FINANCIAL STATEMENT OF 31 DECEMBER 2019 EMERGENCY ONG ONLUS is an independent and neutral organisation. It offers free, high-quality medical and surgical treatment to victims of war, landmines and poverty. It promotes a culture of peace, solidarity and respect for human rights. EMERGENCY’S humanitarian work is made possible by the contributions of thousands of volunteers and supporters. MANAGEMENT REPORT EMERGENCY - Financial Statement 2019 3 Introduction In 2019, EMERGENCY once again brought medical aid an earthquake there. And after 13 years working in to ever greater numbers of victims of war and poverty Palermo, we wound up our work and handed over around the world, including in: our clinic when our agreement with the local health authorities expired at the end of October 2019. The - Iraqi Kurdistan, where we continued to admit patients Palermo clinic had been EMERGENCY’s first project in need of prostheses at the Rehabilitation and Social within its Italy programme. Reintegration Centre in Sulaymaniyah; The financial statement for 2019 closes with a - Afghanistan, where for the seventh year in a row our positive operating result of €160,350, thanks in part hospitals admitted a record high number of civilians to a significant increase in income from fundraising, with war injuries, some in the wake of mass casualties totalling €43,838,903 in the income statement. - attacks that leave many people wounded and dead, It should be noted however that the total funds and many of them in autumn, during political elections raised are given in the income statement net of in the country. donations for building and setting up our hospital in Uganda, which total €9,006,644, as costs for the After several months of protests against his hospital’s construction are included in fixed assets government, the Sudanese president Omar al-Bashir under development. This income will be included in was deposed by the army on 11 April 2019, and power the income statement to cover amortisation of the put in the hands of a transitional military council. hospital’s building costs once it has begun running. Clashes followed, some of them very bloody, between Therefore, taking into account the donations above the security forces and protesters demanding a and other donations earmarked for covering specific civilian government be installed at once. The violence costs in 2020, totalling a further €1,031,793, the affected many parts of the country, including Port total income from contributions and donations is Sudan and Darfur. On 3 June, the authorities forcefully €53,877,340, an increase of €6,921,873 on 2018. expelled the protesters who had occupied Khartoum’s military district for weeks, at the same time as medical The year 2019 closes with a 20% increase in current facilities were attacked around the country. The assets and a 25% increase in short- and medium-term bloodshed was met with forceful condemnation from debts. The amount for debts to suppliers increased the United Nations, the African Union and many other by approximately €363,000, primarily due to international actors. supplies linked to the construction of the new Centre of Excellence in Paediatric Surgery in Entebbe, in Throughout these clashes, EMERGENCY’s Salam Uganda, therefore remaining at an acceptable level in Centre stayed open despite its local staff struggling relation to costs sustained. As for loans from banks to to reach the hospital when the protests intensified. meet financial demands for completing construction The Paediatric Centre in Mayo closed as soon as of the hospital in Uganda, in April 2019 funds of clashes sprang up in the area, but managed to reopen €2,500,000 were taken out for a period of five once the situation stabilised. In the following months, years. These can be paid back early without penalty. the political situation cooled, although the rate of Funding is essentially guaranteed by the same escrow inflation reached critical levels (70%), jeopardising the deposit already in place for the loan for renovating country’s already shaky economy and driving up the the office on Via Santa Croce, Milan. This funding, local costs for running EMERGENCY’s humanitarian of €1,000,000, was already paid back early as it programme in Sudan. became surplus to the project’s requirements when an unforeseen donation covered the project. Building work on the new Centre of Excellence in Paediatric Surgery in Entebbe, in Uganda, designed We went on in 2019 with a plan for amortising loans with the pro bono support of Renzo Piano, finished in taken out in 2016 for renovating our new headquarters 2019. The plan had originally been to select and train on Via Santa Croce, Milan. Overall liquidity from bank medical staff before beginning outpatient activity in deposits was just over 25 million euros and was due January 2020, with an eventual full opening in the to deposits on current missions for regular needs, spring. Unfortunately, at the time of writing, the global deposits in Italy earmarked for costs of missions crisis unleashed by the Covid-19 pandemic has forced in Italy and abroad, funds from the leftovers of us to change the programme’s start date. the liquidation of 2017’s (fiscal year 2016) 5x1000 donations, Christmas donations and €3,200,000 at In Italy, EMERGENCY kept up its strong commitment the end of December from ECHO for our projects in to medical aid and socio-medical support for people Afghanistan and Iraq, as well as deposits of about in need throughout 2019. Programme beneficiaries €695,000 from a bequest to the organisation. included both Italians and migrants, despite the ever- declining number of officially recorded landings by the Of course, these amounts are included in the current latter. Besides existing activities, we launched a new accounts at 31 December 2019, later used to cover programme in the province of Macerata, in Central cash needs for institutional activity, beginning in the Italy, to give psychological support to people hit by first few months of 2019, and €14,303,818 earmarked 4 EMERGENCY - Financial Statement 2019 for project costs only. The result for the year 2019 2019 saw another edition of the sustainability report, should be read positively, as proof of efficient use of the first of which came out the year before. This funds in institutional activity (costs/revenues) and document is available online at of achieving the financial balance that is essential sustainability.emergency.it. to keep our organisation running continuously and achieve the aims it was founded for. Activities outside Italy IRAQ PROGRAMME and PVC for indoor and outdoor fittings. Since the programme began, 386 such businesses have been REHABILITATION AND SOCIAL REINTEGRATION set up. EMERGENCY’s social reintegration programme CENTRE IN SULAYMANIYAH gives people their dignity back by helping them to overcome their disabilities and allowing them to EMERGENCY has run the Rehabilitation and Social support themselves and their families again. Reintegration Centre in Sulaymaniyah since 1998, where prostheses and orthoses are produced and Since 2005, the Rehabilitation and Social fitted for landmine victims, war wounded patients and Reintegration Centre in Sulaymaniyah has been run those with disabilities. on a daily basis entirely by local staff trained by EMERGENCY in previous years. The Centre is the only specialist, free facility in the region. Over the years, it has become a referral centre In 2019, the following organisations partially funded for patients from other areas of Iraq and receives work at the Centre: patients from neighbouring countries, including Iran. • The World Health Organization (WHO) gave €442,873 for the Centre’s work and for the Mosul– To provide the war wounded patients in Mosul Sulaymaniyah referral project. with rehabilitative treatment and prostheses, • The European Civil Protection and Humanitarian EMERGENCY began a collaboration with the local Office (ECHO) gave€296,923 for the Rehabilitation state rehabilitation centre in October 2017, whose and Social Reintegration Centre in Sulaymaniyah production capacity for prostheses had been affected and the Mosul–Sulaymaniyah referral project. by the conflict there. Under the project, patients are transferred from Mosul to our Rehabilitation and HEALTHCARE CENTRES FOR REFUGEES AND Social Reintegration Centre in Sulaymaniyah to have DISPLACED PEOPLE IN IRAQ prostheses and orthopaedic devices fitted. Faced with a massive presence of millions of Syrian The project has brought 544 patients from Mosul to refugees and displaced Iraqis due to worsening the Centre so far, 114 of them children. In 2019 alone conflict and violence in northern Iraq, EMERGENCY we referred 232 patients, for a total of 233 prostheses, broadened the scope of its work in the country. 178 orthopaedic devices and 1,384 physiotherapy sessions. The referral project also allowed us to Since July 2014, EMERGENCY has opened seven monitor the prosthesis services provided to amputees Healthcare Centres offering free treatment to refugees by the governorate of Nineveh (in which Mosul lies), and displaced people in the camps at Arbat, Ashti, which are in constant demand. Unfortunately, the local Kalar, Khanaqin and later Qoratu and Tazade. From government was unable to meet the urgent medical the beginning, EMERGENCY has progressively handed needs of its people. From September to October over the facilities, in the following order: 2018, having been invited and given help by the local health directorate, an EMERGENCY team went on a • Healthcare Centre in the displaced Iraqis’ camp in mission to Mosul to assess whether we could open a Khanaqin (2015) rehabilitation centre for producing prostheses. Land • Healthcare Centre in the displaced Iraqis’ camp in was chosen belonging to the Iraqi Red Crescent Qoratu (2017) Society (IRCS) and in May 2019 an agreement was • Healthcare Centre in the Syrian refugees’ camp in signed to build the prosthesis centre in Mosul.