2022-12-31-accounts

~~Annual Report and Accounts~~

For year ended 31 December 2022

© International Alert 2023

All rights reserved. No part of this publication may be reproduced, stored in a retrieval system or transmitted in any form or by any means, electronic, mechanical, photocopying, recording or otherwise, without full attribution. Layout: D.R. ink Cover image: Bernard Chirchir from the Kenya Wildlife Service Sibiloi answers questions from fishers in the Lake Turkana region during a dialogue forum, as part of the Water, Peace and Security partnership. Photo: © Martin Mwangi/ International Alert

~~Contents~~

~~Contents~~
Message from our Chair	2
Message from our Executive Director	3
~~Annual report~~	~~4~~
About us	5
Vision	5
Mission	5
Our Annual Report and Accounts	5
Locations	6
Our work in 2022	7
1. Working with those affected by confict	7
2. Building peaceful relationships	10
3. Keeping the peace	16
4. Living peaceful lives	20
Progress against our operational priorities in 2022	24
Our operational priorities for 2023	26
Organisational details	27
Strategic report	28
Structure, governance and management	28
Financial review	29
Acknowledgements	32
Donors	32
Partners	33
~~Accounts~~	~~35~~
Independent auditor’s report to the members of International Alert	36
Financial statements	39
Notes to the fnancial statements	41

~~Message from our Chair~~

In a world more violent and dangerous than it has been for decades, peacebuilding can help enable people to secure a better future for themselves and their communities. It works best when it is shaped and driven by those people and communities themselves. That is our mission at International Alert and it has never been more important.

Conflict has become the single biggest obstacle to achieving the Sustainable Development Goals and blights the lives of hundreds of millions of people. The accelerating effects of climate change and the lasting impacts of the COVID-19 pandemic continued to sharpen conflict trends during 2022. So, of course, did the repercussions of the war in Ukraine, from impacts on food and energy prices – sources of tension in many contexts – to the fragility of geopolitics itself.

I was delighted to be appointed as Alert’s new Chair in January 2023. I pay tribute to my predecessor, Carey Cavanaugh, who served as Chair over the last five years, including throughout the period covered by this report. The role of the Board of Trustees is to oversee, champion and support Alert’s work. This report sets out some of what Alert did during 2022, the impact achieved, challenges encountered and lessons identified. Crucially, what is set out here is achieved through partnerships with others. The courage, commitment and imagination of our many partners is Alert’s greatest source of strength at a challenging time for peace: we owe them our warmest thanks.

I hope you enjoy reading about Alert’s work during 2022. Thank you for your engagement and your support.

These factors also remind us of the connections between people around the world. What happens in one place affects – increasingly quickly – those who live elsewhere. Recognising the common humanity in others underpins Alert’s peacebuilding work and gives us hope for restored relationships.

David Nussbaum

Chair of the Board of Trustees

International Alert | Annual Report and Accounts 2022 | Annual Report | 2

~~Message from our~~

~~Executive Director~~

2022 was a tough year for peacebuilders. Alongside rising global conflict trends and geopolitical tensions, International Alert, like others, has worked in a challenging donor context. We are grateful to all our donors for the faith they have put in us and our partners, which allowed us to continue expanding our peacebuilding work during 2022.

With conflict ever higher on the international agenda, we have also valued the relationships and engagement that allow us to continue connecting local peacebuilders with global decision-makers: this is something our partners rightly ask and expect of us as an international network.

We work alongside many other organisations and actors striving for peace, and we draw strength and learning from those relationships. Peacebuilding requires many approaches and perspectives. But we will continue to make the case for it to be shaped above all by the voices and needs of the people and communities most directly affected by violence. That is even more important for those who are marginalised because of their identities,

age, disability or distance from power. We work with them both to reduce violence itself and to tackle the underlying abuses of power that often lie at its roots.

Alert itself continued to evolve over 2022, to ensure our resources are used where they can make the biggest difference, and to find new and more equitable ways of working with our partners and inside our organisation. The conclusion of our partnerships review was an important milestone here, as was the validation of our organisational charter on gender, diversity, equity and inclusion. Both were the result of deep processes of engagement and reflection that set the direction for the way forward, including as we develop our next strategy over the course of the current year.

Thank you for working with us to build peace.

Nic Hailey Executive Director

3 | Annual Report | Annual Report and Accounts 2022 | International Alert

~~Annual report~~

International Alert | Annual Report and Accounts 2019 | Annual Report | 4

~~About us~~

International Alert (Alert) works with people directly affected by conflict to build lasting peace.

We focus on solving the root causes of conflict with people from across divides. From the grassroots to the policy level, we bring people together to build sustainable peace.

Peace is just as much about communities living together, side by side, and resolving their differences without resorting to violence, as it is about people signing a treaty or laying down their arms. Peace is when you can walk your children to school in safety, feed your family or make a living, no matter who you are.

We bring people together to inspire and amplify voices for peace. In collaboration with communities, partners, businesses and policy-makers, we turn our in-depth research and analysis into practical solutions that make a difference on the ground.

Vision

Our vision is that people and their societies can resolve conflicts without violence, working together to build sustainable and inclusive peace.

Mission

Our mission is to break cycles of violence and to build sustainable peace through:

• working with people directly affected by violent conflict to find lasting solutions;

• shaping policies and practices to reduce and prevent violence, and to support sustainable peace; and

• collaborating with all those striving for peace to strengthen our collective voice and impact.

Our Annual Report and Accounts

The trustees present their report and audited financial statements for the year ended 31 December 2022. Legal and administrative information set out on page 27 forms part of this report. The financial statements comply with current statutory requirements, the Memorandum and Articles of Association and the Statement of Recommended Practice – Accounting and Reporting by Charities (second edition) and the Financial Reporting Standard (FRS 102).

5 | Annual Report | Annual Report and Accounts 2022 | International Alert

Locations

The countries and territories where we worked in 2022.

----- Start of picture text -----
UK Netherlands
Ukraine
South Caucasus Kyrgyzstan
Tajikistan
Tunisia Syria
Lebanon Afghanistan
Jordan
Nepal
Myanmar
Mali
Niger Chad Philippines
Ethiopia
Kenya
Burkina Faso Nigeria
Uganda
Rwanda
DRC
Burundi
Offices
Other focus area
----- End of picture text -----

International Alert | Annual Report and Accounts 2022 | Annual Report | 6

~~Our work in 2022~~

For Alert, peacebuilding means supporting people in or at risk of conflict to prevent or end direct violence. It also means creating the conditions for sustainable peaceful coexistence and peaceful social change by addressing structural violence, underlying inequalities, injustice or conflict between groups of people caused by established institutions or processes.

Our work supports building peaceful relationships between all sectors of society, developing and supporting societies’ mechanisms for keeping the peace, and helping to ensure that everyone can live satisfying, peaceful lives.

----- Start of picture text -----
23
----- End of picture text -----

countries and territories

----- Start of picture text -----
82
projects
----- End of picture text -----

----- Start of picture text -----
93
partners
----- End of picture text -----

1. Working with those affected by conflict

We believe that violent conflict can only be resolved sustainably with the involvement of those directly affected by it. The solutions to societal problems must by their very nature be applied from within society, which means appropriate changes need to be defined and achieved by people and organisations in the conflict-affected places where we work. The participation and collaboration of those most affected by the conflict, and people with diverse perspectives, are essential for both ending violence and building sustainable peace. We see anyone with whom we work to deliver peacebuilding outcomes as a partner. Stories of our work with partners are found throughout this report.

Inclusion

Finding peaceful solutions to conflict, whether direct or structural, requires bringing together people with different views. Moreover, a society that structurally excludes some of its members is a society that is failing to resolve conflicts and is thus prone to violence. While people in any society will have differing kinds of power, a society that does not exclude sections of the population from power on account of their membership of a particular group or identity (such as gender, age, ethnicity, disability or religion) is better able to resolve conflicts without using violence. Therefore, we work to support the inclusion of people of all groups and identities in decisions in society. Some groups are more marginalised from discussions than others, so we focus on finding ways to ensure equitable access and meaningful inclusion in

7 | Annual Report | Annual Report and Accounts 2022 | International Alert

decision making. Depending on the needs of the context, we may focus particularly on supporting inclusion of young people or people from a particularly marginalised ethnic group. Working for inclusion also involves challenging and calling out those who work against it.

For example, in Tunisia we have supported inclusive participatory governance processes since 2014. We work closely with local authorities in neighbourhoods and border communities where inequality and marginalisation are prevalent, to promote young people ’s participation in Tunisia’s fledgling decentralised democracy, building trust between local authorities and young people. In 2022, we expanded our work into two new workingclass neighbourhoods in Greater Tunis and to two new border areas in the governorates of Kasserine and Tataouine. In all four of these areas, we have convened discussions with municipal councils and established youth platforms to lead work using tools for participatory local democracy. These platforms are valuable in enabling youth ownership of governance processes, particularly in a context marked by youth disengagement.

Russia’s war in Ukraine and the broader geopolitical and economic fallout (including sanctions against Russia) significantly affected the South Caucasus region. September’s hostilities in Armenia, which saw an unprecedented number of casualties and additional psychological distress for populations, further limited the space for peacebuilding. There is very little appetite for cross-conflict dialogue. It is therefore particularly significant that young people were able to meet across conflict divides for the first time since the COVID-19 pandemic began and significantly since the second Nagorny Karabakh war between Armenians and Azerbaijanis in late 2020. Through careful planning and sensitive facilitation, we were able to conduct two crossconflict meetings for young people involved in our programming: Armenian and Azerbaijani journalists met outside the region to work on conflict-sensitive reporting; and young people from across the South Caucasus came together to share experiences with their peers of working on ecological problems in their communities. Such dialogues keep alive links and networks across the conflict divide.

Gender

Within our peacebuilding work, we place a special emphasis on understanding and addressing gender dynamics within societies as they relate to violent conflict. Gender is just one aspect of a person’s identity, alongside others such as ethnicity, nationality, religion, socio-economic status, disability, age, sexual orientation and so forth. Gender is one of the factors that influence, positively and negatively, the ability of societies to manage conflict without resorting to violence. Rigid interpretation of gender norms (such as men’s honour being associated with protecting the family and women’s being associated with purity and caregiving) can be an important underlying cause of high levels of violence and discrimination throughout society.

Since the twentieth anniversary of the United Nations Security Council resolution 1325 ( UNSCR 1325 ) on women, peace and security (WPS) in 2020, we have been advocating for greater recognition of the political nature of the WPS agenda, recognising that changing the position of women in peacebuilding requires shifts in the actions and positions of men. Patriarchal gender norms and structures (which prioritise male political leadership, privilege and control of resources) marginalise women’s voices and suppress gender equality at all levels of society. These issues have been at the heart of difficulties to fully implement progressive legislation towards gender equality.

To understand the experiences of LGBT+ people in conflict-affected areas, we undertook research on people’s experiences in Myanmar and Nepal entitled Breaking the binary. This highlighted the increased vulnerability of LGBT+ people in conflict contexts, with violence escalating during military and security sector mobilisation. Specific targeting of people with diverse sexual and gender identities includes sexual assault, torture and humiliation termed as ‘sexual cleansing’. In both countries, LGBT+ people faced social stigma, lack of equal participation in decision making and lack of equal economic opportunities. To ensure an inclusive and sustainable peace, LGBT+ issues need to be considered in peacebuilding initiatives along with women’s issues. The WPS agenda is a significant and strategic entry point for addressing gender dynamics in conflict. Our advocacy in Nepal helped to ensure the integration of LGBT+ issues into the current draft of

International Alert | Annual Report and Accounts 2022 | Annual Report | 8

the national action plan on UNSCR 1325 (on women, peace and security) and 1820 (on sexual violence as a weapon and tactic of war). And in collaboration with peers, several engagements with the drafting team resulted in integration of some LGBT+ language in the draft of the UK’s national action plan on UNSCR 1325 for the first time.

Our partner: Federation of Sexual and Gender Minorities – Nepal (FSGMN)

FSGMN is the only federation of LGBT+ led community-based organisations in Nepal, comprising of 37 affiliated organisations. It aims to create a strong network of organisations with the capacity to work on the rights of LGBT+ communities across Nepal. FSGMN led advocacy to secure greater rights of LGBT+ people in Nepal’s 2015 constitution, including their recognition as a gender and sexual group, their right to change their sex and progress towards recognition of same-sex marriage. We partner with FSGMN to contribute to greater social and political inclusion of sexual and gender minorities, for a cohesive and peaceful Nepali society. In 2022, together we successfully advocated for inclusion of LGBT+ as a target group in the second national action plan on UNSCR 1325 and 1820.

We created women’s groups across Lebanon that engaged in intergenerational, cross-community dialogues on the narratives of violence, civil war and reconciliation, and trained 160 women in mediation skills. Their knowledge of the national WPS agenda was strengthened and they became more confident in talking about sexual and gender-based violence (SGBV). These sessions directly influenced women’s ideas regarding mediation, peacebuilding and gender roles. They were able to share their changed perspectives with family members and colleagues and in their neighbourhoods. By the end of the project, more than 100 women had used their new skills in direct involvement in de-escalating tensions in their families, workplaces and neighbourhoods.

Partners

Our local, national, regional and international partners are central to our ability to contribute to positive social change. Our collaboration with partners takes many forms, tailored to the opportunities and needs of the contexts in which we work.

As an international NGO, we seek to amplify the efforts, impact and voice of our partners, work

As part of our ‘Creating spaces for women peacebuilders in Lebanon’ project supported by UN Women and in partnership with Saint Joseph University, participants discuss ways of strengthening the next phase of the work. Photo: © Joumana Rizk Yark

9 | Annual Report | Annual Report and Accounts 2022 | International Alert

in solidarity and connect partners with others. Our accompaniment includes securing funding for partners’ work, providing training, mentoring and other capacity building in peacebuilding and organisational management, and working together to influence powerholders to bring about change. Our partners support us through grounding our understanding of conflict, shaping our approach to peacebuilding, expanding our reach, bringing specific expertise to our joint work, sharing learning and ensuring we remain adaptive and relevant in the contexts in which we work.

During 2022 and 2023 we are undertaking a process to reflect on our partnerships, hear our local and national partners’ views, clarify our partnership position and develop guidance and tools to support our partnerships. This work is informed by our commitment to improving our approach to gender, diversity, equity and inclusion, and forms part of the process to develop our new organisational strategy. Our thinking is informed by global discussions about localisation, which supports a shift to locally led peacebuilding.

In September 2022, as part of our reflection on our approach to partnerships, we asked our local and national partners what they thought about their partnership with us. 58 people responded to an

anonymous survey and our country teams held discussions with 30 partners from across the globe, to gain a better understanding of how we partner at Alert and what we could do better. Their views have shaped our new partnership position, committing us to working towards more of our partnerships being locally led. We will continue to deliver some locally managed and locally implemented peacebuilding, driven by the needs and capacities of our contexts and the actors in them. But we commit to actively shifting towards greater local management and leadership. Whether our partners work locally, nationally or internationally, we will work toward partnerships being more equitable, effective, deep and diverse.

2. Building peaceful relationships

Engagement between people who disagree is necessary both to address immediate direct violence and to bring about changes to institutions, attitudes and behaviours that underpin structural violence. We work to support the building of trusting relationships between powerholders and wider society (known as vertical relationships ) and among people across society (known as horizontal relationships ).

Our partners: House of Peace and Basmeh and Zeitooneh

Our partnership with the two Lebanese NGOs, House of Peace and Basmeh and Zeitooneh, embodied our desire to contribute to local leadership of peacebuilding. House of Peace focuses on peace as a right for all people and respecting diversity and gender, and Basmeh and Zeitooneh works on peacebuilding and social cohesion, and civil society enablement. Together we supported the capacity strengthening of local organisations and communities to respond to the needs of Syrian refugees and host communities in Bekaa and Tripoli. Each of us worked on an approach to social stability that best fits our expertise, network and resources, aiming for complementarity. The project contributed to establishing a network of civil society organisations (CSOs) in Bekaa and Tripoli, creating new dialogue groups while concurrently empowering existing groups, and building existing youth and women committees’ capacities in peace education. Among other contributions, House of Peace focused on building the conflict sensitivity capacity of CSOs through trainings, in which CSO representatives reflected on the potential conflict dynamics related to their own programmes. Basmeh and Zeitooneh provided tailored peace education to the committee members that challenges stereotypes, helps them with their own coping mechanisms and helps them to work together as a committee. Our collective work helped participants build new relationships and change attitudes and perceptions while also strengthening community mechanisms. Community initiatives brought together people with different identities and demonstrated how they can work together and collectively benefit the community. It also enabled parents and children to understand their own concerns and ensure self-care, and provided mental health support.

International Alert | Annual Report and Accounts 2022 | Annual Report | 10

Conflict and gender sensitivity

Working to bring about peace first requires an understanding of what is causing the violence. Regular conflict analysis with our partners enables us to effectively adapt our peacebuilding to changing dynamics. Because changes to the social and economic status quo can cause or exacerbate conflicts, development, humanitarian and even peacebuilding programming can have negative unintended impacts on peace and security. If such risks are not identified, managed and mitigated well, these conflicts can become violent. But if managed well, people across the sector can actively contribute to reducing both direct and structural violence. We support the integration of conflict and gender sensitivity practices into the operations of organisations working in fragile and conflictaffected places.

We increased awareness of the need for conflict and gender sensitivity in the humanitarian and reconstruction efforts responding to the war in Ukraine , conducting a conflict sensitivity review of the humanitarian response in the country. The review, which found that conflict sensitivity is poorly

Our partner: Mines Advisory Group (MAG)

We supported MAG in its commitment to further integrating conflict sensitivity into their humanitarian mine action and armed violence reduction work. We provided accompaniment and technical advice on conflict sensitivity to five MAG country offices, including analysis, training, guidance and tools development on conflict sensitivity. Additionally, we worked with MAG to develop an organisational conflict sensitivity framework that outlines the relevance of conflict sensitivity to MAG’s work and entry points for application at strategic, policy and programming levels and in terms of capacity development for staff and partners.

understood at all levels, has been shared with the UK and Netherlands governments, and Ukrainian, European and US civil society. This helped launch our Context Sensitivity and Social Cohesion Hub for Ukraine to work with and advise international and local humanitarian and development actors.

In Niger , we influenced the integration of conflict and gender sensitivity by consortium partners

Our partner organisations and representatives from local authorities from Chad meet in Niamey in neighbouring Niger to discuss collaboration on the project, ‘Strengthening resilience and social cohesion in the border areas of Niger and Chad’. Photo: © Abdourahamane Malam Saley/International Alert

11 | Annual Report | Annual Report and Accounts 2022 | International Alert

via trainings and sharing tools and technical support. This is positively impacting the work of local partners in Niger and Chad. For example, we supported our partner to deliver two workshops in Niger on peacebuilding and social cohesion, bringing together local authorities, traditional leaders (chiefs of cantons, tribes and villages or neighbourhoods), technical services, defence and security forces, civil society representatives (women’s associations, young people and small farmers’ organisations) and the national High Authority for the Consolidation of Peace (HACP). During the six days of training, the participants discussed the socio-economic situation of the community, different forms of security threats, mechanisms for preventing and managing land conflicts, and UNSCR 1325 and 2250 (on increasing representation of young people in decision making at all levels). Our conflict analysis enabled participants to discuss the main causes of conflicts that hinder living together, including scarcity of natural resources, exclusion of certain social groups, corruption, and customs that discriminate against women. As a result, participants developed an action plan to contribute to addressing recurring conflicts (herder–farmer, fisher–herder, intercommunity and natural resource management conflicts).

In the Democratic Republic of Congo (DRC), we set up a Conflict Sensitivity Hub (CS Hub) to provide humanitarian, development and peace actors with access to resources that allow them to ensure their programmes across eastern DRC are delivered in a conflict-sensitive way. The CS Hub is funded by multiple donors and is the first of its kind in the country. In 2022, the CS Hub received over 50 requests for technical support from local and international NGOs and trained 187 people (131 men and 56 women) in Goma, Bunia, Kalemie and Kananga in conflict sensitivity principles. We are accompanying organisations delivering cash programming and humanitarian work across South Kivu and Ituri provinces to review their methodologies and make adjustments to ensure their work is responding to changes in the context. The CS Hub has allowed these actors to ensure their aid programmes are as effective as possible and has helped them to build confidence with the vulnerable communities they are working to support.

Elections

For a society to be peaceful, decisions made by those with power should be effective, accountable and responsive to the needs of all in society, and people should have influence over the choice and conduct of their leaders. Violent conflict often emerges due to two or more parties competing for power. In societies that use democracy as the model for selecting leaders, elections can be key moments of violence. We therefore work with those with a stake in elections to prevent violence before, during and after elections.

Contributing to more peaceful and inclusive elections was a key focus for our Kenya team and partners in 2022. In collaboration with the Peace Actors Forum, we supported organisations to conduct dialogues in counties that were regarded as election violence hotspots, mobilising a range of peace structures to sustain these dialogues on peace pre- and postelection. Nakuru county was one of the six counties assessed as being at highest risk for election violence and experienced a wave of attacks by criminal gangs in June 2022, just before the August general election. Our partners Midrift Human Rights Network and Peace Corps, together with community leaders, therefore arranged a series of public security meetings, gradually building young people’s trust in the process and willingness to participate. This open communication helped police to arrest some of the criminal gangs, which reduced the incidences of violence in the county. In Nairobi county, the Mathare informal settlements have experienced inter-ethnic violence during previous elections. With our support, Mathare Peace Initiative arranged multistakeholder dialogues, sporting events and peace caravans, during which young people in or at risk of crime surrendered weapons to the police. These efforts contributed to peaceful elections with minimal violence in areas that were regarded as hotspots.

In the Philippines , our Conflict Alert conflict monitoring system records the incidence, causes and human costs of violent conflict in the Bangsamoro Autonomous Region in Muslim Mindanao (BARMM). With ten years of experience and data and a breadth of networks, we provided timely deep analysis of conflict dynamics in the Bangsamoro around the national elections in

International Alert | Annual Report and Accounts 2022 | Annual Report | 12

Our partner: Midrift Human Rights Network (Midrift Hurinet)

Midrift Hurinet works to empower citizens, the state and non-state actors in and around Rift Valley to inculcate a culture of human rights, good governance, peace and security in Kenya. In 2022, they worked with Alert and the Peace Actors Forum to strengthen community peace structures in Nakuru county, regarded as a hotspot for potential election-related violence. Their work mobilising communities and facilitating dialogues was critical in ensuring a peaceful election. In Rongai, Midrift Hurinet supported a critical conversation between community leaders of long-standing residents and communities resettled there after the post-election violence of 2007, to address the issue of land, the key factor driving local violence. At the forum, elders asked the deputy county commissioner to expedite the issuance of title deeds to solve the land disputes. The deputy county commissioner committed that, because the High Court had issued its ruling, a land surveyor would visit following the elections, after which community members would receive title deeds. These conversations played a significant role in improving community relationships and minimising violence during the August 2022 elections.

May 2022. Our community-based Early Response Network monitored major political clan feuding in the months leading to the elections in hotspot areas and were able to react quickly to emerging threats of violence. Our radio programme Alerto! Bangsamoro continued to serve as a platform to inform a wider audience on these issues. Early Response Network field reporters provided news updates on elections in Lanao del Sur, Maguindanao including the Teduray Lambangian areas, Basilan, Sulu, Tawi-Tawi, the 63 special geographic areas in the BARMM and Zamboanga City.

Participation in governance

A society with a well-functioning governance structure provides opportunities for everyone to participate in governance discussions and decisions about who has power and how that power is exercised. Prospects for peace are strongest when governments operate transparently and accountably

to deliver goods and services to the population, when laws reflect the common good, and when people and their leaders collaborate to define and take practical action on the right priorities.

Together with our partners, we regularly convene dialogues between civil society and government representatives to help establish constructive and peaceful relationships, so they can work together to solve the problems causing conflict in their communities. In 2022, this work included meetings with regional and local authorities in Mali , including the technical departments of the ministries of agriculture and land affairs and natural resource management, to discuss natural resources management and climate change policies affecting water-related conflicts in Mopti. In Nepal , some of our engagement with local government focussed on addressing the needs of conflict victims, seeking to hold local government to account, and asking them to prioritise health treatment, access to free education, livelihoods, employment and psychosocial counselling.

Transparency and social accountability

We recognise that the state can be a negative force in people’s lives and can cause or reinforce both direct and indirect violence. This may be due to highly bureaucratic or securitised state structures, institutions that consolidate unequal national or international trading relationships, or socio-economic policies that leave the most vulnerable people exposed to economic crises. We seek to support improved transparency and social accountability by states or others in power, enabling people to challenge deeply embedded inequalities and established relationships between those in power that actively continue to exclude others.

In Kyrgyzstan , we enabled work by 34 CSOs and 25 local governments (known as local selfgoverning bodies, or LSGs), supported by 135 mediators across the country, to establish a civic network to produce solutions to a variety of socioeconomic problems at the local level, with the aim of contributing to preventing post-election violence. In addition to LSGs, we worked closely

13 | Annual Report | Annual Report and Accounts 2022 | International Alert

with the Central Election Commission, Ministry of Internal Affairs and State Agency for Civil Service and Local Self-Government Affairs under the Cabinet of Ministers. The project evaluation found that, as a result of our work, citizens’ trust in local authorities has increased thanks to strengthening collaboration and joint work of LSGs and CSOs using the local initiatives mechanism. The transparency and accountability of local authorities has been greatly increased through holding public budget hearings, open sessions of local councils, introducing IT innovations in communication with local residents (for example, a Telegram bot for complaints and suggestions from local residents), supporting youth initiatives funded by the local budget, and strengthening mediation and conflict prevention skills. Local authorities’ readiness to allocate funds to implement community action plans, particularly conflict prevention plans, indicates their political will.

Social cohesion

Strong horizontal relationships within communities, particularly between people from different groups, are essential in preventing conflict from escalating into violence. Such relationships are also important in bringing those who have been at conflict back into a more normal and stable social interaction. Much of our work and that of our partners is focussed on strengthening this social cohesion – the relationships and sense of connectedness among members of a community.

In 2022, we provided conflict resolution and mediation training to local communities and their leaders in the Bandiagara region in central Mali . We also set out to improve effective communication among conflicting clans from different social, ethnic and religious backgrounds, by building networks of local mediators and young leaders, including women community leaders, so that they could integrate inclusive dialogue and rightsbased approaches to peacebuilding issues. These tactics helped promote trust, social cohesion and peaceful coexistence in a very polarised political environment. In particular, we helped to facilitate a long mediation process between clans of different religious and ethnic backgrounds, solving three conflicts between people using a water point. One

case saw conflict over access control and use of a water reservoir by market gardeners, fishers and bogolan makers (a handmade cotton fabric). As the amount of water stored in the reservoir no longer met the needs of all who used it, the market gardeners and fishers began to prohibit bogolan makers from washing cloth coated with clay or dyed with bleach, as well as preventing women who make blue indigo with caustic soda from using the reservoir. This conflict made it difficult to use the river’s water, which had previously served as a focus for social cohesion and promotion of economic growth in the area. The mediation consisted of separate one-on-one interviews with presidents of the various associations, with the goal of convincing them to move toward a win-win solution. The communities subsequently requested the project’s support to rehabilitate the reservoir in order to increase its retention capacity and thus reduce tensions between market gardeners, fishers and bogolan makers.

Lack of community cohesion is a key source of conflict in northeast Nigeria , so positive changes in attitudes and behaviour towards others are significant for long-term peace. We supported improved community social cohesion and a reduction in conflict, reduced stigmatisation of vulnerable groups and enhanced local conflict resolution mechanisms, by strengthening state government and community capacity to build households’ and community resilience to recurrent shocks (conflict and its negative effects). Our work included strengthening public administration capacity to deliver youth-focused social protection programmes and to develop a state social protection policy, and providing women and young people with skills development opportunities, enabling them to diversify their incomes. In an evaluation, 60% of women who participated in the project in the city of Potiskum felt that social ties were stronger and their level of interaction had significantly improved, because they could now freely celebrate and mourn together and work together to clean the community.

Reconciliation and reintegration

Conflict leaves its mark on individuals, communities and societies well after the violence ends. Following

International Alert | Annual Report and Accounts 2022 | Annual Report | 14

violent conflict, relationships within society are broken and explicit efforts are often needed to bring people (back) together and enable everyone to live normal lives. This work includes reintegration of former combatants back into their communities and reconciliation between previously conflicting parties.

Our programme in Rwanda is contributing to postgenocide recovery with an innovative integrated approach to supporting reconciliation , addressing the impacts of the genocide through psychosocial support, trauma healing and economic development opportunities. This approach has been highly successful in addressing social exclusion and

marginalisation by bringing together perpetrators, survivors and orphans from different communities to heal and prosper.

In Nepal , we continued our work on transitional justice , helping to shape an environment to address the immediate needs of conflict victims, as well as preventing local violence. We mobilised district transitional justice networks (DTJNs) to conduct advocacy dialogues at the local, provincial and federal level, strengthening citizen–state relations and access to justice for conflict victims. As a result, eight municipalities have started to allocate budgets for conflict victims in their annual plans, enabling

Our partner: Rwanda Organization of Trauma Counselors (ARCT-Ruhuka)

ARCT-Ruhuka aims to lead the development and application of innovative psychosocial approaches to mental health services and strengthen professional capacity in understanding, treating and preventing mental health problems. They deliver mental health and psychosocial support interventions, conflict management and peacebuilding for sustainable development in all 30 districts of Rwanda. We have been working together to improve reconciliation efforts in Rwanda through healing of historical wounds and facilitation of open and inclusive dialogue on contemporary sensitive issues in communities, secondary and high schools, universities and civil society.

ARCT-Ruhuka’s community-based intervention uses cognitive behaviour therapy and humanistic approaches, through which trustworthy volunteers are trained in basic mental health and psychosocial intervention, with technical support and clinical supervision by professional counsellors. By the end of 2022, 150 community facilitators were trained and providing therapy sessions to genocide survivors, released perpetrators, returnees, ex-combatants and young people from those families (to prevent transgenerational trauma). Between them they formed 255 therapy groups (2,917 members, 61% female, 39% male), which serve as safe and confidential spaces where members express their emotions, and exchange and learn from each other about healing, social cohesion and resilience building. The community facilitators received technical guidance from the project’s professional counsellors, through clinical supervision and field visits to their group therapy sessions. Members have reported reduced symptoms of trauma, such as fear, anxiety, isolation, anger, guilt, lack of trust and an increased sense of belonging to one’s family and society.

After 62-year-old Theoneste, a widower with four children, was released from prison for participation in the genocide against the Tutsi, he felt shame and was afraid to meet survivors, especially those whose family members he had killed, so he ran away from them or stayed inside his house alone all day. Hearing this from neighbours, a community facilitator explained to him about the importance of the therapy groups for trauma healing, unity and reconciliation. In a therapy group, he met two survivors who openly shared their stories and how they felt. Two weeks later, Theoneste also shared his stories with other participants, contrasting how he felt previously, and his inability to sleep, with how he felt after releasing all that was inside his mind. He said that after sharing his stories and asking for forgiveness, his symptoms are much reduced. “I felt so relieved and happy. Now I sleep well, socialise with others by attending weddings, church and other government development programmes.” He also feels more resilient and accepted within his community. “Before, I used to see anything and get frightened. Even a tree would scare me, thinking it is someone coming to kill me due to what I have done. But now I am comfortably living with others in the community.” Kabahizi, whose family members Theoneste had killed, forgave him and, as a symbol of a renewed relationship, even promised to give him a cow.

15 | Annual Report | Annual Report and Accounts 2022 | International Alert

basic and immediate support for conflict victims from local governments. Facilitating mechanisms include a local municipality’s provision of free health insurance to 33 conflict victims to continue their health treatment and medication, and free letters of recommendation to enable those in difficult financial circumstances to obtain their birth certificate and other citizenship documentation.

Sexual and gender-based violence

SGBV is direct interpersonal violence that is rooted in gender inequality, societal norms and abuse of power, such as patriarchal gender norms that reserve leadership for male elders and expect subservience from younger women. These norms also serve to exclude those from LGBT+ communities, who can be victims of SGBV. We recognise that constructive change in the family can not only reduce SGBV, but also have far reaching consequences beyond the family in the reduction of direct and structural violence.

In Myanmar , we have continued to focus on bringing about positive changes in male and

female relationships in Kachin and Rakhine states. Through support to improve their interpersonal communication and reflections on men and women’s gendered power, participants explored gender norms that fuel violent behaviour and attitudes, such as recognising that use of violence at home to express unfulfilled needs can fuel community conflict. The evaluation of our work reported a greater understanding of SGBV among men and a greater willingness to address issues of violent behaviour with other men as a result of their participation in our project. We also successfully dispelled misconceptions about sexual and reproductive health issues, leading to less discriminatory practices. One participant explained how the dialogue work had helped him change his behaviour:

• “ I always wanted to change my attitude and toxic behaviour. I knew that I had to change, but I didn’t know what makes me stuck. I am a breadwinner and may have asserted my voice towards my kids and my wife … I used to be the person who always spoke and didn’t give other people space to express their opinions. After the dialogue sessions, it became clear

to me that I should talk less and listen more … I reflected on my habits and realised it was wrong of me to ignore people’s opinions, especially my family members’. I never willingly accepted when my kids approached me. I shut them up when they wanted to discuss things. “

These changes are important in Myanmar’s context, as expectations of men can combine with the ongoing crisis to produce violent behaviours, attitudes and discourses that undermine social cohesion and increase the potential for SGBV and community violence.

3. Keeping the peace

Societies have developed multiple ways to manage relationships between people, and in particular disagreements or tensions between their members, without use of violence. We work to support these institutions to work inclusively and equitably.

Justice

Effective laws reduce the ability of people to use or provoke violence, and protect everyone’s human rights. In addition to fair laws, a peaceful society needs effective mechanisms to enforce those laws, ensuring that they apply to everyone in society. Such mechanisms enable prevention, protection and punishment, and enable justice not only to be done, but to be seen to be done. This includes being able to pursue truth and justice for crimes committed during violent conflict.

April 2022 saw the Marawi Siege Victims

Compensation Act signed into law in the Philippines . This was the successful culmination of our and partners’ efforts to support justice for the victims of the 2017 Marawi siege, a five-month armed conflict between government security forces and militants affiliated with the Islamic State. Drawing on our ten years of conflict data collection and analysis, our regular evidence-based strategic engagement with key legislators reinforced the urgent need to pass legislation on issues that significantly impact the Bangsamoro transition. We provided analysis and thematic briefings on the lack of progress in the

International Alert | Annual Report and Accounts 2022 | Annual Report | 16

Our partner: Marawi Reconstruction Conflict Watch (MRCW)

In 2018, a year after the Marawi siege, the internally displaced people (IDPs) were calling on authorities to let them go home and rebuild their homes themselves. The development of a Marawi Compensation Bill became a central advocacy focus for MRCW, a multi-stakeholder dialogue group set up to hold government, private sector, donors and CSOs accountable to the people most affected by the war. The MRCW included traditional and new leaders, women and young people, Muslims and nonMuslims, teachers, lawyers, development workers and some government executives acting in a private capacity. Their task was to shine the spotlight on the rehabilitation process, allow people’s voices to be heard, provide expert advice, prevent corruption and inefficiency, and ensure civil society accompaniment throughout the process.

The government’s Task Force Bangon Marawi (TFBM) repeatedly delayed the date of return of the displaced and the rebuilding of vital services. The MRCW pressured the government to fulfil their promises and account for the utilisation of aid. Social media was regularly used to bring the message to a wider audience, especially legislators. For example, in May 2020, during the third Marawi siege commemoration, MRCW and Alert ran the #KayaNgMeranaw online campaign to showcase the Maranao people’s stories of strength, bravery and perseverance amid the constant delays in the Marawi rehabilitation. Constant media engagement using stories and pictures of those affected was crucial in putting the Marawi issue back into the public consciousness. The #MarawiCompensationNow! campaign launched in the second half of 2021 used social, national and local broadcast media to increase the public attention on the need to pass the compensation bill. The MRCW concurrently cultivated champions in both the Senate and the House of Representatives. For the MRCW and Marawi IDPs, the passage of the bill in 2022 provided tangible support and recognition of the pain experienced by those who lost loved ones and their homes in the 2017 war, as well as recognition of the state’s responsibility to compensate the victims of war.

Marawi rehabilitation to allow local communities to return to their homes, the provision of compensation to victims, and violence over land and resources, especially in the ancestral lands of non-Muslim indigenous people. With the passage of the Marawi Compensation Act, our policy advocacy focused on ensuring the legislation’s proper implementation, including the establishment of a multi-stakeholder Marawi Compensation Board as the crucial first step.

Security

In a peaceful society, everyone can live their lives in security , without undue fear of physical or psychological threat. Although the physical prevention of violence alone is not enough to create peace, it is an essential component. Where violence is seen as a legitimate way to resolve personal or local conflicts, it is more likely to be used in political or other conflicts. State or community security forces must have the trust of the societies they are recruited to protect, and the skills and capacity to undertake that protection. We analyse the reasons behind insecurity and public perceptions of security actors, and explore their impact on political and social instability. We use this knowledge to work with communities, governments and international agencies to devise practical responses that reduce harm, build respect for the rule of law and help ensure greater security and stability for citizens.

Improving collaborative links, communication and trust between citizens and the security forces is a focus of our work in Mali . We held civilian–military dialogues in Boni and Douentza communes, bringing together representatives of the community and local civil society and those of the Malian Armed Forces. These dialogues were designed to identify securityrelated issues affecting the communities and concerns that compromise not only the social fabric in the region, but also civilians’ relations with security services. At the time, the Malian Armed Forces had been accused of executing civilians in the central Malian town of Moura, whom they purportedly suspected of being Islamist fighters. This was discussed within the civilian dialogue forums and, following long hours of discussions, forum members identified local solutions in Boni and Douentza that would help re-build confidence and pave the way for fruitful civilian–military collaboration. These

17 | Annual Report | Annual Report and Accounts 2022 | International Alert

A civilian–military dialogue in Boni commune in the Mopti region of Mali, bringing together members of the community and local civil society with the Malian Armed Forces to identify and address security-related issues affecting the community. Photo: © Yaya Diarra/International Alert

local peace initiatives brought together a total of 225 participants, including 50 security personnel and 175 community members, through sporting events, roundtables and discussions on topics such as the role of young people in security governance. These joint actions provided an opportunity for local citizens and security and defence personnel to get to know one another and share information. We observed positive behavioural changes as a result. These included citizens requesting mounted military patrols in the region, to improve their security, and the creation of a liaison committee between the security and defence forces and the communities of Boni, serving as an early warning system. The project helped change communities’ negative perceptions of the Malian Armed Forces and laid the foundations for strong collaboration.

In DRC , we have ensured that the government and diplomatic actors hear from the people most affected by violence involving the M23 armed group in North Kivu province and use this information to inform their policy decisions in responding to this conflict. This has been crucial given the political and diplomatic significance of the M23 conflict and its contribution to regional tensions with neighbouring

Rwanda. Working with 33 national and international NGOs active in eastern DRC and the wider region, we provided written and verbal briefings to national and regional decision-makers and diplomatic representatives on local civil society’s views on urgent humanitarian needs and called for a rapid diplomatic solution to the conflict, to reduce further displacement and loss of life. We were able to use our connections and reputation to convey the voices of those under armed group control, on the frontline or in displaced people’s camps. Our advocacy was used by the donor Peace and Security Working Group at a critical moment, to influence their national and collective responses to the conflict.

We have also improved security around targeted mine sites in South Kivu and Ituri provinces through the implementation of priority actions in local security plans. Local monitoring committees for mining activities – multi-stakeholder conflict resolution structures – mobilised local young men and women to improve sections of roads leading to mining sites. This encourages quicker and more direct transportation of minerals from the mines to trade centres and on to processing centres – reducing interference in the chain. Security along the routes

International Alert | Annual Report and Accounts 2022 | Annual Report | 18

Our partner: Justice Plus

Justice Plus is an NGO that fights for the promotion and defence of human rights, conflict transformation, stabilisation and good governance in Ituri province. They are specialists in strengthening social cohesion and confidence between authorities and community members. In 2022, Justice Plus contributed to several crucial peacebuilding results across our work in Ituri. For example, following their training and coaching programme, a deputy administrator has become actively engaged within a local mining monitoring platform and in the resolution of security incidents around mine sites. He has organised awareness sessions on legal mining practices during police parades and financed missions to monitor conflict resolution and incidents in the mine sites, working with civil society and local leaders. Justice Plus also supported local monitoring committees for mining activities to better manage conflict in mining communities. For example, in Mambisa and Bahema-Baguru chiefdoms, when artisanal miners have destroyed farmers’ fields and inhabitants’ houses without consent, such conflicts have previously been settled by violence and sometimes in court. After coaching and support from Justice Plus, the committees are now effectively managing these conflicts, mediating between actors so that farmers and mining cooperatives negotiate settlements and resolve their conflicts peacefully. Justice Plus is taking on increasing leadership in our collaborations. They sit on the steering committee for two of our projects, providing a strategic steer on the projects’ direction. Through our engagements and joint advocacy, we have learned a lot from Justice Plus, including about the complex historical dynamics of community level conflicts in Ituri.

and in neighbouring communities has also increased significantly, further improving accessibility. Together with our partners, we worked with the local authorities to provide technical support (e.g. mediation of disputes) and financial support (e.g. construction of small infrastructure projects requested by the mining communities to improve security in their area). Women were selected to work as roadside helpers, which also helped to address social stigmas that mean women are often not chosen first for this sort of work. Engaging them in this activity boosted their confidence to put themselves forward and manage household finances. It also demonstrated to local leaders that women have important contributions to make to the development of their communities.

Early warning of violence

Where institutions are not able to ensure the peaceful management of conflict, early warning of violence can prevent escalation and enable swift support to those affected by violence. Understanding potential triggers of violence requires a deep understanding of the context, through conversations, research and dialogue, to build a picture of people’s experiences of security and insecurity. We use technology to manage data, forecast organised violence and make insights widely available to those who can take action to prevent or mitigate violence.

An antenna is installed for the Mayuano Community Radio in Ituri province in DRC as part of our project, ‘Madini kwa Amani na Maendeleo’, in partnership with Justice Plus. This was an action point in the community’s local security plan, to improve access to information and social cohesion in this artisanal gold mining area. Photo: © Justice Plus

19 | Annual Report | Annual Report and Accounts 2022 | International Alert

In Myanmar , we established a conflict monitoring system across nine townships in the Sagaing region composed of 27 community conflict monitors and coordinators. This resulted in increased information sharing about potential risks and incidents in the region among CSOs, partners and communities, and led to more coordinated responses to incidents of violence and conflict. Fortnightly and quarterly newsletters distributed in the region capture patterns of conflict, including military movements, helping to keep communities safer and less impacted by outbreaks of violence. Our establishing of this system has been a significant step in ensuring that local news and conflict data are better communicated to communities affected, and that local organisations’ responses are better coordinated.

4. Living peaceful lives

In a peaceful society, people have fair access to services of decent standards that enable them to live in dignity. Mental and physical wellbeing are maintained and people are able to work towards fulfilling their aspirations. People go about their lives without using violence to do the normal things that we all seek to do: earn a living, stay healthy, raise the next generation and fulfil our emotional and spiritual needs. We work to address structural limitations and ensure fair access to services, to enable all people to live their diverse lives peacefully. As well as satisfying individual needs, such work reduces the risk of some groups’ grievances resulting in violence and enables diverse contributions to peaceful social change.

Economic opportunities

Everyone needs to be able to make a living, to provide for themselves and their families. Therefore, ensuring fair and inclusive economic opportunities is a key factor in developing a peaceful society. If people are financially excluded, particularly on the basis of some aspect of their identity, there is a risk of increased social tension and potentially violence. We work with all sorts of economic actors, from supporting young people to set up small businesses and reduce the attraction of violent means to secure money, through supporting traders to fairly and

easily access sustainable livelihoods, to working with large companies to ensure their operations do not exacerbate conflicts.

We have continued to see positive results of our support to women working as cross-border traders in the Great Lakes region of Africa, despite ongoing and increasing tensions between the countries in which we work. We undertake joint advocacy to amplify the voices of local actors and take the lessons from community-based implementation to affect regional or national policy change. The closure of the Burundi–Rwanda borders since the start of the COVID-19 crisis had closed markets, putting traders’ livelihoods in peril, with some turning to illegal trafficking of goods to meet their basic needs. We supported women from both sides of the border to undertake a joint advocacy campaign, demonstrating to national and regional authorities the detrimental impact the border closure had on economic and social cohesion in their communities. In 2022, after extensive advocacy and backdoor diplomacy, the Burundian and Rwandan governments agreed to re-open the border. DRC authorities had revised the DRC– Rwanda border-crossing requirements to limit the number of people crossing the border during the pandemic, requiring the purchase of a $40 threemonth residence permit. Our Rwandan partner, La Commission Episcopale Justice et Paix Rwanda, established the Rubavu advocacy platform to support cross-border traders working in DRC, to advocate with authorities to improve their working conditions. The same advocacy platform was also set up on the Congolese side of the border by our DRC partner, Umoja in Action. On both sides of the border, we helped build the capacity of the platform members and partners’ staff, and organised joint border committee meetings. These activities enabled the platform members to ask authorities to extend the validity of the residence permit, to increase the viability of their businesses. As a result of our joint efforts, the cross-border residence permit was increased from three to 12 months, greatly improving conditions for the traders. This also demonstrated the capacity of women working as small-scale traders to advocate for their needs and influence changes in regulations and practices. In recognition of our work, we were granted an observer seat on the DRC–Rwanda joint

International Alert | Annual Report and Accounts 2022 | Annual Report | 20

border committee, a mechanism that promotes cross-border trade and resolves issues that present barriers to trade.

Conflict-sensitive business practices

Whether through aid delivered at the height of a conflict, ongoing business and trade, or investments made in post-conflict settings, economic policies and practices play a huge role in fragile and conflict-affected places. Businesses, development organisations, informal economic actors, policy-makers and investors can exacerbate or drive conflict through their political, socioeconomic and environmental impacts. They also have the power to contribute to addressing conflict and to build the conditions for peace. We aim to address the structural causes of conflict by influencing economic actors at the local, national, regional and international level to understand the impact of their work on societies. We help companies, financial institutions and investors to mainstream conflict-sensitive business practices in their policies and operations, and to comply with accountability frameworks such as the Voluntary Principles on Security and Human Rights.

In 2022, we undertook research on investment and conflict sensitivity and published a policy note on peace-positive investment, outlining practical steps for investors and regulators to take to ensure that investments are conflict sensitive, peace positive and actioned within a stronger environmental, social and governance (ESG) framework. We recognise that private investment will be necessary if we are to have a chance of achieving the Sustainable Development Goals by 2030. Fragile and conflict-affected places are most in need of investment, to unlock their potential for growth and jobs and to address the root causes of conflict and fragility. Yet few fragile and conflict-affected places have attracted significant volumes of foreign direct investment. Our research explored the key risks facing investments in conflictaffected areas and the best practices in mitigating these risks, as well as potential ways for investors to contribute to building peace and social cohesion.

Since 2022, we have been providing conflict sensitivity analysis, capacity development and knowledge management for the European

Investment Bank. This has enabled us to influence the investments of one of the largest development finance institutions in areas affected by conflict. We have also used our expertise to shape legislation on conflict-sensitive business practices. Together with three other international NGOs, we successfully campaigned for including amendments on conflict sensitivity in the European Corporate Sustainability Due Diligence Directive. This included mobilising members of the European Parliament from three political parties and submitting a letter to the EU signed by 50 NGOs. These amendments were agreed by the European Parliament’s human rights and legal affairs committees and will advance to a plenary vote by the chamber later in 2023.

Natural resource management and climate change

Competition over the natural resources needed to live and earn a living, including land, forests and water, is a major driver of conflict. Systematic, fair, inclusive and responsive natural resource management is therefore integral to preventing conflict. It is also vital to effective climate change adaptation and mitigation efforts. Climate extremes and variability are threatening the livelihoods, food security, health and wellbeing of millions of people worldwide, which can create or exacerbate community tensions, with the potential to lead to violent conflict. We bring together communities, authorities and businesses to design effective and conflict-sensitive management solutions for natural resources and climate action.

In 2022, we improved the coordination of water resource governance in the Lake Turkana region of Kenya as part of the Water, Peace and Security partnership. Fishers were concerned about deteriorating hygiene along the lake, which exposed them to waterborne diseases, as well as lack of transparency in the spending and activities of the Beach Management Unit (BMU), the water governance structure. Our partner, Turkana Pastoralist Development Organization (TUPADO), supported frequent dialogues between the BMU members, the Kibish Water Resource Users Association officials, the government and the fishers working on Lake Turkana. Dialogue and coordination efforts have improved the relationships

21 | Annual Report | Annual Report and Accounts 2022 | International Alert

Our Central Asia Director Shakirat Toktosunova discusses the findings of research on the impact of climate change on conflict dynamics in transboundary river basins in Kazakhstan, Kyrgyzstan and Tajikistan. The research, part of a collaboration with Kazakh civil society organisation ARGO, was shared with climate change and peacebuilding experts from the three countries through a dialogue platform in Almaty, Kazakhstan. Photo: © ARGO

and reduced conflict between fishers and the Kenya Wildlife Service warden over poaching in protected fish breeding sites, and improved the accountability of the BMUs. The BMU management has been updating the fishers on how they spend the revenue they collect, part of which has been used to maintain hygiene along the shorelines of Lake Turkana, especially at the landing sites. The dialogue forums also gave Kenya Wildlife Service officials an opportunity to familiarise the fishers with fishing regulations, particularly on protected grounds, the proper use of appropriate nets, and the repercussions for breaking these laws. This was critical in enabling fishers to understand why they could not use certain nets or were prohibited from fishing in certain areas of the lake.

In Central Asia, we undertook research in

Kazakhstan , Kyrgyzstan and Tajikistan into local and cross-border water management conflict. Using these findings, we strengthened the capacity of cross-border small basin councils and local self-government bodies in Kazakhstan, providing training in practical skills such as conflict-sensitive modern irrigation and water saving mechanisms to

improve water management. We established links with leading water law experts in Kazakhstan, who provided insights into how changing the status of small basin councils could enable them to be better involved in local resolutions about water usage.

Globally we have been expanding the evidence base on conflict-sensitive business practices in relation to the green energy transition. With the push to achieve net zero driving massive global investments in renewable energy, there is a risk that such green energy projects could cause conflicts. Our 2022 research, Fuelling confict?, examined the implications of this issue in the cobalt mining industry in DRC and in wind and solar projects in Kenya and Morocco. We have also been influencing donor governments to integrate climate security into their policy frameworks, working with the Netherlands Ministry of Foreign Affairs to include climate security in their rule of law theory of change. We were also successful in influencing the climate change community (historically not particularly receptive to including conflict and peacebuilding perspectives as part of their messaging) to include references to climate and conflict risks in their briefing to the EU. This focussed

International Alert | Annual Report and Accounts 2022 | Annual Report | 22

on how the EU might strengthen its partnerships in Africa, including financing of climate adaptation and loss and damage.

Health

The COVID-19 pandemic demonstrated how health crises can exacerbate direct and structural violence across the globe, especially in already fragile situations. Lack of equity and accessibility in health service provision can be a driver of conflict as well as expose inequalities elsewhere in society. One in five people affected by conflict experiences serious mental health difficulties.[1] The emotional, mental and physical symptoms associated with mental health problems among those living through violent conflict can cause them to withdraw and experience social exclusion, lead to harmful coping methods and hinder social cohesion. Focusing on individual healing, rebuilding trust and relationships, and repairing the social fabric can create a context in which wellbeing is more likely to be protected and nurtured. Healing these individual and social wounds through work on mental health and psychosocial support is essential to ensure that future conflicts can be addressed peacefully.

• 1 Mental health in emergencies, World Health Organization, 16 March 2022

Our Tunisia team has a strong focus on increasing access to mental and physical healthcare, particularly for marginalised young people and those most affected by government austerity measures. Our work aims to empower young residents of border regions and working-class neighbourhoods to exercise their right to mental health and to mental health services. We undertook research into young people’s perceptions of mental health and the obstacles in accessing mental healthcare. We promoted local and regional discussion of mental health issues, including airing 12 radio spots called ‘A minute for mental health’ over three months across two stations, along with six radio shows dealing with violence, bullying and social media in relation to mental health, street performances on mental health, and anti-bullying campaigns with artistic activities for students in eight schools. We facilitated dialogues between young people and local authorities around violence, social media and bullying, and engaged with the local representatives of the ministries of education and culture on the issue of bullying. We also trained 121 employees of the Centres for Defence and Social Integration and reproductive healthcare centres, which provide services relating to risk-taking behaviours such as addiction and violence that further marginalise young people, on improving their communication strategies and outreach.

Our partner: Shamseya for Community Healthcare Solutions

Shamseya is a problem solver for challenges facing healthcare. Their diverse team, which includes physicians, global health experts, technical programmers and sociologists, has extensive practical experience of community assessment of local health needs and facilities. Together with Alert, Shamseya developed an innovative citizen diagnostic mobile app, which young people used to assess seven kinds of healthcare facilities, including hospitals, reproductive health centres, pharmacies and gyms. Measures were developed in focus groups with young people from three regions, triangulated by input from medical specialists, and converted into an accessible user-friendly app, which was then trialled by the young people. 91 healthcare facilities were assessed anonymously by two people, at different times of the day. Friendly facilities were awarded a sign indicating this status, which encouraged them and created an environment of positive competition, motivating others locally to demonstrate the same quality of service. The youth network provided ‘unfriendly’ healthcare services with detailed assessments and held a discussion with the facility head, offering an amnesty period within which to make improvements before a re-assessment. Young people reported that they can now engage objectively with healthcare authorities on the quality of services, a discussion from which they have long been excluded.

23 | Annual Report | Annual Report and Accounts 2022 | International Alert

~~Progress against our~~

~~operational priorities in 2022~~

Peacebuilding quality – impact, learning and partnerships

In 2022, we developed our approach to peacebuilding, an updated description of our work, including what we mean by peacebuilding, why it is important and how we at Alert build peace. This provides the basis for a common framework for planning and reporting on our peacebuilding results, which will be further developed in the coming year. In parallel, we undertook an in-depth reflection on our partnerships, consulting widely with local and national partners and Alert staff on their views on our current partnerships and what should improve. In our partnership position we stated that we want our peacebuilding to be increasingly locally led and locally managed, and will work towards our partnerships being more equitable, effective, deep and diverse. In 2023, we will develop the tools and guidance necessary to enable us to implement this position.

Connections, collaborations and coalitions for impact, including inside Alert

We reformed our internal governance during 2022 to make the Executive Team more inclusive and representative, in line with the principles of our organisational charter on gender, diversity, equity and inclusion (GDEI). The Executive Team now includes representation from regional and country directors, the Global Peacebuilding Unit, the staff forums and the GDEI Steering Committee. The resulting strategic and operational decision-making body is more inclusive and making better decisions. In November, we held our Global Leadership Team meeting in person for the first time in three years. This meeting set the framework for our new strategy process and opened honest and inclusive discussions on structural racism and equity. Externally, we

took a systematic approach to strengthening our international NGO relationships at headquarters level, identifying over 300 potential NGO and private sector consortium partners, and focussing on building relationships with 50 of them. The resulting connections have strengthened our convening role and led to multiple global, regional and national joint funding bids.

Advocacy: Changing people’s minds through clarity, engagement and thought leadership

We continued our global work influencing change on climate and gender. Our climate security efforts included research into the conflict risks of the green energy transition, launched at an event organised in partnership with Chatham House on the International Day of Peace on 21 September. We also launched our advocacy paper, From diagnosis to action: Five lessons for addressing climate security risks, drawing on our work in 12 countries. This work underpinned our messaging in the lead up to and during COP27, where we pressed for conflict to be a key consideration in climate negotiations. Our gender work included our Breaking the binary paper on LGBT+ inclusion in the WPS agenda, which was launched at an online event attended by over 70 participants. Our advocacy efforts contributed to supporting the integration of LGBT+ issues into draft WPS national action plans in the UK and Nepal. Our European affiliate, Stichting International Alert became a signatory of the Netherlands’ WPS national action plan, opening a new avenue for strategic advocacy on the linkages between gender and peacebuilding. In addition, we undertook extensive advocacy about the war in Ukraine, raising alerts about the potential impact of the conflict on the wider region and the need for a conflict-sensitive humanitarian response. Later in the year, we began participating in discussions around the reconstruction

International Alert | Annual Report and Accounts 2022 | Annual Report | 24

of Ukraine, urging for the rebuilding of its social fabric to be prioritised to ensure long-term, sustainable peace. We sent a delegation of our Executive Director and a local and an international partner to the Vatican to meet with the Pope’s foreign minister on the conflict sensitivity of his trip to eastern DRC and published an advocacy situation brief setting out our ’ recommendations for a peoples peace.

Strong systems to manage delivery and governance, money, knowledge, relationships and risk

2022 saw us update our risk management framework, alongside consolidating knowledge management through more centralised data storage. This included procurement of a relationship management database for managing our partner and donor relationships. We worked to strengthen our governance procedures, updating our Memorandum and Articles of Association, and Risk and Audit Committee Terms of Reference. The Alert Board elected a new Chair at the turn of this year and continued to renew its membership and broaden its expertise. Engagement between staff and the Executive Team was further strengthened through regular staff forum meetings with the Executive Director.

Fundraising and cost recovery

In line with our fundraising action plan, we expanded our focus on commercial contract frameworks and deepened our relationships with our strategic donors (the Dutch Ministry of Foreign Affairs, the Irish Department of Foreign Affairs and the Swedish International Development Cooperation Agency), convening joint discussions in October. We also identified 11 donors with whom we sought greater partnerships, developing strategies for senior engagement to complement our country offices’ fundraising efforts. We continued our focus on supporting teams to recover the true cost of project delivery through their budgets, providing updated guidance and training from our central Finance and Resource Development teams.

Gender, diversity, equity and inclusion (GDEI)

Our organisational charter on GDEI, which lays out our institutional position and commitments to GDEI, and a framework for implementation, was validated by staff in April 2022. The charter centres on four key principles: supporting power-shifting and inclusion in our processes; building trust and accountability with our partners and the communities with which we work; adapting our structures to ensure GDEI; and delivering locally owned and locally led peacebuilding programming. New initiatives launched in line with the charter included our expanded Executive Team and framing our Global Leadership Team meeting around GDEI charter aims. To embed our GDEI principles, trainings were developed and piloted with the staff of our largest country office, DRC, in our Goma and Bukavu locations. Our HR policies were reviewed by a GDEI consultant during the spring and a plan developed for a comprehensive review of our global reward framework and pay structure.

Efficiency – a lean cost structure

Our London-based team moved into a new, more efficient office in August 2022, as part of a wider plan to reduce cross-organisational overheads and reduce unrestricted spend. This plan is being implemented through a series of measures, including restructuring of some teams and posts.

A nature-neutral Alert

We undertook an eco-audit in 2022, providing recommendations to assist with our efforts to reduce Alert’s impact on the environment. Staff, the Executive Team and Global Leadership Team considered options to reduce our resource use in the changed financial environment.

25 | Annual Report | Annual Report and Accounts 2022 | International Alert

~~Our operational priorities for 2023~~

Strategy

Fundraising

The development of our next strategy will be a major cross-organisational priority during 2023. Alongside consultations with all teams and the Board, with local partners and strategic donors, three staff working groups will examine: our identity, purpose and value proposition; options for our future structure; and our future business model. We aim to have a new strategy approved by the Board by the end of the year.

We will continue our global-level engagement with key donors to strengthen our profile and reputation and ensure we fully understand their priorities, and will complement ongoing partnerships within our countries of operation. We will deploy the strong relationships with consortium partners for work leading or subcontracting in consortia. Maintaining strategic partnerships in the changed funding environment will be a key focus, as will bidding for and strengthening capacity to deliver projects commercially.

Our peacebuilding approach

Internal governance

We will use our approach to peacebuilding as the basis for strategic discussions in 2023 about whether any of our programming focus should shift, as part of the formulation of our next strategy. In our partnership position we stated that we want our peacebuilding to be increasingly locally led and locally managed, and will work towards our partnerships being more equitable, effective, deep and diverse. In 2023, we will develop the tools and guidance necessary to enable us to implement this position.

We will continue to implement our GDEI agenda in 2023, including ensuring that GDEI is central to the strategy process. We will make a significant step on localisation during 2023 by working with our Philippines team to transform it into a fully local organisation, with a close relationship as a partner of Alert for the future.

Operations

Advocacy

Ukraine will remain an advocacy priority for 2023, with a continuing focus on the need to invest in and rebuild Ukraine’s social fabric. In relation to DRC, we will continue our advocacy to support work there, in an increasingly fragile country context. Thematically, we will continue to prioritise climate and conflict, working towards this being a higher priority at COP28, and gender, focussing on masculinities and patriarchal norms, among others.

We will focus on implementing savings, strengthening our financial budgeting and management processes, and continuing to increase overhead recovery to ensure a sustainable financial model. This will also entail a focus on organisational cohesion and staff engagement and communication as we navigate internal and external changes. Our reward review will conclude, we will implement recommendations in line with our eco-audit and refresh our internal policies to ensure consistency and appropriateness.

International Alert | Annual Report and Accounts 2022 | Annual Report | 26

~~Organisational details~~

Trustees	Ambassador (retired) Carey Cavanaugh* – Chair (until January 2023)
(also directors of the company)	David Nussbaum – Chair (from January 2023) Richard Langstaff – Honorary Treasurer
	Hans Bolscher* (until March 2022)
	Emine Bozkurt
	Nina Caspersen
	Christopher Deri (until May 2022)
	Njeri Kabeberi (from September 2022)
	Abir Haj Ibrahim
	Lisa Lynn Rose*
	Erin Segilia Chase*
	* Denotes member of the Risk and Audit Committee
Principal offcers	Nic Hailey, Executive Director
	Senait Fassil, Director of Finance and Operations (until May 2023)
	Kathryn Tomlinson, Director of Programmes (until April 2023), Director of Global Delivery
	(from May 2023)
	Liz Dobson, Director of Resource Development (on maternity leave until September 2022)
	Richard Ashiagbor, Interim Director of Resource Development (until August 2022)
	Mark Nowottny, Interim Director of Policy, Advocacy and Communications (until August
	2022)
	Hannah Ward, Director of Policy, Advocacy and Communications (from August 2022)
	Kirsten Meersschaert, Executive Director, Stichting International Alert
Auditors	Haysmacintyre LLP, 10 Queen Street Place, London, EC4R 1AG, UK
Bankers	National Westminster Bank, PO Box 35, 10 Southwark Street, London, SE1 1TT, UK
Solicitors	Bates Wells, 10 Queen Street Place, London, EC4R 1BE, UK
	Briddge Legal and Finance, Coen Building, Kabelweg 37, 1014 BA Amsterdam, Netherlands
	Clarkslegal, 41–44 Great Queen Street, London, WC2B 5AD, UK
	GDPR Advisors, 2 Masefeld Avenue, Borehamwood, Hertfordshire, WD6 2HQ, UK
	YESS Law, New Wing, Somerset House, London, WC2R 1LA, UK
Status	Company limited by guarantee without share capital (registration number 2153193) in
	England and Wales, governed by Memorandum and Articles of Association, incorporated
	on 6 August 1987, registered as a charity on 24 September 1987 (registration number
	327553).

Registered office Offley Works, 1 Pickle Mews, London, SW9 0FJ, UK

27 | Annual Report | Annual Report and Accounts 2022 | International Alert

~~Strategic report~~

Structure, governance and management

Organisational structure

International Alert, a UK-based non-governmental organisation (NGO), is registered with both Companies House and the Charity Commission. As a company limited by guarantee with no share capital, our governance is overseen by a Board of Trustees (the Board) who are the directors of the company. The Risk and Audit Committee (RAC) operates as a committee of the Board, providing guidance and oversight on financial performance and risk management. The RAC is chaired by the Treasurer and has three other trustees as members, including the Chair of the Board.

With the flexibility to accommodate between three and 15 members, our current Board is composed of eight trustees, including four based outside the UK, of whom six are female and two male. In 2022, Hans Bolscher and Christopher Deri stepped down as trustees and we welcomed Njeri Kabeberi, who joined the Board. We also prepared for the departure of our Chair, Carey Cavanaugh, and recruited David Nussbaum, who joined the Board as Chair in January 2023. We thank our departing trustees for their contribution and service to Alert.

New trustees are appointed by the Board and serve an initial three-year term, with the opportunity for re-election for an additional three-year term. We undertake a selection process for our trustees, which includes advertising the opportunity widely and holding interviews with at least two Board members, usually including the Chair, and the Executive Director. Upon appointment, new trustees receive an induction covering their responsibilities under company and charity law, as well as a briefing on the organisation’s operations.

Our peacebuilding programming, research and advocacy is delivered by our dynamic workforce of around 240 staff members based in our 14 country offices, and in the UK and the Netherlands. We draw on staff with deep technical expertise in conflict and governance, project and programme management, finance, operations, monitoring and evaluation, communications and advocacy.

Pay and remuneration of staff are set in accordance with our Salary Policy and we aim to implement it in a fair, open, objective, responsible and effective way. This includes clearly defined salary procedures and aims to reflect good practice, including guidelines for the impartial review of jobs and market comparisons, with the Executive Team taking responsibility for the review and implementation of the policy.

International Alert (UK) works alongside Stichting International Alert (‘International Alert Europe’), a foundation registered in the Hague, Netherlands, as independent members of the global family of peacebuilding organisations. A Collaboration Agreement describes the relationship between the two entities, and our accounts are consolidated. The Chair of Alert Europe’s Board serves as a trustee of International Alert (UK) and the International Alert (UK) Executive Director sits on the Board of International Alert Europe.

Decision making

Meeting four times a year, the Board is responsible for governance, defining the organisation’s strategic framework and annual objectives, and approving the annual budget. As directors of the company under company law, the trustees oversee financial reporting, which provides financial statements for each fiscal year, reflecting the organisation’s financial activities and position at the year-end. The Board reviews financial performance quarterly, preceded by a review by the RAC, which is tasked with the oversight of the charity’s finances, risk and security. The Board has two designated safeguarding leads (one male and one female).

International Alert | Annual Report and Accounts 2022 | Annual Report | 28

The Executive Director is appointed by the Board and accountable for all operational matters. Within the senior leadership, a team of senior directors (which during the year were the Director of Programmes, Director of Finance and Operations, Director of Resource Development and Director of Policy, Advocacy and Communications) have oversight of Alert’s key areas of work, together with the Executive Director of International Alert Europe.

The Executive Team, which is responsible for strategic and operational decisions, is composed of the senior directors, executive directors and representatives of our country directors, regional directors, Global Peacebuilding Unit and the GDEI Steering Committee. Representatives of our staff forums attend to inform specific agenda items. One of the senior directors acts as safeguarding lead within the staff team, working with a crossorganisational group to promote good safeguarding practice and training for staff and partners.

• state whether applicable accounting standards, including the Financial Reporting Standard (FRS 102), have been followed, subject to any material departures disclosed and explained in the financial statements;

• state whether a SORP applies and has been followed, subject to any material departures, which are explained in the financial statements; and

• prepare the financial statements on the going concern basis unless it is inappropriate to presume that the charity will continue on that basis.

The Board is responsible for keeping proper accounting records that disclose, with reasonable accuracy at any time, the financial position of the charity and that enable the Board to ensure that the financial statements comply with the Companies Act 2006. They are also responsible for safeguarding the assets of the charity and hence for taking reasonable steps to prevent and detect fraud as well as other irregularities.

Insofar as the Board is aware:

Financial review

Trustees’ responsibilities

The Board, as directors of the organisation for the purposes of company law, is responsible for the annual report and the financial statements in accordance with applicable law and UK Accounting Standards (UK Generally Accepted Accounting Practices).

Company law requires the Board to prepare financial statements for each financial year that give a true and fair view of the charity’s situation and of its income and expenditure for that period.

In preparing these financial statements, the Board is required to:

• select suitable accounting policies and apply them consistently;

• observe the methods and principles in the Charities Statement of Recommended Practice (SORP);

• make judgements and estimates that are reasonable and prudent;

• there is no relevant audit information of which the charity’s auditors are unaware; and

• the trustees have taken all steps they ought to have taken to make themselves aware of any relevant audit information and to establish that the auditors are aware of that information.

The Board is responsible for the maintenance and integrity of the corporate and financial information included on the charity’s website. UK legislation governing the preparation and dissemination of financial statements may differ from legislation in other jurisdictions.

Public benefit statement

In accordance with Section 17 of the Charities Act 2011, the Board has considered the guidance on public benefit provided by the Charity Commission. Specifically, as a peacebuilding organisation with a global reach, Alert’s work contributes to fostering peace, stability and social cohesion in conflictaffected areas. The Board has assessed the positive impact achieved in 2022 and determined that the planned activities and objectives established for 2023 continue to promote peace and contribute significantly to public benefit internationally.

29 | Annual Report | Annual Report and Accounts 2022 | International Alert

Our financial review

The financial review reflects Alert’s resilience in navigating the challenges posed by the COVID-19 pandemic. Our strategic financial planning and prudent cost-management measures enabled us to generate a significant increase in total income in 2022, with a strong focus on achieving our mission goals. As we continue to adapt to the changing global landscape, strategic financial management will help to drive sustainable growth and positive impact in our peacebuilding efforts.

We will continue to build on this foundation of financial resilience, strategic resource allocation and mission-driven growth as we seek to achieve our vision of a world in which peace is possible.

As evidenced by our resource allocation outlined in the chart on this page, we continue to prioritise spending our funds on furthering our mission goals, driving tangible progress towards a more peaceful world.

Reserves

In 2022, our total income reached £25.3 million, a marked increase from £19.4 million in 2021. Our income growth in 2022 can be largely attributed to the rise in restricted grants, which increased from £17.4 million in 2021 to £21.9 million in 2022. We also witnessed an increase in unrestricted income to £2.4 million (from £2.0 million in 2021), driven by a strategic change in funding allocation from one of our core donors. This allowed us to allocate a substantial portion of their funding towards unrestricted purposes, which enabled us to support our charitable efforts more effectively.

In 2022, we strategically allocated our funds to maximise impact and progress towards our mission goals. The breakdown of total expenditure of £21.5 million was as follows:

• Charitable activities: £20.82 million (97%)

• Governance: £0.28 million (1%)

• Raising funds: £0.37 million (2%)

----- Start of picture text -----
Raising funds 2% Charitable activities 97%
Governance 1%
----- End of picture text -----

Our Reserves Policy is designed to provide strategic guidance in maintaining prudent reserves, informed by our financial indicators and peer comparisons. The policy establishes both lower and upper limits for general unrestricted reserves, as detailed below:

• Upper limit: When determining the upper limit, Alert considers the potential loss of all unrestricted income (currently £2m based on two major donors, excluding earmarked funds over a three-year average). In the short term, we aim to maintain reserves equal to 75% of our unrestricted income at the beginning of the year. This allows for approximately nine months to replenish reserves or implement corrective action, setting an upper limit of £1.5m.

• Lower limit: This limit of £1 million is based on various scenarios where levels of risk materialise, impacting the organisation’s financial standing. We assess these scenarios based on likelihood and impact, assigning a risk level accordingly.

At the end of 2022, our General Unrestricted Reserves were in line with the policy’s upper and lower limits, standing at £1.4 million (compared to £1.0 million at the end of 2021). The Board reviews the reserves position annually to ensure its continued relevance and effectiveness.

At the end of 2022, we carried forward a total of £11.7 million (£7.9 million in 2021) into 2023, comprising £1.4 million in unrestricted funds and £10.3 million in restricted funds.

The significant increase in restricted funds is due to the timing of two major projects in DRC and Rwanda, which began towards the end of the year

International Alert | Annual Report and Accounts 2022 | Annual Report | 30

and for which we received upfront payments from donors. The remaining restricted funds will be spent on specific projects during 2023, in line with commitments to our funders.

Our balance sheet at the end of 2022 reflects a satisfactory financial position. Despite the reduction in a core donor’s contribution for 2023, our unrestricted general reserves provide us with some flexibility to manage planned staffing and structural organisational changes.

Risk management

In a constantly evolving social and economic climate, achieving our strategic objectives and goals would be unattainable without embracing and managing risks within acceptable limits. Risk management is crucial for Alert at every level, enabling the Board and the Executive Team to make informed decisions and maximise opportunities while ensuring the organisation remains within its risk appetite.

The Executive Team plays a pivotal role in identifying and managing risks across the organisation, serving as the escalation route for programme, project and operational risks to the RAC and Board. Through rigorous analysis of Alert’s emerging and ongoing risks, the RAC and the Board provide challenge and advice so that the organisation’s risk appetite remains appropriate.

Over the past year, the Board and RAC have supported and challenged the Executive Team on the critical risks facing Alert. These include:

1. Financial sustainability: The risk of being unable to secure sufficient funding to maintain operations and organisational structure, or losing core funding and, as a result, shrinking functions and capacity to achieve peacebuilding impact.

2. Operational safety: The inherent risk of working in hazardous locations, which may result in injury or fatality for Alert employees, partners or consultants while on duty.

systems and data, while also maintaining the capacity to function remotely and deliver impactful programmes.

4. Talent retention and attraction: The need to remain competitive and attract and retain skilled personnel and expertise to maintain Alert’s role as a leading peacebuilding organisation and deliver effective programmes.

5. Funding diversification: The necessity to diversify funding sources amid an uncertain landscape, particularly regarding traditional and significant sources in the post-pandemic and post-Brexit environment, and as a result of the war in Ukraine.

Alert is committed to refining its risk management framework to support improvement in risk insight, accountability and organisational evolution.

Conclusion

The Board of Trustees of International Alert present this report for the year ended 31 December 2022 for the purposes of Section 162 of the Charities Act 2011 and Section 415 of the Companies Act 2006.

The financial statements comply with current statutory requirements, the Memorandum and Articles of Association and the Financial Reporting Standard (FRS 102).

The Board has also complied with Section 17 of the Charities Act 2011 to have due regard to the guidance on public benefit published by the Charity Commission. In particular, the Board considers how planned activities will contribute to the aims and objectives set for 2023.

The report was approved by the Board on 19 June 2023 and signed by the Chair on its behalf.

David Nussbaum

Chair, Board of Trustees

3. Cybersecurity: The heightened risk of cyberattacks requires ongoing management, through the implementation of robust safeguards and recommended practices to protect Alert’s

31 | Annual Report | Annual Report and Accounts 2022 | International Alert

~~Acknowledgements~~

Donors

We would like to thank our strategic donors:

We would also like to thank our project donors:

AboitizPower Agence Française de Dévelopment British Council Conciliation Resources Crown Agents Department of Global Affairs, Canada Deutsche Gesellschaft für Internationale Zusammenarbeit (GIZ) Development Alternative Initiatives (DAI) European Commission European Investment Bank Federal Department of Foreign Affairs, Switzerland FHI 360

Food and Agriculture Organization of the United Nations

Ford Foundation

Foreign, Commonwealth and Development Office (FCDO)

Friedrich Ebert Foundation

International Fund for Agricultural Development

Irish Aid – Department of Foreign Affairs, Republic of Ireland

King’s College London

London Metropolitan University Mines Advisory Group Ministry of Foreign Affairs, Denmark

Ministry of Foreign Affairs, Finland Ministry of Foreign Affairs, Netherlands Nordic International Support Foundation Norwegian Refugee Council Oxfam

Oxford Brookes University PeaceNexus Foundation Pears Foundation Plan International Pro-Femmes Save The Children Stichting Netherland Institute Swedish International Development Cooperation Agency (SIDA) UnionAID United Nations Development Fund for Women (UN Women) United Nations Development Programme (UNDP)

United Nations International Children’s Emergency Fund (UNICEF)

United States Agency for International Development (USAID) United States Department of State United States Institute of Peace World Bank Group

International Alert | Annual Report and Accounts 2022 | Annual Report | 32

Partners

We would like to thank our project partners:

Africa

Action Pour La Formation et L’Autopromotion Rurale African Youth for Peace Development Association Argo Zha

Appui à la communication interculturelle et a l’au Association des Commerçants Transfontaliers Association des Commerçants Transfrontaliers du Burundi Association des Femmes Rapatriées du Burundi

Association Rwandaise des Conseillers en Traumatisme

Caritas-Développement Wamba

Center for Advocacy, Transparency and Accountability

Center for Social Cohesion Peace and Empowerment Centre of Poverty Analysis

Collectif Alpha Ujuvi Collectif des Associations Féminines (CAF)

Comité Provincial de Suivi des activités minières de l’Ituri

Comité Provincial de Suivi des activités minières du Sud Kivu

Commission Épiscopale Justice et Paix du Rwanda Cooperative d’Epargne et de Crédit CAHI Faith Victory Association (FVA) Fleuve d’eau Vive qui coule aux Autres (FLEVICA) Focus On Arid Land and Integrated Development Forum des Mamans de l’Ituri

Greencode

Grow Strong Foundation Guichet d’Économie Locale du Sud-Kivu Hope and Peace Foundation International Peace Information Service (IPIS) Justice Plus Laissez l’Afrique Vivre Mathare Peace Initiative Nibela Ltd.

Observatoire Gouvernance et Paix

PeaceNet Kenya

Plateforme des Autorités Locales des Pays des Grands Lacs

Pole Institute Reseaux des Institutions de Microfinance Sociétés de Microfinance Congolais (SMICO) Solidarité des Femmes de Fizi pour le Bien-Etre Familial

Solidarité Féminine Pour La Paix et le Développement Intégral (SOFEPADI)

Taimako Community Development Initiative Transparency International Kenya (TI Kenya) Turkana Pastoralist Development Organization (TUPADO)

Umoja In Action

Asia, Middle East and North Africa

Basmeh and Zeitooneh

Cartographie Citoyenne Centre for Lebanese Studies Damma Foundation Dansalan College, Iligan City Federation of Nepali Journalists (FNJ) Federation of Sexual and Gender Minorities Nepal (FSGMN) Forum for Women, Law and Development Institute of Human Rights Communication Nepal Kings N Queens Legal Aid and Consultancy Centre Lupah Sug Bangsamoro Women’s Association Nangkyeo Organization Notre Dame University, Cotabato City Radio Celium FM Kasserine Radio Tataouine Sahakarmi Samaj Samagra Jan-utthan Kendra

33 | Annual Report | Annual Report and Accounts 2022 | International Alert

Sawa for Development and Aid Shamseya for Innovative Community Healthcare Solutions Tabang Ako Siyap Ko Bangsa Iranun Saya Ko Kalilintad Ago Kapamagayon (TASBIKKa Inc.) TPO Nepal Voices of Women Media (VOW Media) Western Mindanao State University, Zamboanga City Yaung Chi Thit

Europe, Central Asia and North America

Association for the Development of Civil Society (ARGO) Caucasian House Cordaid Development Policy Institute (DPI) European Network for Central Africa Farodis Fund for Peace Fund for Social and Cultural Initiatives Gamkhori Go Group Media Hague Centre for Strategic Studies IHE Delft Institute for Water Education Internews LINKS Europe Stichting, The Hague Ma’rifat Ma’rifati Shahrvandi Madina Media Initiatives Center National Mediation Center (NMC) Noori naw Open Society NGO Peshsaf Public Journalism Club Stepanakert Press Club Wetlands International Deltares World Resources Institute

International Alert | Annual Report and Accounts 2022 | Annual Report | 34

Accounts

~~Independent auditor’s report to the members of International Alert~~

Opinion

We have audited the financial statements of International Alert for the year ended 31 December 2022, which comprise the consolidated ‘Statement of financial activities’, the consolidated and charity ‘Balance sheet’, the consolidated ‘Statement of cash flow’ and notes to the financial statements, including a summary of significant accounting policies. The financial reporting framework that has been applied in their preparation is applicable law and UK Accounting Standards, including Financial Reporting Standard 102 The Financial Reporting Standard applicable in the UK and Republic of Ireland (UK Generally Accepted Accounting Practice).

In our opinion, the financial statements:

• give a true and fair view of the state of the group’s and of the parent charitable company’s affairs as at 31 December 2022 and of the group’s and parent charitable company’s net movement in funds, including the income and expenditure, for the year then ended;

• have been properly prepared in accordance with UK Generally Accepted Accounting Practice; and

• have been prepared in accordance with the requirements of the Companies Act 2006.

Basis for opinion

We conducted our audit in accordance with International Standards on Auditing (UK) (ISAs (UK)) and applicable law. Our responsibilities under those standards are further described in the ‘Auditor’s responsibilities for the audit of the financial statements’ section of our report. We are independent of the group in accordance with the ethical requirements that are relevant to our audit of the financial statements in the UK, including the Financial Reporting Council’s Ethical Standard, and we have fulfilled our other ethical responsibilities in

accordance with these requirements. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our opinion.

Conclusions relating to going concern

In auditing the financial statements, we have concluded that the trustees’ use of the going concern basis of accounting in the preparation of the financial statements is appropriate.

Based on the work we have performed, we have not identified any material uncertainties relating to events or conditions that, individually or collectively, may cast significant doubt on the group’s ability to continue as a going concern for a period of at least 12 months from when the financial statements are authorised for issue.

Our responsibilities and the responsibilities of the trustees with respect to going concern are described in the relevant sections of this report.

Other information

The trustees are responsible for the other information. The other information comprises the information included in the Trustees’ Annual Report. Our opinion on the financial statements does not cover the other information and, except to the extent otherwise explicitly stated in our report, we do not express any form of assurance conclusion thereon.

In connection with our audit of the financial statements, our responsibility is to read the other information and, in doing so, consider whether the other information is materially inconsistent with the financial statements or our knowledge obtained in the audit, or otherwise appears to be materially misstated. If we identify such material inconsistencies or apparent material misstatements, we are required to determine whether there is a

International Alert | Annual Report and Accounts 2022 | Accounts | 36

material misstatement in the financial statements or a material misstatement of the other information. If, based on the work we have performed, we conclude that there is a material misstatement of this other information, we are required to report that fact. We have nothing to report in this regard.

Opinions on other matters prescribed by the Companies Act 2006

In our opinion, based on the work undertaken in the course of the audit:

• the information given in the Trustees’ Annual Report (which includes the strategic report and the directors’ report prepared for the purposes of company law) for the financial year for which the financial statements are prepared is consistent with the financial statements; and

• the strategic report and the directors’ report included within the Trustees’ Annual Report have been prepared in accordance with applicable legal requirements.

Matters on which we are required to report by exception

In light of the knowledge and understanding of the group and the parent charitable company and its environment obtained in the course of the audit, we have not identified material misstatements in the Trustees’ Annual Report (which incorporates the strategic report and the directors’ report).

We have nothing to report in respect of the following matters in relation to which the Companies Act 2006 requires us to report to you if, in our opinion:

• adequate accounting records have not been kept by the parent charitable company, or returns adequate for our audit have not been received from branches not visited by us; or

• the parent charitable company financial statements are not in agreement with the accounting records and returns; or

• certain disclosures of trustees’ remuneration specified by law are not made; or

• we have not received all the information and explanations we require for our audit.

Responsibilities of trustees for the financial statements

As explained more fully in the trustees’ responsibilities statement set out on page 29, the trustees (who are also the directors of the charitable company for the purposes of company law) are responsible for the preparation of the financial statements and for being satisfied that they give a true and fair view, and for such internal control as the trustees determine is necessary to enable the preparation of financial statements that are free from material misstatement, whether due to fraud or error.

In preparing the financial statements, the trustees are responsible for assessing the group’s and the parent charitable company’s ability to continue as a going concern, disclosing, as applicable, matters related to going concern and using the going concern basis of accounting unless the trustees either intend to liquidate the group or the parent charitable company or to cease operations, or have no realistic alternative but to do so.

Auditor’s responsibilities for the audit of the financial statements

Our objectives are to obtain reasonable assurance about whether the financial statements as a whole are free from material misstatement, whether due to fraud or error, and to issue an auditor’s report that includes our opinion. Reasonable assurance is a high level of assurance, but is not a guarantee that an audit conducted in accordance with ISAs (UK) will always detect a material misstatement when it exists. Misstatements can arise from fraud or error and are considered material if, individually or in the aggregate, they could reasonably be expected to influence the economic decisions of users taken on the basis of these financial statements.

Irregularities, including fraud, are instances of noncompliance with laws and regulations. We design procedures in line with our responsibilities, outlined above, to detect material misstatements in respect of irregularities, including fraud. The extent to which our procedures are capable of detecting irregularities, including fraud, is detailed below:

37 | Accounts | Annual Report and Accounts 2022 | International Alert

Based on our understanding of the group and the environment in which it operates, we identified that the principal risks of non-compliance with laws and regulations related to regulatory requirements of the Charity Commission, and we considered the extent to which non-compliance might have a material effect on the financial statements. We also considered those laws and regulations that have a direct impact on the preparation of the financial statements, such as Companies Act 2006, Charities Act 2011, payroll tax and sales tax, and local laws in places in which International Alert operates.

We evaluated management’s incentives and opportunities for fraudulent manipulation of the financial statements (including the risk of override of controls) and determined that the principal risks were related to posting inappropriate journal entries and management bias in certain accounting estimates and judgements, such as the income recognition policy applied to grant income. Audit procedures performed by the engagement team included:

• inspecting correspondence with regulators and tax authorities;

• discussions with management, including consideration of known or suspected instances of non-compliance with laws and regulation and fraud;

• evaluating management’s controls designed to prevent and detect irregularities;

• reviewing minutes of meetings to identify expected material amounts of voluntary income;

• identifying and testing journals, in particular journal entries posted with unusual account combinations, postings by unusual users or with unusual descriptions; and

to become aware of instances of non-compliance. The risk is also greater regarding irregularities occurring due to fraud rather than error, as fraud involves intentional concealment, forgery, collusion, omission or misrepresentation.

A further description of our responsibilities for the audit of the financial statements is located on the Financial Reporting Council’s website at: www.frc. org.uk/auditorsresponsibilities. This description forms part of our auditor’s report.

Use of our report

This report is made solely to the charitable company’s members, as a body, in accordance with Chapter 3 of Part 16 of the Companies Act 2006. Our audit work has been undertaken so that we might state to the charitable company’s members those matters we are required to state to them in an auditor’s report and for no other purpose. To the fullest extent permitted by law, we do not accept or assume responsibility to anyone other than the charitable company and the charitable company’s members, as a body, for our audit work, for this report, or for the opinions we have formed.

Vikram Sandhu

Senior Statutory Auditor For and on behalf of Haysmacintyre LLP, Statutory Auditor 10 Queen Street Place, London, EC4R 1AG, UK

24 July 2023

• challenging assumptions and judgements made by management in their critical accounting estimates, including review of how grant income has been recognised at the year end.

Because of the inherent limitations of an

audit, there is a risk that we will not detect all irregularities, including those leading to a material misstatement in the financial statements or noncompliance with regulation. This risk increases the more that compliance with a law or regulation is removed from the events and transactions reflected in the financial statements, as we will be less likely

International Alert | Annual Report and Accounts 2022 | Accounts | 38

~~Financial statements~~

Statement of financial activities for the year ended 31 December 2022

Notes Income and endowments from: Donations and legacies Institutional grants Donations Income from charitable activities Income from investments Other income Total income and endowments Expenditure on: Raising funds Charitable activities Governance Total resources expended Net (outgoing)/incoming resources before transfers Transfers between funds Exchange rate gain/(loss) Net income/(expenditure) Total funds brought forward at 1 January 2022 Total funds carried forward at 31 December 2022	Unrestricted Restricted 2022 2021 funds funds total total £’000 £’000 £’000 £’000
	- 955 955 911
	53 - 53 7
	2,353 21,911 24,264 18,452
	3 - 3 1
	2,409 22,866 25,275 19,371
	374 - 374 247
	1,893 18,925 20,818 16,934
	279 - 279 200
	2,546 18,925 21,471 17,382
	(137) 3,941 3,804 1,989
	481 (481) - -
	- - - (60)
	344 3,460 3,804 1,929
	1,037 6,860 7,897 5,967
	1,381 10,320 11,701 7,897

39 | Accounts | Annual Report and Accounts 2022 | International Alert

Balance sheet at 31 December 2022

Notes Fixed assets Tangible assets 10 Current assets Debtors 11 Cash at bank and in hand Creditors Amounts falling due within one year 12 Net current assets Total net assets 14 Funds Unrestricted General funds Designated Fund for Development Restricted 15	2022 Group £’000 11 3,435 10,699 14,134 2,444 2,444 11,690 11,701 1,344 37 1,381 10,320 11,701	2022 Charity £’000 11 3,137 9,754 12,891 2,430 2,430 10,461 10,472 1,344 37 1,381 9,091 10,472	2021 Group £’000 13 1,193 8,488 9,682 1,797 1,797 7,884 7,897 1,000 37 1,037 6,860 7,897	2021 Charity £’000
				13
				1,366
				8,078
				9,444
				1,798
				1,798
				7,646
				7,659
				995
				37
				1,032
				6,626
				7,659

Approved by the Board of Trustees and authorised to issue on 19 June 2023 and signed on its behalf by:

David Nussbaum Chair

Richard Langstaff Honorary Treasurer

Company Registration Number 2153193 The notes on pages 41 to 54 form part of these financial statements.

International Alert | Annual Report and Accounts 2022 | Accounts | 40

Statement of cash flow for the year ended 31 December 2022

Statement of cash fow for the year ended 31 December 2022
2022 Notes £’000 Cash fows from operating activities Net cash provided by operating activities 16 2,222 Cash fows from investing activities Interest from deposits 2 Purchase of tangible fxed assets 10 (13) Net cash provided by investing activities (11) Change in cash and cash equivalents in reporting period 2,211 Cash and cash equivalents at the beginning of the reporting period 8,488 Cash and cash equivalents at the end of the reporting period 10,699	2021 £’000
	1,888
	1
	-
	1
	1,889
	6,599
	8,488

Notes to the financial statements

1. Accounting policies

• a) These financial statements are prepared on a going concern basis, under the historical cost convention, modified to include certain financial instruments at fair value. The financial statements are prepared in sterling, which is the functional currency of the group. Monetary amounts in these financial statements are rounded to the nearest pound. The principal accounting policies adopted are set out below.

The financial statements have been prepared in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102). The charitable company is a public benefit company for the purposes of FRS 102 and the group has also prepared its financial statements in accordance with the Statement of Recommended Practice applicable to charities preparing their accounts in accordance with FRS 102 (FRS 102 Charities SORP), the Companies Act 2006 and the Charities Act 2011.

The trustees have assessed whether the use of the going concern basis is appropriate and have considered possible events or conditions that might cast significant doubt on the ability of the group to continue as a going concern. The trustees have made this assessment for a period of at least one year from the date of approval of the financial statements. In particular, the trustees have considered the group’s forecasts and projections and have taken account of pressures on donation and investment income. After making enquiries, the trustees have concluded that there is a reasonable expectation that the group has adequate resources to continue in operational existence for the foreseeable future. The group therefore continues to adopt the going concern basis in preparing its financial statements.

In preparing financial statements, it is necessary to make certain judgements, estimates and assumptions that affect the amounts recognised in the financial statements. In the view of the trustees in applying the accounting policies

41 | Accounts | Annual Report and Accounts 2022 | International Alert

adopted, no judgements were required that have a significant effect on the amounts recognised in the financial statements and no estimates or assumptions made carry a significant risk of material adjustment in the next financial year.

• b) Incoming resources are accounted for when receivable. Grants receivable are credited to the Statement of Financial Activities as soon as the conditions of receipt have been satisfied. Income is classified under three principal categories, namely grants and donations, income from investments and charitable activities.

• c) Restricted funds are grants received for specific purposes as laid down by the donor. Expenditure that meets these criteria is charged to these funds. Funds unspent at the year-end that will be spent in future accounting periods are carried forward as restricted funds.

• d) Unrestricted funds are funds that can be freely used in accordance with Alert’s charitable objectives at the discretion of the trustees. Organisational investment funds are funds set aside by the trustees out of unrestricted general funds for specific future purposes or projects.

• e) Grants to partner organisations are included in the Statement of Financial Activities when payment is incurred, as defined in the terms and conditions for the grant.

• f) Depreciation is provided in order to write off the cost of the assets over their estimated useful lives on a straight-line basis as follows:

• office equipment and computers over three years;

• property improvements over seven to ten years; and

• motor vehicles over three to five years, depending on local legislation.

Assets over a capitalisation limit of £1,500 are treated as fixed assets. Those not over £1,500 are written off to expenditure. Assets purchased from donor funding are written off to expenditure when acquired.

• g) Expenditure is classified under the three principal categories of charitable activities, governance and raising funds. Costs of raising funds comprise salaries, direct costs and overheads of staff engaged in fundraising.

• Expenditure on charitable activities includes all the resources expended on the charity’s programme and project work that are directed at the achievement of its charitable aims and objectives. Such costs include the direct costs of the charitable activities together with those support costs incurred that enable these activities to be undertaken. Direct project costs have been allocated in accordance to resources expended against the stated activities.

Support costs have been apportioned on a reasonable, justifiable and consistent basis to each of the activity cost categories being supported. Support costs have been allocated either on the basis of time spent on the activity or on the basis of usage – that is, on the same basis as expenditure incurred directly in undertaking the activity.

Expenditure is accounted for on an accruals basis. Irrecoverable VAT is included with the item of expense to which it relates.

• h) Transactions in foreign currencies are translated into sterling at the rates of exchange published on a monthly basis. Assets and liabilities at the year-end are translated into sterling at the rate of exchange ruling at the balance sheet date. Exchange differences are accounted for in the Statement of Financial Activities.

• i) No provision has been made for taxation, since all income is charitable and charitable status was obtained following incorporation.

• j) The charitable company as an employer contributes 10% of basic salary to the personal pension plans of its employees on the UK payroll who choose to take advantage of this scheme.

• k) Rentals payable under operating leases where substantially all the risks and rewards of ownership remain with the lessee are charged to the Statement of Financial Activities in the period in which they fall.

International Alert | Annual Report and Accounts 2022 | Accounts | 42

• l) Other financial instruments:

• Cash and cash equivalents: Cash and cash equivalents include cash at banks and cash in hand and in short-term deposits with a maturity date of three months or less.

• Debtors and creditors: Debtors and creditors receivable or payable within one year of the reporting date are carried at their transaction value. Debtors and creditors that are receivable or payable in more than one year and not subject to a market rate of interest are measured at the present value of the expected future receipt or payment discounted at a market rate of interest.

• m) The group financial statements consolidate those of the charity and its subsidiary undertakings as well as branches up to 31 December 2022.

43 | Accounts | Annual Report and Accounts 2022 | International Alert

2. Total resources expended

Activity or programme Raising funds Charitable activities Governance Activity or programme Raising funds Charitable activities Governance	(Note 6) (Note 3) Activities undertaken directly Direct staff costs Grant funding of activities Support costs 2022 total £’000 £’000 £’000 £’000 £’000
	- - - 374 374
	8,151 5,159 5,615 1,893 20,818
	- - - 279 279
	8,151 5,159 5,615 2,546 21,471
	(Note 6) (Note 3) Activities undertaken directly Direct staff costs Grant funding of activities Support costs 2021 total £’000 £’000 £’000 £’000 £’000
	233 - - 14 247
	7,709 3,565 3,903 1,757 16,934
	- - - 200 200
	7,942 3,565 3,903 1,971 17,382

3. Support cost breakdown by activity

Support cost Governance and fnance Impact and learning Regional support Communications Raising funds Support cost Management Finance Information technology Human resources Facilities Communications	Raising funds Charitable activities Governance £’000 £’000 £’000	2022 total Basis of allocation £’000 1,055 Time 109 Time 610 Time 399 Time 373 Time 2,546 2021 total Basis of allocation £’000 197 Time 267 Usage 324 Usage 246 Usage 498 Usage 438 Time 1,970
	105 776 174
	- 109 -
	122 488 -
	- 399 -
	147 121 105
	374 1,893 279
	Raising funds Charitable activities Governance £’000 £’000 £’000
	1 72 124
	1 266 -
	1 323 -
	1 245 -
	2 496 -
	8 354 76
	14 1,756 200

International Alert | Annual Report and Accounts 2022 | Accounts | 44

4. Total incoming resources

Agence Française de Dévelopment British Council Department of Foreign Affairs and Trade, Australia Department of Foreign Affairs, Ireland – Stability Fund Department of Foreign Affairs, Ireland – Project funding Department of Global Affairs, Canada Deutsche Gesellschaft für Internationale Zusammenarbeit (GIZ) European Commission Federal Department of Foreign Affairs, Switzerland Food and Agriculture Organization of the United Nations Foreign, Commonwealth and Development Offce (FCDO) International Fund for Agricultural Development Ministry of Foreign Affairs, Denmark Ministry of Foreign Affairs, Finland Ministry of Foreign Affairs, Netherlands – Strategic partnership Ministry of Foreign Affairs, Netherlands – Restricted Swedish International Development Cooperation Agency (SIDA) – Core grant Swedish International Development Cooperation Agency (SIDA) – Climate Swedish International Development Cooperation Agency (SIDA) – Earmarked gender Swedish International Development Cooperation Agency (SIDA) – Earmarked other grants Swedish International Development Cooperation Agency (SIDA) – Restricted United Nations Development Fund for Women (UN Women) United Nations Development Programme (UNDP) United Nations International Children’s Emergency Fund (UNICEF) United States Agency for International Development (USAID) United States Department of State United States Institute of Peace World Bank Group Foundations, trusts and other organisations Conciliation Resources Durham University FHI 360 Ford Foundation Friedrich Ebert Foundation Helvetas Swiss Intercooperation IHE Delft Institute for Water Education Interpeace – Switzerland King’s College London London Metropolitan University Mines Advisory Group Nordic International Support Foundation Norwegian Refugee Council Open Society Foundation London Organisation for Economic Co-operation and Development Oxfam Oxford Brookes University Peace Direct PeaceNexus Foundation	2022 £’000 81 119 - 125 720 1,310 1,262 844 347 44 728 17 401 171 1,400 6,003 1,760 562 - - 740 7 937 147 1,922 1,026 1 490 21,164 1 - 159 122 41 - 370 - 10 2 127 179 1,606 - - 309 1 - 15	2021 £’000
		258
		220
		1,098
		153
		-
		(0)
		-
		1,634
		492
		40
		974
		-
		-
		-
		1,400
		2,207
		1,760
		-
		166
		100
		2,315
		205
		880
		195
		1,021
		1,035
		-
		507
		16,661
		-
		8
		-
		-
		-
		1
		188
		14
		10
		1
		22
		126
		-
		(9)
		85
		-
		-
		1
		27

45 | Accounts | Annual Report and Accounts 2022 | International Alert

Pears Foundation Plan International Pro-Femmes Rosa Luxemburg Foundation Saferworld Save the Children The Allan and Nesta Ferguson Charitable Trust The Municipality of the Hague UnionAID Voluntary Service Overseas Women for Women International World Vision Corporate and private individuals, bank interest and other donations/income Aboitiz Power Bank interest Crown Agents Development Alternative Initiatives (DAI) European Investment Bank Gifts from individuals Management Systems International (MSI) Other donations/income Palladium Total income	57 20 75 - - 346 - - 88 - - 20 3,546	-
		-
		-
		32
		144
		198
		150
		15
		32
		177
		12
		39
		1,272
	74 3 76 279 73 32 - 29 - 565 25,275	59
		0.2
		-
		313
		-
		-
		455
		42
		3
		872
		18,805

International Alert | Annual Report and Accounts 2022 | Accounts | 46

5. Staff numbers and costs

The average number of employees during the year was as follows:

5. Staff numbers and costs The average number of employees during the year was as follows:
Raising funds Charitable activities – direct Charitable activities – support Overseas staff	2022 No. 4 29 22 202 257	2021 No.
		5
		38
		23
		191
		257

Staff costs during the year were as follows:

Staff costs during the year were as follows:
Salaries Employer’s National Insurance contributions Pension costs Overseas staff cost	2022 £’000 2,848 279 293 4,275	2021 £’000
		3,018
		276
		305
		3,467
	7,695	7,066

During the year, redundancy payments made amounted to £61,428 (2021: £9,570) as a result of a restructuring of the charity.

The number of employees receiving emoluments in the following ranges were:

	2022	2021
	No.	No.
Between £60,001 and £70,000	4	8
Between £70,001 and £80,000	4	1
Between £110,001 and £120,000	1	-

Pension contributions amounting to £66,816 were made during the reporting period for employees whose emoluments for the year exceeded £60,000 (2021: £59,256).

Key management personnel include the Executive Director and principal officers reporting directly to the Executive Director. The total employee remuneration of the charity during the reporting period for key management personnel was £511,392 (2021: £358,366) and for pension was £41,336 (2021: £31,624).

47 | Accounts | Annual Report and Accounts 2022 | International Alert

6. Grants funding of activities – Grants to partners

6. Grants funding of activities – Grants to partners
	2022	2021
	£’000	£’000
Action Pour La Formation et L’Autopromotion Rurale	347	-
African Youth for Peace Development Association Argo Zha	74	104
Alpha Ujuvi - Collectif	44	79
Appui À La Communication Interculturelle Et A L’Au	72	-
Association des Commerçants Transfontaliers	9	-
Association des Commerçants Transfrontaliers du Burundi	25	-
Association des Femmes Rapatriées du Burundi	159	129
Association Rwandaise des Conseillers en Traumatisme	80	67
Basmeh and Zeitooneh	196	76
Benishyaka Association	0.4	60
Caritas-Développement Wamba	94	-
Caucasian House	58	-
CDA Collaborative	(57)	-
Center for Advocacy, Transparency and Accountability	20	-
Center for Social Cohesion Peace and Empowerment	51	74
Centre for Lebanese Studies	19	-
Comité Provincial de Suivi des activités minières	3	-
Commission Épiscopale Justice et Paix du Rwanda	101	119
Cooperative d’Epargne et de Crédit CAHI	8	-
Cordaid	38	-
Damma Foundation	16	-
Dansalan College	6	-
Development Policy Institute	45	-
Euro Network For Central Africa-Eurac	26	-
Faith Victory Association (FVA)	76	106
Farodis	28	-
Federation of Nepali Journalists (FNJ)	33	-
Federation of Sexual and Gender Minorities Nepal (FSGMN)	28	-
Fleuve d’eau Vive qui coule aux Autres (FLEVICA)	92	-
Focus On Arid Land and Integrated Development	12	110
Forum des Mamans de l’Ituri	99	-
Fund for Peace	6	-
Fund for Social and Cultural Initiatives	79	-
Gamkhori	29	-
Go Group Media	159	-
Grants for civil society – Various	323	1,141
GreenCode	-	106
Grow Strong Foundation	47	-
Guichet d’Économie Locale du Sud-Kivu	55	74
Hope and Peace Foundation	78	-
Institute of Human Rights Communication Nepal	28	-
International Peace Information Service (IPIS)	474	159
Internews	33	-
Justice Plus	529	222
Kings N Queens	12	-
Laissez l’Afrique Vivre	70	73
Legal Aid and Consultancy Centre	44	65
LINKS Europe Stichting, The Hague	51	-
Lupah Sug Bangsamoro Women’s Association	3	-
Media Initiatives Center	36	-

International Alert | Annual Report and Accounts 2022 | Accounts | 48

Nangkyeo Organization National Mediation Center (NMC) Nibela Ltd. Noori naw Notre Dame University, Cotabato City Observatoire Gouvernance et Paix Open Society NGO PeaceNet Kenya Plateforme des Autorités Locales des Pays des Grands Lacs Pole Institute Public Journalism Club Reseaux des Institutions de Microfnance Samagra Jan-utthan Kendra Sawa for Development and Aid Sociétés de Microfnance Congolais (SMICO) Solidarité des Femmes de Fizi pour le Bien-Etre Familial Solidarité Féminine Pour La Paix et le Développement Intégral (SOFEPADI) Stepanakert Press Club Tabang Ako Siyap Ko Bangsa Iranun Saya Ko Kalilintad Ago Kapamagayon (TASBIKKa Inc.) Taimako Community Development Initiative Thomson Media Transcultural Psychosocial Organization Nepal (TPO Nepal) Transparency International Kenya (TI Kenya) Turkana Pastoralist Development Organization (TUPADO) Umoja In Action Voices of Women Media (VOW Media) Western Mindanao State University, Zamboanga City Yaung Chi Thit Total	74	-
	78	55
	41	-
	25	-
	58	-
	585	504
	21	-
	42	165
	55	-
	99	-
	37	-
	29	75
	5	-
	40	53
	(21)	-
	71	65
	108	-
	41	-
	32	-
	150	76
	-	65
	4	-
	47	-
	30	-
	71	70
	2	-
	24	-
	22	-
	5,630	3,893

49 | Accounts | Annual Report and Accounts 2022 | International Alert

7. Trustees’ remuneration

Trustees received no remuneration in 2022 (2021: nil). In 2022, costs of travel, accommodation and related expenses reimbursed to six trustees amounted to £4,064 (in 2021, four trustees received £5,948).

8. Trustees’ liability insurance

The cost of trustees’ liability insurance for 2022 was £7,863 (2021: £6,006).

9. Included in the income and expenditure are:

Statutory audit fees Audit fees – other services Project audit fees Governance Depreciation Defned contributions pension scheme Foreign exchange gains/(loss)	2022 £’000 (22) (7) (71) (279) (15) (293) -	2021 £’000
		(18)
		(7)
		(74)
		(200)
		(21)
		(305)
		(60)

10. Tangible fixed assets

Cost At 1 January 2022 Additions Disposals At 31 December 2022 Accumulated depreciation At 1 January 2022 Charge for year Charge on disposals At 31 December 2022 Net book values At 31 December 2022 Net book values At 31 December 2021	Property improvements Offce equipment and computers Motor vehicles £’000 £’000 £’000 286 177 93 - 13 - (286) - - 286 190 93 286 165 92 - 14 1 (286) - -	Total £’000
		556
		13
		(286)
		283
		543
		15
		(286)
	286 179 93	272
	- 11 - - 12 1
		11
		13

International Alert | Annual Report and Accounts 2022 | Accounts | 50

11. Debtors

----- Start of picture text -----
||||||| |---|---|---|---|---|---| |Group|Group|Charity|Charity| |2022|2021|2022|2021| |£’000|£’000|£’000|£’000| |Accrued income|3,279|1,030|2,981|465| |Receivable from associated charity|-|11|0|11| |Prepayments|35|103|35|103| |Sundry debtors|121|48|121|50| |Intercompany|-|-|0|739| |3,435|1,193|3,137|1,368| |12. Creditors| |Group|Group|Charity|Charity| |2022|2021|2022|2021| |£’000|£’000|£’000|£’000| |Creditors|127|22|127|22| |Taxation and social security|140|95|127|95| |Accrued expenditure|222|243|222|243| |Deferred income|Note 12.a|1,572|1,249|1,572|1,249| |Pension creditors|126|183|125|183| |Sundry creditors|9|6|9|6| |Provisions|248|-|248|-| |2,444|1,797|2,430|1,797| |12.a Deferred income|

----- End of picture text -----

----- Start of picture text -----
|||| |---|---|---| |Group|Group| |2022|2021| |£’000|£’000| |Opening balance|1,249|1,534| |Less: Realised during the year|(1,249)|(1,534)| |Add: Deferred income during the year|1,572|1,249| |1,572|1,249|

----- End of picture text -----

Deferred income relates to grants received in 2022 for 2023 projects.

51 | Accounts | Annual Report and Accounts 2022 | International Alert

13. Commitment

At 31 December 2022, International Alert was committed to making the following payment under noncancellable operating leases.

Operating leases which expire Within one year	Land and buildings Other 2022 2021 2022 2021 £’000 £’000 £’000 £’000 - 149 - 149

14. Analysis of net assets between funds

Fixed assets Current assets Less: Creditors	Unrestricted funds Restricted funds Total funds 2022 2022 2022 £’000 £’000 £’000 11 - 11 3,814 10,320 14,134 3,825 10,320 14,145 2,444 - 2,444 1,381 10,320 11,701	Unrestricted funds Restricted funds Total funds 2021 2021 2021 £’000 £’000 £’000
		13 - 13
		2,814 6,857 9,671
		2,826 6,857 9,683
		1,388 400 1,788
		1,438 6,458 7,896

International Alert | Annual Report and Accounts 2022 | Accounts | 52

15. Movement on funds

The overall movement on funds is shown below. The restricted funds comprise unexpended balances of grants held on trust to be applied for specific purposes.

Restricted funds Africa Asia-MENA Eurasia Global Peacebuilding Unit Alert Europe projects Earmarked projects Exchange rate revaluation Unrestricted funds Unrestricted funds Designated Fund for Development Total funds*	At 1 January 2022 Movements between funds Incoming resources Outgoing resources Other transfers At 31 December 2022 £’000 £’000 £’000 £’000 £’000 £’000
	3,598 (124) 14,224 (10,735) 52 7,015
	1,178 157 4,536 (3,711) (310) 1,850
	806 185 1,462 (2,203) 12 262
	776 (394) 864 (869) - 377
	190 - 714 (863) - 41
	312 - 1,066 (993) 1 386
	- (60) - 449 - 389
	6,860 (236) 22,866 (18,925) (245) 10,320
	1,000 236 2,409 (2,546) 245 1,344
	37 - - - - 37
	1,037 236 2,409 (2,546) 245 1,381
	7,897 25,275 (21,471) 11,701

• Restricted funds: The restricted balance of £10.32 million includes expenditure totalling £3.28 million that has not been reimbursed by donors. This is in line with project activities and the funds in this regard will be forthcoming from donors in 2023.

Transfers between funds relates to reallocation of projects between regions but also the clearing of old closed project balances.

Restricted funds Africa Asia-MENA Eurasia Global Peacebuilding Unit Alert Europe projects Earmarked projects Unrestricted funds Unrestricted funds Designated Fund for Development Designated to Organisational Investment Fund Total funds**	At 1 January 2021 Movements between funds Incoming resources Outgoing resources Other transfers At 31 December 2021 £’000 £’000 £’000 £’000 £’000 £’000	At 1 January 2021 Movements between funds Incoming resources Outgoing resources Other transfers At 31 December 2021 £’000 £’000 £’000 £’000 £’000 £’000	At 1 January 2021 Movements between funds Incoming resources Outgoing resources Other transfers At 31 December 2021 £’000 £’000 £’000 £’000 £’000 £’000	At 1 January 2021 Movements between funds Incoming resources Outgoing resources Other transfers At 31 December 2021 £’000 £’000 £’000 £’000 £’000 £’000
	2,847 95 8,754 (8,102) 4 3,598
	(217) 140 4,078 (3,336) 513 1,178
	894 (577) 1,641 (1,078) (73) 806
	328 783 382 (357) (360) 776
	53 1,113 (977) 190
	379 1,406 (1,390) (84) 312
	4,284 440 17,373 (15,240) 6,860
	1,500 (256) 1,996 (2,201) (37) 1,000
	34 (34) 37 37
	150 (150) - -
	1,684 (440) 1,996 (2,201)			1,037
	5,968	19,369 (17,442)		7,897

• Restricted funds: The restricted balance of £6.86 million includes expenditure totalling £2.83 million that has not been reimbursed by donors. This is in line with project activities and the funds in this regard will be forthcoming from donors in 2022.

** Designated Fund for Development/Contingencies: As planned, £34,000 was transferred from the Designated Fund for Development to the General Unrestricted Fund for organisational development and operation. Due to positive results at the end of 2021, £37,000 was set aside in the fund surplus to sustain the organisational development and operations, in line with the charity’s objectives during 2021.

*** Designated Organisational Investment Fund: As planned, £150,000 was transferred from the Designated Fund for Development to the General Unrestricted Fund for organisational development and operation.

53 | Accounts | Annual Report and Accounts 2022 | International Alert

16. Notes to the cash flow statement

Reconciliation of net income to net cash flow from operating activities

Net income for the period Interest from deposits Depreciation Exchange rate gain/(loss) (Increase)/decrease in debtors Increase/(decrease) in creditors Net cash infow/(outfow) from operating activities Analysis of changes in net debt Cash and cash equivalents Cash Total	2022 £’000 3,804 (3) 15 - (2,246) 652 2,222 At 1 January 2022 Cash fows £’000 £’000 8,488 2,211	2021 £’000
		1,988
		(1)
		-
		(60)
		1,193
		-
		3,121
		At 31 December 2022 £’000 10,699
	8,488 2,211	10,699

17. Related party transactions

(i) A trustee and members of key management personnel are on the Board of Stichting International Alert in the Netherlands.

(ii) During the reporting period, International Alert donated to its affiliate Stichting International Alert £9,194 (2021: £67,743).

18. Subsidiary entity included in the group consolidated result

Stichting International Alert is a foundation incorporated under the laws of the Netherlands, having its corporate seat in the Hague, the Netherlands and its address at Fluwelen Burgwal 58, 2511CJ the Hague, the Netherlands, registered with the Dutch Chamber of Commerce under number 69358621 (the ‘Foundation’). It is controlled by International Alert through Stichting International Alert’s Board Composition.

	2022	2021
	£’000	£’000
Total net assets at 31 December 2022	41	238
Income for the year	716	1,268
Expenditure for the year	925	1,118
Surplus for the year	(209)	150

International Alert | Annual Report and Accounts 2022 | Accounts | 54

International Alert

London, United Kingdom Tel [phone] [e-mail] www.international-alert.org

Registered charity no. 327553

/InternationalAlert @intalert /international-alert