Page 326 - Department of Social Development Annual Report 2021

PART E: FINANCIAL INFORMATION

DISASTER RELIEF FUND

Notes To The Financial Statements Of The Disaster Relief Fund For The Year Ended
31 March 2021.

Notes 2020/21 2019/20

R’000 R’000

2. Revenue
Revenue – non-exchange 1 182 6 603
Total 1 182 6 603

3 Administrative Expenditure

Fees for Services – Board Members 14 9 -
Bank Charges 3 3
Refreshments 2 -
Total 14 3

4 Audit Fees 35 32

5 Other Operating Expenses
Purchase 48

Assistance to victims 69 995 1 522
Civil claim and legal cost 1 975
Total 72 018 1 522

Out of the total expenditure of R 69 994 546.10 incurred by implementing agents an amount of R60 153 787.19
relates to food and other relief items and an amount of R9 840 758.91 was reported as other project expenditure
which includes e.g, administration costs, delivery costs, food preparation costs.

6. Unallocated receipts 396 -
Funds were received from KZN
Waiting for source document
7. Advances to implementing agents 5 -
8. Civil claim and legal cost to be paid 1 975 -

9. Risk Management

9.1 Financial Risk Factors

9.1.1 Market Risk
Market risk is the risk that changes in market prices. Interest rates will affect the Disaster Relief Fund. The
objective of market risk management is to manage and control market risk exposure within acceptable
parameters while optimizing return. The Disaster Relief Fund does not manage this risk aggressively as the
investments of funds are determined by the Minister of Social Development and the Minister of Finance. Within
these parameters, funds are invested with reputable financial institutions.

326 DEPARTMENT OF SOCIAL DEVELOPMENT ANNUAL REPORT 2020/21