IslamicReliefUSA_Annual_Report_2002

Islamic Relief USA 2002 Annual Report

A Celebration of

HopeA Celebration of

Hope

t a b l e o f c o n t e n t s

L e t t e r t o O u r S u p p o r t e r s . . . . . . . . . . . . 2

M i s s i o n / 2 0 0 2 R e v i e w . . . . . . . . . . . . . .3

F o c u s : P a l e s t i n e . . . . . . . . . . . . . . . . . . .4

F o c u s : A f g h a n i s t a n . . . . . . . . . . . . . . . .5

F o c u s : C h e c h n y a & I n g u s h e t i a . . . . . . . .6

F o c u s : P a k i s t a n ( K a s h m i r p r o j e c t s ) . . . . 7

P r o j e c t S u m m a r i e s : A f r i c a . . . . . . . . . . .8

P r o j e c t S u m m a r i e s : A s i a . . . . . . . . . . . .9

P r o j e c t S u m m a r i e s : E a s t e r n E u r o p e . . . 1 0

R a m a d a n P r o j e c t s . . . . . . . . . . . . . . . . . 1 1

U d h i y a h / Q u r b a n i P r o j e c t s . . . . . . . . . . 1 2

O r p h a n P r o j e c t s . . . . . . . . . . . . . . . . . . 1 3

D o m e s t i c P r o j e c t s . . . . . . . . . . . . . . . . . 1 4

W a q f P r o j e c t s . . . . . . . . . . . . . . . . . . . .1 5

M a n a g e m e n t R e p o r t . . . . . . . . . . . . . . . 1 6

L e t t e r f r o m I n d e p e n d e n t A u d i t o r s . . . . . 1 7

S t a t e m e n t o f F i n a n c i a l P o s i t i o n . . . . . . 1 8

S t a t e m e n t o f A c t i v i t i e s . . . . . . . . . . . . . 1 9

S t a t e m e n t o f C a s h F l o w s . . . . . . . . . . . . 2 0

Islamic Relief USA is a member of the global Islamic Relief Worldwide family.Islamic Relief Worldwide is an international relief and development organization,dedicated to alleviating the suffering of the world's poorest people. Islamic ReliefWorldwide has full-time offices in 25 countries and provides assistance in over 30countries worldwide.

Islamic Relief Worldwide is a member of the U.N. Economic and Social Council(special category), and is a signatory to the Code of Conduct for the InternationalRed Cross and Red Crescent Movement and NGOs in Disaster Relief. It is commit-ted to implementing the Code of Best Practice in the Management and Support ofAid, as stated by "People In Aid." Islamic Relief Worldwide always aims to meetU.N. standards in all of the projects it implements.

p a g e

Yo u n g C h e c h e n b o y



a m e s s a g e t o o u r s u p p o r t e r s

I s l a m i c R e l i e f f l a g o v e r o f f i c e i n N a z r a n , I n g u s h e t i a

1 0 y e a r s s t r o n g i n t h e U . S .

A s - S a l a m u ‘ A l a y k u m w a R a h m a t u l l a h ( M a y p e a c e , a n d G o d ’ s m e r c y b e u p o n y o u )

T h e l a s t t e n y e a r s o f I s l a m i c R e l i e f U S A ’ s w o r k h a s d e m o n s t r a t e d a f i r m a n dr e s i l i e n t p a r t n e r s h i p a m o n g o u r d o n o r s a n d s u p p o r t e r s h e r e i n t h e U n i t e d S t a t e sa n d o u r b e n e f i c i a r i e s a b r o a d .

I n m a n y c a s e s , w e a r e t h e o n l y a d v o c a t e s f o r p e o p l e i n n e e d i n s e v e r a l c o u n t r i e sa r o u n d t h e w o r l d . O u r p a r t n e r s h i p i g n o r e s g e o g r a p h i c a l b o u n d a r i e s a n d e t h n i ca f f i l i a t i o n s . W e i n s i s t t h a t n o c h i l d s h o u l d s l e e p h u n g r y , t h a t n o w i d o w s h o u l ds u f f e r h a r d s h i p , a n d t h a t n o f a m i l y s h o u l d l i v e w i t h o u t t h e “ l u x u r i e s ” o f c l e a nw a t e r , c l o t h i n g , a n d h e a l t h c a r e .

W e s i n c e r e l y t h a n k y o u f o r y o u r d e c a d e o f u n f a l t e r i n g d e d i c a t i o n t o I s l a m i cR e l i e f ’ s w o r k a n d c o u n t o n y o u r c o n t i n u e d s u p p o r t f o r o u r o r g a n i z a t i o n a n d f o ry o u r p a r t n e r s a b r o a d .

J a z a k u m A l l a h u k h a y r a n ( M a y G o d r e w a r d y o u r g o o d n e s s w i t h H i s g o o d n e s s )

A h m a d E l B e n d a r yP r e s i d e n t

o u r m i s s i o n

I s l a m i c R e l i e f s t r i v e s t o a l l e v i a t e s u f f e r i n g , h u n g e r , i l l i t e r a c y , a n d d i s e a s e s w o r l d w i d er e g a r d l e s s o f c o l o r , r a c e , o r c r e e d , a n d t o p r o v i d e a i d i n a c o m p a s s i o n a t e a n d d i g n i -f i e d m a n n e r . I s l a m i c R e l i e f a i m s t o p r o v i d e r a p i d r e l i e f i n t h e e v e n t o f h u m a n a n dn a t u r a l d i s a s t e r s a n d t o e s t a b l i s h l o c a l d e v e l o p m e n t p r o j e c t s t o e r a d i c a t e p o v e r t y ,i l l i t e r a c y , a n d d i s e a s e s .

“”

2 0 0 2 h i g h l i g h t s

A review of Islamic Relief Worldwide’s projects in 2002:

E d u c a t i o n & T r a i n i n g P r o j e c t s(Afghanistan, Albania, Bosnia, Mali, Palestine)

Total Beneficiaries: 68,732

W a t e r & S a n i t a t i o n P r o j e c t s(Albania, Mali, Pakistan)


I n c o m e G e n e r a t i o n P r o j e c t s(Albania, Bangladesh, Bosnia, Kosova, Pakistan, Palestine)


H e a l t h & N u t r i t i o n P r o j e c t s(Afghanistan, Bangladesh, Chechnya, Egypt, Kosova, Pakistan)


E m e r g e n c y R e l i e f P r o j e c t s(Afghanistan, Chechnya, Congo, Palestine)


O r p h a n P r o j e c t s(Albania, Bangladesh, Bosnia, India, Jordan,

Kenya, Mali, Pakistan, Palestine, Sudan)Total Beneficiaries: 10,047

R a m a d a n P r o j e c t s(Afghanistan, Albania, Bangladesh, Bosnia, Chechnya, China, Egypt, India, Indonesia, Iraq, Jordan, Kashmir,

Kosova, Lebanon, Macedonia, Mali, Pakistan, Palestine, Somalia, Sudan, Yemen)


U d h i y a h / Q u r b a n i P r o j e c t s(Afghanistan, Albania, Bangladesh, Bosnia, Chechnya, Egypt, India, Indonesia, Iraq, Kashmir, Kosova, Mali,

Pakistan, Somalia, Sudan, Yemen)Total Beneficiaries: 1,059,023

Yo u n g C h e c h e ng i r l i n I s l a m i cR e l i e f s u p p o r t e dr e f u g e e c a m p

Yo u n g b o y i n I r a q


C h i l d r e n i n ar e f u g e e c a m p i nA f g h a n i s t a n

c o u n t r y f o c u s p a l e s t i n e

e d u c a t i o nDeir A l BalahEducat ional Enhancement Center

Expanding the capacity of a local educational institute totake on additional students

Jabal ia & Maghazi Educat ion Enhancement Center

Helping enhance the educational level of students in theJabalia Refugee Camp

Expansion of A l Azhar Inst i tute

Building of an additional teaching floor to educational insti-tute in Khan Younis

School Bags for Needy Chi ldren

Providing fully-equipped school bags to 20,000 needy children

Rafah Educat ional EnhancementCenter

Establishment of recreational and educational enhance-ment center in the Rafah Refugee Camp

e m e r g e n c yFood Distr ibut ionDistribution of food packets in the Gaza Strip andWest Bank

wa t e r a n d s a n i t a t i o nMaintenance of Aya Water Wel lUpgrade of the water system and Aya Water Well in theKhan Younis refugee camp

m i c r o c r e d i tGaza Smal l Bus iness Loan ProgramAssistance to small, struggling businesses in Gaza

h e a l t hMedical and Nutr i t ional Ass istancefor Malnour ished Chi ldrenProviding malnourished children with supplementary andtherapeutic food and medical care

Total Is lamic Rel ief Wor ldwideBenef ic iar ies in Palest ine:

376,698

Islamic Rel ief Worldwide opened apermanent of f ice in Palest ine in1998 in response to deter iorat ing

humanitar ian condit ions. S inceSeptember 2000, Palest inians haveendured dai ly incidents of v io lenceresult ing in hunger , devastat ion, anddeath. This cr is is has le f t tens of thou-sands of Palest inians in the West Bankand Gaza e i ther ser iously wounded ordead. Federal ly mandated c losures havedisabled organizat ions from del iver ing

aid, further isolat ing dest i tutePalest inians. Poverty and unemploymenthave increased dramatical ly , leavingrecord numbers of Palest inians suf fer ingfrom lack of food and being deprived ofbasic educat ion. Is lamic Rel iefWorldwide implements a wide array ofprojects in Palest ine to help a l leviatetheir suf fer ing.

I s l a m i c R e l i e f f o o d d i s t r i b u t i o n p a c k e t s i n Pa l e s t i n e

I s l a m i c R e l i e f b e n e f i c i a r y i n Pa l e s t i n e

Educat iona lEnhancement Cent e rin Dei r Al Balah


Total Is lamic Rel ief USA a l locat ion to projects in Palest ine:

$2,500,709

c o u n t r y f o c u s a f g h a n i s t a n

Two wars, earthquakes and a severe drought and famine prompt-ed the United Nations to declare Afghanistan “the world’s great-est humanitarian disaster.” Islamic Relief Worldwide, which had

been aiding the Afghans for many years, immediately responded to thedrought in 2001 with an emergency relief program.

Later in 2001, the Afghans faced yet another crisis: the aftermath ofSeptember 11th. Islamic Relief Worldwide’s staff in Afghanistan weresorely tested by the bombing campaign, yet when offered the opportu-nity to leave, they unanimously voted to stay. They could not leaveknowing that other aid agencies would leave, and the needs of theAfghans would become even greater. Their dedication earned themgreat respect and praise from the global relief community and promisesa successful tenure of humanitarian efforts in Afghanistan.

Islamic Relief Worldwide now has a permanent presence inAfghanistan, operating a variety of relief and development projects tohelp the Afghans rebuild their shattered lives and give them hope of abrighter future.

e d u c a t i o nReconstruct ion of Teachers Tra in ing High School

Repairing and reconstructing high school, benefiting thousands of teachers andstudents in southwestern Afghanistan

Rehabi l i tat ion of Pr imary Educat ion

Rehabilitating of the primary education infrastructure of Kandahar City and suburb areas

d e v e l o p m e n tKandahar Women’s Bakery Project

Setting up independent womens’ bakeries, allowing widowed families to gainaccess to a sustainable form of income

Assist ing Vulnerable Chi ldren in Kabul

Improving the economic background of Afghan street working children in Kabuland helping prevent them from doing futile and dangerous work

e m e r g e n c yEarthquake Rel ief

Assisting earthquake victims with emergency relief and shelter

R e f u g e e c h i l d r e n i nA f g h a n i s t a n

Total Is lamic Rel ief Wor ldwide Benef ic iar ies in Afghanistan:

106,390

B e n e f i c i a r i e s o fI s l a m i c R e l i e f ’s f o o dd i s t r i b u t i o n p r o g r a mi n A f g h a n i s t a n


Total Is lamic Rel ief USA a l locat ion to projects in Afghanistan:

$935,794


c o u n t r y f o c u s

c h e c h n y a& i n g u s h e t i a

Islamic Rel ief has been operat ing in the NorthernCaucasus in the Russian Federat ion s ince 1995, del iver inghumanitar ian a id to v ict ims of the mil i tary conf l ic t in

Chechnya. In October 1999, host i l i t ies erupted anew inChechnya, and thousands of Chechens were forced to f leeacross the border of the neighboring republ ic of Ingushet ia .Is lamic Rel ief Worldwide was one of the f i rst a id agencies torespond to the needs of the displaced Chechens.

Consequent ly , many Chechens were exposed to extremely di f f icul t l iv ing condit ions. St i l l unable to return home, theynow l ive in spontaneous sett lements , specia l ly designatedcamps, or with Ingush host famil ies . Many lack basic foodsuppl ies , medicat ion, potable water and proper sanitat ion.There are , however , a number of Chechens who have decidedto remain in Chechnya despite the s i tuat ion, hoping that thecr is is wi l l soon end. Their l iv ing condit ions are just as desperate as those of their compatr iots who have been displaced across the region.

Is lamic Rel ief Worldwide operates projects , within Chechnyaand in the Chechen refugee camps in neighboring Ingushet ia .The Chechen Rel ief Program is one of Is lamic Rel ief ’ s largestprojects to date . In addit ion to maintaining refugee camps inIngushet ia (which includes provis ion of c lean water , food,etc . ) , Is lamic Rel ief Worldwide operates three 24-hour med-ical c l inics . Each c l inic has 5 consult ing rooms, 1 proceduralroom, a boi ler-house and 2 at tached ambulances . The c l inicsare a lso equipped with medical suppl ies , and a ful l - t imestaf f .

e m e r g e n c yChechen Rel ief Program

Comprehensive program, providing clean water, healthcare, shelter, and more to displaced Chechens

IR/WFP Food Distr ibut ion in Chechnya and Ingushet ia

Joint program with the United Nations’ World Food Program, providing regular food distribution inside Chechnya and in the neighboring refugee camps

C h e c h e n b o y r e c e i v i n g f o o d p a c k i n S p u t n i k R e f u g e e C a m p i n I n g u s h e t i a

I s l a m i c R e l i e f c o n v o y o n i t s w a y t o I n g u s h e t i a ,a s p a r t o f t h e C h e c h e n R e l i e f P r o g r a m

Total Is lamic Rel ief Wor ldwideBenef ic iar ies in Chechnya:

101,494

Total Is lamic Rel ief USA a l locat ion to projects in Chechnya:

$646,714


c o u n t r y f o c u s p a k i s t a n ( k a s h m i r p r o j e c t s )

I s l a m i c R e l i e fw a t e r p r o j e c t i nN e e l a m Va l l e y

The ongoing conf l ic t in Kashmir has af fected over 12 mil l ion people on both s ides of the Jammu & Kashmirdivide. Neelum Val ley is one of the worst af fected areas

along the border , where an est imated 75,000 people have f ledtheir homes.

The majori ty of the displaced famil ies have loaded their fewpossess ions onto carts and f led the f ight ing by moving inwith fr iends or re lat ives . Around 25% of the displaced famil ies who could af ford the cost have moved toMuzaffarabad, Azad Jammu & Kashmir or Rawalpindi ,Pakistan. Many Kashmiris have been refugees in their ownland s ince 1989.

Is lamic Rel ief has been working in Neelum Val ley s ince 1998,helping those af fected by the ongoing conf l ic t . In addit ion todel iver ing medic ine and equipment to emergency medicalcenters , Is lamic Rel ief has provided displaced people withshelter and primary medical care .

Is lamic Rel ief Worldwide is the only Internat ional NGObased in Azad Jammu & Kashmir . Our local of f ice inMuzaffarabad, AJK coordinates re l ie f programs in Tehsi lAthmuqam and Neelum Val ley .

wa t e r a n d s a n i t a t i o nKashmir Community Water and Sanitat ion Program

Helps create sustainable improvement in health and well being and improves access toclean drinking water to the people of Neelum Valley

e m e r g e n c yNeelum Val ley Emergency Preparedness P lan

Develops the capacity of the people of Neelum Valley to cope with their situation, andminimize casualties due to firing along the Line of Control

d e v e l o p m e n tNeelum Val ley Susta inable L ive l ihood Program

Aims to provide training to Neelum Valley communities, enabling them to adopt sustainable income-generating activities

Total Is lamic Rel ief Wor ldwide Benef ic iar ies in Kashmir:

19,985

I s l a m i c R e l i e fb e n e f i c i a r y i nA z a d Ja m m ua n d K a s h m i r

Total Is lamic Rel ief USA a l locat ion to projects in Kashmir:

$91,054


a f r i c a

Yo u n g b o y i n M a l a w i , wh e r e I s l a m i cR e l i e f i m p l e m e n t e d a m u c h - n e e d e df o o d d i s t r i b u t i o n p r o g r a m

Imminent famine and mass starvat ion are threatening mil l ionsof people across Afr ica . According

to the World Food Program, 39 mil l ionpeople in 19 countr ies are current lyfacing ser ious food shortages .

In addit ion to i ts permanent locat ionsin Sudan and Mal i , Is lamic Rel iefWorldwide has fostered re lat ionshipswith local partners in Somal ia , Kenya,and Malawi . In October 2002, Is lamicRel ief ini t iated an agr icul tural recov-ery project , which is helping over3,000 farmers by providing seeds andfert i l izers and construct ing irr igat ionwel ls in as many as 10 v i l lages .

In Kenya, the construct ion of a 15 ,000cubic meter reservoir was completed inSeptember 2002. This project wi l l pro-vide water to help 5 ,000 people andtheir l ivestock for up to 9 months fo l-lowing annual ra ins in the remote v i l -lage of Ol la in Mandera.

Yo u n g g i r l i n S u d a n , wh e r e I s l a m i cR e l i e f Wo r l d w i d e h a s w o r k e d s i n c e1 9 8 4

Total Is lamicRel ief Wor ldwideBenef ic iar ies in

Afr ica:83,207

G r o u p o f c h i l d r e n i n M a l i

m a l a w iTota l Is lamic Rel ief USA contr ibut ion to projects in Malawi:$37,682

e m e r g e n c yFood Cr is is

m a l iTota l Is lamic Rel ief USA contr ibut ion to projects in Mal i :$63,238

wa t e r a n d s a n i t a t i o nNorth and South Water Project

e g y p tTota l Is lamic Rel ief USA contr ibut ion to projects in Egypt:$61,878

h e a l t hEar ly Intervent ion Center forDisabled Chi ldren

s u d a nTota l Is lamic Rel ief USA contr ibut ion toprojects in Sudan:$53,519

wa t e r a n d s a n i t a t i o nNorth Kordofan Water Project

a s i aI

slamic Rel ief immediate lyresponded to the devastat ingf loods that s truck China last

year . Parts of Shaanxi , northChina, were f looded with 19.5inches of ra in, t r igger ing mudsl ides and landsl ides thatcovered roads and rai lways. Morethan 300 towns and vi l lages wereaf fected in the province and83,000 homes were damaged.Is lamic Rel ief Worldwide recon-structed homes in China, helpinghundreds of people rebui ld theirl ives .

Is lamic Rel ief Worldwide ’s projects in Asia are vast , coveringa wide array of projects includingemergency, water and sanitat ion,heal th, and educat ion.

M o t h e r a n d c h i l d h e a l t h p r o j e c t i n B a n g l a d e s h

O r p h a n e d b o y i n Pa k i s t a n

I s l a m i c R e l i e f r e p r e s e n t a t i v e i n C h i n a

Wa t e r p r o j e c t i n B a n g l a d e s h

c h i n aTota l Is lamic Rel ief USA contr ibut ion to projects in China:$28,041

e m e r g e n c yReconstruct ion of Homes

b a n g l a d e s hTota l Is lamic Rel ief USA contr ibut ion to projects in Bangladesh:$53,339

e m e r g e n c yEmergency Preparedness

h e a l t hMother and Chi ld Health Projects

e d u c a t i o nVocat ional Tra in ing and Employment Support Serv ices

p a k i s t a nTota l Is lamic Rel ief USA contr ibut ion to projects in Pak istan:$82,986

wa t e r a n d s a n i t a t i o nBaluchistan Water and Sanitat ion

e m e r g e n c yBaluchistan Drought Rel ief

e d u c a t i o nGrant to Is lamic Univers i tyin Is lamabad

Total Is lamic Rel ief Wor ldwide Benef ic iar ies in Bangladesh,

China, and Pakistan:172,235



e a s t e r n e u r o p e

I s l a m i c R e l i e f s p o n s o r e d o r p h a n i n A l b a n i a I s l a m i c R e l i e f b e n e f i c i a r y i n K o s o v a

k o s o v aTota l Is lamic Rel ief USA contr ibut ion to projects in Kosova:$57,517

d e ve l o p m e n tWidow and Orphan Welfare

m i c r o c r e d i tKosova Microcredit Project

b o s n i ad e ve l o p m e n tMinor i ty Return and Reintegrat ion

Tota l Is lamic Rel ief USA contr ibut ion to projects in Bosnia:$26,749

t u r k e yTota l Is lamic Rel ief USA contr ibut ion to projects in Turkey:$27,603

e d u c a t i o nTabosan Yazl ik School (Educat ion and Vocat ional Tra in ing)

a l b a n i aTota l Is lamic Rel ief USA contr ibut ion to projects in A lbania:$46,645

e m e r g e n c yEmergency F lood Rel ief

e d u c a t i o nHajj i Shamia School

d e ve l o p m e n tCommunity Tra in ing Center ,Pogradec

Commmunity Tra in ing Center ,Shkodre

wa t e r a n d s a n i t a t i o nAlbania Water and Sanitat ion

Eastern Europe has been the s i te ofsome of the worst genocide, v io-lence, and displacement in recent

years . In 1996, Bosnia emerged fromthree years of b loody ethnic war .Widespread atroci t ies were committedduring the war and an est imated 250,000people were ki l led. Over one mil l ion peo-ple were internal ly displaced and a lmost1 .5 mil l ion people f led the country . Waralso erupted in Kosova in 1999, sendingalmost 1 mi l l ion people f lee ing across theborders .

Is lamic Rel ief was instrumental in a idingBosnian and Kosovar refugees with imme-diate re l ie f , as wel l as long-term develop-ment projects to help them rebui ld theirl ives and give them hope for a br ighterfuture.

Total Is lamic Rel ief Wor ldwide Benef ic iar ies in A lbania , Bosnia , Kosova, and Turkey:

22,766

G r o u p o f B o s n i a n c h i l d r e nI s l a m i c R e l i e f b e n e f i c i a r y i n K o s o v a


r a m a d a n p r o j e c t s

I s l a m i c R e l i e f b e n e f i c i a r y i n I n d o n e s i a( R a m a d a n Fo o d D i s t r i b u t i o n )

C o n t e n t s o f I s l a m i c R e l i e f Wo r l d w i d e R a m a d a n f o o d p a c k i n L e b a n o n

Ramadan is the ninth month in theIs lamic lunar calendar . I t i s themonth in which Musl ims a l l over the

world fast f rom dawn unti l dusk for theent ire month. For many Musl im famil ies , i tis d i f f icul t to provide suhur (meal beforesunrise to begin the fast) , and i f tar (mealto break the fast at dusk) , as many of themlive in poverty and despair .

Through our var ious Ramadan projects ,Is lamic Rel ief enables thousands of famil ies to ce lebrate this joyous t ime ofthe year . In addit ion to i ts Ramadan food

distr ibut ion program, Is lamic Rel iefWorldwide a lso implemented other projectsduring the month, including distr ibut ion ofzakah (chari ty) , zakat a l - f i tr (a lms col lect-ed in Ramadan), sadaqah jar iyah (continu-ous chari ty) , Eid g i f ts ( to ce lebrate the endof Ramadan), and more.

In 2002, Is lamic Rel ief Worldwide distr ibuted a id in Ramadan to benef ic iar iesin 21 countr ies worldwide.

r a m a d a nCountr ies with Is lamic Rel iefWorldwide Ramadan projectsAfghanistan, A lbania , Bangladesh,Bosnia , Chechnya, China, Egypt ,India , Indonesia , Iraq, Jordan,Kashmir , Kosova, Lebanon,Macedonia , Mal i , Pakistan, Palest ine,Somal ia , Sudan, Yemen.

Tota l Is lamic Rel ief USA contr ibut ion to projects:$126,832

Total Is lamic Rel ief Wor ldwide Ramadan Projects Benef ic iar ies:

529,866

I s l a m i c R e l i e fR a m a d a nFo o dD i s t r i b u t i o ni n S u d a n


u d h i y a h / q u r b a n i U

dhiyah / Qurbani is a religious practice per-formed at the time of Eid al-Adha involving thesacrifice of an animal. This holiday commemo-

rates the willingness of Prophet Ibrahim (may God'speace and blessings rest upon him) to sacrifice his sonin willful obedience of God's command.

Eid al-Adha is a day of celebration and remembrance ofGod. Not all of us, however, are in a position to enjoythis day, so it is the duty of the more fortunate amongstus to help those less fortunate. Islamic Relief uses themeat of the animals sacrificed to feed hungry peopleacross the world (many of whom only eat meat duringthis time of the year).

Islamic Relief Worldwide offered Udhiyah/Qurbani in17 countries worldwide in 2002, allowing people to bothfulfill their religious obligation, and at the same time,help feed needy.

I s l a m i c R e l i e f Q u r b a n i / U d h i y a h d i s t r i b u t i o n i n A l b a n i a i n 2 0 0 2

u d h i ya h / q u r b a n iCountr ies with Is lamic Rel ief Wor ldwideQurbani/Udhiyah projects: Afghanistan, A lbania , Bangladesh, Bosnia ,Chechnya, Egypt , India , Indonesia , Iraq,Kashmir , Kosova, Mal i , Pakistan, Palest ine,Somal ia , Sudan, Yemen.

Tota l Is lamic Rel ief USA contr ibut ion to projects: $262,450

NOTE: Qurbani meat for Afghanistan, Bosnia , Kosova, and

Palest ine are d istr ibuted f rom meat canned in New Zealand.

Tota l Is lamic Rel ief Wor ldwide Udhiyah / Qurbani* Projects Benef ic iar ies:

1 ,059,023

*these f igures inc lude Aqiqah d istr ibut ions as wel l

(“Aqiqah” is an Islamic tradition celebrating the birth of a newbornbaby. Similar to Udhiyah/Qurbani, an animal is sacrificed, and Islamic

Relief distributes the meat of the sacrificed animal to the needy.)

D i s t r i b u t i o n o f U d h i y a h / Q u r b a n i m e a t t o a C h e c h e n r e f u g e e ( A l i n a C a m p , I n g u s h e t i a )


o r p h a n p r o j e c t s

I s l a m i c R e l i e f s p o n s o r e d o r p h a n i n M a l i

k e n y aTota l Is lamic Rel ief USA a l locat ion:$5,124

m a l iTota l Is lamic Rel ief USA a l locat ion:$19,812

p a k i s t a nTota l Is lamic Rel ief USA a l locat ion:$34,663

p a l e s t i n eTota l Is lamic Rel ief USA a l locat ion: $93,968

s u d a nTota l Is lamic Rel ief USA a l locat ion: $10,347

o n e - t o - o n e o r p h a n s p o n s o r s h i pa l b a n i aTota l Is lamic Rel ief USA a l locat ion:$10,871

b a n g l a d e s hTota l Is lamic Rel ief USA a l locat ion: $19,796

b o s n i aTota l Is lamic Rel ief USA a l locat ion: $15,634

i n d i aTota l Is lamic Rel ief USA a l locat ion: $8,990

j o r d a nTota l Is lamic Rel ief USA a l locat ion: $556

o n e - t o - o n e s p o n s o r s h i pTota l Is lamic Rel ief USA contr ibut ion to projects:$219,761

The orphans in Is lamic Rel ief ' s care l ive in more than ten countr ies . Wecontinuously encourage the sponsorship of orphans, the reward for which,

according to Prophet Muhammad, wi l l be his own companionship in Paradise(may God's peace and mercy be with him).

Aside from individual sponsorships , Is lamic Rel ief has a lso implemented a GeneralOrphan Fund to ass ist orphans throughout the world. The Orphan General Fundprovides di f ferent projects for orphans, even in countr ies without a one-to-onesponsorship program. The fund has been used to support projects such as the widows’ micro-credit program, bui lding orphanages, and bui lding homes fororphans and their famil ies .

Is lamic Rel ief ’ s orphan support projects a im to provide basic necess i t ies toorphans, improve their heal th and nutr i t ion, implement projects within the community , and support orphans educat ional ly , socia l ly , and moral ly .

Total Is lamic Rel ief Wor ldwide Orphan Projects Benef ic iar ies:

10,047

I s lamic Re l i e f EidGi f t Dis t r ibut ionin Albania

o r p h a n g e n e r a l f u n dTota l Is lamic Rel ief USA contr ibut ion to projects:$393,665


d o m e s t i c p r o j e c t s

Yo u n g p a t i e n t s i n t h e l o b b y o f t h e U M M A Fr e e C l i n i c

There are many Americansl iv ing in poor , under-served communit ies who

are of ten neglected. Is lamicRel ief USA helps address someof these concerns by sponsor-ing a var iety of d i f ferent programs to help needy peoplehere at home.

One of the projects that Is lamicRel ief supports domest ical ly isthe UMMA Free Cl inic . Locatedin the heart of South CentralLos Angeles , the c l inic servesan impoverished and cultural lyr ich pat ient populat ion: 51%and 43% of whom are Lat inoand Afr ican-American, respec-t ive ly . The c l inic serves theworking poor (who are e i theruninsured or do not qual i fy forMedi-Cal) , the unemployed,and the homeless . I t i s one ofthe poorest and most medical lyunderserved areas of SouthernCal i fornia . The ILM Foundation’s “EatRight to Think Right Free Food

Distr ibut ion Program” isanother project sponsored byIs lamic Rel ief . The ILMFoundation, a Los Angeles-based grassroots organizat ion,operates many programs for theunderserved communit ies inLos Angeles , inc luding the fooddistr ibut ion program. Is lamicRel ief i s proud to sponsor theprogram, which feeds 650 peo-ple each month (450 homelessand 150 in the Jef ferson ParkCommunity Feeding) . In addi-t ion, 2 ,500 needy people arefed during the month ofRamadan. Approximately10,000 people are fed throughthe program annual ly .

Is lamic Rel ief a lso sponsorsmany other community proj-ects , inc luding toy dr ives forneedy chi ldren, heal th fa irs ,and grants to local organiza-t ions.

e d u c a t i o nTota l Is lamic Rel ief USA a l locat ion $140,265

c o m m u n i t y d e v e l o p m e n t Tota l Is lamic Rel ief USA a l locat ion $407,122

h e a l t hTota l Is lamic Rel ief USA a l locat ion $17,606

z a k a t , r e l i e f, a n d h o m e l e s s f e e d i n gTota l Is lamic Rel ief USA a l locat ion $72,408

e m e r g e n c y p r o j e c t sTota l Is lamic Rel ief USA a l locat ion $217,403

Total Is lamic Rel ief USA a l locat ion to domest ic projects:

$854,804


w a q f p r o j e c t sI

slamic Rel ief operates several waqf (“endowment” or “char-i table trust”) projects across the g lobe. In the program, agi f t can be invested to generate cont inuous benef i t for both

the benef ic iar ies , and the donor. Waqf is considered a nobleact in Is lam; one of the reasons for this is because the donatedgi f t helps people even af ter the donor passes on.

In reviv ing the Is lamic tradit ion of of waqf , Is lamic Rel ief hasbenef i ted people in the ares of educat ion, heal thcare , waterand sanitat ion, and income generat ion. With the vast majori tyof donat ions a l located for the General Waqf fund, Is lamicRel ief i s able to invest the money into areas where the need isgreatest .

One of Is lamic Rel ief Worldwide ’s projects funded by waqf in2002 was the Income and Employment Generat ion Loan inBosnia and Herzegovina. These loans have provided a uniqueopportunity for ta lented individuals to earn their own income.

One benef ic iary of these loans is Mustafa Tucic , who returnedto his v i l lage, Kula Grad, af ter the war in Bosnia . Mustafa wasa ski l led carpenter who operated his own carpentry shop.When he returned to Kula Grad af ter the war, he found thatmany homes had been destroyed. Mustafa ’s ski l ls became vi ta lto the community because of the great need for the reconstruc-t ion of houses .

With the help of a loan from Is lamic Rel ief ’ s Waqf FutureFund, Mustafa was able to re-open his carpentry shop. Theloan covered his basic expenses as wel l as the cost of newequipment and mater ia ls . Mustafa ’s carpentry shop is now athriv ing business and he has even employed four new workers .The help he received from Is lamic Rel ief helped him turn hisl i fe around and support not only himsel f , but his fe l low vi l lagers .

wa q fTota l Is lamic Rel ief USA contr ibut ion to project:$73,941

H o m e r e b u i l d i n g p r o j e c t i n B o s n i a


m a n a g e m e n t r e p o r tSince the inception of Islamic Relief USA in 1993, revenues have beengrowing at a steady rate through calendar year 2002. This growth wasdue to the continued generosity and sincere concern of our donors forhumanitarian needs in the U.S. and abroad.

The last five years' revenues were as follows:

71.9% of the 2002 revenues were received from individual donors and27.7% from foundations and corporations. No revenues were receivedfrom any of the U.S. government agencies during the last nine years.

The management and staff of Islamic Relief continue to supporthumanitarian needs in the US and around the globe while maintaininga low overhead cost for fund-raising, management and general expens-es. We strive to maximize the benefit to our beneficiaries by ensuringefficiency and cost effectiveness of our operation.

During calendar 2002, Islamic Relief programs received 92.4% of totalfunds spent. Fundraising cost was 3.4% and Management andGeneral cost was only 4.3%.

Islamic Relief management and staff strongly believe in cooperatingwith other reputable Non-Profit Organizations in supporting localprojects in the US and abroad.

1998 $1,661,9161999 $3,939,5422000 $5,032,3682001 $5,708,0192002 $7,133,713

c u r r e n t y e a r p r o g r a m s

s o u r c e s o f f u n d s

Individual DonorsFoundations & CorporationsOther Revenue

Total

$5,126,493 1,978,292

28,928$7,133,713

71.9%27.7%0.4%

100.0%

u s e s o f f u n d s

Current Year ProgramsFundraisingManagement & General

Total

$6,644,920 241,894308,128

$7,194,942

92.4%3.4%4.3%

100.0%

Emergency & Relief ProjectsEducation & TrainingWater & SanitationIncome GenerationHealth & NutritionOrphan SupportUdhiyah/QurbaniDevelopment

Total

$2,942,9691,319,447

273,126142,268338,963695,872270,813661,462

$6,644,920

44.3%19.9%

4.1%2.1%5.1%

10.5%4.1%

10.0%100.0%


a u d i t l e t t e r

REPORT OF INDEPENDENT AUDITORS

Board of DirectorsIslamic Relief

We have audited the accompanying statement of financial position of Islamic Relief (a nonprofit organiza-tion), as of December 31, 2002, and the related statements of activities, cash flows, and functional expensesfor the year then ended. These financial statements are the responsibility of the organization’ management.Our responsibility is to express an opinion on these financial statements based on our audits.

We conducted our audit in accordance with auditing standards generally accepted in the United States ofAmerica. Those standards require that we plan and perform the audit to obtain reasonable assurance aboutwhether the financial statements are free of material misstatement. An audit includes examining, on a testbasis, evidence supporting the amounts and disclosures in the financial statements. An audit also includesassessing the accounting principles used and significant estimates made by management, as well as evaluat-ing the overall financial statement presentation. We believe that our audit provides a reasonable basis for ouropinion.

In our opinion, the financial statements referred to above present fairly, in all material respects, the financialposition of Islamic Relief as of December 31, 2002, and the changes in its net assets and its cash flows forthe year then ended in conformity with auditing standards generally accepted in the United States ofAmerica.

Monrovia, CaliforniaJuly 18, 2003

222 E. Huntington Drive, Suite 215Monrovia, CA 91016Phone: 626-303-0332Fax: 626-303-05222


Assets Current Assets:

Cash and cash equivalents Accounts receivable Prepaid expenses Other receivables Investment Other assets Fixed assets (net of accumulated depreciation of $99,551)

Total Assets

Liabilities and Net Assets

Liabilities Accrued expenses Accrued salaries and benefits Other liabilities

Total Liabilities

Net Assets Unrestricted Temporarily restricted

Total net assetsTotal Liabilities and Net Assets

$ 2,210,449 10,793

8,281 87,846 60,474

7,259 66,302

$ 2,451,403

$ 76,732 124

46,662 123,518

1,706,444621,441

2,327,885 $ 2,451,403

f i n a n c i a l s t a t e m e n t sISLAMIC RELIEF

STATEMENT OF FINANCIAL POSITIONDECEMBER 31, 2002


Support and Revenue: Restricted:

Emergency funds Development Education Orphan

Total restricted revenues

Unrestricted: General fund

Other revenues: Interest and dividends In-kind donations

Total other revenues

Total Support and Revenue

Expenses: Program Management and general Fundraising

Total Expenses

Other gains and losses: Unrealized loss on investments Total other gains and losses

Change in net assets

Net assets, beginning of year

Net assets, end of year

$ 4,643,482 108,769 381,208 655,529

5,788,988

1,315,797

7,328 21,600 28,928

7,133,713

6,644,920 308,128 241,894

7,194,942

(49,197)(49,197)

(110,426)

2,438,311

$ 2,327,885

ISLAMIC RELIEFSTATEMENT OF ACTIVITIES

FISCAL YEAR ENDED DECEMBER 31, 2002

f i n a n c i a l s t a t e m e n t s


ISLAMIC RELIEFSTATEMENT OF CASH FLOWS

FISCAL YEAR ENDED DECEMBER 31, 2002

f i n a n c i a l s t a t e m e n t s

Cash flows from operating activities

Change in net assets

Adjustments to reconcile change in net assets to net cash

provided by (used in) operating activities:

DepreciationLoss on disposal of fixed assets

(Increase) decrease in assets:Accounts receivableOther receivablesPrepaid expensesOther assets

Increase (decrease) in liabilities:Accrued expensesAccrued salaries and benefitsOther liabilities

Net cash provided by operating activities

Cash flows from investing activitiesDisposition of fixed assetsDecrease in investmentsNet cash used for investing activities

Net increase in cash

Cash, beginning of year

Cash, end of year

$ (110,426)

24,295

26,232 (20,280)

372 (300)

44,053 (3,185)46,662

7,424

(9,726)77,477 67,751

75,175

2,135,274

$ 2,210,449

Financial notes that help interpret these statements are not included in this report, but are available by contacting Islamic Relief's office.

Islamic Relief1919 W Magnolia BlvdBurbank, CA 91506

(888) 479-4968

www.irw.org

Tax ID#: 95-4453134

IslamicReliefUSA_Annual_Report_2002

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