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To the Future… Together 2018 ANNUAL REPORT To the Future… Together MTN Nigeria Foundation Ltd/Gte Annual Report 2018 1 At MTN Foundation, we continue to deploy our resources to ensure successful execution of sustainable projects and initiatives in Education, Economic Empowerment and Health to ensure a lasting impact on these communities. 2 MTN Nigeria Foundation Table of Contents Profile - Vision and Chairman’s Board of Directors’ 02 MTN Nigeria 03 Mission 05 Statement 09 Directors 10 Report Foundation Statement Detailed The MTNF Projects Legal and Corporate 12 Report from 49 Management 50 Approved for 51 Administrative 52 Governance the Executive Team 2018 Information Structure Secretary Report of the Statement of Statement Statement of Statement of 55 Independent 57 Comprehensive 58 of Financial 59 Cashflows 60 Change in Fund Auditor Income Position Summary Notes to the Other Five Year MTNF Projects 61 of Principal 64 Financial 71 Requirements – 72 Summary 73 Approved for 2018 Accounting Statement Local Legislation Spread across the Policies Country Annual Report 2018 1 PROFILE MTN Nigeria Communications Limited (MTNN) has been at the forefront of the mobile telephone revolution in Nigeria since 2001. With success comes the responsibility of giving back to the society in a meaningful and sustainable way, tempered by care for the environment and concern for people - both now and in the future. The MTN Nigeria Foundation Limited by Guarantee (MTNF) was borne from desire to have a long term positive impact on communities where MTN Nigeria Communications Limited (MTN) operates. Creating specific structures that ensure that empowerment initiatives and interventions can be replicated nation- wide, the Foundation focuses its Corporate Social Responsibility efforts on initiatives with the aims of supporting and fostering sustainable development. 2 MTN Nigeria Foundation OUR VISION – to be a leader in Corporate Social Responsibility initiatives in Nigeria measured by the impact and sustainability of our projects on our host communities… This plays out in 3 key areas Education, Health and Economic Empowerment Annual Report 2018 3 OUR MISSION – to improve the quality of life in the areas of Health, Education, Economic Empowerment on a sustainable basis. Our objectives are; Alleviation of health Facilitation of economic Provision of access to challenges currently empowerment of educational opportunities facing the country Nigerian citizens over and To date, the MTN spread across 36 states Foundation has 850 3 of the country and the 4 MTN Nigeria Foundation project sites causes Federal Capital Territory. Dear MTNF Stakeholder, On behalf of the Board and Management of the MTN Nigeria Foundation, it is my pleasure to present this 13th Annual Report of the MTN Foundation for the year ending December 31, 2018. In the year under review we met strategic milestones and surpassed critical targets that have gone a long way in providing support and succor to our communities. These were achieved by the Foundation’s pledge of N800m to various causes and projects. ...to the millions of MTN Nigeria customers whose support remains the bedrock of all that we have been able to achieve over the years, I say thank you for your patronage and support. Prince Julius Adelusi-Adeluyi, OFR Chairman, MTNF Board of Directors Annual Report 2018 5 Guided by an unwavering Our collaboration with MTN Nigeria ecosystem partners, commitment to the socio-economic Oracle, Digital Bridge Institute, IBM and Google led to an ICT growth and development of and Business Skills Training aimed at empowering youths across Nigeria with strategic ICT and Business skills – critical Nigeria and the upliftment of to improving their business or professional careers. humanity through Corporate Social Responsibility, in 2018, we continued These two initiatives struck These two initiatives are just a a chord with me. As a few of the various successes to partner with government, the pharmacist, I am increasingly we achieved in the course private sector and other ecosystem worried by the dangers and of the year, and more details partners to launch and sustain negative impact of drug abuse about these and other MTN in our country, especially on Foundation projects will be projects that have changed the our young ones, who are our provided in this report. cause of things and touched lives. future and deserve all the encouragement they need to Our Financial Report, which reject the temptation, while presents an overview of One of such projects is the MTNF Anti focusing their energies on the foundation’s financial Substance Abuse Program (ASAP), launched productive pursuits, such as activities, is set out on page in December 2018. This is a change the one provided by the ICT 57. intervention aimed at curbing the prevalence and business skills trainings. of substance abuse and addiction in Nigeria using a 3 pronged strategy - Awareness, This is a call to action not just Advocacy and Empowerment. for the Foundation, but for everyone. 6 MTN Nigeria Foundation Projects The following programmes were approved by the Board of Directors: MTNF DNA Lab What Can We Do – Request for Together, Phase 3 Additional Funds Sponsorship of the Nigeria MTNF Community Universities Theatre Art Development Projects Donations. Festivals MTN Nigeria donated the sum of N800,000,000.00 in the financial year ended December 31, 2018. MTNF Arts and Culture MTNF Arts and Cause Phase 3: Theatre Culture Cause Phase Also, MTN Nigeria provided support with services and benefits Productions 3: Theatre for Schools valued at N226,687,000.00 for staff costs, office and general expenses such as travel and training. MTNF MUSON Scholars MTNF Easy Health The financial statement showing an analysis of funds committed Program Access Project this year to the various programmes can be found on page 57 Investment Policy and Returns Monitoring & MTNF Anti-Substance Evaluation Plan We remain committed to ensuring that all donations are Abuse Program properly managed and maximized in line with strict corporate 2018 – 2019 and compliance policies. Donations are invested in short and long term deposits pending utilization on designated projects. Interests earned during the year amount to N438,072,000.00 MTNF ICT and Business MTNF Orphanage Skills Training Phase 2 Support Initiative (Kano) MTNF Arts & Culture Cause MTNF Community Phase 4: Theatre Productions Development Initiative & Visual Arts Part Sponsorship of Funds for MTNF International Day for Persons Projects Leveraging with Disabilities (IDPWD) Annual Report 2018 7 Conclusion The year ahead promises to be an eventful one for our parent company as it prepares for its public listing in 2019. That being said, I am pleased to note that MTN remains fully committed to supporting the work of the Foundation, and I also remain extremely thankful and honored for the immense and consistent support given to us. December 2018 I am also grateful for the continued support of my fellow Directors, staff of the Foundation, and our partners, whose insight enables us to deploy our resources strategically towards ensuring an enduring impact on the host communities where we operate. Last but not least, to the millions of MTN Nigeria customers whose support remains the bedrock of all that we have been able to achieve over the years, I say thank you for your patronage. Prince Julius Adelusi-Adeluyi, OFR Chairman 8 MTN Nigeria Foundation Board Of Directors Alhaji Mrs. Mosun Muhammadu Belo-Olusoga Danlami DIRECTOR DIRECTOR Mr. Hon. Dennis Reginald C. Okoro Okeya DIRECTOR DIRECTOR Mrs. Prince Julius Aishatu Mr. Pamela Tobechukwu Adelusi-Adeluyi, Okigbo OFR, mni Sadauki DIRECTOR DIRECTOR CHAIRMAN Annual Report 2018 9 Directors’ Report For the year ended 31 December 2018 The Directors present their report together with the audited financial statements for the year ended 31 December 2018. Principal activities MTN Nigeria Foundation Limited by Guarantee (the Foundation) was incorporated in Nigeria as a company limited by guarantee on 19 July, 2004 under the Companies and Allied Matters Act of Nigeria, Cap C20 LFN 2004. The Foundation is a non-profit making organisation actively engaged in corporate social responsibility initiatives. To Registered Office this end, the Foundation seeks to implement viable and beneficial projects across the country in the selected focus 4, Aromire street, Ikoyi, areas of Health, Education and Economic Empowerment. Operating results The following is a summary of the MTN Nigeria Foundation Limited by Guarantee (the Foundation) operating results: December December 2018 2017 N N Donations 800,000,000 887,989,000 (Deficit)/surplus of income over expenditure for the year (167,514,000) 14,904,000 The Foundation received the sum of N800 million (2017: N887.99 million) relating to donations from the profit of MTN Nigeria Communications Limited for the financial year ended 31 December 2018. Directors and Their Interests The Foundation directors have no interest in contracts/projects (2017: Nil). The directors who served during the year to the date of this report were as follows: Prince Julius Adelusi-Adeluyi, OFR Chairman Alh. Mohammadu Danlami Director Mr. Dennis Okoro Director Mrs. Aishatu Sadauki, OON Director Mrs. Mosun Belo-Olusoga Director Hon. Reginald Okeya Director Muhammad Siddiqui (resigned 30 June 2018) Director Tobechukwu Okigbo Director Mazen Mroue (appointed 25 September 2018) Director 10 MTN Nigeria Foundation Donations Corporate social responsibility projects in the Health, Education and Economic Empowerment portfolios during the year ended 31 December 2018 were funded through donations received over the years from MTN Nigeria Communications Limited (MTN Nigeria). MTN Nigeria is committed to making available up to 1% of its profit after taxation to the Foundation. All donations are received from MTN Nigeria. Taxation The Foundation is exempt from tax as it is a non-profit making organisation. MTN Nigeria Foundation Ltd/Gte Gifts In Kind In addition to the donations mentioned above, MTN Nigeria made certain resources available to the Foundation. Details of these are given in Note 19.4 of the financial statements.
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