It has enabled second year running. 66% of our students atrained the it to go beyond traditional academic subjects and enrich its 50% pass marlL In BGRS, 147 out of 8,601 (1.7%) and curriculum to include Clubs, Science. Technology. Engi- in Ethiopia 27,267 out of 845.099 (3.2%) achieved the neering. Mathematics and Life Skths Education to provTrde same feat. Most importantly, one of our students scored a well-rowided education alld foster 21st-centuryvalues SOO out of 600 [83¥0), making her not only the top like creativiry, self-expression, problem-solvin& commu- female student in the regiovj but also one of the top 16 nication, decision-making. research and critical thinking students nationally in the Social Science stream. skill5. In 2023. two of its students participated in a national debate on the refugee moot court. by disseuin8 emerging trends and relevant international and regional legal frame- works on refugees. allowing them to explore the refugee phenomenon from an anaiyticaj point of view. knother scored 489 out of 600 (82%), ranking hei 3rd besi student overall in BGRS. Both students have Joined Ozyegin University whith is among the top Turkith Uni- veTSities to pursu¢ Econorni¢s and Business Administration respectivdy. In the Natural Saence stream. one student scored 526 out of 7IKJ {75%) and another scored 522 out of 7LM) (75%) to be ranked 2nd and 3rd top female s￿￿entS in Natural Science in the BGRS regjon. Both ar¢ lookiThg forward to joining The African Leadership Universlry in Rwanda to pursue software engineering. Another qualified to pur5u¢ m¢dicirye at the pre51igious St. Paul's Hospitaj Millennium Medical College in Addis Ababa. Our portfolio of schools is characterised by its academic excellence. which is now widely recognised at re8ionaV national level and is evident from an examination of our leavers, destinations. For instance. in BenishanGul.Gumuz (BGRS) at Homo- sha secoiidary boarding school. in the year 2023, our

Similarly, our Ethiopian prtmary. Pharo School Assosa is the top primary school in BGRS. Our grade 8 students as a whole reacbed the highest school aver- a8e in the BGRS grade 8 exams with an average of76%. One of its pupils was recognised as one of the top 3 STEM pupils in the province. winning a regional STEM competition with a website that she programmed and designed herself. She won this prize after teaching herself to code online. PhaToSdth A55Q5a5twJcni Hde]] TeUi8n Workthg on thtschool website In Somaliland, in total 53 students from the 2023 graduating class are attending (or will be attending) university: 34 stydents are ￿rrentlY¢A[0lled in universities in Sornaliland 7 students are currendy enrolled in universities in Ethiopia 3 Students are attendll)g universities in India. China, and Egypt 9 have been awarded the pr¢stsgious PharrJ.£chThl2r- ships and will be going to w)iversities abroad and are Currently waiting for their acceptance letters. Pharo Shethh Secohdary grad￿[10￿ Assessing Impact In Q3. our research. evalu*ion and design (RED) team focused on Ml and specifically on our ECD centre in Berbera. They found a large and stalisttcally significant impact of our ECD on International Development and Early Learning Assessmenl IIDELAI scores. Our pupds, scores increased by 15pp compared to non-participants. especially in emewng literacy. Parentaj stress induced by nutrition also dropped significantly because of our snack programme. The average effects from our pilot experiment in Berbera were over double those found in similar stuth.es in the Gambi4 MoLambique and Bangladesh. Finally. in the research literature, pedagogy interventions consistently produce the largest impaci on test scores. Berbera ECD impacts were multiple tim¢s gr¢ater than many of these. Of COUTse. the studywas based on a small sample of 165 s￿- dents from one school only in one ciry. bui we are hopeful that these results wiu be replicated in our ongoing exten- 5ion of the study to all our Hatgeisa ECDS in 2024. 17

M2: Solving East Africa's Water Shortage In Ethiopi& after focusing on our Assosa urban water infr25tructure project in 2022. we moved to rural water supply proJ￿ts in 2023. with completion expected An Apnl 2024. Their primary objective was to ensure safe water access for various communities by utilising the six existing wells in foundation programme areas, including Shaga sub-distri¢t, Unduiu rural town, Alhamer sub-dis- rrict. and Homosha town. We also constructed five water points in Alhamer Kebd< and an elevated water tank with a volume of 50 cubic rnetres and 5 water poinis i Sh￿a Kebele. We also constructed all pipelines, secu- rity fences and boreholes at Shaga Kebele and Alhamtr Kebele. These projects aimed to trans- form and empower over 16,500 people. Shaga Kabele water collection point Undulu thwn watcr tower They included installing solar-powered water pump& layng over 17.skm of pipelines. constructing rein- Eorced concrete elevated water tank& and est3blithin8 public water points. Additionally, capacity-buddLng activities enhanced commurLity knowledge of water and sanitation for the besi benefit from Ihese projects. These projecis prowde safe water access, benefiting households in ternis of the time taken to acquire dean water and the d￿tance iravdled to do 50. giving children. ¢specially gir]s, irnpEoved opportunities to attend sch(￿1 regu]arly. The saved time and money from treating waterborne diseases is also redirected to vajuable economic actiYi- ties. 11 fth*TO Here again. Pharo Foundation does not ontybui]d dams. it is considering the systemic implications of water acce&8 and how this acce&s opens up a variery of a]l-encompassin8 developmental benefit& G){ThM￿Tr1￿ mana8eThknt and sanitation Iiajnili8

In Soma]iland. we also focused on the n￿&1 con- text. tontinuin8 to build our trademark hafir dams. which are artificially constructed water catchment basin5 with a circular earthen wall and a plastlc 8e- omembrane to prevent water seepage into the earth. jp We £onstrucied one in Waddo Makaahil Village. whith was completed An lune and handed over to the community in October. and another in ljaara Village (here, we also conducted hygiene training for the local community). They serye over 5 households each. We have also started workj.ng on one ofthe Col￿tryS largesi har￿ dams in Shanshacadde with a capaciryof 66.0￿ cubic meters. This project will benefit 8 villages, 5.4(X) house- holds and their livestock Currently. the onlywater sources for these communities are berked& which are rectaThgular elongated basins with vertical walls. and during dry seasons, the communities have to transport water from Burco, which is 120kn) away. In addition. we completed the construction of Geed-D¢eble sub-surface dam. and that of Taysa berkhed. It goes without saying that the Foundations aspirations to solve East Africa's water shortage on a sustatnable basis cannot be met by the Foundation alone. 2024 will set the foundaiions for partnetship with otherorganisations, which are re- quired to source hydrolobry and water management expertise aJ)d wi]1 help us achieve scale in this particular mission. Assessing Impact Our RED team has gathered e￿dence on our Sumaldand dam$. In particu]ar. they fniind that over the ary 6eaEon, 8.755 houscholds visittd tlit IlliiilA ilaiii which wc bL￿t in &)maliland in 2022. confirrning that iWUiiiLttihtieb LLse our dam as ali insuiance policy outside the rainy season. The dam had mostly repeat visitors, with 62.8% coming from lllinta village. In 2024, our emphasis will be on usin8 Attificial Intelligence to automatise our assessment processes and identify more specific patterns in tern]s of the frequency of usage and the typical profile of the user of our dams. RED team watrr qua]ityteSt￿S 19

M3: Removing Barriers to Productivity and Employment Aiot fa]Is undeT the remova] of barriers to productivity and employmenl rni&sion. This year we foatsed on two areas within the mission.. removing ba￿llerS to health, for produciTrviry is not compatible with chronic ￿ness. and facilitating the transition from school to employmenL Barriers to Health In Ethiopia. we decided to build on our existing PhaTO Dia8nostic Centre. whith received an average of 876 patients per month over 2023, clearly gaining rnomenium. Ai ihe end ofAu8USt, we opened a complementary clinic on the same site, with a doctor who prescribes medicines. leadmg to a r¢naDJuJg of our facility to PhaTO Diagnostsc and ClinKal Services Centre. 12¢XJ 2(X) - iJ=llJ- _ _ Nurnber ofpatients at the PDCS Centr¢ To enhance seEvice uptake of our renam¢d centr4 the programme organised a one day workshop potenliai partners on advanced laboratory setvices for public and private health care workers on April 7-8 2023. in Assosa town. A total of 62 people were in attendance and among the participants, 15 were rneth.cal doctors from Assosa General Hospital and the rest were health officers and nurses from the same facility and adjacent districts. These types of efforts are successhji at increasing the visibility of the Fowidations health prograrnmes in BGRS. Pharo, 174 Diagnostic ASSOS PDC team Assosa 20

Sadly, Ihe13ck of availability of diagnosis also affects Somaliland and conditions which are particularly underdiagnosed are non-cornmu- nicable diseases (NCDS) like diabetes, hyper- tension or cancer. hypertension were deve]oped. There were awaieness-rais- ing sessions at universities on risk factors, complications and prevention strate￿e$. 74% of people with hyperten- sion did not know theyhad it, whd¢ 50% with diabetes did not. It 15 easy io dismiss these illnesses as developed country Ten health centres were selected from the 21 healih cen- problems but they also kill in Afn"ca, which is why we have tres in Hargeisa for training on the prevention, control decided to iadde them in Somaliland. where theycause and clinical case management of ihese diseases. After our around 40% ofdeaths though estimates vary. So we initial 5CTeenin8 on 29-30 November. trainers of trainers carried out a pdot project to create awareness of NC started iraining other health workers on 19 December. whose goal 15 to reduce premature mortah.ty for 15-50 Finally. the ￿one-laying ceremony for the construction of year-olds irL Hargeisa. The programme had thTee an NCD cenlre at Hargeisa Group Hospital was held on components: community-ba5ed s£ieening for diabetes and 12 Novernber. The centre will be the first of its kind in the hypertension, trainirhg for health workers and the set up country and provide high-quality curative, preventive and and construction o(an NCD centre. follow-up services for people with NCDS. Screening started on 22 October and as of 17 December. 1627 people had been screened. Information. education and comtnunications rne552ges about diabetes and NCD Pro8r4mm¢- Diabet￿ aiyatelless and iesting 4CD CcJJtsr ubnstructTh ￿ li￿eLS 21

Barriers to Employement for the remov￿ of obstades to employ- ment, Pharo FOw￿ation believes in the power of a vocational education that offers exactly what employers are looking for, in the economrfs sectors where there is a high demand for labour. Hence our Technical and Vocationa] Education Training ITVET) Centre, whith saw its 3rd co- hort starting training in September in paintingl decoration. plumbing, and solarlelectricity installatson. The second cohort of the programrne sucttssfully completed their training in plumbing. painting. elertri￿. and solar ¢n¢rgy. Theygraduated in September 2023. Out of a total of 62 graduates, 28 are now employed in private compatiies, S in government agencie& 23 are freelancets and 5 are subcontractors, whjle only 2 are looking for jobs. The pro8ramme now boasts a total of 115 alwnni. Ph4roTVET Paititing& Dtcor•tingSnJdeE Pham TVEf PlumbÉngStudents Assessing Impact In November 2023, the research and evaluation team conducted a tracer study for programme graduates. The study revealed a high return on investrnent. The tracer study also highlighred positive feedback from graduates. Approximately 49% rated their experience as excellent. whde 56% expressed a high likelihood of recommending the course to others. Furtherniore. 96% 0( respondents felt that the Course content fully prepared them for the real world. Additionally, 87% of employed graduates stated that their current job directly relat¢s to the TVEf course they undert¢)ok Around 80% ofprogram graduates secured employment. inthcating a high rate of successfid job placement. In terms of carni￿8$. TVET graduates earned USD 1.600 more than non-admitted appbcants in annualised terms. Pharo TVET Ele(trKalstudthts in practical 22

TE,NTUIR,E,S 23

Pharo Ventures The above three missions provide the foundations of a strong economy. which is at the heart of our Board's aspirations. Yet there is one more equally importanl means of fulfilling this objective, which is the creation of a dynarnic private sector through Pharo Ventures. At the heart of the Foundation is the objective of accelerating econornic development in Africa. and a key factor towards its achievement 1$ the development of a d￿arniC and profitable private sector. The Foundation is set on tnvesting in social enterprises on the basis of their poteniial for ernploymeni and vaiue-added. and it is aiming directly to set the foundations for long-term developrnent and African self-reliance through this process. Such is the function of Pharo Ventures within the Pharo Foundation ecosystem. Conversely. in so far as the Foundation acts as an investor ihat invests differenity in Africa, belonging to the ecosystem of the FoLLndation gives Phato Ventures unique tharacteristics rdative to a typical commeraal enterprise. Pharo Ventures Ethiopia Pharo Ventures Ethiopia is steeped in that long-terni strategy. Indeed. the profits generated by a venture are rtr.inve8ted intn The. same venture oi invested in oth.¢r Ethi- opian businesses that match the Foundation's long-lerm development vision. Hence Pharo Ventures Ethiopia's agro portfolio spcaks to the long term developmeniaI aspira- tions of the Foundaiion. For one thing. it is based on the value of circularity in food production. Its first ventwe is set to clwige the lan(tscape of higb-qualitysewne oil production. through proce&ses thai contribute io social sus- tainabdity by cutting out the middleman from the sourcing process and deaLmg directly with farrners instead. Pharo Ventures Unlo¢king Africa's Pot•ntiol This year, Pharo Ventures Ethiopia started the construction of its speci2]ty ods factory in Debre Birhan at the end of 2023. Pharo Ventures EtlLiopia is in a good place to stari structure frame was compleied in 2023. Parts of the ma- productng sesame oil and pitching to global buyers in 2024. chinery manufactured in China arrived and 2$5embly of the The construction of the plant progressed well the first oil tanks and related equipment began in Pharo Ventures phas¢ of the foundation work w&5 completed and in5talla- Ethiopia suppliers workshop. Pharo Ven￿reS Ethiopia tion of ihe sted stmcrure was commence& 50% oftbe St￿ has signed an Mou with the Agriculture Transformation Institute IATI) to collaborate on various activities but most importantly around sourcing of rdw materiats. AT[ has go¢xl track record in sUPPOrting organizations investing in food PrOce￿ing by settin8 up a successfijl out-grower model. This couaboration will hdp Pharo strengthen its sourcing network and the impact it tan bring to small- holder farmer5. Furthermr< the partnership will explore how tts diversifyctop selection and implement sustainable agronornypractices such as organic option5. The team hav¢ stsrted takin8 the required food safety. quality management and environmental management training foT the different certification programmes they will apply for once installation is completed Pharoventures Ethiopia SPtCl￿tY oil 4" 24

Pharo Ventures Somalllland haro Ventures Somaliland also embodies Pharo VentUTes goals, in that its focus on construction as an emplownent intensive means of accderating developrn¢Tht and adding domestic valu¢ to the Somaliiand economy. This year. it complete(L. Numerous residential projects. many with fitlings for solar panets. whedchait-acce￿ib1e space& rainwaier harvesting systems and water filters. Airport commercial real estate project& including the construction of 29 commercial offic¢s and 6 erternal toilets at Egal International AiTPOrt. It began the construction of the new Gollis University facibty in Hargeisa. The new building will be a 7-sto. reybwlding with 28 c]assroom& 4 labs, a cafeteria and restauranl, kitchen and elevdtors. The concrete (or this project is supplied by Pharo Ready Mix Concrete (BMC), whose profitability has been consistent]y hi8h year and which also began partiopation in the reconstruction of the historic Waheen markeL It also built a new research laboraiory at Sheikh UDi- versAty for DP World. It completed the construction of ljaara dam in Sep- tember. along with an elevated tank. water troughs and kiosks. It construcied the Pharo Foundation Kindergarten classroom extension. which takes its capacity to over 200 Student& Pharo Construction Ltd (PCL). a portfolio company of Pharo Ventures Somaliland. aims to offer top-quahty construc- ¢ion goods and services at affordable prices. The company has the capaciry to construci big projects due to our numerous heavy-duty vehicles and our state-of-the-art construction machinery. Although we are a young enteTpfi5e. Pharo Ven- tures is truly prepared to thange the face of construction industry in Somaliland and deliver large scale projects. Part of this capacity requires havin8 State-of-the-art equipment HaV￿g access to thi5 esseiitial machinery brings Phaio Ventures one step closer to their goal of participating in large sca]e infT&Siruciure conmrnction with significant social benefits. Pharo Sheikh SecondaTySDAdents at Vents]res tonstruction sitc RMC(oncrete poutin8at WaheeD Ma￿t 2S

Structure, Governance and Management 1.1 Governing document Pharo Foundation is constituted as a company lirnited by guarantee Icompany No. 07678862) and operates under the ierms of its Articles of Association. It is registered with the Chariry Commission (No. 1143152). 1.2 Organisational structure Pharo Foundation is a growing organisatlon with its Trnstees overseeing its work routinely. The group ownership and control of various entities are hsted under Note I l in the financial statements. Pharo Foundation includes both a non-profit operarion and a for-profit arm. Ph￿0 Ventures. Both of them are working toward5 the athiev¢rn¢nt of our mission& but they are doing it with dkffereDt lools.. The non-proft invests in development of public goods and not-for-profit projects. while Pharo VentLkres invests in the private sector and for-profit venture5. Pharo Ventures was created by Pharo Foundation in 2019. PhaTO Ventures. SOCAal enterprises provide sustainabiliry to the Trision of the Foundation lor a self-reliant Africa, by creating a dynamic locaI private Sector that will ultimatety drive AfriGin economic growth. They do 50 by max1￿1$1ng economic value added, maximising the number of jobs created and reaching profitabiliry within a few years. Pharo Ventures Somahland 15 currentty focused on a ready-ma(k concrete plant. whJJe PhAro Venfures Ethiopia is focused on a8r0-proCe￿InB. Trustees of the Fowidation are appointed a% a tntstee through an ordinary resolution. Trustees sexve for three years and thereafter they have an opportunity lo seek re-appointment. The current TTU5tee5 were appoitlted based on th¢ skills and exp¢rienc¢ tbat they offer Pharo Foundation and their inteEest An the charitable objectives of Pharo Foundation. All Tnjstees are gven an induction pack that explains the legal obligations of the Tntstees and includes Pharo Foundation s governing doaunent and other kry policy documents. The Trusiees who held office during the period ending 31 December 2023 and up to the date of approval o! these financial statements were.. Mr Matthieu Baumgartner Mr Guillaume Fonkenell Mr Mustafa Tama Ms Farah Jirdeh Fonkenell Mr Nicolas Sagna No Trusteereceived #ny remuneratiou forseTVi(es as 3 Tntstee. noT had anybeneficial interest in any contraci witb Pharo Foundation, during the year. Expenses reimbursed to Tr￿S[ee$ are disclosed in Note 8 of the financial statements. The day-to-day management of the chariry's activities and tbe implementation of its policies are delegaied to the foundation's Chief Executive oEfKer (CEO). The last CEO. GuldeD Kazanda8, left the Foundation in December 2023 and the Foundation has since bttn led by Guillaume Fonkenell as interim CEO and over the cours¢ of rhe searth for a new suitsble candidate, whid) is progressing well. The management reporting lines are dearly defmed, and the Tntstees receive regular reports on both PTogramme and grani a¢tiviti¢s, enabling them to fuifil their responsibilities effecrivdy. 27

The key management personnel responsible for directin& controlling. running, and operating the charity on a day-to-day basis indude the CEO, who is guided by the TnLffltt& The Executive Team is composed of the CEO. the Chief Financial Officer. ckn.ef Operating Officer, and Chief Research and Evaluation OfficeT. Their natnes are listed below.. Interim CEO.. Mr Gu￿auMe Fonkeneu ChieEFinancial Officer: Kud7Ai Munyavi (appointed in luly 2023) Chief Operating Officer.. Tim Kasperidus (appointed in October 2023) ChielResearch and Evaluation Office.. Ken Lee 1.3 Statement of Trustees responsibilities The Truslees {who are also directors o( Pharo FoundalioD for ihe purposes of company lawl are responsible for preparing the Trustees, Annual Report and the financial statements in accordance with applicable law and United Kingdom Accounting Standards Iunited Kingdorn Generally Accepted Accouniing Practice). Company law requires the Tr￿Stee5 to prepare financial statements for each financia] year which give a true and fairview of the state of affairs of the chatitable company and the group and of the income and expenditure of the charitable group for thal peTiod. In preparing these financial ststements. the Trustees are required to: select &￿table accountin8 policies and then apply them consistently, observe the methods and priticiples in Accountitig and Reporting by Charities.. Statement of Recomn]ended Practice applicable to charilies piepaiing the accounts in accordance with the Financial Reporting Standard applicable in the United Kingdom and Republic of Ireland {FRS102)- make judgments and estimates that are Teasonabk and prudent. State whether applicable that the United Kingdom Accounting Standards have been fouowed, subject to any material departures disc105ed and explained in the financial statements. and prepare the fmancial staternents on the going concern basis unless it is inappropriate to presume that the charitable company wil] continue in operation. The Tr￿teeS are responsible for keeping accountin8 records that are su(ficient to thow and explaiti the ¢haritable company's transactions and disdose with reasonable accuracy at any time the financial position of the charitable company and enable them to ensure that the financial statements comply with the Companies Act 2006. They are also responsible (or safeguarding the asseis of the charitable company and the group and hence for takmg reasonable steps for the prevention and detection of fraud and other irregularkti¢s. Each of the Trustees confirni that: so far as the Trustee is aware. there is no relevant audit infornlation of wknch the charitsble company s auditor is unaware, and the TnLStee has taken au the steps that helshe ought to have taken as a Trustee in order 10 make himsel(Ihersdf aware of any relevant audit Jnfonnation and to establish that the charitable company's auditor is aware of that inforniation. This ¢onfirrnation is given and should be interpreted in accoTdance with the provisions of s418 of the Companies Act 2006. The Tntstees are Eesponsible for the nMiDtenan¢e and iniegriry of financial information induded on the charitable companys website. Legislation in the United Kingdom governing the preparation and dissemination of financial staternents may th.ffer from legislation in other jwisdiction5. 28

1.4 Risk management The Trustees confiTJuously assess the m#ior risks to which the charity is exposed. As part of this process, we reviewed and updated our risk management matrix in July 2023. Our updated risk management matrtx contaTns 20 ptential Tisks under eight major headings, including governance and management. law and regulation compliance, investment, operationa], financial. exlernal and reputational. For each potential risk. we have identsfied potential consequences and the controls we have put tn place to manage the risk We have also rated (low, Jnedium and highl the likelihood of each p)tential risk happening and the impact ir will have on the Foundation if the risk materiaJise(L The following are the major risks that the Tn￿tee5 have identified and established effeciive controls to mitl8ate them.. Failure to meet legavregulatory requirements with potentiaj consequences of fineslpenalties. legal challenge, loss ofreputation and loss of license. Trustets track legallregulatory requirements in rdeyant countries through annual legal reviews and seek legal advice before rewtration in new countrie& Insecurity and instability with potential consequences of programme disruption and loss of assets. and harm to sta(f members. Trustees encourage and monitor strong and positive relationships with local governments and communities and they monitor country risk assessment5 and security plans that management puts in place. Thryhave a]$0 put in place travel and accident protection insurance policy. Fraud. mi5rn2nagement or e￿Or with potential consequences of loss of money. loss of reputation. ineffiaency and regulatory action. Trustees have put in place clear accounting policies and procedure5 and monthly reporting arTangements. There are also annual extrrnai audits. The Foundation being at the risk of not meeting stskeholders. expertations with potential con- sequences of reputalionaI damage, legallregulatory challenges and inability to attract high calibre staff. Trustees have forniulated a risk management System and appointed a dedicated Trustee who oversees risk management. and, a strong internal control environment and external audit are in place. 1.5 Fundraising The Foundation does not activety seek donations from the public there(ore it has not registered with the Fundraising RegulatOT. It does nol use the servitts of any third-party organisation ￿ help in its fi￿draising activities and no complaitiis were received aboui Ats fundraising actiVAiies durin8 the financial year. 1.6 Public benefit All the Tr￿Slee$ are conversant with the CharÈty Cornmission s guidelines concerning charities and public benefit and have given considetation to them when assessing the charitys activities. The Trustees believe that they have complied tully with the duty in Section 4 of the Charits"es Aci 2011 to have due r¢gard io the public benefit guidance published by the Commission.

1.6.1 Compliance with Trustees Duties under Section 172(2) Companies Art 2006 Trustees musi act in the way they consider, in Bood faith, would be most likely to promote success to achieve its charitable purposes. The Trustee& in doing so. delegate day to day managemenl and decision-making to the ChieF Execulive, who. with other key managemenL is iequired to act io further its stTaie8y and to ensure that the actTrvities are carried out in compliance with a8reed plans and policies. The Trustees receive updates on performance and plans at ¢ath Board of Trusiee meeting. In carrying out theit dutie& the Trustees have regard5 (among other matters) to: 1.6.2 Foster the charitys business relationships with suppliers. customers and others Our network of collaborations indudes w0￿1n8 with various stakeholders such as vendors. indiwduals. ¢omrnwJities and various government sectOTS ID a move to posilivdy contribute towards improvAng the livelihood of people through increase access to education. agriculture, health and water. These partnerships are key to our work in Afric& Mutual respect together with transparency, trust 2nd accountability forni the basis of our work with othcrs. Overall, our values govern our proturement process and all our suppliers must comply with our code of conduct and principles of our procuTement policy. 1.6.3 Carbon Reporting Exemption Pharo Foundation qualifies for a carbon reportill8 exemption under the Carbon Reportin8 (Amenthnentl Regulats"ons 2018, as our energy consumption within the UK remained below 40.(NJO kwh during this period We remain cornrnitted to environmental responsibility and will continue to implement sustainable practices to reduce our carbon footprint in line with our missio 1.6.4. Inclusivity Policy for Disabled Individuals The Foundation enSUTes fair consideration for job applicatioris from disabled individua]s. We are committed to workplace adju51ments. tailored trainAn& and oreer developmeJJl opportunities. itk line the Equality Act 2010, to support an indusive work environment. Financial Review 2.1 Financial Performance Income 2023 During the year. Pharo Foundations iotal income was US$ 25.8 mdliorh. derived from donations and legacies, chaTitable activities. invcsthient& and other trading operations. O.LM 1.2M 1.6M The Foundation received an wirestricted donation of approximately US$ 22 million from Pharo Development Investment Limited IPDIL) during the peri￿ PDIL serv¢5 a5 a vehicle ￿ distribute profits generatrd by Pharo Management (UK) MJ). Donations o Charitable Activities Donations and legacies increased by 4%. while income from charitable activities rose by 50%, contributing a adth"tional US$ 0.39 mjllion. This growth w&8 driven by &bcia] Ventures ITbvesunent

the addition of extra aftern￿n classes in Somaldand and the opening of new schools in Kenya and Rwanda. Investment income increased by 13%. attributed to a US$ 2 million increase in profit thare from Pharo Management (UK) LLP and a USS 0.7 million increase in bank interest on deposits. Trading income from social ven￿re$ grew by US$ 0.89 million. primarily due to the expansion of the Pharo Construction business. Expenditures for the year totalled US$ 18.3 million. a 23% increase from the previous year. reflecting our unwavering commitment to growth. This increase was driven by several key activities. the Education Mi55iQll s expenditures increased by 23%. pIl￿ar]IY due to the establishment of Pharo School in Ktgali and the a¢quisition ol Tend¢r Care Junior A¢aderny in Nairobi. Water Mi&sions saw a 25% incredse, m due to the crealion of large water infrastructure projects in Ethiopia and Somaliland. The Productivity Mission's costs rose by 21%. driven by the expansion of our existing Pharo Diagnostic Centre and the establishment of new health projects to tackle non- communicable diseases (NCDS). S(Kiai venture operations increased by 19%. amounting to an dth"tiona] US$ 0.55 rnillion. highlighting our belief ID the power of sustainable business ventures to drive social change. Support costs increased by 100% amountin8 io additional US$ 0.83 million. This increase is primarily due to the expAnsion of thehead office team to better support the Foundations operations and achieve its obeclives. Expenditure 2023 3.4M 9.6M 3.5M Education Mission Water mI￿10n Productivity Mission • Social Ven￿re$ As of 31 December 2023, the Groups unrestricted fimds totalled US$ 37.7 million. Of this amount, the net book value of the Group's tan￿ble fLxed assets was USS 11.2 million. Additionally, impact investments was US $ 1.8 million and an unrestricted fund balance was US$ 24.7 million. The charity's stand-alone financial statements, unrestricted ￿ndS totalled US$ 45.3 million. comprising a net book value of the chariry's iangible fixed assets was US$ 7.0 million. social ventures was allocated US$ 13.8 million and impact investments was US $ 1.8 million. and an unrestricted (und balance of US$ 22.5 m]￿'On. Overall, our operations have shown si8nificant8rowth compared to last year. We have expanded our footprint by establishing Kenya cowitry office. demonstrating our cornrnitment to broadening our reach and impact. Additionally, our social venture's operations have seen increased activity, reflectin8 our strategic focus of acceleratin8 economic development throu8h the private sector. Furthermore, we have strengthened our team by hiring severa] senior staff members throughout late 2022 and 2023. positioning u5 for contsnued growth and success in the future. 2.2 Investment policy Pharo Foundation Group had an investment portfolio valued at US$ 1,804,766 as of 31 December 202312022.. US$ 1,804,766). In the tharity's standalone f￿anCial5taterncn￿ the portfolio valued at US$ 15,696,815 (2022: US$ 8.651,552). The Foundations investhient objective 5$ to support African start-ups and build social Yentures that create jobs and economic value. These investrnents provide insiBhts into African operating environments and opportunitRes, aiding the advancement of the Foundation 5 charitable objectives. 31

The Truslees possess significant investment experience 2nd experlise. They conduct thorough due ddigence and carefullyev￿u3tt each investhient proposition in both financial and mi55ion-related iernis before making a decision. The performance of investments is monitored periodieallybythe TnJstee5 on an ongoing ba515. Over the past 12 months. the value of the unli5tedlimpac¢ investnient Frf)rtEolio has remained unchange Furthermore. the investh)ents in subsidiaries have inueased to US$ 7.045.262 in 2023 {2022.. US$ 4.593,846) due to the growth and expansion of social ventures. 2.3 Reserves policy Pharo Fowidatson has coinmitted to several charkt8bLe programmes, projects. and grants with on80in8 financÈaL commitmenis. Accordingly. the Trustees monitor the level of reserves throu8hout the year to ensure the Foundation can meet these fiDancd £onunitTryeDts and other operational liabilitie& Funds committed to our own progratntnes and social investments are thown as designated funds in tILe balance sheet and are payable as pro8ratnmes aod projects are implemented across v3rtous country offices. Pbaro Foundation's 8enera] funds are those not already commitEed and are therefore available for future programme spending. En light of the on.troing financial Comm1knen￿ Pharo Foundation maintains at least 12 monihs of cath reserve4managed inllnewith the hnding needsoftheprogTamsand projeits it undertakes in aDygiven financial period. 2.4 Grant Making Policy Pharo Foundation's grant making Poli￿ underscores its dedication w phijatithropy and educational advancement. Grants and 5tholarships ar¢ di5bur5ed to tliBibk reapients in alignment with the Foundation s predefincd criteria and 8uidellr￿$. ettsurin8 Strategic allocation of resources to maximise impact. Approved by the Trustees ond $igned on their behalf by. Mr Guillaume Fonkendl Tru5tet Approved bythe Trustees.0rn 2810612024 32

Independent Auditor's Report (For the year ended 31 December 2023) Independent auditorfs report to thememkn ofPharo Foundation Oplnlon We have audited the financial statements of Pharo Found3tion lthe'fouThdation) and lis subsidiaries {the 'gToup') for the year end¢d 31 Decernber 2023 which cornprise the consolidated statement of financial activities, the group and foundation balance sheets and consobdated statemenl of cash flows. the princlpal accounting poliaes and the notes lo the finanaal staiements. The financial reporting framework that has been applied in their preparation is applicable law and United Kingdom Accounting Standards, including Flnancial Reporting Standard 102 Yhe Financ￿ Reporting Standard applicable in the UK and Republic of Ireland, (United Kingdom Generally Accepted Accounting P￿tice). In our opinion, the financial statements.. • give a true and fair view of the state of the group and foundations. affairs as at 31 D¢cernber 2023 and of the grollp 5 income and expenditure (OT the yeaT then ended: • have been properlyprepared in accordance with United Kmgdom Generalty Accepted Accounting Piaciice" and • have been prepared in accordance with the requirements of the Companies Act2￿6. Basis for opinion We conducted our audit in accordance with International Standards on Auditing (UK) IISAS (UK)) and applicable law. Our respoDSibditi¢S under those Stsndards are further d￿£[￿bed in the auditor's responsibilitiesfortheauditofthe financial statements sectionofour report.WeareAndependentof the group in accordance with the ethical requirements that are relevant io our audit of the financial statements in the UK. Including the FRCS Ethical Standard, and we have hjlfilled our other ethic21 responsibdities in accordance with ihese requirements. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our opinion. Conclusions relating to going concern In audiiing the financial siatements. we have u)nduded that the trusiees. use of the 8oin8 concern basis of accounting in the preparation of the financial statements is appropriate. Based on the work we have F*rforn)ed. we have not identified any material uncertainties relating to events or conditions that. individually or collectivety. may cast significant doubt on the Charitable coJnpany s abiliry to continue as a going concern for a period of at least twelve months from when the financial statements are authorised for issue. Our responsibilities and the responsibilitiesof the trustees with respect to goingconcern are described in the relevant sections of report

Ii)dependent Auditor's Report (For the year eDded 31 D¥cetllber 20231 Other information The trustees are responsible for the other information. The other Tnformation comprises the information included in the annual report and financial Siatement& other than the fujancial statements and our auditor'5 report thereon. Our opinion on the financial statements does not coveT the other information and. except to the extent otherwise explicitly Stated in our TeporL we do noi ¢xpress any foEm of a&surance conclusion thereon. In connection with our audit of the fmanual statement& our responsibiliry is to read the other inforniation and, in doing so, eonsider whether the other infomiation is materially inconsistent with the financial statements or our knowledge obtained in the audit or otherwise appears to be materia]ly misstated. If we identify suth material inconsisieneies or apparent material misslatement& we are required to determine whether there is a rnater￿1 misstatement in the financial statements or a mat¢Tial MI￿￿tement of the other infomiation. If, based on the WOTk we have perfornied, we condude that there is a material misstatement ofihis other infomiation, we are required to report that facL We have nothin8 to report in this regard. Opinions on other matters prescribed by the Companies Act 2006 In OUT opinion. based on the work undertaken in the course of th¢ audiL • the inforniation ￿'Ven Én ihe trusiees. repoTL which is also the directors. report for the puTroses of company law and indudes the strategic report. for the financial year for which the financial statements are prepared is consistent with the financial statements. and • the trusttts, report. which is also the directors, report for the purposes of ¢ompany law arnd indudes the strategic report. h&$ been prepared in accordance with applicable legal requitement& Matters on which we are required to report by exception In the light of the knowledge and understanth.ng of the group and the foundation and its environment obtained in the course of the audit. we have not identified mateTial misstatements in the tTUStees' report including the stralegic reporL We have nothin8 to report in respect of the followin8 matters in rd￿10￿ to wkn'ch the Companies Act 2006 requires us to report to you if. in our opinio adequate accounting records have not been kept by the group and foundation. or returns adequate for our audii have not been r¢(eiv¢d from branches notvisited by ￿ or the foundation financial statements are not in agreement wlth the accountin8 records and return& or • certain disdosure5 0ftn￿tt$. remuneration specified by law are not made" or • we have not received all the inforniation and explanations we require for our audit. 35

Independent Alldltows Report (For ihe year ended 31 Decenibtr 202J) Responsibilities of trustee5 A5 explained more fully in the tTUStees' responsibilities statemen( the trustees are responsible for the preparation of the financial statement58nd for being satisfied that thry give a trLLe and faiTview. and for such internaj control as the trustee$ deterniine is necessary to enable the preparation of financial statements that are free from material misstatement. whether due to fraud or error. In preparing the fiDaDcial statement& the trnstees are responsible for assessing the group's and the charitable parent companls abdity to conlinue as a going concern. disclosing. as applicable. maiteis related to going con£ern and using the going concern basis of accounting unless the trustees either intend to liquidate the group or the charitable parent company or to cease Operatio￿ or have no realistic alternattvt but to do so. Auditor's responsibijities for the audit of the financial statements Our objectives are to obtain reasonable assuTance about whether the financial statemenis as a whole are free from material misstatement. whether due to fraud or error. and to issue an auditor's report that include5 our opinion. Reasonable assurance is a high level of assurance. but is not a guarantee that an audit conducted in accordance with ISAS (UK) will always delect a material mtsstatement when it exists. Mtsstalements cati aTise from fraud or error and are considered material if. individually or in the aggregate, they could reasonably be expected to influence the economic decisions of users tak2n on the basis of these financial statements. Irregularitie& including fraud. are instances of non-complian¢e with laws and regulation& We design procedures in line with our reswnsibilities outlined above. to detect material misstslements in iespect o( irregularities. indudiTrg fraud. The extent to whith our Pr￿edureS are capable of detecting irregularities. induding fraud is deiailed below. Our approach to identifying and a￿&S]￿S the risks of material misstatement in respect of irregdarities. induding fraud and noD-¢ompliaD¢e with laws and regulations. was as follow The engagement partner ensured that the engagement team, and the component auditors of the group. collectivety had the appropriate £ompetenc< capabilities and skills to identify or recognise non-compliance with applicable laws and regulation& We identified the laws and reguhtions appELcable to the group and charity through discussions the component auditors within the group, with management and representatives of those charged with governance and from our knowledge and experience of the sector in which the group operates- We focused on specific laws and regulations which we considered may have a direct rnaterial effect on the accounis or the activities of the chazity. These included but were not limited to the Companies Act 2(X>6. the ChaTities Act 2011. the Charities SORP. anti-bribery, employmen( safeguarding principles. We considered the impact of the international natwe of the charirfs operations on its compliance with laws and re￿￿atiOn& We assessed the extent ofcompliance with the law5 and regulations ideniified above through maku)8 enquiries of management and those responsible for legal and compliance pr¢Kedures and a review of rninutes of Tn]st¢e5' mtt1￿gs.

IndependentAuditorfs Report (Forthe yearcnded 31 De￿rnber20zj) We assessed the Susceptib￿tty of the group atKI charirfs financial sratements to material misstatement. includm8 obtaining an understanding of how fraud might occur. bT. Making enquRries of management and representauve$ of those dMr8ed with governance as to where they considered there was suxeptibility to fvautL Making enquiries of managerneni and representstives of those charged with 8ov¢rnance as to their knowledge of actual, suspected and alleged fraud. and Con5iderin8 the internal controls in p]ace to mitigate risks of fraud and non-compliance with laws and regulations. To address the risk of fraud through management bias and overrid¢ of controls, we. Performed analytica] procedures to identifyany unusual or wiexpected ie]ationships' Identify"ng and testing Joumal entries. in particular anyjournal entries posted with llThusual characteristic& Tested the authorisation of expendRtut4 Assessed whetherjudgements and *ssvmptions rnade in deterniining the accouttting estimates were indicative of N)iential bi￿. and Investigat¢d the ratiotllle behind significantor unusual transactions. In response to the Tisk of irresulan.ties and non-compliance with laws and regulatioDS. we d¢signed procedures which iThcluded. but were not brnited to: Agreeing financial stalement disdosures to underlying supporting documentation" Reading the minutes of meetings of Tntstees,. and Enquiring o(management and representatives of those charged with 8overnance as to actual and potential litigation and daims. Enquiring of auditors of overse&s components as to actttsl and potential non-wmpliance with sigtlificant laws and regulation& There are ittherent limitations in our audit procedures described above. The more removed that laws and regulatlODS are from financial transactions, the les5 likely it is thal we would become aware of non- compliance. Auditing standards atso limit the audit procedures required to identfy non-cornpliance with laws and regulations to enquiry of the trustees and other rnanagemeni and the inspection of we￿atory and legal correspondence, if any. Material misstatements that arTrse due to fraud can be harder to deieu than those that arise from error as they may involve deliberate concealment OT collusion. A fuTther description of our responsibilities is available on the Financial Reporting Council's web51te at www.frLorg.uklauditorsresponsibilities. description forms part of our auditor's report. 37

Independent AuditOT'S Report (or the year cndcd 31 Decembtr 2023} Use of our report This report is made solely to the charitable company's member& as a Tr￿y, in accordance with Chapter 3 of Part 16 of the Companies Act 2006. Our auth"t work has been undertaken so that we might state to the haritable company's members those matters we are required to State to them in an auditors report and for no otherpurpose. To the fullest extent permittedbylaw. we do not accept or asswn¢ r¢5ponsibilityto aDyone other ihan the charitable company and the charitable company's mernbers as a body, for our audit work for this report. or for the opinions we have fornied. Edward Finch, (Senior Statutory Auditor) For and on behalfof Buzzacott LLP. StatutoryAuditor 130 Wood Street London EC2V6DL Date= 10 July2024

Consolidated Statement of Financial Activities (For the year ended 31 December 2023} I lan2023 to 31 Dec2023 l J•n 2r122 to 31 Dec2022 Donations and legacies Charitable activits5 Sooai ventures rradty Envestment 59.627 1.157.084 1.584.403 23.(M)&123 25.809.237 57.243 TJl.099 693,￿7 20.302.185 21,823,534 Sotialventures trading Charitable aLtNit￿$ Totsl ewndlture 3.417,452 14.899.302 18,316,754 1866,254 11(h54,602 14.930.856 169 584 7.491653 &893.262 ([￿SSeS} OD foreiBn ex£hangt 14W58} 1393,936) 7.053,795 6.499326 T¢tsl fiudl brou#Ltfon¥ard 30.673.493 24k174.107 37.n7. 30.673.493 All the above results are derived from conlinuing operdtions apart from Pharo Farm Ethiopia whose operations were discontinued on 30th September 2022. All income and exPendi￿reS for the cllrrent and prior year are unrestricted. Pharo Foundation has no recognised gains or losses other than those shown above. Dl80)Ottr￿a0￿rthD Ph•Yo F4mi Ethlop l Jwh 2023 tr* l 2022 10 31 Dec2023 31 Dtc2022 Totsl us$ 3.180 335.766 {332J86) Forey ¢thnge 14992 Nrt(ezwdlture) {317J94) 40

Statement of Financial Position (As of 31 December 2023) Notrs (koup 2022 Follllaatton 2023 uss Foll￿dId0 ID22 uss 2023 Fixed•$5e15 T4ngibk assers 1niattg￿lk assets Investments 11.18A710 1.321 IM766 81.074 5.8J9.93I 7.044.4 791.321 I￿.815 81.074 11,613,687 3,9Y),943 io li l.M"766 I4￿)3 7h39.fAX) 8.651.552 14.903 12,617,398 Dcbiors 0￿9fter Ort year Ioventory i)tbiors due withu)Qrte year sh at batskand in hand 13 14 i￿101 1.787.152 2439&4 2fi291713 I63.￿) 1245.6n 23.296,935 24.70%740 )f4928 556.25l 2ts.J59.191 20A7&170 939.￿) 49&885 11.52&176 Cte411ton: ￿QuA￿f￿Illlgdth¢ thlnonE7E4r 15 6,f4>51 11fft1.7591 (1OK5731 (1.034.&841 2A863.gJ7 23.033.9BI 21.689.6)3 19.841,686 37.727.778 3Q673.581 45JO3.290 32,4S9,084 1881 Netaakts attrlblltsbl¢ to 1kn4 37.n7288 30,671493 45.303.29) 32.459.CQ4 afthe<lt•rtty Unrestricted Fund5 - Generil hjnds - Desi8naled funds 14nsM14 IIYll.474 37.n7J88 23.048.796 7,624.697 30,673,493 22.￿1.98$ 22,741.305 45.JD3.290 ]9￿5￿589 I2.￿&49$ 32.459.084 16 Appmved by the T1￿1¢e$ of Pharo Foundation. &mpany Registration No. 07678862 (United Kingdom) and Chariry Registrolion No.1143152 IEn8land and Wales) alld signed on theirbebalf br. Mr Guillaurne Fonkendl Trustee Approved on.. 2810612024 41

Statement of Cash Flows (As of31 December 2023) l Jan2023 to 31 D¢c2023 uss l J4n 2022 to 31 D¢c2022 U5$ Ca8h flow• from oper•th8aLthldt Nei cash (used itt) opeitiDg aaiwities (14.3310891 111167.KJ7) Income hom investments PLuthase of taThgible fixed as$ets Pur£ha$e of intangthle fued assets Proceed5 frorn 5a]e of fixed assets 23.(X)&123 {6,9(kS,2921 (804.7331 20.302,185 11,850.2431 15.297.098 1&463,849 965.CQ3 6.296.242 Cuh apdath ¢q￿l7￿tr Atol lanuary2023 Change in cash ando5h equivalents duc to txthange tate movements C18h aDd ¢a•b eqlllvalents •t31 DeÉrmber2023 21296.985 17.157.953 13&467 24.398,48) 1157,2lOI 23.296.985 The Foundaiion has not prepared a separate statement of movements as no difference between cash and cash equivalents and net debt. l yn2023 to 31 D¢¢2023 USS l Jts 2022 to 31 Dec2022 us$ Nrtlnmme forth¢ repowFriod ( 7.491653 6.893,262 AdJumeDts for. Depre£iation tharges AmortisatKin of Goodwill Disposal of F￿a assets tncome from invesEments D¢¢r¢as¢ {[n￿e3$e) in InVen￿ry (tncreasel iti debior$ Increase in creditors Netusb knoperdD8adlTAd 961,124 13.412 3.467 (23.IXW.J23) 57982 (￿7.651) 755.047 114.332.0891 1.576 231531 120.302.1851 1163,0831 1361,1381 761,430 112.167,(II7)

Principal Accounting Policies (As of 31 December 2023) The principal accountin8 pK)licies adopted. judgements and key sources of estimation uncertainty in the preparation of the financial Statements are as follow& Basis of preparation These financial siatements have been prepared for the year to 31 December 2023. The fmancial statements are presented in US Dollar and are rounded to the nearest Dollar. The financial stalements have been prepared under the historical cost convention with items recognised at Cost or transaction value unless otherwise stated in the rdevant accountitig poliaes below or the note$ to these financ￿ statements. The financial statements have been prepared in accordance with Accounling and Reporting by Charhties.. Statement of Recommended Practice applicable to charities preparing their accounis in accordance with the Financial Reporting Standard applicable in the United Kingdom and Republic of Ireland {FRS 102) (Charities SORP FRS 102). the Financial Rq￿rtIng Standard applicable in the UK and Republic of Ireland IFRS 102), Companies Act 2￿)6 and the Charities Act 2011. The charity constitutes a public benefit entityas defined by FRS IO2. Basis of consolidation The Consolidated Finanaal Statements incorporate the results of the charity and its subsidwies, as listed at note 12. for the year ended 31 December 2023. The acquisilion method of accounting has been adopted. Under 5e(tion 408 of the Companie5 Act 2006 and the SORP. Pharo Foundation is exempt from the requirement to present its own Statement of Financial Activitie Critical accounting estimates and areas of judgement Estimates and judgements are continually evaluated and are based on lll"Storical experience and other factors. including experience of future events that are believed io be reasonable under the circumstances. The Foundation makes estimaies and 2SSUmPtions concerning the fuiure. The resulting accounting estirnates will. by definitson, seldom equal the related actual results. The items in the financi31 staiements where sigwficant judgements and estimates have been made include: Estimating the useful economic lives offiredassets The aueis of the FoutLdation are primarily hdd overseas. The useful economic life of certain assets, applied ftsr the purposes of calculating depreclation. have therefore been assessed a5 being shorter than that which would ordinarily be applied to the same asset dass located in the UK This is due to the difference in the accounting standards appkn"cabl¢ across diffuent jurisdtctio DetermiJ]mg the valiie ofassetsgraDtedfrom overseas Governments The Foundation has been 8ranted the use of a number of significant a&sets overseas. Specifically, a 26 and 484-hectare plot of land from the Environment Forest and Land AdministTation Office. of Benishangul Gumuz Re8ional State in Ethiopia and three school sites from the Minisw of Education and science in Somaliiand 43

Principal Accounting Polides (As of 31 tlecember20251 Aithougb the risks and rewards of ownership of these sitrs is held by the Foundation. no value wa5 attribut¢d to these sites in the year of (￿Ipation as the Fowhdation is unable to reliably estimate their value under the specific terms granted and there is no question of disposal for commercial gain. Improvements to these sites are capita]ised where they meet the accouniing policy criteria for lang'lble fixed assets. GoodwiJJAmortssatson The Foundation made an acquisition of assets and paid an amount exceeding the fair value of the net idenliflable assets. resulting in g(Ktrdwill. This goodwill is amortised over a period of io years reflecting the estimated useful life over which the economic benefits are expecled to be derived. The V￿u3t10n ofunjistedinvestments The grollp hold5 unlisted inveslments in three companie& These are induded in the flnancial staiements at fair va]ue, usin8 a quoted maTket price or evidence of recent tTansactions. If fair vajue cannot be measured reliabty investments are measured at cost less impaimenL The thJ5tees have rnade the following a&sessment in relation to each holding. Pharo Management (UK) LLP= In the absence of readily determined and reliable fair values at the year end, this investment has been held at cost le&$ impairment. The trustees have deterniined the value of these investments to not be impair Lynk: In the absence of readtly deterniined and reliable fayr value5 at the year end. this investment hasbeen held at cost less impairment. The trustees. assessment of the impairment on this investment was as a result of financial perforniance inforniation provided to thareholder& New Forest Company. In the absence of readily deterrnin¢d and reliable fait values at the year end, this investment ha5 been held at cost less impairm¢nL The trLLSttts assessment of the impairment on thi5 inVeStment is determined from either the price offered for a rights i$5ue given to the existing shareholders during the year or as a result of debt restructuring exercise. There wa5 no change in the value of this investment durin8 the year. Ijnpairment ofInvestments in Subsidiaries Determining whether investments in subsidiaries are impaired is a matter of significant judgment and subjert to estimation. tn as5e&sing whether there is any iDdicatson of impairment of investments in subsidiaries, the Trustees ca]culate ihe recovetable amounts from such investments based on the condition5 and business plans lor the subsidiaries at the date of these separate financial stat¢rn¢nts. This involves evaluating the financial health, future prnspects. and operational perforn)ance of the wbsidiarie& Determinatsorj ofoverseas operations as a branch or subsidiary The Group operates in and has a locally re8iStered presence in overseas countries. as detailed in the truslee5' repoit. The legal stnJ¢lures available for these operatioDs vary between countries. For the purposes of these financial statements the trustees have made an a&8essment of whether the locally registered presence should be dassified as a branch or a subsidiary by aligning the local registTation type with the rnost comparable forniat of re8iStration under UK laws. Other judgements applied by management indude=

Principal Accounting Policies (AsofJl ￿e￿Inber 20231 Determination of the aPPTopriate exchange Tates to use in the translation of foreign currencies. and Estimates in respect of accrned expenditure Going concern The Trusttts have assessed whether the use of the going Concern wwnption is appropriate in preparing these financial statements. The Trustees have made this assessment in respect of a period of one year from the date of approval of these financial statements. The TnLStees have concluded that there are no material uncertainties related to events or conditions that may cast significant doubt on the abjjity of the charity lo continue as a going concern. This is because the charity is ill a n¢t asset position and received sufficient additional investment income after the year end to meet the cost of its budgeted programme and grant-making activitie& Since 31 December 2023, the Foundation assessed the poiential Impact of politicaj unrest and persistent increase in inflation on the Fowthtion and conduded thal whde the ability of the Foundation to undertake it's activities as planned will be affected, as detailed on page 30-32 of the trustees report. there wdl be no material impact on the going concern Status of the Group because the Foundation hos $uffi¢ient #ssets aThd received a large unrestricted donation in lanuary 2024 which is sufficient to ensure the Foundation can meet its commitments and liabilitles. Income Income is recognised the period in which the cFArity has an entitlement to the income. the amount o( income can be measured reliably and it is probable that the income w]Jl be receiv Ilonations. includin8 amounts received under Gth Aid, are recwised when the charity has confirmalion of both the amount and settlemeni date. In the event of (lonations pledged but not receive& the amount is accEued for where the rtceipl is considered probable. Jncome from charitable aCti￿tieS is recognised in the period in which the service is provided. Where income is received in adwance of meetill8 any performance-relared condiiions. and there is no unconditional entitlement to the income. it is recogni5ed as deferred and induded c￿dItOrS as deferred income until the perfomllnce condilions are met Income from investment is received from PDIL li is measured at the fairvdue of the consideration received or receivable, excluding any discounts or rebate Interest on fwids hdd on deposit is induded when receivable and the amount can be rneasured reliably by the charity, this is normally upon notification of the interest paid or payable by the bank. Construction income from social ventures applies percentage of completion {-PoC-) of th¢ contract to estimate the revenue to be recognized during the year. The Stsge of complerion of a contraci may be determined by a variety of wdys. Dependin8 on the J)aNre of the contract. revenue is recognised as contractually agreed technical mjlestones are reached. as units are delivered OT as th¢ work progresses. Expenditure LiabiLiiie5 are recognised once there is a legal or construrtive obligation to rnake a payment to a third party. it is probable that a irans(er of economic benefits will be required in settlement and the amount of the obligation can be measured rejiably. All expenditure is inclusive of irrecoverable VAT. All expenditure is accounted for on an accrual basis. Expenditure cornprises the followin&. 45

PrincipalAttOUntlng Polloes (Asof31 December 20231 Social ventures. trading expendj'ture includes direct and indirect Costs such as salaries, overheads, and governance costs incurred bythe Pharo Ventures wrnpanies within the Group. Charitsble activities include the salarie& overheads. governance costs. and grants payable associated with the furtherance of PhaTO Foundation's objectives. Grants payable are included in the statemeni of financi￿ activities when approv¢d and when the intended recipient has either received the funds or been informed of the d¢cision to make the grant and has satisfied all related conditions. Investments Investments other than subsidiaries are induded in the financial statements at fair value. using a quoted market price or evidence of recent transactions. If fai¥ value cannot be measured reliably investments are measured at cost less impairment. Gains and losses are recognised An the ststrment of f￿ancIal acttvities. Investments in subsidiaries are hdd at cost. less any impairn)ent dwge& Tangible fixed assets All th￿￿'ble fjxed asset$ costing more thatt $5(K) and with an expected useful life exceedin8 one year are capitalised. Assets are depreaated when they are brought into use. DepreLiats"on is Provided at the following annual rates in order to Write off each asset over its estirnated useful li(e.' IT equipment Furniture and fAttin8S Molor Vehicles Plant and Machinery Building Leasehold Improvement 12nd Construction in progress 3 years estimated usefid life 3 years estimated usebjl lrfe 2 to 5 year5 estimated useful bfe 5 years estimated usefid life 20 year5 estin￿ted useful life S years estimated Lwfid life No depreciation No depreciation Construction in progTess comprises of partially completed proportion of the buildings measured at cost. Goodwill Goodwill represents the excess of the cost of an acquisition over the fair value of the associate s share of the net identifiable assets of the aquired sllbsidiary at the date of acquisition. Tbis goodwill is induded under intangible assets. After initial recognition, goodwill is measured at C05t less any acaunulated impairment losses. Impairment tests are carried out on goodwill annually and the carryin8 amount in the statement of financial position is reduced by any impairment losse& Impairmenr losses on goodwill charged to profit or l¢w are noi reversed. Gains and losses on the disposal of an entity include the carrying amount of goodw￿ relating to the entity sol& G(M)dwill As amortised over a peri(Ml of ten years on a straight line basi Foreign currencies Assets and liabilities in other curren¢ie5 are translated inlo USS at the ratc5 of exchange ruling at the balance sheet dale. Tratlsactions in other currencies are translated inio US$ at the rate o(exchange ￿￿ing at the date of the transaction. The income statements of subsidiaries in other currencies are translated at average rates of exchange. Exdwige differences are taken into accowit in arriving at the net movement funds.

Principal Accountlng Pollcles (As of 31 De¢ernber2023) Although the functional and presentational currency. as stated above. is USS. Pharo Foundation is a UK based charity and certain provisions of legal and regulatory requirements and the charitys operating policies are stated in British Pounds (£}. Within these finaThciai starements, amounts relating to these specrfic requirements have a]$0 been stated in British Powids (£). The source ofthe foreign currencyconversion is PTovided byXEcom. Operating leases The costs of operating leases are charged to the statement of financial activlties on a straight-line basis over the life of the lease. Debtors Debtors are recognis¢d at the settiemeni amount. less any provision for non-recoverability. Prepayments are valued at the amount prepaid. They have been th'scounted to the present value of the future c&8h receipt where such discounting is material. Cash at bank and in hand Cash at bank and in hand represents such accounts and instrurnents that are available on demand or have a MI￿rity of less thon three Months fvom the date of acquisition. Creditors and provisions Creditors and provisions ar¢ recognis¢d when there is an obligation at the balance sheet date as a result of a past even( it AS probable that a transfer of economic benefit will be required in settlement, and th¢ amount of the 5etdement be estimated reliably. credI￿r5 and provisions are recogtiised at the amount the ch￿lty ants'cipates it will pay to settle the debt. They have been discounted to the present value of the future cash payment where such discounting is material. Fund accounting All of the tharity's and the group $ fimd% received to date have been unrestricted The general fund comprises those monies that be used towards meetiti8 tlke cP￿At&ble objective of the charity at the Trustees, discretion. The designated knid comprises monies set aside out of unrestricted general fimds for specific hjture purposes or projects. The detai]s of the specific designations made are detaded at Note 16. Taxation The taxalion status of the group and it's 5ub5idiarie5 are di$d￿d Note 17. The current tax char8e is calculated on the basis of tsx rates and law$ thaf have been enacted or substantivdy enacted by the reporting date. Deferr¢d tax is provided using the liabRlitymethod for all temporarydifferences arisingbettyeen the tax b85es of assets and liabilities and their canwn8 amounts for financia] reporting purposes at the reporting date. Deferred tsx assets and liabdits.es are measuTed at the rates that are expected to apply in the year when the asset is realised or the liability is settled based on tsx rates (and tax laws) that have been enacted or substantively enacted at the reporting date. Deferred tax assets are recognised for all deductible temporary differences, the carry forward of unused tax ¢redits and any [￿llSed Lo￿¢$ to the ex*ni that it is probable thai ￿tUre taxable piofits will be available 47

Prlncipal Accounting Policies (As tsf31 De£ember20231 against which the deductible temporary differences. the carry fonwd of unused tax uedits and unused tax losses can be utdised. The carrying amount of deferred tax assets is reviewed at each reporting date and reduced to the extent that it ffis no longer probable thal sufficient ￿Kable PTofit will be available to allow all or part of the deferred tax asset lo be uiilise Unrecognised deferyed tax assets are re-asses5¢d at each rew)rtill8 date and are recognised to the extent that it has korne probabl¢ that fuiure ta￿ble profits will allow thedeferred t&x asset to be rewvercd

Notes to the Financial Statements (As of31 December 2023) Donations and legacies l l•n2023 to 31 Dtt2023 vss l y￿2021 to Ji Dc2022 uss Donations 51627 59.627 57.243 57.243 Income from charitable activities l l•n2023 31 D￿102) l J￿2022 to 31 ￿1022 Pharo sthoo Phato laborakniies 917.332 91.551 14&201 1.157. 3Q076 IL654 771.099 Other lThcome Income from social enterprise trading I l•o2023 t• Jl D￿2023 l Jan2022 31 De¢2022 Pharo ConllrucEKbn income 1.584.403 1.584.403 693,007 693,(K)7 Income from investments l J•tt2023 to 31 Dtc2023 l J•tt2022 to JI Dtt2022 Profit $haTe fTom Pharo Management (UK) LLP Bank interest 2LW&124 20,011,973 2￿￿212 20.301185 231￿.12} Expenditure on Social Ventures Trading l ln2025 31 Dec2023 l 1*02022 to 31 Dec2022 Costs ofSaJ2 5ocAI VtnltsTes GTOUP of0)mpa￿S Opera¢ion¥l costs the So£ialVcntUTes Group of CDmpa￿s Governano costs i(P)1.722 1,241.153 84,5TI 3.417.452 690,649 1126,028 49,5T7 2A66,254

Notes to the fiDaDcial statsnents IAsof31 December 20231 Expenditure on charitable activlties I lau 2023 kn 31 DK202J l J•n2022 to 31 Dec2022 Grants io iThsli￿t￿ns sd￿larShIP awarded Mi55M>n driwen pro8rammes Support costs of8rant mahngandprogramme 163,799 14,903 11.070,274 815.626 I1064,(￿2 74.164 13.175J58 IA9. 14JWJ02 202J 2ts2J 2023 Edu(3tion Water M￿l¢j￿ Proth￿1v￿Y Mi5s¥Jn &472.451 3.121,OYJ 1.581357 13.175058 74.164 1,063.829 3￿489 1962 1,649,2 9.61(k.444 3J09539 1.779J19 14,899J02 74.161 2022 2022 2022 vs$ FAuotion Mi¥ion Wattr ML%SiO 7j￿.rn .475 lJ71.rr47 11.070.274 17&702 527. 189,132 99,414 815,626 7,796,485 2.797.606 1,470,SIO I1064.60I ProductiiryryM&%swo 178,702 We have restructured the way we analyse and present our activities to alwi with our Dew Missions. As part of this restructwing, our agricuiture and heajth initiatives have now been combined under the Products"vity Mission. Consequently. wehave also Testructur¢d the presentation of ouractivitie5 for the year 2022 to ensure consistency. Support costs have been allocated to each of the above acti￿tieS based on the resource5 used during the year. IN￿1023 31 De¢2023 l ln2022 to 31 Dtt2022 Commuoi(Ations & Finantt ¢o$ts GeneTai man*gement Offite and prem￿$ Staff costs Gowrrbance costs l(W,2 743 63,086 429 94,899 70,233 438.402 148.576 815,626 12.917 .lJ7.856 1.649,ts0

Notes to the financial statements (As tsf31 December 20231 Net movement in funds Th&$ ¥ $i#i¢d ￿te[th￿r81￿& 11402023 to JI Dx2023 l JaD2022 to

1 De¢2022 Staff costs (Nott 81 Pareni mmpJny Judiiofs TethwratA)n . $tatuioryaudit 5ervK - other servKes Other companies 4udJEor's remUnera￿n - srailltory audi¢ seThos - other stry￿S 7.553J53 5,954,835 69.7 s￿47 51.642 41291 31,578 961.124 31.615 9J45 771576 232,531 363,556 Depreaation L05s on dlsposalof assets OperatUL8 lease renta 477,862 Staff costs. key management personnel and trustee's remuneration l lan2023 to 31 D¢c2023 us$ I l•D2022 to 31 D￿2022 Employees - wages attd salarit$ - SOCYal$ecuritycosts . ¢mpK)yet pension 7.125259 118557 3(Y),537 7553J53 5ffj74M2 38.732 241.481 5.954J35 The average nwnber of employees during the period totalIed 557 {2022: 4621. This is anaiysed as follows: 11tt2023 31 Dtt21)2> 11th2022 31 Dec2022 Number of support Staff Number ofpTO8ramrne Staff Number of s￿11] ver*Lur¢s $taff 12 481 407 52 557 51

Notes to the financial statements (Asof 31 Detembtr2023) I I￿1202310 31 D¢r2023 I T￿2022 to JID￿2022 Employees with emohjments betweenE61(Ql to £70,((l] peT annum Employee5 With ernoluments between £70.(4)l io £W.fthpeT annum Empioyee3With cmoluments betwecn É8QO)I to VJ).((l) pei annum Employees Mryth¢molufftettts between to Él(X).(h) perannum Fjnployees With emolwrttrttsbetwten £I(KL￿1 to £IIO.CI))per Employees emolttmtntsbetwten £ll(Lper annw Employees with ernolumentsbetwetn £14QCQI to £15QryX)pei annum Empltsyees with emolwnerttsbetwten £1￿￿1 LO £i&ir#x)pet annum Employee$ with emolumentsbetween 61￿￿1 10 £17QtWptr annum Employees with ernolwnentsbetween UgXO)I to ￿.[￿Oper annurn io The key management personnel of the Group comprise the Tn￿teeS of the Pharo Foundation. the CEO of the Foundation. and the Executive Team. The Executive Team. which reports directly to the CEO, indudes the Chief Financiaj Officer. Chie(Operaling Officer and ChiefResearch and Evaluation Officer. The totaj remuneration of the key management personnel was US$ 972,95512022: USS 455.(N)9). mairjlydue to rhe hiring of some key staff durfftng ihe yeaT. The charity's CEO is renllmerated with US$ 353.424 (2022.. US$ 80.969). No Trustees received any remuneration or reimbursementof expenses in their capacity as trustees. However. the Foundation catered for the TTuslees travel expenses in conDectiorh with their duties as Tn￿tee$ during the year. amounting to $ nil (2021. 4 Tn￿tttS - US$ 15.222). Tangible assets Wo At I bro￿ryI ¥7J 17 yWJlg 14D7J67 (￿.￿3 Jx• Wnkdo Isw> ILiXIJ Jtss) (J5llm JtsQ5m4 IFJ.4UI IS96J7 JJJts536 974 At I￿r￿ry Ch4ryef4tth¢wwd 12￿5 561J6S IJ 561.1 IxgJJ IJW4 (iui 14MI lSJ.76n hT31 Dtttthb¢rlQRS AtJJDthTrnbor¥JU Jniij IsypAr 8> s312￿? 5AI*930

Notes to the financial Statements (As af 31 December ZOZ3J At l ￿rI￿ryI1￿ 451.1 uii 719 TT•nrf¢rs 1 915) 9151 167391 I￿1?￿1 4151391 (&7 PU257J AIJIDtr£rnbEr 311917 iJ37. 454512 AI IOL571 J•tho lorthtpyw 5P).ts76 ISA#I 15.44 1)4.J Ai31 Is Iwii 4W.IM J.159 I.5￿783 At)1 De£￿br[S Al)1 De<¢￿￿tr￿)I2 131¥6 iJw)I IfJJ9 Is IW35 Its5 The tTansfers mainly relate to work iti progress that was transferred to the bUild￿g asset category during the 10 Intangible assets - goodwill 2023 ttss 2022 V5$ VahK at I lanuary 2023 AdditiDns 804,733 VAU¢ ¥t 31 De(rruber2023 W33 Va]ue at I lanuary2023 Charge forthe per¥Jd V41ue at 31 December 2023 113A12) 79JJ21 The Foundation acquired Tender Care Junior Academy (TCJA) in Nairobi. Kenya. The acquisition induded paying an amouni exceeding the fair value of the assets. resulting in the recognition of goodwill. The amortisation expense has been charged under other operating expenses in the statement of profit 01 Ios5. 11 Investments 2022 2023 2022 Unlistcd In￿Strnents Inve$imenl in subS￿lary10mpanY i￿￿.766 IhM.766 IWbJ321 13,893.594 15.696A15 I.￿3,221 848.331 8,651,552 1.804.766 I,￿,766 53

Notes to the finallaal staternemts (A50f31 December20231 202> 202Z 2023 20L1 U5$ Value at 01 lanuary2023 AdditN)ns Value at 31 December 2023 I￿.7&% 1Th.766 &65155J 7,045,262 15.696,813 4.057.705 4,593.846 8.651.551 IM4.766 Im4.766 ZJ 2022 2023 2022 uss Urtltsted investments Inve$thJent ul subsyjiarycompany &151512 5.151.542 &I51J42 11,795,4 16,94&9n 5,151,542 8.318.377 13,469.919 5,15LJ42 5.151.542 UJthstedInvestn3ents Investment by the Group represents its invesiment in Pharo Management (UK) LLP. Lynk aTha New Forests Cnmpany Holdings Limited. In the absence of readty determined and reliable fair va]ues. these unlisted investments are stated at a vajuation deterniined by reference to the purchase or sale of shares between existing shareholders. At the yeaT end. Pharo Foundation control$ the following subsidiaryentities all of which #re consolidated in these financial siatements= N•¢ure ￿b￿S￿eSS Pharo Development Investment Lirnited I'PDtL') Pharo Foundation- loo% Cxjmpany limited by shares (England &Wal¢sl Company number T175576 PDIL'S princip81 actrviry js to receÈve profit distribuiions from Pharo Management {UK) LLP and make charitable donxtions Pharo Foundation. Pham Enterprises Limit¢d I'PEL.) Pharo Foundation. io Company limited by sh3res (England & Wales) Company limited by shares (Somali]and) Company number 12211206 PEL is a holdin8 company whose principal ￿tivIty is to establith Soctal Enterprise$ in East Africa. Pharo Ventures Somaldand Limited I'PVSL.) PhaTO Ventures Kenya Limited - I￿)% Companynumber 18120 The primary principle activity is to serve as a holding company for )cial enterprises with overall goal of Crrating jobs. ensuring positive Soci￿ irnpact and generating profits for lortg-ierm sustainabJiry o(both subsidiaries and the company. The printipal activity of the company is that of direct involvement in Tendering all types of contractua] activities in Pharo Construction SomalJ]and LTD IPCSLI Pharo Ventures SomalL]and Limired- Company limited by sharts {SoTna]dand) Company number 1281

Notes to the financial siatements (As of31 December20231 99.9% constsllction including building and rehabditxtion. design, surying. as wdl as road. airpons, weus and dam o)n$truction. The company is also involved in hiring construction rnachinery. concrete and equipment. The Rea] Estate principle activiry is proYAsion of real estate servicts. It is an income-generoting entity of Pharo Ventures Somaliland Lirnited The Farrn is an income- generating part of Pharo Ventures Somaliland Ventures. Pharo Real Esiate Som8Mand Pharo Company limited by thares Company nurnber 1759 Ventures Somamand Luniled- loo% ISomknd} Pharo Farrn LTD Somaiiland IPFSL) Pharo Venture5 Somaliland Limited- Company lirniied by shares ISoma]i]andl rnpany nwnkn 1758 Pharo Integrated A8ricu]ture & Manufactwing PLC Ethiopia (PVETI Pharo Venttwes Kenya Luntted - 99.9 G)mpany limbied by shares (Ethiopia) RegL$tered number IQ73029357 The principle activity is engaging in manllfatturing of edible 01], farming and agro-pr(Kessing of oil seeds, wholesaje of own prcducts with the objective of generating profiis. The Farm is an intome- generating part ofPharo Foundaiion's Ethiopia r3Tnme. Pharo Foundation Farm ('FAIIM'I Pharo Foundation- C￿mPanY limited by shares Registered number MTIAAIO/OO50443120II (Ethio Company limited by shares (Kenya) Pharo Kenya I'PVKL.) Ven￿re$ Limitcd Pharo Enterprises Limiied- l(K)% cOrnp￿y nwnber P￿- EYU97BY The princip313Cttvityof the company is to build and Bmw. commercially and ethvironmentally sustainable businews. with a focus on rnaxim15ing creation of economic value andjobs, for the local commllnities. PFKE is a non-profit making entity whose PrI￿lp*1 adivlty is to carryout related charitable piograms within the country. The PTincipal 3CtLVities of the partnership are those of ptovision of educationa] service& Pharo Foundation Kenya Phato Foundation- Company lirnitedby RegJs¢ered nwnber 1951954.1 (Kenya) Pharo LLP Schools Pharo Fowidation Kenya- and Phato Ventures Kenya Limited - i Rw"$tered number LLP- 7R15D17 Liabllity Partnership {Kenya) 55

Notes to the finanaal ststemettts (ksof 31 Decernber Z023) Pharo Foundation Rwanda Ltd I'PFRW'I Pharo Foundation- Company ]imitedby guarantee {Rw3nda) Cornpany limited by shares IRwanda) Ry"5tered numbtr I12266894 PFRW is a non-profjt making entiry whose principal activiry 1$ to carry ollt relattd eharitable progroms within the country. The principal activityof the cornpany is to build and grow. cornmerciaity and tnvironmcntaily Sustsinable businesses, with a focus on m&xirnisiDg creation of economic value andjobs. for the local communitie5. This entity remaineddormant durin8 the Pharo Ventures Rwanda Ltd ('PVRWL'I Pharo Venture5 Kenya Limited - ICwJ% Rwstered number 112174801 A summary of the results ofthe above subsidiaries for the year ended 31 Decernber 2023 is as follovLS: l.X94 (wii 1rn7lQ) pwrl rt[c￿l IM710) I.J¢4Sg3 (5 ¥JJ3J 14F3 )71) y7J fl5￿ Ai3llkornbÈtThllJ 41¥ iJrn A summary of the results ofthe above subsidiaTies for the year ended 31 December 2022 is as follows.. )￿llY15 •J7AI• 1S>U17 IIS1&7W) (1￿5 Rll (6 (XOJoi4) IS (614¥ ThpAtp 5) 411Jil (61 IU14) PlJ5• (IL2 D￿￿￿bEr))2I (45*41• (1.1i3J19) 441.7JJ ArStDtttmb¢raVi lJ4IJiJ

Notes to the financial staternents IA$ 01 31 December 2023) 12 Debtors due after one year FonTbJatlott 2022 2023 2022 2023 V5$ us$ SthotsTsh* 4waTded loans 81.IV4 81.074 l4,9)3 1<9)3 81.074 81.074 I4.￿3 I4.￿3 13 Inventory 2023 2022 2023 2022 us$ IrLveThtory. Medx Invtntory- Fuel Inventory- RMC 69206 2Q182 15.711 io&ioi 14&112 14J16 Il55 163.083 69206 ZO.182 14A112 I4￿16 89.388 I￿.92& Inventory consists of medical supplies thai are used at the Pharo Diagnosti¢ CeDtr< a depot of fu¢1 stored mainly due to a shortage of fuel in the country and construction materials at hand from Pharo Constru¢tio Limited. No inventory w&s carried fonwd from thc PTioryear. Medical supplies are valued at FIFO method. (uel is reported at its cost whereas construction materials are valued by a construction engineer at year end. 14 Debtors 2022 2023 2022 Aca)unts rtceivabk 185573 881.214 321461 71.￿5 325998 41￿95 621164 210.491 19&298 In824 31128 749.978 ,168 6&238 1&108 47&792 Prepayment$ A(uued Incom¢ Sundry dtbtOTS Dtftrrtd tax atstt Amtsunts due frorn sub3ti4traryundertskn8 4%132 1.391 9y9,￿3 19.219 55&251 1,78?,152 1.245.672 Sundry debtors Rndude rent deposits of US$ 57.117 (2022 - US$ 50,065). The rent deposit is subject to a charge against all sums due and all Pharo Foundation's obligations under propertyleases. 15 Creditors: amounts falling due within one year 2022 2023 2022 Grantspayabie AccruiL% Pro7rision forsevtr•n(t irtdemnili25 Def¢i¥ed I[￿j￿¢ Corporation tax payabk Sooal seojrity and other tsxes Tradt and otheT payablt$ 61337 545￿94 451J45 61337 256,668 419,636 18.265 884.703 6n.045 364.771 iioi 1(4392 34).912 2.426 820,003 567.974 40,498 2￿? 21L47I XX1324 1,671,759 157Jl5 I￿.78) lJ36.573 37.038 240,740 1.034ffj84 57

Notes to the financlal statements (As of 31 DeteThbEr20231 The provision (or seyerance indetnnities rdates to mandatory schemes which the group has in place outside the UK to provide for staff benefits on cessation of their emplo￿neDL 2022 2023 2022 Va]ue at 01 laThuary2023 Les5". Amoutkts pa Add. Benefiis acojrcd FX on eA£bange ra Vajuc al 31 December 2023 45lJ45 I94,￿) 3UbJ45 14.937) 671015 264,247 1540121 241.910 419.636 184.9421 238.217 14,9371 567.9?4 256,862 I45,￿) 207,982 451J45 419,636 2022 2022 Value tOI ja￿ry202} L<ss'. Amwjts Ttlt4Std in tht 2%541 118561 18265 20,612 year Add.. Arnounts defeTred In the year FX on eAthaD8t ral¢ v￿lle at 31 December 2023 {476,371) 544*23 (22) 364.Tr1 (18A421} 361397 {88,8531 184.0411 I￿11 40.498 18365 16 Designated funds Netxv Jmp￿Ed1 At I l•o2O23 At31 Dee20Z3 Imp#a Snvesrments vt$trnents i.WJ1222 1.803.222 Tangibk r￿ed assets 5.819.931 7.624.697 6.259.626 6.259.626 1892.8491 18918491 11,18&708 12,991,474 IReduthdi Atl I￿2023 At31 Dec2023 Impaa izhvestsnetsi$ rjwestsnents Tansible ft¢ed assets JMb3223 848.329 3.950.943 IW1495 1,803.223 13.893.591 7,044,491 21,741.305 7.015262 3,619,277 10.664.5Y) 1525,n91 {525.7291 58

Notes to the financial statements (As of 31 DE¢¢nJber 20Z31 The income fund5 ofthe Group and the Foundation indude the following designaied fund$ whith have been set aside out of unrestTiCled general funds by the Trnsiees for specific purposes. The Impact investments fund represents monies which the TnLStees have inve￿ed in enterprises whith deliver both financial and mission related returns. The Investments in the 8roup represents the investment of PDIL in Pharo Mana8ement (UK) LLP. The Investments in the Foundation Tepresents the investment in the socd ventUTe's subsidiaries. The Tangible fLxed assets fund represents the net book value of the.group and charity'5 tangible fixed asseis. This value has been set aside to highlight the faci that the tangible fixed assets aTe required for the group and thariws activitie5 and are not available a5 a reserve to fund expenditure or meet future conlingencies. 17 Taxation Pharo Foundation is a rep'stered charity and, therefore. is exempt from incorne t￿ or corporation tax on incorn¢ derived from lis tharitable a¢tiviii¢& as it falls withln the Vario￿ exemptions a￿lIable to registered charities. The Foundaiion's UK subsidiaries aids all pmfits (where appIicablel to Pharo Foundation and hence no tax is payable by them. The Foundation's branches and subsidiaries re8iStered in Ethiopia. Kenya, Rwanda and Somali]and are non-profit makin& non-govemment organisations. UndeT the re5pe£ts"ve local laws aDd regulations, these overse&s opeAtions are exempt from income Pharo Ventures Kenya Limited is an overseas 5ub5i(h"ary resident in Kenya for tsxation purposes. The Sta￿tOry t&x rate appb'cable for the year 2023 was 30% as per the Tax Laws (Amendment} Act 2020. As a result, the tax charge for the year was US$ 17,224 (2022 US$ 32.583). Pharo Ventures Somaldand is a subsith.ary of Pharo Venture5 Kenya Limited and Pharo Construction Limited is a subsidiary of Pharo Ventures Somaliland and are regulated under the Tax Laws of Somaliiand. The statutory lax rate appkn"cable is 12.3% of busin¢ss profit. No tax tharge was reported during the year. as both companies ￿e￿tted losse& Pharo Integraied Agriculture & ManufacitirTrng PLC Rs a subsidiary of Pharo Ventures Kenya Limited and is regulated under the Laws of Ethiopi& The statutory tal rate applicable is 30% as per Proclamation No. 97912016. No tax charge was reported during the year as the company re￿rted losses. 18 Related party transactions Pharo Foundation is fijnded by a proportion of profits realised by Pharo Management {UK) LLP, US$ 22,008,12412022, USS 20.011,973M). where Mr Gu￿aurne Fonkenell is a Managing Member. Durin8 the year, a trustee. Ms. Farah Jirdeh Fonkenell, entered into a lease agreement with Pharo Foundation Somaldand, 8rants.ng a 99-year lease tenn starting I luly 202J. at an annual rent of USS I.

Notes to the financial statements IA5of 31 De¢ember 20231 19 Analysis of net assets between funds Gtntral Desi&Dated fun& 2023 uss Total 2023 uss 2023 Group uss Tan￿lIe fLttd asstts 11.18&710 11.IPA710 791221 IA04.7&S 23.944,491 37.727,268 791.ui Inve51mcnts Net currcntasse13 1.804.766 121 12.991.474 21944.493 14.735.814 Designated Total 2023 2013 2023 uss FoutMl&tioD USS Tan￿1¢ ftt¢4 asst Intanybk Invtstrnents Ne¢￿TTent a&5ets 7.014.477 7.044.477 l5hW15 1&6WIS 21.770,677 4*￿)3,2 21.770,654 21561.985 32,741,305 Dcsisnated 2022 2022 2022 CTOUP uss r￿ed asstts InvE5tments Net current assets S819.931 I,￿,766 5019.931 1th.7(6 23.04&7 30.673.493 23.048,796 7,624h97 Desi￿ated fuDds 2022 uss Total 2022 2022 uss Fow¥Jatiorb uss Tan&ble fixed asscts ]nveslnients 195Q943 &651.552 3.950.943 &65I.552 19.856,589 33,459.084 Nti current assers 19,856,589 I9.8￿.583 I1￿3A95

Notes to the finanflal statements (Asol 31 D¢<¢mber20231 20 Financial commitments At 31 December 2023. Pharo Fowidation had the following future commitments: 2023 us$ 2022 [￿$ iatsd & Buildings.. mitiimvm operntir¥le•se wmrnitiDents Less than one ￿aT - Between two to fiyc ycais 371OIJ 639,020 1.01&032 IYJ,078 349.346 54&424 Stho14rsbips Awarild. I￿$$ than onc year - Betwe¢n two to fjye y¢at$ l75,Y)5 93522 187,043 380565 631305 Plant &Mithinery Commilmenl&"oJntsartcd for and authorised Dot CONT4dcd for - I£ss than one year 3.08lJ86 3.081286 4,725,623 828.989 21 Post balance sheet event No significant event happened from the date of this report.