Charity registration number: 1167686 

## Prospect Burma 

Trustees’ Report, Independent Examiner’s Report and Financial Statements 

for the Year Ended 31 March 2021 

Crowe U.K. LLP Fourth Floor St James' House St James Square Cheltenham Gloucestershire GL50 3PR 



## **Prospect Burma** 

## **Contents** 

|Reference and Administrative Details|1|
|---|---|
|Foreword from Prospect Burma Chair|2|
|Trustees' Report|3 to 15|
|Independent Examiner's Report|16|
|Statement of Financial Activities|17|
|Balance Sheet|18|
|Statement of Cash Flows|19|
|Notes to the Financial Statements|20 to 31|





## **Prospect Burma** 

## **Reference and Administrative Details** 

**Patron** HRH Prince of Wales **Chairman** Michael Marett-Crosby **Chief Executive Officer** Hannah Marcazzo **Trustees** Michael Marett-Crosby Lindy Ambrose, Vice Chair Daw Kyi Kyi May Guy Slater Caroline Courtauld MBE Joshua Htet (resigned 24 March 2021) Richard Atterbury Martin Smith Stephanie O'Connell Kathleen Mathea Falco 

Hannah Marcazzo, CEO 

**Senior Management Team** Hannah Marcazzo, CEO **Principal Office** 1st Floor 29 New Bond Street London W1S 2RL **Charity Registration Number** 1167686 **Bankers** Royal Bank of Scotland 50-54 High Street Crawley West Sussex RH10 1YZ **Independent Examiner** Crowe U.K. LLP Fourth Floor St James' House St James Square Cheltenham Gloucestershire GL50 3PR 

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## **Prospect Burma** 

## **Foreword from Prospect Burma Chair for the Year Ended 31 March 2021** 

The year under review has placed extraordinary burdens on the people of Burma, first by the impact of the COVID-19 pandemic and then on 1st February by a military assumption of power that has led to terrible and indiscriminate violence upon the country. 

Amidst these multiple challenges, our grantees and alumni have responded with unwavering commitment - as medical practitioners, as community leaders, as innovators in business and civil society, and since 1st February as people who will not give up on freedom. They are facing the military with courage, and a commitment to an inclusive and democratic future for Myanmar. 

Prospect Burma was established in a time of crisis. Our first task as a charity was to find ways to help students fleeing from an earlier military coup. Our history and our present commitment have given us the tools by which we are responding to the multiple crises of 2020 and 2021. 

In the year under review, we have continued to build opportunities for young women and men to access education. Our focus on under-served communities has enabled students from across the country to engage in our online access and scholarship programmes. Once again, some remarkable candidates have come forward for our awards. We are proud of them, and all that they will be. 

Our patron, our donors and our trustees have together shown great commitment to Prospect Burma. I would like to thank all of them, and especially our dedicated staff in Myanmar and the UK who have worked so hard and under such adverse circumstances. As Chair of Trustees, I could not be more impressed by all that our teams have achieved this year. 

Prospect Burma has foundations that will support us as we enable young people in the country to build the skills that a free Myanmar will need. 

Myanmar is now facing a new darkness. Education and boycotting education have both become acts of revolution and protest. When education loses either way, so does Myanmar’s future. Prospect Burma has its part to play in keeping hope alive. 

In that darkness, each act of bravery to think the new thought, to challenge closed and corrupting ideas, is a point of light. Out of these many points of light, a brighter day will dawn for Myanmar. 

Dr Michael Marett-Crosby 

Chairman of Trustees 

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## **Prospect Burma** 

## **Trustees Report for the Year Ended 31 March 2021** 

The trustees present their report and the financial statements of Prospect Burma CIO (the “CIO” or “Prospect Burma”) for the period from 1 April 2020 to 31 March 2021. The CIO is the successor charity to Prospect Burma, an unincorporated association operating under the terms of a Trust Deed dated 7th December 1989, all of whose assets, liabilities and charitable activities were transferred to the CIO on 1st April 2017. 

## **Objectives and Activities** 

The formal objectives of the CIO as set out in its constitution are: 

- to promote and enable the education and/or training of any type of people in or from Burma (Myanmar) in any way that the charity trustees think fit, including but not limited to awarding such persons scholarships, maintenance allowances or grants tenable at any school, university, college or institution of higher or further education or training. In furtherance of enabling such education or training, make such grants or provide such other support to such educational institutions as the charity trustees may think fit; 

- to encourage returning scholars to impact their communities positively upon return to Myanmar, by supporting and providing grants to alumni led training, networking, community interventions and related activities. 

Prospect Burma fulfils these objectives by providing university scholarships to people from Myanmar, supporting programmes that facilitate access to tertiary education outside Myanmar and providing networking opportunities and support to returning graduates. Our vision is to see Myanmar made new through the expertise of its people. We want to facilitate positive change in the country, which includes helping to create cultural bridges to repair relationships among different ethnic and religious groups. We continue to deliver on our objectives despite the triple ravages of regional armed conflict, COVID-19 and since 1st February 2021 the military coup. 

Myanmar is lacking the skilled, educated workforce it needs to repair the country’s damaged infrastructure and institutions, and support the peaceful rebuilding of civil society. Prospect Burma believes that the best way to create positive and lasting change in the country is through investing in education. We provide education opportunities to dedicated, talented people from Myanmar who have a realistic ambition for making a difference. We reach out to remote regions, including those affected by conflict, to help individuals determine a path for their future. We support their education abroad to gain much-needed skills, qualifications and intercultural opportunities that they cannot get at home. 

## Our values: 

We are inclusive – we support students regardless of ethnicity, gender or religion. We are accountable – we take pride in delivering our service with integrity to our supporters and our students. We are expert – we have been dedicated to our cause since the student uprising of 1988. We understand Myanmar, its complexities and challenges. We invest in appropriate education to ensure our students receive the skills and expertise the country needs. 

## **Public Benefit statement** 

The trustees review the aims, objectives and activities of the charity each year. This report looks at what the charity has achieved and the outcomes of its work in the reporting period from 1 April 2020 to 31 March 2021 and notes significant changes in the period since the year end. The trustees report the success of each key activity and the benefits the charity has brought to those groups of people that it is set up to help. The review also helps the trustees ensure the charity's aims, objectives and activities remain focused on its stated purposes. 

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## **Prospect Burma** 

## **Trustees Report for the Year Ended 31 March 2021** 

The trustees have had regard to the Charity Commission's general guidance on public benefit when reviewing the charity's aims and objectives and in planning its future activities. In particular, the trustees consider how planned activities contribute to the aims and objectives that have been set. 

## **Context** 

Prospect Burma delivers three programmes which consecutively provide a bridge for under-served people from Myanmar to access higher education, study abroad, and then return home to make a positive difference in their community. They are called Access to Learning, Learning to Leadership, and Change in the Community. Details of each are described below. 

Each programme has been affected in 2020-21 by the triple crisis which has developed in Myanmar during the year, the elements being: 

   - The military’s assumption of power on 1st February 2021. This has reduced internet access, 

- (1) and placed an unacceptable risk on people meeting in groups, including our staff, alumni groups and student classes. 

- COVID-19 has caused many restrictions to be placed on travel both within Myanmar and internationally. While the necessary restrictions have been greater than the medical risk for 

- (2) many during this financial period, the spread of a number of different variants in the region creates a very real danger for beneficiaries, staff and partners. 

- For the past seven decades, armed conflicts have continued in many parts of the country. In recent years, the main struggles have concentrated in the ethnic borderlands that surround 

- (3) the central Irrawaddy plains. Since February 1 armed ethnic groups fighting against the military have seen a surge in new conscripts as protesters - primarily young people from across the country – seek to take further action. 

Myanmar’s poor infrastructure and weak institutions magnify the impact of this triple crisis. For example, people fear they will lose their money from the banks, but bank staff are widely striking and the banks do not want to lose reserves, so people are unable to access cash to buy food. Thus, businesses cannot access money for wages, farmers are unable to access funding to purchase agricultural inputs to grow food and prices rise as supply falls. As food shortage increases, so does health and vulnerability to COVID-19. A multi-faceted humanitarian crisis is unavoidable which will be further exacerbated by armed conflict and human rights abuses. 

Education within Myanmar is already being widely impacted. As of the end of the financial year, many education staff in the country are either detained, on strike or in hiding, and some schools have been repurposed for military use. Parents and students are also widely reported to be boycotting schools. 

This can only exacerbate Myanmar’s multiple crises, as young people will increasingly enter a shrinking employment market with fewer skills. The population will become less equipped to tackle its challenges, at the same time as those challenges worsen. 

The potential value of Prospect Burma’s work to help individuals in Myanmar is thus greater than ever. While Myanmar needs the assistance of aid and campaign INGOs urgently, the long term need for education will become greater. Prospect Burma’s focus on investment in young people to develop skills and ability to tackle challenges for years to come, and to promulgate that knowledge, is the only way Myanmar can turn itself around in the long term from the dark times it currently faces. 

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## **Prospect Burma** 

## **Trustees Report for the Year Ended 31 March 2021** 

## **Our Activities** 

## **Access to Learning** 

Access to Learning provides people from under-served areas of Myanmar with the opportunity to gain vital foundation skills, from which our students can either progress to Learning to Leadership, or gain skills and qualifications that will help them in the workplace. For young people from these areas, the idea of studying abroad seems like an impossibility. Working with regional partners, Access to Learning provides key skills including critical thinking, cultural exchange, and internationally recognised English language qualifications, vital for international study. With religious and ethnic tensions causing ongoing conflict throughout the country for many years, exposure to new ideas, religions and ethnicities is a core component of Access to Learning. 

In 20/21 our Access to Learning programmes were directly impacted by COVID-19; none of the face-to-face activities were able to go ahead as planned. However, we rose to the challenge by designing and launching some online learning initiatives during this time and we were able to extend basic English educational activities to young people in Rakhine State. In early 2021 we had planned to launch a second online programme, Prospect Connect, but this was delayed by the events of February 1st. 

In 2020/21 we spent a total of £57,089 on Access to Learning (2019/20 £111,331). 

## **Sittwe Education Resource Centre (SERC)** 

In January 2020, Prospect Burma in partnership with Scholar Institute launched a new education centre called the Sittwe Education Resource Centre (SERC). This Centre, located in Sittwe township of Rakhine State, was designed to support young people from across all parts of Rakhine State to develop critical thinking techniques, gain English language skills, digital literacy, and cultural and social awareness. It would also support these students with their applications for higher education scholarships, and their involvement in community development projects. 

By April 2020, Rakhine State had become the first state in Myanmar to record notable numbers of COVID-19 cases and it became clear that students would be unable to attend the centre in person due to health and safety concerns and government guidelines. 

Scholar Institute moved quickly to introduce online tuition engaging Panna Online School to deliver pre-intermediate English courses to 76 students over two batches. They also ran English language conversation groups, scholarship information sessions, online discussions and seminars on topics relating to social science and professional skills development. These activities reached in total over 1400 young people from Rakhine State throughout the implementation period from January-November 2020. The total cost for the SERC project was £43,769. 

In 21/22 we plan to repeat the SERC project. Prior to February 1, Rakhine State was suffering armed conflict with ongoing internet blackouts imposed in certain locations. However, since February 1 the situation in Rakhine State has stabilised and has not seen the protests and violence witnessed throughout the rest of the country. Internet services are restored in some areas. The SERC project will commence in the summer of 2021. 

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## **Prospect Burma** 

## **Trustees Report for the Year Ended 31 March 2021** 

## **Prospect Connect** 

Prospect Connect was designed as a response to the COVID-19 pandemic to provide 43 individuals from under-served communities an intermediate to advanced English language course online. The project also addresses the geographical and financial barriers preventing them from accessing higher education. The launch date was delayed from February 2021 to June 2021. Applicants to the course are in a number of States across the country, including Karen, Kayah, Shan, Kachin, Chin and Rakhine. 

The educational component of the course will be run by EduLink. Prospect Burma will provide internet data packages for students to access the course on their smartphones, and finance their travel to and from Yangon to take their International English Language Test System (IELTS) test at the end of the course. This test can only be taken in Yangon under British Council exam conditions. 

During this 17-week intermediate to advanced English project, the 43 diverse set of students will engage with topics associated with pre-higher education abroad. This will include wide-ranging topics such as civic education, global health, sexual education, financial management basics, and the modern history of Burma. Many of these workshops will be led online by Prospect Burma alumni. 

Once students gain an accredited English qualification by taking the post course exam, they will be eligible to apply to universities to study abroad. Prospect Burma will monitor the higher education and career progress being made by these students for up to 12 months after their scholarship and provide them support as needed. 

## **Learning to Leadership** 

Learning to Leadership supports dedicated and visionary people from Myanmar who have a realistic ambition to make a difference in their country. We support students who are united by their desire to build a better future for Myanmar through gaining vital skills that are desperately needed. We reach out to remote as well as conflict-affected regions, to help prospective students select the right course for their future, and support them in their education abroad to gain much-needed skills and qualifications which they simply cannot get at home. 

Studying abroad is an incredibly daunting prospect for many people who may not have left their villages before, let alone boarded a plane to a distant country. Many of the people we support have experienced huge hardship in their lives, from civil war and devastating natural disasters to childhood poverty, and as a result they have a deep and passionate desire to change their country for the better. The time they spend abroad exposes them to different cultures and different ways of thinking. It gives them an opportunity to engage, work and live with people from other religions and cultures. Through our Learning to Leadership programme they become change makers who go on to effect positive and lasting changes in Myanmar. 

Prospect Burma scholarships are provided to university students from Myanmar to help cover the cost of university fees, living expenses, educational resources and transport. Each new scholarship application is considered by the Scholarships Committee and graded on several criteria. Once a student is granted a scholarship, Prospect Burma aims to continue supporting the student annually to help ensure successful graduation. 

Prospect Burma imposes strict criteria for eligibility to ensure that our scholarships programme is fair and prioritises those who will benefit the most. To be eligible, applicants must: 

- Be from Myanmar 

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## **Prospect Burma** 

## **Trustees Report for the Year Ended 31 March 2021** 

   - Demonstrate a commitment to helping the development of Myanmar or to service within their home communities 

   - Show proficiency in the English language 

   - Provide evidence of prior community engagement and leadership potential 

   - Provide proof of acceptance at a recognised college / university 

- In the 2020/21 academic year we awarded partial scholarships to educate 52 scholars from Myanmar: 

   - 35 continuing and 17 new students received PB scholarships. 

   - We try to maintain a gender balance while awarding scholarships, although this is dependent 

   - • on the applications we receive. In 2020/21, 37% of scholarships were awarded to men and 63% were awarded to women. 

   - Our commitment to diversity is reflected in the ethnicities of our 2020/21 scholarship 

   - • recipients: Bamar (14), Karen (12), Mixed ethnicity (8), Chin (7), Shan (4), Kachin (3), Mon (1), Arakanese (1) Lisu (1). 

   - 49 students (89%) are studying in Asian universities. 

   - The total cost of the Scholarships Programme in 2020/21 was £402,562(2019/20 £514,256), an average of £7,742 per student. 

Each year we prioritise subject areas that reflect the changing needs of the country, as set out in Table 1. Developing partnerships with universities and corporate partners is also helping us expand the range of subject areas we support. 

|the range of subject areas we support.||
|---|---|
|**Priority Subject Areas**|**Other subjects we consider**|
|Information and Digital technology/Computer Science|Conflict/Peace Studies|
|Engineering|Education (General)|
|Ecology,<br>Environmental<br>and<br>Sustainability<br>Studies,<br>Maritime Conservation|Communications/Journalism|
|Finance and Accounting|HR<br>Management/<br>Organisational<br>Development|
|Law|Nursing|
|Education<br>for<br>people<br>with<br>disabilities<br>(Special<br>Educational Needs)|Pharmacy and Public Health|
|Responsible Tourism|Medical<br>Technology/Medical<br>Imaging/Radiology|
|Mental Health and Psychology|MBBS|
|Urban Planning and Architecture||
|Public Administration and Governance||
|History and Cultural Studies||



## **Table 1: 2020/21 priority subjects for scholarships** 

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## **Prospect Burma** 

## **Trustees Report for the Year Ended 31 March 2021** 

COVID-19 has affected all scholars’ studies. We assisted some continuing scholars to remain in their host international city during summer 2020 due to travel restrictions. Even in situ, many had to take some classes online due to campuses being closed. 

We assisted new students to overcome logistical issues caused by COVID-19 including visas expiring while waiting for a travel window, or quarantines being imposed. Some were able to defer to begin studies in the second semester. 

A handful were unable to travel abroad at all during this financial period. They studied online from home instead. This became increasingly difficult following the political changes of February 1 as students were faced with nightly internet shutdowns, as well as the worry and lack of sleep caused by the anticipation of night raids. This was especially difficult for those attending remote lectures at night because their university is in a western time zone. However, we expect that these students will have successfully left Myanmar and reached their international university by July 2021. 

Our scholarship programme will continue in 2021/22 despite the changed political situation. Alongside the application window which opened in December 2020, Prospect Burma and our outreach partners promoted our scholarship opportunities by delivering 25 online sessions on Zoom and 4 on Facebook Live, together reaching 1,745 young people (1040 female and 705 male). 12% of attendees went on to be among 613 applicants for scholarship places. The applicants constituted 23 ethnicities, 52% (320) were female and 48% (293) were male. The application window closed on 31 January, hours before the military assumed power. 

## **Change in the Community** 

After graduation, it can often be overwhelming for returning students to know how to put their skills and enthusiasm to best use, and begin making lasting change in Myanmar. An extremely high percentage of our change makers return to Myanmar after graduating; our 2020 alumni survey indicated that 89% of graduates returned to Myanmar within five years of completing their studies. Upon their return, we introduce graduates to our network of change makers, helping them form vital contacts and find career opportunities. Those who don’t return often contribute to their country in other ways, and can be found working at International Non-Government Organisations (NGOs) or influencing international policy. 

In a country so lacking in skilled and educated people, our change makers go on to become leaders in their communities. The growing cohort of Prospect Burma alumni has had a profound effect around the country in the last three decades. Prior to February 1 2021 we prioritised the expansion of Change in the Community, offering more opportunities for alumni to meet and network, and to make a lasting impact on their communities. 

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## **Prospect Burma** 

## **Trustees Report for the Year Ended 31 March 2021** 

## **Prospect Burma Alumni Conference** 

Our fourth Alumni Conference was initially scheduled for November 2020 in Yangon but was cancelled at an early stage due to the safety risks and travel restrictions caused by COVID-19. An online event was then planned for spring 2021, in order to bring alumni together but due to the changed political situation this has been cancelled. We are hoping to hold a student and alumni gathering in neighbouring Thailand in 21/22, but this will be dependent on COVID-19 infection rates and access. 

## **Alumni Regional Cluster Hubs (ARCH)** 

Alumni Regional Cluster Hubs, or ARCHs, are designed to help unify groups of alumni in locations around the country through facilitating discussions, networking and community activities. 

The first ARCH was launched in early 2020 in Yangon where the planning phase was quickly overtaken by COVID-19, a challenge which the ARCH rose to in this financial period. In November 2020, they identified groups particularly vulnerable to COVID-19 in an area of East Dagon which is a slum area near a large dumping ground, and where disease is prevalent. They ran a successful local fundraising campaign which raised MMK5m (£2,270) which they used to source and then distribute healthcare and medical supplies and food. The project showed the value of bringing together alumni who have gained a range of skills from higher education, including specialist healthcare, communications and logistics, and who are best placed to identify and meet the needs of their community. 

Following the military assumption of power in February 2021, all ARCH activities have ceased in the interests of participants’ safety. It is unlikely that organised groups of this kind will be possible inside the country for the foreseeable future. We are exploring instead whether a similar model may be feasible for alumni outside of Myanmar. 

## **Achievements and Performance** 

Prospect Burma’s main activities and beneficiaries are described above. All charitable activities focus on people from Myanmar and are undertaken for the public good. 

When Prospect Burma supports the educational pathway of a student, it not only changes that student’s life but countless other lives. Prospect Burma empowers the student to effect positive changes in Myanmar, creating a multiplier effect. By enabling students to pursue their dreams and realise their appetite for learning, we expect that they will go on to have a positive impact on many other people’s lives within the country. 

Win Yee Sandar’s case study (pseudonym used for safety reasons) illustrates the direct and indirect impacts of educating students from Myanmar. 

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## **Prospect Burma** 

## **Trustees Report for the Year Ended 31 March 2021** 

Learning to Leadership Case Study 

Win Yee Sandar’s village in Kachin State had been impoverished by civil war, causing great hardship for her family. She had to spend some of her childhood in an orphanage, just to stay alive. Alongside her education, she volunteered as a teacher and medical assistant, often helping victims of conflict or Cyclone Nargis to learn English, or looking after their cuts and bruises. 

She says: “Quality education is essential in fostering the development of a country. The education system is one of the most important sectors that must be reformed to help Myanmar people improve their living standard.” 

Prospect Burma supported Win to study a Masters course in Educational Administration at Assumption University, Thailand, from which she graduated in 2019 and returned to Kachin State. By mid-2020, she had identified a site to build her own English Language Centre which her family and friends helped her to construct. It can house a class of around 20 people. 

Classes go beyond Basic English. She is training teachers to give lessons in collaboration, surveys, presentation, digital skills and more in order to use English skills as a platform for conducting business, or planning and delivering public services. 

This is very different to the rote ‘memorisation’ teaching her students are used to, and includes developing critical thinking skills to help students gain confidence to use their initiative to work together to improve their lives. She says: “If I would not have studied abroad, I would not have confidence to provide the training.” 

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## **Prospect Burma** 

## **Trustees Report for the Year Ended 31 March 2021** 

## **Management and Human Resource** 

There were 6 part-time staff members working in the UK office in the 2020/21 period (3.4 FTE), supporting operations, communications, finance, programme management and strategic direction. 

We continue to rely on volunteers to support the Prospect Burma team in the UK, and our current complement of volunteers are helping us in fundraising, programmes, administration, IT and database management. Most of this work has been conducted remotely during this period. Our group of volunteers bring a wide range of skills and experience to the team, from technical digital support, to copy writing and proof-reading, archiving, event support, data evaluation, governance and much more. In 2020/21, we received valuable support from 8 volunteers. 

The Prospect Burma Myanmar Office in Yangon has been in operation since July 2016 and has 4 full time members of staff. 

The UK and Myanmar Offices maintain close communication via regular video calls, and use cloud-based filing systems and databases to enable a close integration of our work. This has made the transition to working from home during the pandemic efficient and effective. However, since the events of February 1 2021, the staff in Myanmar have faced the challenge of intermittent internet access which has impacted their ability to work. 

## **Plans for Future Years** 

In December 2019, we updated our three-year strategic plan for Prospect Burma. 2020/21 was the first year of the plan and the structure enabled us to maintain focus on our strategic goals despite the ongoing COVID-19 pandemic and political upheaval in Myanmar. Initially, the pandemic curtailed our face-to-face programmatic activity and funding. However, in response to this we have pivoted to online delivery of some of our programmes, redesigned courses and engaged with new partners. We have identified new ways of working and adapted to our changing circumstances. These experiences have enabled us to spend time planning and strengthening our organisational and fundraising structure to facilitate growth in the future. 

Donors have responded to the triple crisis in Myanmar with renewed recognition of the vital role that a charity like Prospect Burma can fulfil in delivering educational support to the people of Myanmar. Thus, after a period of reduced income caused by the global disruption of COVID-19, donors from a wide range of backgrounds have stepped forward more recently to contribute to current and new programmes. Some of this funding will be used to expand the Learning to Leadership programme and to increase the number of university scholarships we are able to provide. 

In addition, we are spending time researching additional education providers in Myanmar and neighbouring countries to help us develop and adapt our programme delivery mechanisms to the current circumstances. Building new partnerships with such organisations will enable us to expand our suite of Access to Learning projects and increase the number of young people receiving English Language and Critical Thinking skills training. 

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## **Prospect Burma** 

## **Trustees Report for the Year Ended 31 March 2021** 

In the medium to long-term, Prospect Burma’s investment in educating the people of Myanmar will play an important role in future efforts to prepare the country for disasters, both natural and manmade. Whether it is during their studies abroad, or once they graduate, Learning to Leadership scholars are Myanmar’s change-makers, working to develop and build the nation. 

## **Financial Review** 

The results of the year’s operations are set out in the attached financial statements. Total income amounted to £558,342 (2019/20 £682,605) and total expenditure amounted to £527,055 (2019/20 £673,419). In consequence, net income exceeded expenditure by £31,287 (2019/20 £9,186). The trustees were aiming to balance the 2020/21 budget but the COVID-19 pandemic meant that we were unable to deploy all planned programmes within the period. In the coming year the trustees are anticipating a significant increase in income to fund our ambitious programme of work. However, in the current exceptionally difficult circumstances, the precise timing of expenditure is difficult to forecast, though we will always seek to ensure that we can cover our moral commitment to fund scholarships for the duration of the student’s courses. 

Trusts, Foundations and Institutions are our most significant source of funding, with the US Department of State our largest donor; we raised £145,813 from this source. We are grateful for the support of our donors who have set up regular payments, those who have made one-off donations during the year, and those that have taken the initiative to fundraise for Prospect Burma. The pandemic meant we were unable to meet face-to-face but we hosted and participated in a number of online Webinars, and smaller video calls with donors and students. We will continue with this activity in 2021/22 and will start to create in-person events later in the year when we can. 

Prospect Burma operates predominantly in pounds sterling although some of our income and cash and most of our charitable expenditure is in US dollars. Accordingly, the accounts are presented in pounds sterling which is also our “functional currency” (see note 2). Generally, income is retained in the currencies in which it is received but any dollar shortfalls are funded out of sterling funds on a spot basis. Forward currency hedges are not used. Exchange differences are included in governance and support costs (2020/21 a loss of £4,329; 2019/20 a gain of £9,138). 

The reserves policy of Prospect Burma CIO is set at £271,433, on the basis that such a sum would guard against the possibility of not receiving our largest grant or one or more of our other regular grants. This would ensure that we would not need to suspend, or greatly curtail, either projects or the provision of scholarships during that year while other funding was being sought or a restructuring plan was introduced. As our scholarship payments are discretionary there is some flexibility for adjustment of our expenditure dependent on our income. 

At year end, our total funds were £527,309 (£423,197 unrestricted and £104,112 restricted), which is consistent with our reserves policy (2020 total: £454,839). 

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## **Prospect Burma** 

## **Trustees Report for the Year Ended 31 March 2021** 

## **INVESTMENT POLICY AND PERFORMANCE** 

The core of the reserve funds is invested in common investment funds suitable for charities with an appetite for low to medium risk. They are managed by Sarasin Investment Funds Limited. Sarasin’s investment strategy focuses on long-term value drivers, sustainability and societal welfare. ESG (environmental, social and governance) factors are embedded within their investment process. 

These funds have been held for several years and, although readily realisable, are considered longer term investments since the underling constituents are equities, bonds, cash and alternative assets appropriate for a UK registered charity. During 2020/21, they increased in market value by £41,183 from £300,931 to £342,114. 

The remainder of reserve funds is held in cash, bank deposits and term accounts denominated both in sterling and US dollars. These now yield very low interest but are necessary to ensure adequate liquidity and security so that we can fund charitable activities throughout the year without excessive dependence on the timing of receipt of grants and donations. 

## **Principal risks and uncertainties** 

Our risk management is focused on the preservation of the assets and liquidity of the charity, the security of its people and data, and the protection of its reputation. Policies and procedures are reviewed by the Trustees regularly at their meetings and amended in the light of changing circumstances and emerging risk. 

The COVID-19 pandemic has adversely affected international and Myanmar charities since March 2020; intermittent lockdowns, social distancing and travel restrictions (both international and within the country) are expected to continue into 2021/22. We expect these restrictions to ease during the course of the year and travel to countries bordering Myanmar with quarantine periods is likely to be possible. 

The military actions of February 1st and subsequent protests, violence, and disruption to infrastructure within the country pose a risk to Prospect Burma’s in-country staff and programmes. In early 21/22 our in-country activities have been able to continue but we do not know how much longer this will be the case. We are considering the implications of closing the Myanmar Office and the possibility of continuing delivery of local work from a neighbouring country. Making this move would ensure we could remain in constant contact with beneficiaries both in and outside of Myanmar, with minimal impact or the integrity and objectives of our programmes. These decisions will be taken by the board of trustees with the safety of staff and interests of beneficiaries at the forefront of the consideration. 

Prospect Burma is dependent on financial support from funders. We have seen a 49% increase in income and pledges of income at the start of 21/22 and anticipate this momentum will continue throughout the year. We have adjusted our income forecast to reflect this. At the same time, we are seeking to explore new income opportunities, in particular from bilateral donors who previously supported work in Myanmar. We will continue to seek to broaden and diversify the nature of our income in the coming year. 

We continue to follow government recommendations in our London office; all employees, consultants and volunteers are able to work remotely from home and have access to systems and data which allow Prospect Burma to monitor continuing activities. As the social distancing restrictions ease, we will implement a phased return to the office for staff. Staff in Myanmar will work from home while we finalise the future of the local office. 

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## **Prospect Burma** 

## **Trustees Report for the Year Ended 31 March 2021** 

Staff and trustees continue to keep in close and regular communication. The level of financial and operational controls was enhanced in response to remote working and remains heightened in the present circumstances in Myanmar and the UK. Cash flow, liquidity, the recoverability of debtors and the valuation of investments are monitored regularly for any issues, of which thus far none has been significant. However, the dual impact of COVID-19 and the Myanmar political situation will be long term, affecting fundraising and donor priorities. 

## **Going concern considerations** 

We have prepared income and expenditure and cash flow forecasts for the period to August 2022 and satisfied ourselves that Prospect Burma remains a going concern for the period under review based on the information currently available to the Trustees. 

The trustees are mindful that, during this year, it became necessary to consider the impacts of the global pandemic and the military action in Myanmar on the charity. We are satisfied at this time that Prospect Burma remains a going concern, but we remain vigilant to the specific risks that these challenges pose to the charity. 

## **Structure, governance and management** 

Prospect Burma is a Charitable Incorporated Organisation (CIO) operating under the terms of a constitution dated 1 April 2017. 

The CIO constitution allows for up to 15 trustees to be appointed. Trustees serve for a renewable term of 3 years, and can serve until they retire or have served 3 terms. All trustees give their time voluntarily and receive no benefit from the charity. 

## **Trustees** 

Our trustees are responsible for setting the strategy and are responsible in law for the running of Prospect Burma. 

New Trustees are nominated by members of the existing Board of Trustees and appointed where they have the necessary skills, enthusiasm and experience to contribute to the charity's development. Upon appointment, new trustees are given a formal introduction to Prospect Burma’s work and provided with the information they need to fulfil their roles, which includes information about the role of trustees and charity law. 

In March 2021, trustee Joshua Htet stepped down from his role on the board. Over the time that he served as trustee, Josh made an invaluable contribution to Prospect Burma both in London and, in later years, Yangon, bringing a unique set of skills and experience gained as a Prospect Burma scholarship recipient and through his work at international law firm, Allen and Overy LLP. 

The board of trustees is supported by three subcommittees: 

1. The Finance & Risk subcommittee reviews governance, finance, risk and HR; 

2. The Fundraising subcommittee oversees the implementation of the fundraising strategy; 

3. The Ethics subcommittee reviews due diligence undertaken on new potential partners and other stakeholders. 

Page 14 



Prospect Burnia
Trustees Report forthe Year Ended 31 March 2021
Statement of responsibilities of the tNstees
The trustees are responsible for preparing the trustees, annual report and the financial statements in
accordance with applicable law and United lfjngdom Aceountlng Stsndard8 {United Kingdom
Generally Accepted Accounting Practice).
Charity law requires the trustees to prepare financial slalements for each financial year which give
t¥ue and fair view of the state of affairs of the charity including the income and expenditure of the
charity for that period. In preparing these financial statements, the trustees are required to:
Select suitable accounting policies and then apply them con51Stenlly
Observe the methods and prlncipals of the charities SORP
Make judgements and estimates that are re850nable and prudent
state vthelher app5i¢able accounting Standards have b&en followed subject to any material
departures disclosed and explained in the financiol ststemenls
Prepare the financial statements on the golng concern basis unless it is inapproprtate to
presume that the charity will continue tn operation
The trustees are responslble for keeplng propef accountlng records that disclose reasonable
accuracy at any time the finan¢lal position of the charfty and enablè them lo ensure that the financia
slalements comply with Charity law. They are also responsible for 58feguarding the assets of the
charity and hence for taklng reasonablè steps for the prevention and detection of fraud and other
irregularities.
Independenl examiner
Crowe U.K. LLP was reappointed as Piosp&¢t Burma's Independent examiner during the year.
The trustees, report wa8 approved by the Iruslees of the charfty on
behalf by..
and signed on Its
ichael Marett-Cr05by
Chairman and Trustee
Page 15

## **Prospect Burma** 

## **Independent Examiner's Report to the trustees of Prospect Burma** 

I report to the charity trustees on my examination of the accounts of the charity for the year ended 31 March 2021 which are set out on pages 17 to 31. 

## **Respective responsibilities of trustees and examiner** 

As the charity’s trustees of Prospect Burma you are responsible for the preparation of the accounts in accordance with the requirements of the Companies Act 2006. 

Having satisfied myself that the accounts of Prospect Burma are not required to be audited under Part 16 of the 2006 Act and are eligible for independent examination, I report in respect of my examination of your charity’s accounts as carried out under section 145 of the Charities Act 2011 (‘the 2011 Act’). In carrying out my examination I have followed the Directions given by the Charity Commission under section 145(5)(b) of the 2011 Act. 

## **Independent examiner’s statement** 

Since Prospect Burma 's gross income exceeded £250,000 your examiner must be a member of a body listed in section 145 of the 2011 Act. I confirm that I am qualified to undertake the examination because I am a member of FCCA, which is one of the listed bodies. 

I have completed my examination. I confirm that no matters have come to my attention in connection with the examination giving me cause to believe: 

1. accounting records were not kept in respect of Prospect Burma as required by section 386 of the 2006 Act; or 

2. the accounts do not accord with those records; or 

3. the accounts do not comply with the accounting requirements of section 396 of the 2006 Act other than any requirement that the accounts give a ‘true and fair view' which is not a matter considered as part of an independent examination; or 

4. the accounts have not been prepared in accordance with the methods and principles of the Statement of Recommended Practice for accounting and reporting by charities applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland FRS 102. 

I have no concerns and have come across no other matters in connection with the examination to which attention should be drawn in this report in order to enable a proper understanding of the accounts to be reached. 


Tara Westcott FCCA 

Fourth Floor St James' House St James Square Cheltenham Gloucestershire GL50 3PR 

Date: 1 December 2021 

Page 16 



## **Prospect Burma** 

## **Statement of Financial Activities for the Year Ended 31 March 2021 (Including Income and Expenditure Account)** 

|**Note**<br>**Income from:**<br>Donations<br>3<br>Other trading activities<br>4<br>Investment income<br>5<br>Total income<br>**Expenditure on:**<br>Raising funds<br>6<br>Charitable activities<br>7<br>Total expenditure<br>Net (expenditure)/income<br>Gain/ (losses) on investments<br>Net movement in funds<br>**Reconciliation of funds**<br>Total funds brought forward<br>Total funds carried forward<br>17|**Unrestricted**<br>**funds**<br>**£**<br>176,980<br>574<br>10,441<br>187,995<br>(67,580)<br>(145,584)<br>(213,164)<br>(25,169)<br>41,183<br>16,014<br>407,183<br>423,197|**Restricted**<br>**funds**<br>**£**<br>370,347<br>-<br>-<br>370,347<br>-<br>(313,891)<br>(313,891)<br>56,456<br>-<br>56,456<br>47,656<br>104,112|**Total**<br>**2021**<br>**£**<br>547,327<br>574<br>10,441<br>558,342<br>(67,580)<br>(459,475)<br>(527,055)<br>31,287<br>41,183<br>72,470<br>454,839<br>527,309|**Unrestricted**<br>**funds**<br>**£**<br>308,636<br>5,440<br>12,130<br>326,206<br>(47,832)<br>(250,745)<br>(298,577)<br>27,629<br>(8,645)<br>18,984<br>388,199<br>407,183|**Restricted**<br>**funds**<br>**£**<br>356,399<br>-<br>-<br>356,399<br>-<br>(374,842)<br>(374,842)<br>(18,443)<br>-<br>(18,443)<br>66,099<br>47,656|**Total**<br>**2020**<br>**£**<br>665,035<br>5,440<br>12,130|
|---|---|---|---|---|---|---|
|||||||682,605|
|||||||(47,832)<br>(625,587)|
|||||||(673,419)|
|||||||9,186<br>(8,645)|
|||||||541<br>454,298|
|||||||454,839|



The notes on pages 20 to 31 form an integral part of these financial statements. Page 17 



Prospect Burma
{Registration number: CIO 1167686 }
Balance Sheet as at 31 March 2021
2021
2020
Note
Fixed assets
Investrnents
14
342,114
300,931
Current assets
Debtors
Cash at bank and in hand
15
10,889
182,002
192,891
37,000
128,754
165,754
Creditors: An￿unts falling due within one year
Net current assets
16
185,195
153,908
Net assets
527,309
454,839
Funds of the charity:
REstri￿ed income funds
Restricted fvnds
104,112
47,656
Unrestricted income funds
Unrestricted funds
423,197
407,183
Total funds
17
527,309
454,839
The finan(y
I statements on pages 17 to 31 were approved by the trustees. and authorised for issue
and signed on their behalf by..
icha
Chair
l Marett-
an and Trustee
The notes on pages 20 to 31 form an integral part of these finanaal statement5.
Page 18

## **Prospect Burma** 

## **Statement of Cash Flows for the Year Ended 31 March 2021** 

|**Note**<br>**Cash flows from operating activities**<br>Net income<br>**Adjustments to cash flows from non-cash items**<br>Depreciation<br>Investment income<br>5<br>Unrealised (gain) / loss on investments<br>**Working capital adjustments**<br>Decrease/(increase) in debtors<br>15<br>(Decrease)/increase in creditors<br>16<br>Net cash flows from operating activities<br>**Cash flows from investing activities**<br>Interest receivable and similar income<br>Interest and dividends from investments<br>5<br>Net increase in cash and cash equivalents<br>Cash and cash equivalents at 1 April<br>Cash and cash equivalents at 31 March|**2021**<br>**£**<br>72,470<br>-<br>(10,441)<br>(41,183)<br>(51,624)<br>20,846<br>26,111<br>(4,150)<br>42,807<br>10,441<br>53,248<br>128,754<br>182,002|**2020**<br>**£**<br>541|
|---|---|---|
|||70<br>(12,130)<br>8,645|
|||(3,415)|
|||(2,874)<br>(8,952)<br>7,199|
|||(4,627)<br>12,130|
|||7,503<br>121,251|
|||128,754|



The notes on pages 20 to 31 form an integral part of these financial statements. Page 19 



## **Prospect Burma** 

## **Notes to the Financial Statements for the Year Ended 31 March 2021** 

## **1 Charity status** 

Prospect Burma CIO is a Charitable Incorporated Organisation. Registered with the Charity Commission ( No.1167686 England And Wales). 

The address of its registered office is: 

1st Floor 29 New Bond Street London W1S 2RL 

## **2 Accounting policies** 

## **Basis of presentation** 

The financial statements have been prepared under the historical cost convention with the exception of investments which are included at market value. Assets and liabilities are initially recognised at historic cost or transaction value unless otherwise stated in the relevant accounting policy notes. 

The financial statements have been prepared in accordance with the Statement of Recommended Practice: Accounting and Reporting by Charities (Charities SORP 2015) and The Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) and the Charities Act 2011. 

Prospect Burma meets the definition of a public benefit entity under FRS102. 

## **Going concern** 

The financial statements are drawn up on the basis that the charity remains a going concern. The trustees have made an assessment of Prospect Burma’s ability to continue as a going concern and assured themselves of the validity of the assumptions which underlie their conclusion that it continues to do so for the reasonably foreseeable future. The Trustees prepared a budget and cash flow forecast for the 12 months to September 2022 which supports the expectation that income and expenditure will be reasonably balanced and that the reserves held on the balance sheet are more than sufficient to meet the contingencies which the current pandemic or other known circumstances may require. There are longer term uncertainties which it is difficult to foresee but over those time frames the Trustees are confident that they could manage expenditure to the extent necessary to preserve Prospect Burma’s ability to continue as a going concern. 

## **Income** 

All income is recognised once the charity has entitlement to the income, it is probable that the income will be received and the amount of income receivable can be measured reliably. Income received in advance of a specified service is deferred until the criteria for income recognition are met. 

In addition to having to meet the above criteria, donations, government grants and other grants, whether ‘capital’ or ‘revenue’, are only recognised when any performance conditions attached to them have been met. 

Page 20 



## **Prospect Burma** 

## **Notes to the Financial Statements for the Year Ended 31 March 2021** 

## _**Donations and legacies**_ 

For legacies, entitlement is taken as the earlier of the date on which either: the charity is aware that probate has been granted, the estate has been finalised and notification has been given by the executor (s) to the charity that a distribution will be made; or when a distribution is received from the estate. 

Receipt of a legacy, in whole or in part, is only considered probable when the amount can be measured reliably. Where legacies have been notified to the charity or the charity is aware of the granting of probate, and the criteria for income recognition have not been met, the legacy is a treated as a contingent asset and disclosed if material. 

## _**Grants receivable**_ 

Grants are recognised when the charity has an entitlement to the funds and any conditions linked to the grants have been met. Where performance conditions are attached to the grant and are yet to be met, the income is recognised as a liability and included on the balance sheet as deferred income to be released. 

## _**Donated services and facilities**_ 

Donated professional services and donated facilities are recognised as income, when the charity has control over the item, any conditions associated with the donated item have been met, the receipt of economic benefit from the use by the charity of the item is probable and that economic benefit can be measured reliably. The trustees’ annual report contains information about the contribution to the charity made by volunteers and donated professional services. 

In accordance with the Charity SORP, volunteers' time is not valued in these financial statements. Where it is not possible to quantify the value of the gifts in kind, they are acknowledged in the notes to the financial statements and the trustees report. 

## _**Gift aid**_ 

Incoming resources from tax reclaims are included in the Statement of Financial Activities at the same time as the gift to which they relate. 

## _**Investment income**_ 

Dividends are recognised once the dividend has been declared and notification has been received of the dividend due. 

Interest on funds held on deposit is recognised on an accruals basis and includes amounts notified as paid or payable by the Bank plus amounts earned but not yet due for payment. 

Page 21 



## **Prospect Burma** 

## **Notes to the Financial Statements for the Year Ended 31 March 2021** 

## **Expenditure and irrecoverable VAT** 

Expenditure is recognised once there is a legal or constructive obligation to make a payment to a third party, it is probable that settlement will be required and the amount of the obligation can be measured reliably. All expenditure is accounted for on an accruals basis and is classified under the following activity headings: 

• Costs of raising funds comprise the salary costs of a fundraiser and their direct associated support costs. 

• Expenditure on charitable activities includes the costs of providing bursaries and other projects undertaken to further the purposes of the charity and their associated support costs. 

• Governance costs comprise all costs involving the public accountability of the charity and its compliance with regulation and good practice. These costs include trustee meetings, cost associated with constitutional and statutory requirements and include any costs associated with the strategic management of the charity’s activities and the independent examiner's fees and legal fees. 

• Support costs are those costs incurred which are not directly an output of the charitable activity. 

## _**Raising funds**_ 

These are costs incurred in attracting voluntary income and those incurred in trading activities that raise funds. 

## _**Charitable activities**_ 

Charitable expenditure comprises those costs incurred by the charity in the delivery of its activities and services for its beneficiaries. It includes both costs that can be allocated directly to such activities and those costs of an indirect nature necessary to support them. 

## **Apportionment of support costs** 

Resources expended are allocated to the particular activity where the cost relates directly to that activity. However, the cost of overall direction and administration of each activity, comprising the salary and overhead costs of the central function, is apportioned in proportion to the total direct projects' cost. 

## **Governance costs** 

These include the costs attributable to the charity’s compliance with constitutional and statutory requirements, including audit, strategic management and trustees’s meetings and reimbursed expenses. 

## **Grants payable** 

Grants payable are payments made to third parties in the furtherance of the charitable objectives. Grants payable without performance conditions are only recognised in the accounts when a commitment has been made and there are no conditions to be met relating to the grant which remain in the control of the charity. Provisions for grants are made when the intention to make a grant has been communicated to the recipient but there is uncertainty about either the timing of the grant or the amount of grant payable. 

Page 22 



## **Prospect Burma** 

## **Notes to the Financial Statements for the Year Ended 31 March 2021** 

## **Taxation** 

The charity is exempt from taxation under section 521 to 536 of the Income Tax Act 2007 (ITA 2007). 

## **Basic financial instruments** 

The charity only has financial assets and financial liabilities of a kind that qualify as basic financial instruments. Basic financial instruments are initially recognised at transaction value and subsequently measured at their settlement value. 

## **Tangible fixed assets** 

Capital items costing in excess of £500 are capitalised. Fixed assets are shown at historical cost. Depreciation is provided at the following annual rates in order to write off each asset over its estimated useful life by the reducing balance method. 

- Furniture & equipment 20% on cost 

- Computer equipment 20% on cost 

## **Investments** 

Investments are initially recognised at their transaction value and subsequently measured at their fair value as at the Balance sheet date using the closing quoted market price. The Statement of Financial Activities includes the net gains and losses arising on revaluation and disposals throughout the year. 

The charity does not hold options, derivatives or other complex financial instruments. 

## **Trade debtors** 

Trade and other debtors are recognised at the settlement amount due. Prepayments are valued at the amount prepaid. 

## **Cash and cash equivalents** 

Cash at bank and in hand includes cash and short term highly liquid investments with a short maturity of three months or less from the date of acquisition or opening of the deposit or similar account. 

## **Trade creditors** 

Creditors are recognised where the charity has a present obligation resulting from a past event that will probably result in the transfer of funds to a third party and the amount due to settle the obligation can be measured or estimated reliably. Creditors are normally recognised at their settlement amount. 

## **Foreign exchange** 

The charity's functional currency is UK pounds. 

Foreign currency transactions are recorded on initial recognition in the functional currency by applying to the foreign currency amount the spot exchange rate at the date of the transaction. Any differences on conversion are written off in the Statement of Financial Activities. 

Prospect Burma has bank accounts denominated in currencies other than pounds Sterling and the balances at the year end are recorded at the closing rate of exchange on that date and any resulting profit or loss on exchange is included in the Statement of Financial Activities. 

Page 23 



## **Prospect Burma** 

## **Notes to the Financial Statements for the Year Ended 31 March 2021** 

## **Fund structure** 

Unrestricted income funds are general funds that are available for use at the trustees's discretion in furtherance of the objectives of the charity. 

Restricted funds are donations or grants which the donor has specified are to be used solely for particular purposes/areas of the charity's work or for specific projects undertaken by the charity. 

## **Critical Accounting Estimates and Judgements** 

We are required to make judgements and estimates about the recognition of the receipt of grants. There is sometimes room for judgement as regards the commitment made by donors to future grants. Our most significant grants have clear performance conditions attaching to them, but some grants are less clear. In those cases, we account prudently on the basis of cash received or a commitment to cash by the grantor at the due date which can be evidenced by the subsequent receipt of cash. 

There were no significant cases where the commitment to the grant was judgemental at either 31st March 2021 or 31st March 2020 years ends. 

## **3 Income from donations and grants** 

|Donations;<br>Donations<br>Donations from individuals<br>Gift aid reclaimed<br>Grants:<br>US State Department Grant<br>From other Trusts foundations<br>& Charities<br>Regular giving and capital<br>donations<br>Gifts in kind<br>Other income|**Unrestricted**<br>**funds**<br>**2021**<br>**£**<br>90,156<br>56,208<br>8,838<br>-<br>-<br>20,956<br>-<br>822<br>176,980|**Restricted**<br>**funds**<br>**2021**<br>**£**<br>63,227<br>18,356<br>-<br>145,813<br>142,951<br>-<br>-<br>-<br>370,347|**Total**<br>**2021**<br>**£**<br>153,383<br>74,564<br>8,838<br>145,813<br>142,951<br>20,956<br>-<br>822<br>547,327|**Total**<br>**2020**<br>**£**<br>302,039<br>140,731<br>17,461<br>161,215<br>-<br>23,231<br>11,449<br>8,909|
|---|---|---|---|---|
|||||665,035|



Page 24 



## **Prospect Burma** 

## **Notes to the Financial Statements for the Year Ended 31 March 2021** 

## **4 Income from other trading activities** 

|Trading income;<br>Fundraising events<br>**5**<br>**Investment income**<br>Interest receivable and similar income;<br>Interest receivable on bank deposits<br>Other income from fixed asset investments<br>**6**<br>**Expenditure on raising funds**|**Unrestricted**<br>**funds**<br>**2021**<br>**£**<br>574<br>574<br>**Unrestricted**<br>**funds**<br>**2021**<br>**£**<br>293<br>10,148<br>10,441|**Total**<br>**2021**<br>**£**<br>574<br>574<br>**Total**<br>**2021**<br>**£**<br>293<br>10,148<br>10,441|**Total**<br>**2020**<br>**£**<br>5,440|
|---|---|---|---|
||||5,440|
||||**Total**<br>**2020**<br>**£**<br>1,150<br>10,980|
||||12,130|
|||||



## **a) Costs of generating donations and legacies** 

|**Note**<br>Staff Costs<br>Direct costs<br>Share of support & governance costs<br>8<br>Share of the governance cost|**Unrestricted**<br>**funds**<br>**2021**<br>**£**<br>32,933<br>24,044<br>10,603<br>-<br>67,580|**Total**<br>**2021**<br>**£**<br>32,933<br>24,044<br>10,603<br>-<br>67,580|**Total**<br>**2020**<br>**£**<br>40,178<br>2,962<br>4,522<br>170|
|---|---|---|---|
||||47,832|



Page 25 



## **Prospect Burma** 

## **Notes to the Financial Statements for the Year Ended 31 March 2021** 

**Total costs £** 

|**7**<br>**Expenditure on charitable activities**<br>**Note**<br>Staff costs<br>10<br>Direct costs<br>Share of support costs<br>8<br>Share of governance costs<br>8<br>**Prior Year**<br>Staff costs<br>Direct costs<br>Share of support costs<br>Share of governance costs|**Scholarships**<br>**£**<br>55,035<br>282,420<br>62,794<br>2,313<br>402,562<br>**Scholarships**<br>**£**<br>56,751<br>407,040<br>48,632<br>1,833<br>514,256|**Projects**<br>**£**<br>7,781<br>39,927<br>8,878<br>327<br>56,913<br>**Projects**<br>**£**<br>12,286<br>88,120<br>10,528<br>397<br>111,331|**2021**<br>**£**<br>62,816<br>322,347<br>71,672<br>2,640|
|---|---|---|---|
||||459,475|
||||**2020**<br>**£**<br>69,037<br>495,160<br>59,160<br>2,230|
||||625,587|



**Total expenditure £** 

In addition to the expenditure analysed above, there are also governance costs of £2,640 (2020 - £2,400) which relate directly to charitable activities. See note 8 for further details. 

|**Note**<br>**Analysis by fund**<br>Unrestricted funds<br>Restricted funds|**2021**<br>**£**<br>145,584<br>313,891<br>459,475|**2020**<br>**£**<br>250,745<br>374,842|
|---|---|---|
|||625,587|



Page 26 



## **Prospect Burma** 

## **Notes to the Financial Statements for the Year Ended 31 March 2021** 

## **8 Analysis of governance and support costs** 

|**Note**<br>**Analysed between**<br>Staff costs<br>Direct costs<br>Premises costs<br>Office & supplies costs<br>Exchange loss/ (gain)<br>Gift in kind<br>Depreciation<br>Independent Examination|**Support**<br>**costs**<br>10,478<br>498<br>26,321<br>40,648<br>4,329<br>-<br>-<br>-<br>82,274|**Governance**<br>**costs**<br>-<br>-<br>-<br>-<br>-<br>-<br>-<br>2,640<br>2,640|**2021**<br>**£**<br>10,478<br>498<br>26,321<br>40,648<br>4,329<br>-<br>-<br>2,640<br>84,914|**2020**<br>**£**<br>10,466<br>544<br>22,566<br>27,727<br>(9,138)<br>11,449<br>70<br>2,400|
|---|---|---|---|---|
|||||66,084|



## **9 Trustees remuneration and expenses** 

No trustees, nor any persons connected with them, has received any remuneration from the charity during the year. 

## **10 Staff costs** 

The aggregate payroll costs were as follows: 

|**Staff costs during the year were:**<br>Wages and salaries<br>Social security costs<br>Pension costs|**2021**<br>**£**<br>99,198<br>4,759<br>2,270<br>106,227|**2020**<br>**£**<br>107,097<br>10,022<br>2,563|
|---|---|---|
|||119,682|



The number of employees (including senior management team) employed by the charity during the year was as follows: 

|Staff during the year|**2021**<br>**No**<br>3|**2020**<br>**No**<br>4|
|---|---|---|



No employee received emoluments of more than £60,000 during the year. Total remuneration of key management personnel was £34,366 (2020: £29,178) and is in respect of the Executive Director. 

Page 27 



## **Prospect Burma** 

## **Notes to the Financial Statements for the Year Ended 31 March 2021** 

## **11 Independent examiner's remuneration** 

|||**2021**|**2020**|
|---|---|---|---|
|||**£**|**£**|
|Examination|of the financial statements|2,640|2,400|



## **12 Taxation** 

The charity is a registered charity and is therefore exempt from taxation. 

## **13 Tangible fixed assets** 

|**Cost**<br>At 1 April 2020<br>At 31 March 2021<br>**Depreciation**<br>At 1 April 2020<br>At 31 March 2021<br>**Net book value**<br>At 31 March 2021<br>At 31 March 2020|**Furniture and**<br>**equipment**<br>**£**<br>6,340<br>6,340<br>6,340<br>6,340<br>-<br>-|**Total**<br>**£**<br>6,340<br>6,340<br>6,340<br>6,340<br>-<br>-|
|---|---|---|



## **14 Fixed asset investments** 

## **Investments** 

|**Investments**||
|---|---|
|**Market Valuation**<br>At 1 April 2020<br>Unrealised gain/ (loss) on investment<br>At 31 March 2021|**2021**<br>**Market value**<br>**£**<br>300,931<br>41,183|
||342,114|



The charity’s investments are professionally managed in common investment funds designed for charities pursuing a socially responsible investment policy. The funds are invested principally in fixed interest bonds and equities, together with small allocations to property and alternative assets. 

Page 28 



## **Prospect Burma** 

## **Notes to the Financial Statements for the Year Ended 31 March 2021** 

## **15 Debtors** 

|Trade debtors<br>Prepayments<br>Other debtors|**2021**<br>**£**<br>2,995<br>-<br>7,894<br>10,889|**2020**<br>**£**<br>5,330<br>20,268<br>11,402|
|---|---|---|
|||37,000|



## **16 Creditors: amounts falling due within one year** 

|Trade creditors<br>Other taxation and social security<br>Other creditors|**2021**<br>**£**<br>417<br>4,639<br>2,640<br>7,696|**2020**<br>**£**<br>5,630<br>2,641<br>3,575|
|---|---|---|
|||11,846|



## **17 Funds** 

|**Unrestricted funds**<br>**Restricted funds**<br>**Total funds**<br>**Unrestricted funds**<br>**Restricted funds**<br>**Total funds**|**Balance at**<br>**1 April**<br>**2020**<br>**£**<br>407,183<br>47,656<br>454,839<br>**Balance at**<br>**1 April**<br>**2019**<br>**£**<br>388,199<br>66,099<br>454,298|**Income**<br>**£**<br>187,995<br>370,347<br>558,342<br>**Income**<br>**£**<br>326,206<br>356,399<br>682,605|**Expenditure**<br>**£**<br>**Other**<br>**unrealised**<br>**gains/(losses)**<br>**£**<br>(213,164)<br>41,183<br>(313,891)<br>-<br>(527,055)<br>41,183<br>**Expenditure**<br>**£**<br>**Other**<br>**unrealised**<br>**gains/(losses)**<br>**£**<br>(298,577)<br>(8,645)<br>(374,842)<br>-<br>(673,419)<br>(8,645)|**Balance at**<br>**31 March**<br>**2021**<br>**£**<br>423,197<br>104,112|
|---|---|---|---|---|
|||||527,309|
|||||**Balance at**<br>**31 March**<br>**2020**<br>**£**<br>407,183<br>47,656|
|||||454,839|



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## **Prospect Burma** 

## **Notes to the Financial Statements for the Year Ended 31 March 2021** 

## **18 Purposes of restricted funds** 

Scholarships to Burmese students to enable them to take up places in universities and colleges outside Myanmar. 

## **19 Analysis of net assets between funds** 

|Fixed asset investments<br>Current assets<br>Current liabilities<br>Total net assets<br>Fixed asset investments<br>Current assets<br>Current liabilities<br>Total net assets<br>**20 Analysis of net funds**<br>Cash at bank and in hand<br>Net debt<br>Cash at bank and in hand<br>Net debt||**Unrestricted**<br>**funds**<br>**£**<br>342,114<br>88,779<br>(7,696)<br>423,197<br>**Unrestricted**<br>**funds**<br>**£**<br>300,931<br>118,098<br>(11,846)<br>407,183<br>**At 1 April**<br>**2020**<br>**£**<br>128,754<br>128,754<br>**At 1 April**<br>**2019**<br>**£**<br>121,251<br>121,251|**Restricted**<br>**funds**<br>**£**<br>-<br>104,112<br>-<br>104,112<br>**Restricted**<br>**funds**<br>**£**<br>-<br>47,656<br>-<br>47,656<br>**Cash flows**<br>**£**<br>53,249<br>53,249<br>**Cash flows**<br>**£**<br>7,503<br>7,503|**Total funds**<br>**at 31 March**<br>**2021**<br>**£**<br>342,114<br>192,891<br>(7,696)|
|---|---|---|---|---|
|||||527,309|
|||||**Total funds**<br>**at 31 March**<br>**2020**<br>**£**<br>300,931<br>165,754<br>(11,846)|
|||||454,839|
|||||**At 31 March**<br>**2021**<br>**£**<br>182,003<br>182,003<br>**At 31 March**<br>**2020**<br>**£**<br>128,754<br>128,754|



Page 30 



## **Prospect Burma** 

## **Notes to the Financial Statements for the Year Ended 31 March 2021** 

## **21 Related party transactions** 

Dr Michael Marett-Crosby, the Chairman of Prospect Burma CIO, and Dr Mathea Falco are also trustees of Irrawaddy Policy Exchange, an education charity, which made a grant of £58,073 to Prospect Burma during the year ended 31 March 2021 (2020 - £31,671). 

There were no amounts due to or from either organisation at either 31 March 2021 or 31 March 2020. 

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