## **Trustees’ Annual Report for the period** **From 01/01/2022 Period start date Period end date** **To 31/12/2022** ## **Charity name: Reforest Africa** ## **Charity registration number: 1185419** ## **Objectives and Activities** ||SORP reference|| |---|---|---| |Summary of the purposes of
the charity as set out in its
governing document|Para 1.17|Reforest Africa’s vision is to see “Native
forests recovering across Africa”, with the
following mission:
Our mission is to develop and implement
techniques for ecological restoration,
conservation and monitoring of African
forests for wildlife and people.| |Summary of the main
activities in relation to those
purposes for the public
benefit, in particular, the
activities, projects or services
identified in the accounts.|Para 1.17 and
1.19|Ongoing assistance to the Tanzania Forest
Service Agency in the management of
Magombera Nature Forest Reserve.
Working closely in making sure the forest
reserve is managed well to reach its
establishment objectives. Establishment of
Magombera Community Conservation
Forum as a platform for local villagers to give
feedback on the management of the reserve
Ongoing management and expansion of the
Udzungwa Botanic Garden, starting to
implement the the landscape design design
through presenting it to the villages and
discussing the MoU with Mangula A & B
villages, BG maintained through clearing fire
break and establishing a tree nursery
capable of raising more than 100,000
seedlings, boundary marking and planting
360 seedlings of three tree species (Khaya
anthotheca, Milicia excelsa and Cordyla
africana) along the boundary. Prepared a
tree nursery and vanilla agroforestry trials
under natural and exotic tree
We monitored 56 restoration trial plots and
20 new plots of were planted with 4,000
native trees, previous plots all these plots
were maintained through clearing and re-
measured growing stems to prevent plant
competition and provide enough space for
better growthof seedlings. Monitoring of| |||growth rate, mortality rate, fire resistance,
regeneration and recruitment of new trees
seedling were carried out between May and
August to understand more on the
restoration methodologies, techniques and
to determine the survival rate of the planted
framework species.
Founded the Udzungwa-Kilombero
Landscape Restoration Forum and held
meetings with various stakeholders from 11
different public and private stakeholders,
including District officials from 5 Districts,
TFS, TANAPA, NGOs (TFCG, MCDI, AM,
EFC, AWF, STEP, IUCN) and KSC,
discussing potential areas for restoration
across the 53,000 km2 Udzungwa-
Kilombero landscape.
Conducting awareness raising campaign
named Magombera Forest Day on Forest
managements, Restoration and good
governance in Magombera Village. The
event invited more than 1000 villages
community members adjacent to
Magombera NFR including all 4 village
government officials, School teachers,
school children from 5 schools and the wider
communities| |---|---|---| |Statement confirming
whether the trustees have
had regard to the guidance
issued by the Charity
Commission on public
benefit|Para 1.18|The trustees have had
regard to the Charity Commission’s
guidance on public benefit.| ## **Additional information (optional)** You may choose to include further statements where relevant about: SORP reference Para 1.38 Policy on grant making Para 1.38 Policy on social investment including program related investment Para 1.38 Contribution made by volunteers Other ## **Achievements and Performance** ||SORP reference|| |---|---|---| |Summary of the main
achievements of the charity,
identifying the difference the
charity’s work has made to
the circumstances of its
beneficiaries and any wider
benefits to society as a
whole.|Para 1.20|Over 1000 community members attendedour
environmental education events
The 2615 ha forest of Magombera has been
maintained and protected.
Over 100,000 seedings have been grown in
the Botanic Graden to support our
restoration efforts.| ## **Additional information (optional)** You may choose to include further statements where relevant about: |||| |---|---|---| |Achievements against
objectives set|Para 1.41|| |Performance of fundraising
activities against objectives
set|Para 1.41|| |Investment performance
against objectives|Para 1.41|| |Other||| ## **Financial Review** |**Financial Review**||| |---|---|---| |Review of the charity’s
financial position at the end
of the period|Para 1.21|The Charity received total income of
GBP110,727, expenditure of 75,490, with
net position of 35,237| |Statement explaining the
policy for holding reserves
stating why they are held|Para 1.22|A minimum 10% reserve is required to
provide a buffer to cover unexpected costs.| |Amount of reserves held|Para 1.22|£35,237| |Reasons for holding zero
reserves|Para 1.22|No income received by the charity to date.| |Details of fund materially in
deficit|Para 1.24|| |Explanation of any
uncertainties about the
charity continuing as a going
concern|Para 1.23|No Concerns| ## **Additional information (optional)** |**Additional information (optional)**|**Additional information (optional)**|| |---|---|---| |You may choose to include further statements||where relevant about:| |The charity’s principal
sources of funds (including
any fundraising)|Para 1.47|Main source of funds for the charity for the
mentioned period was mainly from
Foundation Franklinia, with grants from
Flamingo Land and The Biodiversity
Consultancy.| |Investment policy and
objectives including any
social investment policy
adopted|Para 1.46|| |A description of the principal
risks facing the charity|Para 1.46|| |Other||| ## **Structure, Governance and Management** |Description of charity’s
trusts:||| |---|---|---| |Type of governing document
(trust deed, royal charter)|Para 1.25|Constitution of Charitable Incorporated
Organisation; Mode of Operation| |How is the charity
constituted?
(e.g unincorporated
association, CIO)|Para 1.25|CIO| |Trustee selection methods
including details of any
constitutional provisions e.g.
election to post or name of
any person or body entitled
to appoint one or more
trustees|Para 1.25|Appointment of charity trustees
(1) Apart from the first charity trustees, every
trustee must be appointed by a resolution
passed at a properly convened meeting of
the charity trustees.
(2) In selecting individuals for appointment
as charity trustees, the charity trustees must
have regard to the skills, knowledge and
experience needed for the effective
administration of the CIO.| |**Additional information (optional)**
You may choose to include further statements|**Additional information (optional)**
You may choose to include further statements|where relevant about:| |---|---|---| |Policies and procedures
adopted for the induction and
training of trustees|Para 1.51|| |The charity’s organisational
structure and any wider
network with which the
charity works|Para 1.51|| |Relationship with any related
parties|Para 1.51|| |Other||| ## **Reference and Administrative details** |Charity name|Reforest Africa| |---|---| |Other name the charity uses|NA| |Registered charity number|1185419| |Charity’s principal address|5 The Crescent
Princes Risborough
HP 27 0HT| ||| ## **Names of the charity trustees who manage the charity** |1
2
3
4
5
6
7
8
9
10
11
12
13
14
15
16
17
18
19
20|**Trustee name**|**Office (if any)**|**Dates acted if not for whole**
**year **|**Name of person (or body) entitled**
**to appoint trustee (ifany)**| |---|---|---|---|---| ||Robin Loveridge|||| ||Antje Ahrends|||| ||Andrew Marshall|||| ||Gurveena
Ghataure|||| ||Olivia
Hanrahan-Soar|||| ||Samuel Kabiru|||| ||Tessa-Lee Jones|||| ||Josephina Oji|||| |||||| |||||| |||||| |||||| |||||| |||||| |||||| |||||| |||||| |||||| |||||| |||||| – Corporate trustees names of the directors at the date the report was approved **Director name** Name of trustees holding title to property belonging to the charity **Trustee name Dates acted if not for whole year** ## **Funds held as custodian trustees on behalf of others** Description of the assets NA held in this capacity Name and objects of the NA charity on whose behalf the assets are held and how this falls within the custodian charity’s objects Details of arrangements for NA safe custody and segregation of such assets from the charity’s own assets ## **Additional information (optional)** ## **Names and addresses of advisers (Optional information)** **Type of Name Address adviser** **Name of chief executive or names of senior staff members (Optional information)** ## **Exemptions from disclosure** Reason for non-disclosure of key personnel details ## **Other optional information** ## **Declarations** **The trustees declare that they have approved the trustees’ report above.** **Signed on behalf of the charity’s trustees** |**Signature(s)**
**Full name(s)**
**Position (eg Secretary,**
**Chair, etc)**
**Date**||| |---|---|---| ||Robin Loveridge|| ||
Trustee|| ||23/10/2023|| ||23/10/2023|| ||**Reforest Africa**|**Reforest Africa**|**Reforest Africa**|**Reforest Africa**|**Reforest Africa**|**No (if any)**|**No (if any)**|**No (if any)**|**CC16a**| |---|---|---|---|---|---|---|---|---|---| ||**For the period**
**from**||01/01/2022||**To**||31/12/2022||| ||||||||||| |**Section A Receipts and payments**|||||||||| |**A1 Receipts**|**Unrestricted**
**funds**
**to the nearest £**
**-**
**39,701**
**30,000**
**-**
**-**
**-**
**-**
**-**

**69,701**
**-**||**Restricted**
**funds**
**to the nearest £**
**41,026**
**-**
**-**
**-**
**-**
**-**
**-**
**-**
**41,026**
**-**||**Endowment**
**funds**
**to the nearest £**
**-**
**-**
**-**
**-**
**-**
**-**
**-**
**-**
**-**
**-**||**Total funds**
**to the nearest £**
**41,026**
**39,701**
**30,000**
**-**
**-**
**-**
**-**
**-**
**110,727**
**-**
**-**
**-**
**110,727**
**329**
**26,753**
**197**
**4,800**
**346**
**3,499**
**888**
**322**
**3,075**
**380**
**79**
**1,431**
**341**
**1,784**
**747**
**10,010**
**2,944**
**2,468**
**1,744**
**3,811**
**497**
**3,909**
**5,136**
**75,490**
**-**
**-**
**-**
**75,490**
**35,237**||**Last year**
**to the nearest £**| |Fondation Franklinia Grant|**-**||||||||**-**| |Flamingo Land Grant|**39,701**||||||||**-**| |The Biodiversity Consultancy
Conservation Fund|**30,000**||||||||**-**| ||**-**||||||||**-**| ||**-**||||||||**-**| ||**-**||||||||**-**| ||**-**||||||||**-**| ||**-**||||||||**-**| |**_Sub total_**_(Gross income for_
_AR)_|
**69,701**||||||||**-**| ||||||||||| |**A2 Asset and investment sales,**
**(see table).**|||||||||| ||**-**||**-**||**-**||**-**||| ||**-**
||**-**||**-**||**-**||**-**| |~~**_Sub total_**~~|**-**||**-**||**-**||**-**||**-**| |**_Total receipts_ **
**A3 Payments**|||||||||| ||||||||||**-**| ||||||||||| |Accountingand audit fees|**329**||||||||**-**| |Salaries and wages|**26,753**||||||||**-**| |WCF|**197**||||||||| |NSSF|**4,800**||||||||| |Office renovation|**346**||||||||| |Vehicle repair|**3,499**||||||||| |Rent|**888**||||||||| |Telephone and internet|**322**||||||||| |Seeds andpesticides|**3,075**||||||||| |Bank charges|**380**||||||||| |Electricityand water|**79**||||||||| |Fuel|**1,431**||||||||| |Insurance expenses|**341**||||||||| |office equipment|**1,784**||||||||**-**| |Magombera Forest Dayactivities|**747**||||||||**-**| |Meetings and events|**10,010**||||||||| |Transport|**2,944**||||||||| |Depreciation|**2,468**||||||||| |Village support events|**1,744**||||||||| |Botanicgarden installations|**3,811**||||||||| |General office expenses|**497**||||||||| |Staff training|**3,909**||||||||| |WithholdingTax|**5,136**||||||||| |**_Sub total_ **|**75,490**||||||||**-**| ||||||||||| |**A4 Asset and investment**
**purchases, (see table)**|||||||||| ||**-**||||||||| ||**-**||||||||| |**_Sub total_ **|**-**||||||||**-**| |**_Total payments_ **
**_Net of receipts/(payments)_**
**A5 Transfers between funds**
**A6 Cash funds last year end**
**_Cash funds this year end_**
CCXX R1 accounts (SS)|||||||||| ||||||||||**-**| ||||||||||| ||||||||**35,237**||**-**| ||||||||**-**||**-**| ||||||||**-**||**-**| ||||||||**35,237**||**-**| ||||||||||23/10/2023| CCXX R2 accounts ISSI 2311012023 |**Section B Statement of assets and liabilities at the end of the period**|**Section B Statement of assets and liabilities at the end of the period**|**Section B Statement of assets and liabilities at the end of the period**|| |---|---|---|---| |**Categories**
Signed by one or two trustees on
behalf of all the trustees
**B1 Cash funds**
**B2 Other monetary assets**
**B4 Assets retained for the**
**charity’s own use**
**B5 Liabilities**
**B3 Investment assets**|Signature
**Details**
**Details**
13 plot fo land for a botanic garden
2 motor vehicles
1 office facility
**Details**
**Details**
**_Total cash funds_**
(agree balances with receipts and payments
account(s))
**Details**|**Unrestricted**
**funds**
**Restricted**
**funds**
**to nearest £**
**to nearest £**
**-**
**-**
**-**
**-**
**-**
**-**
**-**
**-**
Agreement Error
Agreement Error
**Unrestricted**
**funds**
**Restricted**
**funds**
**to nearest £**
**to nearest £**
**-**
**-**
**-**
**-**
**-**
**-**
**-**
**-**
**-**
**-**
**-**
**-**
**Fund to which**
**asset belongs**
**Cost (optional)**
**-**
**-**
**-**
**-**
**-**
**Fund to which**
**asset belongs**
**Cost (optional)**
**-**
**-**
**-**
**-**
**-**
**-**
**-**
**-**
**-**
**Fund to which**
**liability relates**
**Amount due**
**(optional)**
**-**
**-**
**-**
**-**
**-**
Print Name
Robin Loveridge|**Endowment**
**funds**
**to nearest £**| ||||**-**| ||||**-**| ||||**-**| ||||**-**| ||||OK| ||||**Endowment**
**funds**
**to nearest £**| ||||**-**| ||||**-**| ||||**-**| ||||**-**| ||||**-**| ||||**-**| ||||**Current value**
**(optional)**| ||||**-**| ||||**-**| ||||**-**| ||||**-**| ||||**-**| ||||**Current value**
**(optional)**| ||||**-**| ||||**-**| ||||**-**| ||||**-**| ||||**-**| ||||**-**| ||||**-**| ||||**-**| ||||**-**| ||||**When due**
**(optional)**| ||||| ||||| ||||| ||||| ||||| ||||| ||||Date of
approval| |||Robin Loveridge|23/10/2023| ||||| CCXX R3 accounts (SS) 23/10/2023 3 JSIBE FINANCIAL SER VICES C•rtln•d A¢¢•untant• & AudIt￿0 REFOREST AFRICA REPORT OF MEMBERS AND AUDITED FINANCIAL STATENIFNTS FOR THE YEAR ENDEf) 31ST DECEMBER 2022 SIBE FINANCIAL SERVICES P.0 BOX 62951 . Mob: . +255 787 230 463 + 255 767 230 463 E. Mail: . slbefs2001Ya Website: _ DAR ES SALAAM TANZANIA mail.com REFOREST AFRICA FINANCIAL STATEMEIIT8 FOR THE YEAR El￿ED 318T DECEMBER 2022 CONTENTS PAGE Organization inforn)ation Members, report Statement of Members, Responsibilities Declaration of Head of Finance Auditors. Report 9-13 Statement of Financial Position 14 Statement nf Financial Activity and Other Cnmp Income Statement of Changes iu Equfty 16 Statement of Cash flow statement 17 Notes to the Financial statements 18-28 121 REFOREST AFRICA FINANCL4L STATEZ*lEfiTS FOR THE YEAR ENDED 3 DECEMBER 2022 ORGANIZATION INFORMATION PRINCIPAL PLACE OF BUSINESS.. Nlorogoro Region,Tanzania REGISTERED OFFICE Mang￿la. Kilombrro Distl"ILt P.n. Box 5. MoroRoro Region Tanzania. ORGANIZATION PRINCIPAL BANKERS: CRDB-SUA BRANCH MOROGORO ORGANIZATION AUDITORS STBE FINACIAL SERVICES Certified Accountants dnd Auditors P.O.BOX 62951 DAR-ES-SALAAM TANZANIA 131 REFOREST AFRICA FINANCIAL 8TATEMEPITS FOR THE YEAR ENDED 31$T DECEMBER 2022 REPORT OF MEMBERS The members presenl Ihis report and the audiied financial statements for the )"ear ended 31 ' December 2022 u.hich disclose the state of affairs of Reforest Africa. The audited financial statemcnTS are 8et out t)n page g to 1.3. INCORPORATION The Organization is registered as 2n Iniernaiional NGO under NC.() Act, 2002 on 19th December 2019. ￿ryth registration fiumber l-NC,O/R/0826. PRIPICIPAL 0￿ECTIVEs OF THE ORGANIZATION AND THE PERFORMANCE FOR THE YEAR Tb.e Organizalion's main aciivily is (Oresi resloraiion and conservaiion to help both 14'ildlife and people. State of affats8 In the vpinivn of the members Jhe stale ol Ilie Organizalion affairs is satisfactorN- aiid there has been nd material change which would affect the riniincial staiemenis as prcsenicd. During the vear elided 31. Decetnber 2022 the Organization made no surplus or deficit as the Organizarfon spent the grants received in line with doiiors apprO￿.L.d budgiet. Hom'cver. for rhe activities to be pcrform(.d in the nexr accouniing period its related grajit reLeii'ed I￿ Irealed defi'rrc'il Inc'ome cind prnperl¥' nf the nr%aniLation. ￿'heneVer derii'ed shall be applied soleli. iow'ards the promolioii of the objecis ol the C)rganization and no por(inn ihereof &ihall be paid or othenvise hO￿.%OeVer bi. ￿'a). of profil to the members ol the Organi7.ation save for such expe.nses incurred for the Organization. MEMBER8 The 1i2me$ nf the members at the date o( this report and Df those ￿'hO held orrice durinx the year arv as rollo￿.￿: Po$auo NAtlonallty Year •dml•*lon Andre*" R. Marshall ChaI￿rs￿n 4) Llniivd dom 2019 Deo D Shirima becretgn" 43 Tanzania Unitvd IKin&dom 2019 Robln lth'end Tri'asurer 36 Ani e Ahrends MeEn￿r 44 2019 Hamidu ATniseki lember 37 Tun7Ania 201¢1 Ilennan M L'atuu Nlember 37 2019 141 REFOREST AFRICA FifiANCIAL sfATEMETITS FOR THE YEAR ENDED 31tr7 DECEMBER 2022 ORGANIZATION GOVERNANCE The Members are commitred to the principles of good Organi7ation governance qnd reLo(ynize the need to condiiri the l)IisjIiVSS 111 a(.1.()rd￿lII'r th lili griitri-i411 accepted best practice. In so doing. the Members iherefore confirm ihal.. Nlembers mei regularli. throughout the N'ear.. Thcs- retain tiill and ctycctii'c control ok-cr rhc Urganizaiion and nioIiitvr execurii'e managcment.. lembers acceplb alid exercises respL)n8ibiliti, for 21r.IteEic qnd palics. dccisions. the approN'al of budgets and thc monitoring ol perfui-iiiaiiic: aiid TheN, bring skills and experience from their own spheres of business to romplement the prolessional experience and skills of the management team. IUSK MANAGEMENT AND INTERNAL CONTROI The members accept final re.%ponsibilitt. for the risk management and internal control gN'Stems of the Organization. It is the task of mernbcrs to ensiirc that adequate internal finanl'ial and operationdl control si'stcms .'Irc dc'velnp(.d lind maintained on an ongoing basis in order io provide reasonable asburance regarding: The cffcctivcness and cfficicncy of opcrations., The Safe￿I￿rdIn￿)f the Organi7Aiion's assets; Compliance with applicable La￿,3 and regulations. The reliabilitN' of accounling records; Busint'b¥ SUStainabiliti' under normal as well as adverse conditions., and Responsible behavkors toivards all srakeholders. Tne erricienci, of an! internal control s5'Stem is dependent on Ilie sirici nbscrvance of prescribéd measurcs. There. is al￿.aN"S a risk of non-conipliancr with such measures b!, staff. Whilst no sysrem ()f internal control can pr()K'idc' absolute assurance against misstatemtnt vr losses. the organizatlun,￿ ss'stvm is designed lo provide ilie members w'ith reasonable assurance Iliat the procedures in place are operating effectivelv. The members assessed the inrernal control SVSTems througliout the financ'iiil year ended 31st December 2022 and are of opinion that they met acceptecl criteria. PROPERTY, PLANT AND EQUIPMENT Information rclating to movement in Property Plant and Equipment 18 sh￿￿'n in Note 4 to the financial sratements. In the opinion of the Members the marker values ol the Organization s properties are noi Icss than tlie i'aliic shoivn in these financial statements. EMPLOYEES WELFARE-Managementlemployees relatlonship Tlit reldiioiiship betii'¢en ¢inploi-ec% ancl the InaiiagcmcnT 18 cordial. There IFere no unresolved complaints recpived hs, the manageTnpnt frnm the employees during the K'ear. REFORE8T AFRICA FINANCIAL 8TATEMENT8 FOR THE YEAR ENDED 318T DECEMBER 2022 DISASLED PERSOIqS Disabled persons are given first priorit5" in filling job vacancies appropriate to them. 9 RELATED PARTY TK4NSAcfioNS All related partN' rransacTions and balances are disr.losed in note 7 to the rinancial statements. 10 POLITICAL AfiD CHARITABLE DONATIONS The Organization did not make ani, political donations during Ihe year 2022. 12 CORPORATE SOCL4L RESPONsIèILlTIES The Organization participates actii'ely in communitN' activities and devel()pinent programs throughout the country. 13 FINAficiAL COMMITMENTS The mcmbers are of the opinion that all known liabilities and comrnitments have been taken into account. I'hese liabilitics arc relL'k'ant in assessing the Crganization's stale of affairs. 14 EVENTS AFTER REPORTING DATE As stated in Note 9 there are no evenis or Iransactions that Iidl'v LILLllI'I-vd since the reporting date which would have a material effect on the financial statements as prcscntcd. 15 FORMAT OF FINANCIAL STATEMENTS The ftnancial statements of REFOREST AFRICA have beeii prepared in accordance with Intcrnational Financial Rcporting Standards IIFRSI issued by thr I ntcrn8tional Accoiinting Standard Boa rd 11.4SBI. 16 4kUDITORS The auditors SIBE FINANCIAL SERVICES have expressed their ￿'1111ngnesS to continue in o￿lee and are eligible fnr re-appointment. A resolution proposing the reappointment (Jf SIBE FINANCL4L SERVICES as auditars of the Organization for 2023 will be put to the Annual General Meeting. Country Secretary 1410412023 161 REFOREST AFIUCA FINANCIAL STATEhlEfiTS FOR THE YEAR ENDED 31￿ DECEMBER 2022 STATEMENT OF MEMBERS RESPONSIBILITIES The NGC) Act. CAP 365 requires the members ro preparL fiiiaJiLial statcments for each financial period that gil'e a Inie and fair vie￿. of the st iiii-uli-ing ￿n[illIn, Refer to note 3.1.5 of the financTal ,' and observation. reperformaiice and insperiinii nr %ratemenls on the revenue evidence in respeci of operation of these coiiirol. dctermination. Tested ihe relevant information ierlinolo svstcms, access and change management controls relaring to contracts and rclaied iiifr)rmaTSnll Lisrd I in recording and disclosing revenue in acrordance i-ith rhe neu. reveniie acrounting standarcl. Iprfnriii4? Jlc-P , Coocluglon Our proeedurcs did not identify, .2ny maleri.I1 exceptions. Other Informatlon I'11* iiiviiil)trrs are reg1)f)ii%ible for the other informatinn and repori Dr membcr8. Clur opinion on the financial statements does not cover the other infonnation and ll'e (lij I iiit exiii"t'%% di)v forTn ol assurance conclusion Ihcrcon. In eniiiiei'iinn Nith nur aiidit of rhc financial statcmenrs. our responsibilitt. is ro rcad Iliv ibtlivr iiifnrmaiii)n and iii di)ing so. considcr ￿hcthLr thc nihc'r Inlorrnatinn Is rnaterially incnnsistcnt ii'ith ihc financial 8l<ements or our knO￿,ledge obtained in the audit or oihern'i5e appears to be materially misstated. If based or) Ihe H'ork have performcd on rhc other information thai li'e obiaincd prior to ihc date of this auditor s repnrt, ￿'e cnnclude iherc is maieridl misstaienieni of ihiq other inlnrmation. and we are required In reEM)rt that fact. Il'e have nothing to repori in this regard. Responsibilitles of management and those Charged with Governance for the fAnancial statements The Directors of Qrganization are responsible for the preparati()n presentation of rhese fin. OrganizaTion to cease to continiic as a going concern. caiise th :VAliiate the overall presentation. srrucrure and content of the financial stdt¢lllLlltb. includiiix the disL losures. aiid i4-h¢tllL l- tlIL fiiiclllCl¥il 4t'irt' Iiic'iits represent the underlving transaciions and eN"ents in a manner that achieves fail. preseniilitri" i)AN'AI)ltr%. Nni) dr.riVdtik'p finaTrc"IAI in.stiiJmi"nts .'4rv ri'rc>gnitA.d initJLIIIv. at fair i'alue plus for insiruments ai fair i'aLue throubh sLaiement ijr riiia i)i"Idl yei-forii)aiice anK. dir¢ct atlribuiable IraiisactiDn costs. cl FiJi£lllCidL_,Is¥vL Fnr the purpose ol subsequent mcasurcment. linancial asscis othci- thaIi th(Trse debignated and elTeclive as hedgsng instrnments are classified into tlie folluwixig i-aivgi)rivs uyoyi iiiilial rerogiiilivjj. Loans and receii"ables'. Financial assets at fairy valiie through siatement of flnancial perforniancc.. yeld io maturitv ini'estments . and .4I'ailablc for sale financiaj assets. dl Financlal Liabilities Thp finaiieial liabililjes inrknde borro￿￿ng$. trade and oiher pavables, and derii'ative financial.. insrrtiments. Financial liabilirie are mvasured siibscqucntlN' at amortiscd cosi using thc cffcctivc inici-est nicthod, L.xcLpt fnr linaiiri81 liabilitie8 hclrl fnr tradinq or dcsiqnatcd 2t fair i'alue Ilrough IAleiiieiil Dr riiiAiirial perfonnance. that arc carricd 8ubsequenilN al l.air v8liiv willi g8ins nr InA%ts recngiii7Rd in statemcnt of fiiianc i.Il pcrfnrman(-c. el ()ff%vrriiig Fii)ancidl In8trnment8 Financial .4ssets and LiabiliTip% dre off svl cin(I the nvl Aynriiint I'pp()rlvil in the statement of financial posiiion ll'hen there is a legalli- enfnTC£'nic'iil rib'lit to orrset thtr rec'()gni?.pd dniounty and TheTr' is an intentiun rn settle on u nL.t basis, or realize ihe assets and settle the liabiliiy siinultaneously. 3. 1.3 Property, Plant and Equlpment 11 Re¢ognAtlon and measurement Itein5 of Propen!. Plant and Equipiiient are measured at historii'al rii8t less accuniulated deprcciation and accumulafed irnpairment loss. Cost in¢liides expenditure that is directlv altributable to the acqiii%irion r)f the a8SVt. The cost of sclf-consiiucted asseis uicludes ihe L'VSt uf lildli't'ials aiicl Iliivi't labour. ani. other costs directlv atlributable to bringing the asgets ro a working conditinn lor their intended usc, and the cnsts nf dismaniliiig and removing are allocated. Co%t also mav include transfer8 frnm eqiiirv nf <2ny gain or loss on qiialifs ing cagh flow hedges of foreign currency pui-chases nl. Propert￿., Plant and Equipment. All (Triller rvpair% ￿r1d InAinlpnani"e alp rhargtrd tn the statement nf C.nniprphf nsiNe iii('vJiJe (liiriiig Ilie finaJJ(-ial period in which theN' arp incurred. Reclassificatlon to Investment Property 1211 REFOREST AFRICA FITIANCIAL STATEMENTS FOR THE YEAR ENDED 31gf DECEMBER 2022 Pr()pertN' that is being constructed for future uses as InKtbtmenT Prui)errv 1% decnunied Inr as prnpenN. plani and cquipnieni uniil consiructioii or dekelopmenl 18 complete. 8t u'hLI-h rime it 18 re-measured to I￿r i'alue and rcclassilied as investTnent propert!. .InN g￿n or losb ￿.1￿117￿ on re- merlqurfment L5 rerognized in staTrmeni ot" I'rofit or LnV.:- nd C)ther Ci*iiipieliriisive inconit When the use of properti" changes fTom owner occupied to inve%iiiiriil prnperry. the propem, is measured to fair valuc and recl8SSlticd as iftvcsiment propertN'. i) Subsequent Costs The c(Jsr nl. replacing part of an item of propem,. plalli and equipmeiit is recognizvd in the caw'ing amount of the item if it is probuble ih'. vl DeprecaatAoa Depreciation is calculated nn Teducing balance basi8 tn recogiiize ihe - consurnption of ecotionlic benefits of an asset over its useful life. Depreciation assets are classified as follows: Tate De*crlptAon .lotor IJ ehicle OtTic'e ￿la1.1111}V¥ &¢4uii)nient Furniture and fittings LompuTer 3. 1.4 Impurnient Flnanclal Asscts Il assct is asscssed at cach reporting datc to determine ￿,hether thcrc. iq anfv (khjperive evidence ihal Il is irnpaired. A financial a%set is con%idered to be ini i)Aii't-cl ji nbjei tive ei ideni iiidiLAtc.- t4at orie or mnrc ci'cnts haie had iiegaiive effeci nn the estiniated fiiiure ca%h Ilowlls ol that asset. All iinpairmvnt arv recogiiized iii slateineiil LTrf Cuii)pitliriLsive iiic'iiiiiv. Anit cumulatiK'e loss in respecr of an available-for-sale financiil asset recognizeil prei-iouslN' in equity IS transferred to st2ternent CompTe.hensii'p incorne. An impainnent loss is reN'eTsed if ihp rviersal can be related ()bjeLtll7el! t() ail evenL ()ccurring alier the Impainneni Inss ￿'aS Terngnized. finr fincinrial atssels measured ai amortised cost and avJilable-foi-sale financial asbets that ai-v deb., sccuritics. Ihc revcrsal is recognised in statcmeni of tinanciai performance. 14 01 ai-ailable-t'or-sale linancial asseis t￿.at are equiN securitie¥. the rei-ei%al i. recnorjised dircctlN' In equii!.. {2 REFoRE￿r AFRICA FINANCIAL STATEl•IENT8 FOR THE YEAR ENDED 318T DECEMBER 2022 3.1.5 Revenue recognition -1. l.(1 Tlie Organization depend much on grants received from various donors as a source of revenue. Ciranr.s are rerognized orj cash basis and :heretore ihere are arcnial% (or grants not reccivcd. Grant balances at year ends arc carried (orward to thc Llcxt financial year. 3. 1.7 Aecounts Reeeivable8 and I￿18Th# Accouiiis receii'ablcs are carried at origina] amoriiscd amount Icss an esTI iiiate made far doiibtftjl debt8 ba8ed on a review. of all outstanding amounts at rhe ye'ir-end. Provision for bad and doubtful debts is made in respect of sperifir debts. ￿,hICh hcive been oiiistanding for rec.overy for one se31 and Are Considered doubiful of recover). 3. 1.8 Cash and Ca¥h Equlvalent# For the purpose of rhe cash flow statemcnt. cash and cash equivalciits comprise of cash in hand, deposits held w'ith banks and investments in money morket in9rrumpnis. 3. 1.9 Fln#nclal A88et• and Liabilities The eiitify I'lassifies ir% financial asyets in the following caregori¢s.' at fair vaiue Ihrough statemeiit ol Profit aiid kns and comprehensive Incomc. loans and rereival)Sps. and available fnr%ale. The classification depends on th¢ purpose for ii'hiL"h the fin-In2i.Il ?ssers H'ere acquired. Direct()rs deierinine¥ the rlassificaTion of its financial a%sers at initial rec'o¥nition and re-evaluare¥ thi.4 dv%ignariiiii at every repnrting date. 3.1.10 Aceounts Payables and Other• Accounts Pavables are reco￿ised iniLialli' ai fair i'alue and subsequently m<'cisurpd clt amortised t'cibt ubing the effeciii'e interest meiliod. 3.1. 10 Income t Income cxpense is the aggregate of ihe charge io profit or loss in respect of curreni incomc and deferred income t&x. Current income is tho, Jmount of incoiiie tax paicqble nn tile i&xable profit lor the perii)d determined in accordciiice i¥ith the Tanzanian Ini'onie T&Y Act. 2004. Ivlcrred income tax is provided in full, using the lidbilirj meThod. for all temporary. differences arising betiveen the tax bases of iaSsels and liabilities and their c8m.ing values for iinaiicial Irporting PUTposes. Hom'ei'er. if the defcrred inr()Ine arisvs from the initial rec(Jgnitiun of an asset or liabilitv in a transaction other than a business combination that at the time of tlie Iransaciion affects neithcr accounting nor taxable profit nor loss. ir is not accounted for. Deferred income t&x is dctern]ined usiiig tax raies and laws thai have been enac'ted 01 substantii'ely enacted at the statement of financ'ial position d.Ife and are expected ro appli. when the related deferred income tax asset is reaiised or the deferred income t&¥ liabilitv is settled. Deferred inconie 1231 REFOREST AFRICA FINANCIAL STATEMENTS FOR THE YEAR ENDED 3 I&T DECEMBER 2022 tax a8sers 'Irv recognised onlv to the extent that it is probable that future iaxable prolits wdl be available againsi i%,hich iemporarN- diffprences can be utilised. 3.1.11 Prov18ions Pro%'i5ions arc rceogni8ed M-hen the Business has a present legal or constructive obligation as a resuli ol past rt'enis, il IS I)robable ihal an oui noth. of resourceg embod)ping economie benefits bc required to sertlc rhe obligation. and a reliable csiimaic of thc amoiiiit of the obligation can bc madc. 3.1.12 Intattglble assets Intangible asset8 Mcqiiired geparateli, are (measured on initial recognition at cost. Following initial recogniiion. intangible assets are carried at Lost less ani- aceiiniiil jiied aniortization ' Ind Liccuinulaied imP