PCP reserves all rights of ownership of this document.

Printed By: Colorline-Islamabad

Cover desktop composition and product management:M. Mansoor Sarwar, Senior Programme OfficerPakistan Centre for Philanthropy, Islamabad

Published in April 2014

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Table of ContentsTable of Contents Company Profile

Our Vision Mission and Goals

PCP’s Research Portfolio

Philanthropy Support Services

CSOs’ Certification Programme

Board Meetings

Picture Gallery

Our People

Financial statements

Director's Report

A Message from the Chairman

Board of Directors

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Company Profile

Company Profile

Dr. Shamsh Kassim-Lakha, H.I., S.I. Chairperson, PCP Board of Directors; Ex-President and CEO, Aga Khan University.

Mr. Mueen Afzal, H.I.Former Secretary General, Finance & Economic Affairs, Government of Pakistan.

Syed Hyder AliManaging Director and CEO, Packages Limited.

Mr. Arif HabibPresident, Arif Habib Securities Limited.

Dr. Attiya InayatullahFormer Federal Minister for Women Development, Special Education, Social Welfare and Population Welfare.

Mr. Zaffar A. Khan S.I. Vice-Chairperson, PCP Board of Directors; Ex-Chairman, Engro Chemical; Ex-Chairman, KSE; Ex-Chairman, PIA.

Dr. Sohail H. NaqviVice Chancellor, Lahore University of Management Sciences.

Dr. Sania Nishtar –S.I., FRCS, PhD, President Heartfile.

Mr. Mohsin NathaniChief Executive, Standard Chartered Bank.

Mr. Saeed Ahmed QureshiFormer Deputy Chairman, Planning Commission.

Mr. Firoz RasulPresident, Aga Khan University.

Mr. Ahsan M. SaleemChief Executive, Crescent Steel & Allied Products.

Mr. Omar Yaqoob SheikhChairman of the Board & Managing Director, Shell Pakistan Limited.

Mr. Badaruddin F. VellaniChairman of the Board, Aga Khan Foundation (Pakistan).

Mr. Arshad ZuberiChief Executive and Editor, Daily Business Recorder.

The Centre is led by Mr. Tanwir Ali Agha, Executive Director.

PCP Board Committees

Mr. Zaffar A. Khan, ChairpersonMr. Mueen AfzalDr. Sohail H. NaqviMr. Firoz RasulDr. Attiya InayatullahMr. Ahsan M. SaleemDr. Sania Nishtar

Research Committee

Dr. Shamsh Kassim-Lakha H.I., S.I., ChairmanMr. Saeed A. QureshiMr. Arif HabibMr. Badaruddin VellaniMr. Mohsin Nathani

Budget, Finance and Investment Committee

Mr. Saeed A. Qureshi, ChairmanMr. Firoz RasulSyed Hyder AliMr. Omar Yaqoob Sheikh

Audit Committee

Mr. Mueen Afzal, ChairmanDr. Attiya InayatullahDr. Saniya NishtarDr. Sohail H. NaqviMr. Ahsan M. SaleemMs. Roshan K. Bharucha (By Invitation)

Certification Committee

Dr. Shamsh Kassim-Lakha H.I., S.I., ChairmanMr. Zaffar A. KhanMr. Badaruddin VellaniMr. Mueen AfzalMr. Ahsan M. Saleem

Governance and Nomination Committee

Mr. Ahsan M. Saleem, ChairpersonDr. Shamsh Kassim-LakhaMr. Arif HabibSyed Hyder AliMr. Arshad ZuberiMr. Zaffar A. KhanMr. Arshad ZuberiMr. Mohsin NathaniMr. Omar Yaqoob SheikhMr. Anwar Rammal (By Invitation)

Resource Development & Communication Strategy Committee

*ED, is ex-officio member of Board Committees

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A Message from the ChairmanA Message from the Chairman

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Coupled with regional and local political turmoil, growing effectiveness of its programmes, the Board Pakistan continued its economic down turn in 2012, was restructured in conjunction with its current pushing a growing number of the population below needs. Consequently, this year the size of the Board the poverty line and highlighting the importance of was reduced from 21 to 15 members. Concurrently, philanthropic giving. When the Pakistan Centre for an Advisory Council of 20-30 distinguished civil Philanthropy (PCP) was established in 2001, two society members, including the retiring Directors, factors were seen as important imperatives by its will be operationalized in 2013 to advise and support founders. They were an enabling policy and the PCP in fulfilling its mission. I extend my administrative environment and a legal framework appreciation to the Directors and especially the that facilitated citizen-led efforts to tap retiring members of the Board who have made such philanthropic resources. Eleven years later, it is powerful contributions to the conceptualization of gratifying for us at the PCP to note that despite the PCP and securing its institutional foundations. extremely challenging economic environment, there has over these years been an enormous increase in Finally, while the PCP continues to promote philanthropic giving by the generous Pakistani strategies to enhance the volume and effectiveness society. On the other hand, philanthropy still needs to of giving it seeks sustained support of our well be recognized by policy makers as a vast untapped wishers for delivering on our mandate and resource for socio-economic development. The contributing substantively to the philanthropy Centre therefore acknowledges the need for greater movement, providing relief and faith to the engagement with relevant decision makers on this marginalized of our society. subject.

The key driving force for the impressive level of giving is the generosity that characterizes the Pakistani ethos. In the fight for alleviation of poverty, there are countless heroes. If the battle against deprivation Dr. Shamsh Kassim-Lakha, H.I., S.I.and inequity is won, then victory in the war against terror will not be far off. It is important to understand the nexus between these two wars and how they reinforce each other. The importance of philanthropy and civil society becomes increasingly important given the Government's fiscal and institutional constraints, which are not likely to be reduced anytime soon. And this is what PCP is all about: strengthening partnerships between Government, grant makers and CSOs within an enabling environment, embedded in knowledge and trust.

On behalf of the Board of Directors I acknowledge with gratitude, the generous financial support PCP has received from the Government, the corporate sector and individual contributors, as well as from all those donors who supported PCP's Research, Certification and Philanthropy Support Services programmes.

I am particularly happy to acknowledge the Board's close involvement with the Centre's programmes and the insight and guidance provided through its specialized committees for enhanced performance. Considering the maturity of the Centre and the

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Directors Report2013Directors Report2013

Pakistan Centre for PhilanthropyPakistan Centre for Philanthropy

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The Board of Directors Pakistan Centre for with PCP's role as an independent support Philanthropy (PCP) is pleased to present its report organization for its many stakeholders. together with the audited financial statements for In meeting these challenges and goals, the PCP the year ending 2013. adheres to its Second 5-Year Strategic Plan for

2012-2016, which serves as a road map for scaling The PCP has now entered its thirteenth year of up the Centre's activities to a higher level and operations; PCP governance structure has served it advancing the founders vision of strategically well since its inception in 2001. Considering the channelizing philanthropy to supplement the maturity of the institution, the Board concluded that Government's efforts for social development of the time was right for restructuring it in keeping with its country. current needs. The size of the Board was reduced from 21 to a more compact body of 15 members who I am pleased to say that PCP has continued to play an could devote adequate time to the institution's important role as the lead support organization for policy making and oversight through its Committees. the promotion and effectiveness of philanthropy and The 15 member compact Board has served the civil society for social development in Pakistan. This needs of the Centre well. The Board met regularly issue has become increasingly important given the every quarter and provided guidance to the magnitude of the social sector deficit and institution's policy making and oversight, directly Government's fiscal and institutional constraints. and through its Committees. The Board wishes to Pakistan's continued low ranking on the HDI over the place its deepest appreciation for the commitment years, underlines the gravity of the situation and the and contribution of Dr. Adil Najam, who has stepped urgency with which we must all act. Failure is not an down from the PCP Board due to change in option, for the stability of society itself is at stake. leadership at Lahore University of Management The silver lining is the generosity of the people of Science (LUMS). The Centre is pleased to announce Pakistan, and that this generosity continues the induction of Dr. Sohail H. Naqvi, Vice Chancellor unabated, despite the challenging environment. The LUMS, who has replaced Dr. Adil Najam on the Board. ingredients for such a partnership exist: a PCP is fortunate to have Dr. Naqvi on its Board. philanthropic society, a vast network of CSOs, the

Government's and grant makers' acceptance of the PCP, since its inception, has established a niche for role of civil society. itself, and earned the recognition of its many stakeholders. We continue to strive for deepening In 2013 PCP was actively engaged with the and broadening our work related to the government in the policy dialogue on regulations enhancement and effectiveness of philanthropy in related to CSOs under the proposed Foreign the social sectors. However, in pursuance of its Contribution Bill 2014 and other regulations. At their unique mandate it faces many challenges; primarily, invitation, PCP worked closely with the Economic to upscale its impact through linkages with the Affairs Division and the SECP in this regard. These principal stakeholders, philanthropists/grant engagements have enabled PCP to meet its makers, Government and civil society. Looking important objective of helping to create an enabling, ahead, the Directors seek to enhance PCP's impact administrative and fiscal environment for through the Philanthropy Networks consisting of philanthropists and civil society. This has been our philanthropists and civil society organizations. Our constant theme in dialogues with government.strategic objective in 2014 and for the next three years, is to facilitate a national partnership between It is also heartening that with every passing year all stakeholders, dedicated to social sector PCP's role and its programmes of research, development and poverty alleviation through certification and philanthropy support services are philanthropy. To facilitate and sustain this being increasingly valued, at both the national and partnership, it is crucial that it be embedded in international levels. Certification continues to be the knowledge, trust and a conducive enabling Centre's flagship programme, fostering an environment. This is where our efforts and energies environment of trust and credibility. As of 31st will be focused. Another key challenge is to ensure December 2013, the number of certified financial sustainability in a manner that is consistent organizations had increased to 306 from 236 in

2012. The number of applications and evaluations continue to grow. We expect around 150 organizations will be evaluated during 2014. Over the

On the request of International Organization for Migration (IOM), PCP evaluated CSOs working in South Punjab, to assist IOM in selecting partners and

years, the Certification program has helped reduce also conducted capacity building sessions for the the trust deficit between grant makers and grant partner CSOs of IOM in specific themes. PCP will seekers and in building institutional capacities of continue to support the strengthening of civil society various CSOs. Evaluation is a growing need, and not through better governance, financial management just restricted to CSOs. Community Based and program delivery. We will work through CSO Organizations (CBOs) / Local Support Organizations networks to reinforce the impact of PCP's work. In (LSOs), are playing an increasingly important role in addition an Association of Certified CSOs will be community lead social sector development. PCP's setup.existing certification model is not suited to CBOs and LSOs, given the nature of their activities and their Research continues to be a priority for PCP. Our governance and management structures. Since strategic objective is to use knowledge for creating CBOs/LSOs have indicated their desire to be brought awareness and providing basis for sound policies. within an evaluation framework, in partnership with The 2013 survey on Corporate Philanthropy in the AKRSP, PCP is developing an evaluation Pakistan re-enforces the existence of tremendous framework and tool that respond to their special potential for philanthropic giving in the corporate needs. As with the regular certification program for sector of Pakistan. Giving by Public Listed CSOs, evaluation of LSOs will also be voluntary. With Companies (PLCs) increased from PKR 3.8 billion in the change brought about in the Finance Act of 2013, 2011 to PKR 4.1 billion in 2012, an 8% increase. universities and degree granting institutions, run by Donations as percentage of Profit Before Tax (PBT) NPOs are also required to be evaluated and certified for 2012 have remained unchanged at 0.7%. Over the either by the PCP or the Income Tax authorities. The years, corporate philanthropy, reported by PLCs, has PCP is currently in the process of assessing the increased from PKR 228 million in 2000 to PKR 4.1 impact of this latest requirement. billion in 2012, an approximately eighteen-fold

increase. PCP continues to actively explore all possible avenues to provide opportunities to certified CSOs to In 2013 for the first time, the survey included the exhibit their achievements and network with donors, philanthropic giving by a sample of Public Unlisted corporations, CSOs and government departments. Companies (PLCs). Reported giving was Rs. 549 To this end, PCP arranged an NGO Festival on 4th July million, 0.6% of Rs. 97 billion PBT. Considering that 2013. The event was sponsored by and held at the unlisted companies are not required to report their Attock Refinery Ltd. complex. It was well attended by giving, it is clear that the magnitude of philanthropic participants representing CSOs, corporations, activities is also under reported. In future we will donors and regulatory authorities. Dr. Werner E. refine our assessment of PULCs. PCP will continue to Liepach, Country Director Asian Development Bank provide knowledge as the basis for better policies was the Chief Guest on the occasion. PCP also plans and decision making, both by government and to regularly hold such event in future, initially at the corporate sector to enhance the volume and Provincial capitals across the country. effectiveness of corporate philanthropy. The launch

of the 2013 survey and the corporate awards event is The National Council of Social Welfare (NCSW), being funded by the UNDP Pakistan. The Directors Islamabad observed an International Volunteer Day deeply appreciate this invaluable partnership.on 13th December 2013, where NCSW gave away award to the best social workers for rendering The Directors are pleased to note that the exceptional humanitarian services in Pakistan. On Government of Sindh commissioned PCP in 2012 to the recommendation of PCP, three of our certified undertake a study on Individual Indigenous organizations namely; Mountain & Glacier Philanthropy in Sindh under its Community Protection Organization, SAHIL and Human Development Programme. The Provincial Development Foundation also received awards. Government plans to utilize the findings of the study

to optimize the individual philanthropic resource

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pool for social development through appropriate For 2013, a budget of Rs. 86.52 million was approved evidence based policies. We will be launching the by the Board of which Rs. 21.97 million (25%) was for report during the first half of 2014. PCP has initiated core expenditure and Rs. 64.57 million (75%) for work on the study on Individual Indigenous programme activities. However, 82% (Rs. 70.97 Philanthropy in the other three provinces as a part of million) of the total approved budget was utilized the much awaited study on National Individual during 2013, mainly due to delayed initiation of the Indigenous Philanthropy in Pakistan. The Directors planned nationwide Individual Indigenous have raised more than 50% of the funds required for Philanthropy Study. The expenditure for 2013 was the study and will seek support for raising the financed through a mix of donor funding and remaining amount. The study is expected to be resources generated by the Centre itself. About 39% completed in 2014. The Directors deeply appreciate (Rs. 27.96 million) of the total expenditure was the generosity of the Pakistan's Corporate Sector in funded through donor financing under specific grant funding this study. PCP will continue to seek support agreements and the remaining 61% was funded from the private sector and elsewhere for other through self generated resources. research studies, as part of its endeavor to be a trusted knowledge bank. The budget for 2014 is Rs. 82.29 million, of which Rs.

25.24 million (31%) is for core expenditure and 57.05 In Philanthropy Support Services (PSS), the unit million (69%) is for programme activities. During the successfully attained all the targets under a grant year 2014, we will require to raise additional from the 'Ilm Ideas' Programme (DAI-Europe) under resources of Rs. 4.46million to support our existing UKaid funding to run a campaign to mobilize and programme activities and Rs. 7.41million for the facilitate corporate philanthropists for Government nat ional study on Indiv idual Indigenous schools in Sindh. PCP is in discussion with various Philanthropy. donors on up-scaling this Public Private Partnership model, not only for education, but in other areas such Finally, the Board expresses its gratitude for the as health, water and sanitation. Under a partnership continued support of the Federal and Provincial with the International Center for Non-Profit Law governments, civil society organizations, donors and (ICNL) a regular review of the legal environment the contributors as well as the Certification Panel, relating to the CSOs in Pakistan was conducted. PCP without which PCP could not have achieved its facilitated its certified organizations to secure progress in 2013. We look forward to this continued funding through the Global Giving and Give2Asia support. Appreciation is also extended to the platform. PCP will continue to support and promote management and staff of the PCP who continue to credible CSOs as reliable development partners. diligently carry forth the agenda of the Centre.

As an essential component of its drive to achieve financial sustainability, the Directors continue to seek contributions to PCP's endowment fund. In 2013, PCP received a grant of Rs. 10 million from the Habib Bank Limited Foundation. The Endowment Fund is now Rs. 89.83 million, up from Rs. 79.83 Dr. Shamsh Kassim Lakha, H.I., S.Imillion on the 31st December 2012 ( 2011: Rs. 59.83 Chairman, Board of Directorsm). Rs. 40 million was contributed by the Government and Rs. 49.83 million by the private sector. Under PCP's 5 year strategic plan, our target is to raise the endowment fund to Rs. 500 million. This is an ambitious target but essential for financial sustainability of the Centre's core activities. In addition the Directors raised Rs. 14.5 million for the National Study on Indiv idual Indigenous Philanthropy in Pakistan towards a total goal of Rs 25 million. We deeply appreciate this support and thank our donors for the trust reposed in PCP and its work.

Our VisionMission and Goals

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Our VisionOur VisionThe three sectors of society-business, civil society and the government work in a strengthened partnership for social development in Pakistan.

Our MissionOur Mission

Our GoalsOur Goals

To increase the volume and effectiveness of indigenous philanthropy for social development in Pakistan

Creating a policy, legal and fiscal environment that enables giving for development and promotes the growth and development of citizen organizations.

Facilitating linkages between corporate philanthropists, citizen organizations and government for increased social investment.

Enhancing citizen organizations'' capabilities as reliable and effective implementing partners of grantmakers through a certification system.

Assisting philanthropists (corporatations, foundations, Diaspora communities) in increasing the volume and impact of their giving.

Raising broad societal understanding of philanthropy through research.

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PCP's Research PortfolioPCP's Research PortfolioExpanding The Knowledge MapExpanding The Knowledge Map

"Without knowledge action is useless and knowledge without action is futile.

Abu Bakr al-Siddiq (R.A)”

"Without knowledge action is useless and knowledge without action is futile.

Abu Bakr al-Siddiq (R.A)”

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The Centre was established as a result of research on order to utilize this indigenous wealth, in-depth philanthropy and remains the sole niche institute for knowledge of this multi-dimensional phenomenon philanthropic studies in Pakistan. Its primary goal is is important in enhancing understanding of the to produce evidence-based research to determine patterns and behavior of philanthropic activities, and promote the volume, motivation and especially in terms of who do people give to, how effectiveness of individual indigenous philanthropy. much do they give, how is it used, and what are the The Centre works on the firm belief that policies and challenges and barriers the givers face? Answers to actions based on sound research lead to effective these questions would provide the basis for and positive outcomes for country's development. informed policies and strategies useful for building This philosophy has guided the PCP Research Unit to social and human capital for development. complete a number of studies on various aspects of philanthropy that provide useful information on various forms of philanthropic activities that can be used to take strategic direction for social development of the country.

The culture of philanthropy and charitable giving is influenced by social, moral and religious underpinnings and Pakistan has been recognized as a generous and giving nation, especially during disasters and catastrophes. According to World Giving Index 2013, Charities Aid Foundation, Pakistan ranked 53rd out of 135 countries in the world and ranked 3rd among SAARC countries. In

Individual Indigenous Philanthropy in Sindh The final study is expected to be launched in August, 2014.

As part of its mission to enhance the volume and effectiveness of philanthropy in Pakistan, PCP Nation-wide Study on Individual Indigenous planned to initiate a National Study on Individual Philanthropy Indigenous Philanthropy (NIIP). This idea generated as a result of a study conducted earlier by John Building on the Individual Indigenous Philanthropy Hopkins University and the Aga Khan Development study in Sindh, the Centre has started a nation-wide Network (AKDN) in 1998/99 which determined NIIP study of the same nature with the support of philanthropy as a source of immense resource pool various Corporate Donors. It is expected that the for social investment. It was realized that the findings of the study would help to initiate an findings of the 15 years old study needed to be informed policy dialogue for enhancing the volume updated to facilitate policy makers for informed and effectiveness of philanthropy in Pakistan decision making. The purpose of the study is to through the formation of better policies, governance document the trends and patterns, the extent, size systems and practices. It is planned to complete the and scope of individual philanthropic contribution, national study by the end of 2014.and to understand implications for community and social development. This will help advance the Future Research Studiesefforts of intermediary organizations to achieve and optimize the utilization of the generated resources The NIIP study and the Corporate Philanthropy for social development. It may also be used as a base Survey 2013 will fill the current knowledge gaps for future dialogue, analysis and action for citizen- about philanthropy in the country. However, some led growth for community advancement. other potential areas need to be explored through

other independent studies. PCP plans to carry out research on some other facets of philanthropic activities to facilitate informed decision making for all stakeholders. Some of the studies planned for future research are:

lCSO Nation-wide MappinglStudy on Qurbani HideslStudy on Giving at ShrineslCorporate Philanthropy Survey 2013

Concurrently, the research will also help to develop partnerships among all stakeholders and identify ways to facilitate productive equations. Additionally, the study will provide reliable and updated data on various forms of giving to examine trends and patterns that would provide policy guidelines for effective utilization and channelization of individual indigenous philanthropy for social development in Pakistan.

In the first phase, a study was carried out in Sindh province sponsored by the Community Development Program (CDP), Government of Sindh. The initial draft of the report is complete and has been circulated among relevant stakeholders for review.

Key Findings of Corporate Philanthropy Survey 79% of total giving, an increase of 5% from the 2012: preceding year. The donations of the top 25 ULCs

amounted for 80% of total giving by ULCs.1. Total donations by PLCs increased eighteen 5. Majority of the top-giving companies fold from PKR 228 million in 2000 to PKR 4.1 billion in interviewed reported an increase in the spending on 2012. Total donations by ULCs for the year were PKR philanthropic activities compared to the previous 549 million. year.2. Average percentage of PBT donated by the 6. Majority of the top-giving companies PLCs was 0.7%. interviewed suggested increased presence of the 3. 57% of PLCs were involved in Corporate government in remote areas and its importance in Philanthropy. the sustenance of social development projects.4. The top 25 giving companies accounted for

Qualitative Findings:The major qualitative findings of the Corporate Philanthropy Survey, 2012 are as under:

THEMATIC AREAS Education, Health and Disaster Relief

PREFERRED CHANNELS Own foundations/trusts, CSOs, Government Organizations.

CHALLENGES Lack of awareness in communities, delays in approval by the government, problems of law and order in remote areas, and identifying credible organizations.

MOTIVATING FACTORS Inner satisfaction, helping others, increasing good will in the community, establishing trust, and giving back to society.

Research Team conducting a Focus Group Discussion

Research Team conducting a training of field staff

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Philanthropy Support ServicesPhilanthropy Support ServicesFacilitating Philanthropists and ImplementersFacilitating Philanthropists and Implementers

“The results of philanthropy are always beyond calculation”Miriam Beard

“The results of philanthropy are always beyond calculation”Miriam Beard

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Philanthropy Support Services (PSS) programme is Government, Grant makers and Civil Society and its specifically designed to facilitate linkages between mission of enhancing the volume and effectiveness grant makers and grant seekers for social of philanthropy. In line with its mandate, the PSS unit development in Pakistan. During 2013 PCP has also been providing technical facilitation to both continued to play an effective intermediary, local and international donors including mobilizing facilitative and supportive role towards its vision of funding for the natural disasters and crisis creating synergistic partnerships between situations.

Public Private Partnerships (3Ps) for Education

PCP has been facilitating Public Private Partnerships additional enrolments (both girls and boys), training (3Ps) for school improvement in rural communities the teachers and school supervisors, re-activating of Sindh since June 2003. Recently, PCP has the school management committees (SMCs), partnered with UKaid, from the Department for training the members of these SMCs for active International Development (DFID) to implement an involvement in the progress of adopted schools and innovative public private partnership education arranging for the supply of new education materials programme in the province of Sindh under 'Ilm Ideas' for students in adopted schools. Education Innovation Fund.

Strong contributions have been made by the civil The programme has been set to support achieving society in the under-privileged parts of Sindh and it the Millennium Development Goal for Education proved very supportive for the service delivery and (MDG-2) while focusing the marginalized execution of this partnership programme. communities and under-served areas of the Sindh Sensitization of the community has greatly province and work for the development of public contributed in mobilizing girl child enrolment primary and middle schools in partnership with amongst most difficult cultural and economic individual and corporate philanthropists and CSOs. realities in Deherki and the Katcha area of flood

zones in Ghotki which itself is unmatched example of Under this programme, just in 2013, the corporate extremely successful efforts by the programme donors have adopted 25 schools and provided sponsors and implementers.financial aid/assistance for these schools to help completing their missing facilities, making

Linking the government education outlets, corporate philanthropists and civil society organizations

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As the project comes to its close, 25 government schools have been adopted with an enrolment of 3,402 children. 2,005 Children have been provided with new education materials, 25 SMCs have been reactivated with 215 SMC members trained, 61 Teachers of the adopted schools have been trained and Infrastructural repair and maintenance interventions have been completed in the adopted schools, along with provision of missing facilities. PCP is pleased to report that under Ilm Ideas project, PCP has been successful in catalyzing corporate philanthropy for education worth at PKR 15 Million.

As the session moved forward, we saw people Although we had little (to no) reason to be scared volunteering themselves as supporters of the school for our own lives(because of the pre-gathered local in their village and they were showing willingness to support we do all in their power to work for betterment of education in their area. Although currently the school has no building of its own and is run under a chhaprha (shelter less) structure, they not only pledged to enroll all their children into the school, but also informed me of their plan to construct a proper building for their school.

It was such an elevating experience for us to witness that the community had already gathered some money, arranged bricks, sand and some other construction materials, and was now looking to write an application to the District Education Office and to

were carrying with us), yet it was truly a new the Engro Foundation (school adopter) to provide experience to be addressing an audience which had them with cement and roof-support materials. shown no respect towards law, society or even

religion at times due to their criminal behavior. Expressing his views, one of the elders of the area said, “We did not acquire ourselves with education As discussions progressed, we realized to our utter and have lived a life of ignorance, we do not wish our amazement, that those same outlaws were showing children to suffer the same and want them to interest in educating their young. Their newfound become doctors, engineers and officers who would feelings towards imparting education to their new live an honorable life and support their community generation showed an overwhelming zeal to get out as well”. of this miserable existence and give their children a

chance to live an honorable life, as proud citizens of the country.

Our PartnerslEngro FoundaionlNational Bank of PakistanlSPUD Energy Pty LimitedlArif Habib Corp. LimitedlThe Asia FoundationlGovernment of Sindh

Schools Adopted Children Benefitted Teachers Trained Community Members Trained

Million PKR Corporate Philanthropy

Programme Achievements

Story of our visit to Kachha Today, the 12th of June, 2013, our team visited a school named GPS Ali Akbar Chacharh located in a

By PCP TeamThe Katcha Area of district Ghotki is a small village in the Katcha Area. This school is one of riverine belt flanking river Indus and suffers heavy the eleven flood affected schools, supported by The devastation each time the Sindh province is hit with Engro Foundation. The purpose of my visit was to floods. The Katcha Area is also known as the FATA of conduct a number of field activities under the Public Sindh, since almost no government intervention/or Private Partnership signed between the Engro involvement exists in the area, which is a huge hurdle Foundation and PCP (under its 3Ps for education against any kind of socio-economic development for Programme – Ilm Ideas) for the adoption of these the people of this area. And the misery just doesn't schools. end here…

The Katcha Area has, since many decades, served as Engagement with the local community forms a a safe haven for terrorist, dacoits, kidnappers and major task among other activities conducted by PCP other outlaws due to its inaccessibility to the outer for each school, purpose being mobilization of the world. The marginalized community thus portrays a community for school support and enrollment of dismal image of poverty, neglect, crime and simply their children in the adopted schools. unawareness towards most things which could bring a positive change in their lives. What makes today's visit unique is the fact that while

conducting sessions with the community, we found ourself in the presence of at least 40-50 outlaws: individuals who were directly/indirectly involved in major crimes across Sindh and were currently in-hiding from the army, police and other law enforcement agencies. Almost 10-15 were those dacoits, kidnappers and criminals who have a 6 to 8 million bounties on their head, announced by the government.

Give2Asia

Give2Asia (G2A) was PCP has also been successful in securing a grant of founded in 2001 by US$ 12,500 from G2A for rehabilitation of The Asia Foundation earthquake victims in the Awaran district of to serve as a funding Baluchistan. This funding is being implemented channel for Diaspora through a project run by Family Planning Association philanthropy from of Pakistan - FPAP (a PCP certified CSO). PCP also the United States of conducted the due-diligence and proposal America to many evaluation of FPAP's project for this purpose. Asian countries. Give2Asia (G2A) and PCP have a history of collaboration since 2005. PCP helped G2A identify grantees and managed grants in the aftermath of earthquake in 2005.

PCP has recently signed a partnership agreement with G2A to help manage their regular grant making activities and take the lead role of G2A's grant facilitator in Pakistan. Under this partnership, PCP has been conducting the due-diligence and evaluation processes for its grantees in Pakistan.

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Global Giving

Global Giving is a US- certified CSOs on the Global Giving online portal – b a s e d , o n l i n e www.globalgiving.org.m a r k e t p l a c e f o r donors to support PCP encourages its certified CSOs to explore c r e d i b l e funding for their small projects through Global d e v e l o p m e n t Giving's online portal. Currently 21 projects of PCP projects around the certified CSOs are actively generating funds from world. PCP has a long the GG portal. A consolidated sum of US$ 203,013 h i s t o r y o f has been generated by PCP CCSOs for their projects, collaboration with Global Giving, starting right after out of which US$ 159,741 has been generated in the the 2005 earthquake. The role of PCP is to facilitate year 2013.and provide services as a project sponsor for its

International Centre for Non-profit Law (ICNL)

The partnership agreement between the PCP and ICNL was renewed till June 2014. Through this agreement PCP will continue to monitor NGO legal developments and will file Quarterly reports to ICNL, detailing those developments and recommending revisions to the country report and also ensuring the list of materials ICNL has compiled on Pakistan in its online library database is fully up to date. Under the partnership, two quarterly reports/updates have been sent to ICNL within the specified deadline. Next report is due in March, 2014.

CSOs' Certification ProgrammeCSOs' Certification Programme

Expanding Knowledge on Philanthropy as Social Investment.Expanding Knowledge on Philanthropy as Social Investment.

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Certification update and Milestones achieved:

PCP runs the first and the only NGO certification programme in Pakistan which was developed after a review of models in Asia, America and extensive consultations with stakeholders. The programme is the only independent NGO certification and standard benchmarking effort which is also recognized by the government. The PCP has been authorized as the only CSO Certification Agency in Pakistan.

The programme was launched in 2003 and successfully completed its 10 years in December 2013. Being a new concept of certification in the sector, the programme attained a gradual recognition. Today PCP has a databank of 306 Note: The map above shows the total Number (306 credible certified CSOs all over Pakistan. The CSOs) of PCP Certified Organisations' province wise certification programme aims at strengthening the presence in Pakistan as of December 31, 2013. non-profit sector in Pakistan by setting sector wide standards in Internal Governance, Financial Management and the Programme Delivery. The system seeks to promote financial disclosure, documentation, effective programme delivery and good governance in the CSOs. The programme has been instrumental in identifying credible partners for social development for the government, donors, the corporate sector, the diaspora, national and International philanthropists.

The benefits of certification for CSOs also include but are not limited to increased access to donors, indirect capacity building, institutional development, Note: The pie chart is the representation of Sector-

thfacilitation in availing tax exemption, enhanced wise breakup of Certified CSOs as of 30 September, credibility and promotion through the CSOs 2013. Analysis illustrate greater ratio of involvement directory-Gateway to Giving and the PCP website. of CSOs in health and education sectors. In 2013, eighty seven (87) CSOs have applied to PCP

Activities in 2013for Certification. The trend shows the programme is getting popular among the CSOs. During the year, the NGO Festival 2013 certification unit has managed to evaluate and To provide an opportunity to certified CSOs to exhibit present 140 cases to the Certification Panel which is their achievements and network with donors, the highest number of cases presented in a year ever. corporate, CSOs and government departments, PCP

thorganized an NGO Festival on 4 July, 2013. The Province wise presence of certified CSOs event was held at Attock Refinery Ltd. Complex

Rawalpindi where over 300 representatives from PCP certified CSOs are spread throughout the approximately 100 different Islamabad/Rawalpindi country. This includes both the urban and rural areas based CSO's, corporations and donors participated. of interior Sindh, Punjab, KPK, Balochistan, AJK and The Chief Guest for the event was Dr. Werner E. Gilgit-Baltistan. The pool of certified CSOs Liepach Country Director of Asian Development comprises all sizes of organizations from small Bank (ADB) who in his speech appreciated the role of community organizations to medium and large PCP and its partner organizations for the noble national level CSOs. These CSOs provide services in cause. all thematic areas including health, education, poverty, microfinance and environment.

PCP plans to organize similar NGO Festivals in other two sessions in October and December 2013. The cities as well. The next NGO Festival has been sessions were attended by Karachi based CSOs. Dr. planned for Lahore. Shams Qazi, Additional Commissioner, Federal

Board of Revenue (FBR), Karachi also addressed the Completion of CDP- Project audience and briefed them about the tax exemption

and benefits offered to the development sector. Mr. Community Development Programme (CDP) was an Malik Babur Javed, Programme Manager initiative of Government of Sindh to bring about Certification conducted both the sessions and gave improvements in the lives of ordinary people and an introduction of certification and the importance mitigate poverty. The programme is implemented in of the third party evaluation to the participant CSOs. partnership with Civil Society Organizations (CSOs) During the December session, Joint Registrar SECP based in Sindh. In 2012, the Government of Sindh in Karachi, Mr. Zia-ul -Rasheed Abbasi, also entered into an agreement with PCP to assess its participated in the session and apprised the poverty reduction initiative and to support the participants about registration of CSOs under the development activities undertaken by CSOs. PCP Companies Ordinance, 1984. evaluated performance of 39 Sindh based CSOs against a set of standardized parameters contained Roundtable on NPOs Regulations by SECP in the PCP Certification Model. The main focus of the project was to provide small and medium sized CSOs The Securities and Exchange Commission of system evaluation and strengthening opportunity. Pakistan (SECP) introduced comprehensive draft Detailed evaluation reports along with the regulations for NPOs registered under section 42 of recommendations for improvement were also the Companies Ordinance 1984 in April, 2013. To get provided to CSOs that could not meet certification the feedback of the stakeholders from major standards. The project was successfully completed stakeholders, SECP arranged roundtables in Lahore, in March, 2013. Karachi and Islamabad. On 3rd July, 2013, PCP

participated in the roundtable held in SECP head IOM- Capacity Building workshops office, Islamabad. Mr. Tanwir Ali Agha, the Executive

Director of PCP was invited to co-chair this event. PCP proposed to assist IOM in building the capacities PCP prepared a comprehensive feedback on the of thirty NGOs identified by IOM working in four proposed regulations and shared with SECP during districts of South Punjab by holding two capacity the session. Input on the proposed regulations was building workshops in District of Multan. PCP also received from the PCP Board Members, Mr. coordinated with identified NGOs for participating in Badaruddin F. Velani and Mr. Mahomed J. Jaffer the capacity building workshops. PCP developed while Dr. Shamsh-Kassim Lakha, the Chairman PCP training modules and related material to enable the Board of Directors also attended the roundtable in NGOs to pitch for development-based project grants Islamabad and shared his viewpoint. to the respective donor. The evaluation of selected NGOs was conducted as per the donor requirements Proposed legislation to regulate foreign as PCP designed a special evaluation tool to meet the contributions donor needs for the project. At the end of the To review the regulations of NGOs that receive funds evaluation, assessment reports were produced for from foreign sources and INGOs in Pakistan the the evaluated CSOs containing recommendations Economic Coordination Committee (ECC) formed a against major findings. The assessed organizations subcommittee headed by Mr. Zahid Hamid, Federal were ranked in accordance with the score they Minister for Science and Technology. The Committee obtained and given specific recommendations to deliberated on the proposed new legislation to improve their systems. The project was successfully regulate the foreign contributions. The Committee completed in July 2013. invited PCP as a local intermediary support

organization to participate in the deliberations. PCP Reaching out to Stakeholders has been involved in the process right from the

beginning and presented detailed analysis of both To orient the civil society organizations about the the Policy Framework for INGOs and legislation to certification system and its benefits, PCP jointly regulate foreign contributions. After the review of organized with Regional Tax Office (RTO) Karachi, the Foreign Contribution Act (FCA) 2014, PCP shared

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its comments with the ECC and SECP. A team of SECP Overall feedback is highly satisfying and visited PCP in February, 2014 for reviewing the encouraging for PCP. Interesting suggestions were, provisions of the FCA and they appreciated the to initiate annual best CSO awards for the high comments shared by PCP on the proposed FCA. scoring CSOs in each category. The study also

showed that larger portion of CSO applied for Best Social Worker Award to PCP Certified CSOs certification for the improvement in their

organizational systems. Recognizing the outstanding volunteer services in Pakistan, the National Council of Social Welfare PCP participation in HAP Conference (NCSW), Islamabad observed the International PCP Humanitarian Accountability Partnership Volunteer Day on 13th December 2013. The NCSW (HAP) gave away award to the best social workers for rendering exceptional humanitarian services in PCP participation in the Asia Community Pakistan. Philanthropy Peer Learning and Exchange, Shillong,

9-11, September 2013There Islamabad based PCP certified CSOs for their PCP participated in the Asia Community outstanding volunteer work also received the Philanthropy Peer Learning and Exchange, Shillong awards. Ms. Aisha Khan, CEO, Mountain & Glacier from 9 to 11 September, 2013. Mr. Naveed Yousaf Protection Organization (MGPO), Ms. Manizeh Bano, Butt, Senior Programme Officer represented PCP in CEO, SAHIL and Mr. Azhar Saleem, CEO, Human the meeting. The first day session deliberated in Development Foundation (HDF) received the awards detail the community philanthropy in Asia and latest for the Best Social Workers for their outstanding developments of fund mobilization and building of volunteer services observed especially in the time of support bases. Grant making strategies were natural disasters. These three organizations were reviewed as well. The second day of the meeting nominated for awards by the PCP. explored the methods of communications with the

world in terms of principles of effective AKRSP Tool for the Local Support Organizations communication. The participants identified

communication gaps and recommended best PCP has been in discussion with the Aga Khan Rural possible means to remove those gaps. PCP's Support Programme (AKRSP) for evaluation of their activities regarding community philanthropy were partner community organizations. PCP has had discussed with the participants of the event. several meetings with the AKRSP and RSPN representatives. After deliberations, a draft agreement proposing development of an evaluation tool for LSOs was shared with AKRSP. The AKRSP took other Rural Support Programmes such as PRSP, SRSP and BRSP on board who are also expected to participate in the tool development process. AKRSP and PCP entered into an agreement on 5th of August, 2103. The tool development work is underway and is expected to be completed by the mid of 2014.

Feedback Survey, highlights

The feedback from PCP certified CSOs on existing certification system is a regular feature to identify feeble areas in the process. The unit has conducted these surveys in the past as well on annual basis. The findings of the feedback survey 2013 are based on the responses from 98 certified CSOs out of the total 144 certified CSOs during the past five years.

Field Evaluation of a CSO, Karachi NGO Festival: Speakers

Field Evaluation of CSO, Karachi

Mr. Werner E. Leipach, Country Director, Asian Development Bank; Chief Guest of NGO festival

Mr. Tanvir Ali Agha, Executive Director, PCP addressing the participants of NGO Festival

FBR-PCP experience sharing exercise: During a CSO session on 7th October, 2013, Karachi

SECP-PCP consultative session with CSOs, December, 2013. Karachi.

Mr. Khan Faisal, Deputy Commissioner, Regional Tax Office, Rawalpindi.

Certification Team: Group photo after holding NGO festival

Participants of the Asian Community Philanthropy Meeting. Shillong, India. September, 2013

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Board Meetings’Attendance2013

Board Meetings’Attendance2013

Picture Gallery

Dr. Shamsh Kassim -Lakha H.I., S.I., Chairman

Mr. Tanwir Ali Agha, Executive Director, PCP

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Board Meeting Attendance 2013

Meetings Attendance Record

Total

Attended

Leave Granted

Names

S. No.

1

Dr. Shamsh Kassim -Lakha, H.I., S.I. Chairman, PCP Board of Directors

Former President AKU

4

4

-

2

Mr. Mueen Afzal, H.I. Former Secretary General, Finance & Economic Affairs Government of Pakistan

4 4 -

3 Syed Hyder AliMD & CEO, Packages Limited

4 0 4

4 Dr. Attiya Inayatullah

MNA, Former Federal Minister for Women Development, Special Education, Social Welfare & Population Welfare

4 1 3

5 Mr. Zafar A. Khan S.I.

Former CEO Engro Chemical &

Former Chairman PIA, PTCL, KSE 4

3

1

6 Mr. Mohsin Nathani

Chief Executive,

Standard Chartered Bank Pakistan 4

3

1

7Mr. Saeed Ahmad Qureshi

Former Deputy Chairman, Planning Commission, Government of Pakistan

4 2 2

8

Mr. Arshad Zuberi

Chief Executive

Daily Business Recorder

4

3

1

9

Dr. Adil Najam / Dr. Sohail H. Naqvi

Vice Chancellor

Lahore University of Management Sciences (LUMS)

4

1

3

10

Dr. Sania Nishtar

President,

HeartFile

4

2

2

11

Mr. Firoz Rasul

President

Aga Khan University

4

1

3

12

Mr. Badaruddin F. Vellani

Chairman

Aga Khan Foundation (Pakistan)

4

1

3

13

Mr. Arif Habib

President

Arif Habib Corporation Limited

4

3

1

14

Mr. Ahsan M. Saleem

Chief Executive Officer

Crescent Steel & Allied Products Limited

4

3

1

15

Mr. Omar Yaqoob Sheikh

Chairman/Managing Director, Board Meeting Attendance 2013

4

2

2

28

3029

Picture Gallery

Contributing to change our PeopleMr. Tanwir Ali AghaExecutive Director

Syed Mohammad Ahmad Senior Manager Finance & Administration Mr. Rashid RafiqSenior Officer Finance & Admin

Mr. Abdul Malik Nazir AlviFinance & Administration Officer

Mr. Javed IqbalSecretary to Executive Director

Ms. Shagufta MariamFront Desk & Office Assistant

Research Programme

Philanthropy Support Services

Ms. Kanwal QayyumSenior Programme Manager

Mr. Muhammad AshrafSenior Programme Officer

Dr. Maryam AshrafProgramme Officer

Ms. Sarah J. NasirJunior Programme Officer

Mr. Imran Q. KhanProgramme Manager

Mr. M. Mansoor SarwarSenior Programme Officer

Syed Sajjad Haider GilaniProgramme Officer

Ms. Lubna RaniProgramme Assistant

Certification Programme

Mr. Malik Babur JavedProgramme Manager

Mr. Naveed Yousaf Senior Programme Officer

Syed Ali Jafri Senior Programme Officer

Syed Mansoor SaeedProgramme Officer

Mr. Raja M. NaumanProgramme Officer

Ms. Basma AminJunior Programme Officer

Ms. Ummarah JavedJunior Programme Officer

Mr. Sajjad HaiderProgramme Assistant

PCP’s Management

A Group Photo of PCP Board Members and Corporate Philanthropy Award Winners

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Contributing to change

Our PartnersContributors: Abdullah Foundation; Arif Habib Corporation Limited; Asiatic Group of Companies; AJANEE Tours; Babar Ali Foundation; Crescent Steel & Allied Products; Dawood Hercules Chemicals Ltd.; DESCON; EFU General Insurance Ltd.; Engro Corporation Limited; Shell Pakistan Limited; The Fancy Foundation; Gam Corporation; Gul Ahmed Textiles; Highnoon Laboratories; ICI Pakistan; International Industries; Javed Omer Vohra & Company; Karam Ceramics; Lucky Cement; Younus Brothers; Malik Auto & Agriculture Industries; Merck Marker; Mumtaz Bakhtawar Memorial Trust Hospital; Muslim Commercial Bank; World Call Telecom; GlaxoSmithKline; Soneri Bank; Packages Limited; Pakistan Cables; Rupali Polyester; Telebiz Television Business Production; Mahvash & Jahangir Siddiqui Foundation; Mr. Shaukat Tarin; Panjwani Trust and Foundation; New Jubilee Insurance; Pak Arab Fertilizers; Pakistan Petroleum Limited; JAAG Broadcasting Systems Private Limited; Silk Bank; Sapphire Group; Standard Chartered Bank; Govt. of Pakistan.

Government: Federal Board of Revenue; Economics Affairs Division; Ministry of Finance; Provincial Social Welfare Departments; Provincial Department of Education, Sindh; Planning Commission; Provincial P&D

Networking: ActionAid; Allavida; Asia Pecific Philanthropy Consortium; AUSAID; Centre for Philanthropy; Charities Aid Foundation; CIVICUS; Credibility Alliance, India; CSRC; FAO; Happy Hearts Foundation (Petra Nemcov's); Give2Asia; GlobalGiving; Global Philanthropy Forum; One World Trust's Council for NGO Certification; PILDAT; UNAIDS;WINGS Network; World Bank; World Population Fund; WWF; National Devolution Trust for Citizen's Empowerment; FPAP; Insaan Foundation; NCHD; PTC; World Congress of Muslim Philanthropists, International Centre for Non-profit Law (ICNL)

Media: Aaj TV APR Business Recorder; CNBC; Farhan Bokhari; FM 100; Geo News; The Nation; Nawa-e-waqt; PTV Global; PBC;

Donors: International Organization for Migration (IOM); UKaid – Ilm Ideas through DAI; Foundation Open Society Institute (FOSI); Community Development Program, Govt. of Sindh; AKF(P) / AKDN; Asian Development Bank; ONEUN-Program on Environment; The World Bank; Social Welfare Department, Govt. of the Punjab; UNDP; AKRSP; ESRA / USAID; European Commission; Government of Pakistan.

Financial Statements

Financial Statements

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3635

37 38

39 40

41 42

43 44

45 46

47 48

49 50

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