Bioversity International Financial Statements 2020 for the year ended 31 December Including independent Auditor’s Report Alliance Bioversity International Alliance of Bioversity International and CIAT Headquarters – Rome Via di San Domenico, 1 00153 Rome, Italy The Alliance of Bioversity International and the International Center for Tropical Agriculture (CIAT) delivers research-based solutions that address the global crises of malnutrition, climate change, biodiversity loss, and environmental degradation. The Alliance focuses on the nexus of agriculture, environment, and nutrition. We work with local, national, and multinational partners across Africa, Asia, and Latin America and the Caribbean, and with the public and private sectors and civil society. With novel partnerships, the Alliance generates evidence and mainstreams innovations to transform food systems and landscapes so that they sustain the planet, drive prosperity, and nourish people in a climate crisis. The Alliance is part of CGIAR, the world’s largest agricultural research and innovation partnership for a food-secure future dedicated to reducing poverty, enhancing food and nutrition security, and improving natural resources. https://alliancebioversityciat.org/ www.bioversityinternational.org www.ciat.cgiar.org www.cgiar.org Citation Bioversity International, 2021. Financial Statements 2020. Bioversity International, Rome, Italy. Bioversity International Via di San Domenico 1 00153 Roma Rome, ITALY Cover photos (left to right): Simon Kiruja carrying cut grass for his dairy farm in Meru, Kenya (photo by Georgina Smith); Indigenous Seed Systems in Sa Pa, Lao Cai province, northwestern Vietnam (photo by Trong Chinh); and Bean plants grown in greenhouse conditions in Tenerife, Colombia (photo by Juan Pablo Marín). © 2020 Bioversity International and CIAT © Bioversity International, 2021 Contents Alliance BoT Terms of Membership 2 Independent Auditors’ Report 4 2020 Institutional Highlights 8 Board Statement on Risk Management 11 Statement of Management’s Responsibilities 13 Statement of the Alliance’s Management’s Responsibilities 15 Statement of financial position 18 Statement of activities and other comprehensive income 19 Statement of changes in net assets 21 Statement of cash flows 22 Notes to the financial statements 24-44 Exhibits 1 - Schedule of grant revenue 46 2 - Schedule of grant pledges and expenses 50 3 - Donors supporting Bioversity International 69 4 - Schedule of CRP/Platform - Expenditure 72 5 - Schedule of CRP/Platform - Funding 76 6 - Indirect cost ratio computation 78 Alliance BoT Terms of Membership Our Board of Trustees is responsible for our governance and fulfillment of our mission and strategic goals, in harmony with the goals and policies of the CGIAR System. For 2020, our Board members and their term lengths were as detailed below. Member Expertise 2020 2021 2022 2023 2024 Member Expertise 2020 2021 2022 2023 2024 Julia Marton-Lefèvre Braulio Ferreira de Souza Dias (Female, France)(1) (Male, Brazil) 1 Jan 2020 - 30 Sept 2020 Chair, Board Chair since 1 Jan 2020, Voting Member Board member since 1 Jan 2020 up until 30 Sept 2020 Ecology, Biodiversity 1 Jan 2020 - 31 Dec 2022 Programme Committee member since 1 Jan 2020 up until 30 Sept 2020 Alliance Executive Committee (ExCO) Chair since 1 Jan 2020 Ecology and Environmental Governance Committee ex-officio Member since 1 Jan 2020 Planning Alliance Strategy & Program Advisory Council (ASPAC) member since 1 Oct 2020Board Programme Committee ex-officio Member since 1 Jan 2020 up until 30 Sept 2020 Alliance Strategy & Program Advisory Council (ASPAC) member since 1 Oct 2020 Alliance Trilochan Mohapatra Second Term Board- (Male, India) 1 Jan 2020 - 30 Sept 2020 specific Board member since 1 Jan 2020 up until 30 Sept 2020 Plant Genetics Trustees Programme Committee member since 1 Jan 2020 up until 30 Sept 2020Douglas van den Aardweg (2) Alliance Strategy & Program Advisory Council (ASPAC) member since 1 Oct 2020(Male, United Kingdom - South Africa) Vice Chair, Board member since 1 Jan 2020, Non-Voting Member Agnes Rola Alliance Alliance Board of Trustees Vice-Chair since 1 Jan 2020 1 Jan 2020 - 31 Dec 2021 Finance, Governance, Risk (Female, Philippines) Natural Resource Economics, Audit, Finance and Risk Committee (AFRC) member since 1 Jan 2020 Policy and Social Science 1 Jan 2020 - 30 Sept 2020Board Board member since 1 Jan 2020 up until 30 Sept 2020 Executive Committee (ExCO) member since 1 Jan 2020 Program Committee member since 1 Jan 2020 up until 30 Sept 2020 Research Alliance Strategy & Program Advisory Council (ASPAC) member since 1 Oct 2020 Alliance Strategy & Program Advisory Council (ASPAC) member since 1 Oct 2020 Second Term Marco Ferroni Chair, Alliance Director General, Juan Lucas Restrepo Ibiza CGIAR (Male, Switzerland) (3) System Board member since 1 Oct 2020, Voting Member Agricultural Sciences 1 Oct 2020 - 30 Sept 2023 (Male, Colombia - France) System Board Chair since 1 Sept 2020 Board member since 1 Jan 2020 Board First Term Audit, Finance and Risk Committee (AFRC) ex-officio member since 1 Jan 2020 Agricultural Development & 1 Jan 2020 - 29 Feb 2024 Executive Committee (ExCO) ex-officio Member since 1 Jan 2020 Patrick Caron Governance Committee ex-officio Member since 1 Jan 2020 Policy (Male, France) Program Committee ex-officio Member since 1 Jan 2020 up until 30 Sept 2020 Natural Sciences 1 Oct 2020 - 30 Sept 2023Board member since 1 Oct 2020, Voting Member Alliance Strategy & Program Advisory Council (ASPAC) member since 1 Oct 2020 System Board member since 1 Sept 2020 First Term First Term Colombian Ministry of Agriculture and Rural Development ex officio Ismahane Elouafi Alliance (represented at this Board by Jorge Mario Díaz Luengas (Female, Morocco - Canada) 1 Oct 2020 - 30 Nov 2020 Board- director Agrosavia) Board member since 1 Oct 2020 up until 30 Nov 2020, was a Voting Member Natural Sciences specific (Male, Colombia) System Board member since 1 Sept 2020 up until 30 Nov 2020 ex-officio Agricultural and Rural 1 Jan 2020 - IndefiniteBoard member since 1 Jan 2020, Voting Member First Term Trustees Audit, Finance and Risk Committee (AFRC) member since 1 Jan 2020 Development Shenggen Fan Governance Committee member since 1 Jan 2020 (Male, China) Alliance Strategy & Program Advisory Council (ASPAC) member since 1 Oct 2020 1 Oct 2020 - 30 Sept 2023Board member since 1 Oct 2020, Voting Member Social Sciences Indefinite Term System Board member since 1 Sept 2020 First Term Italian Representative ex officio, Claudio Lenoci (Male, Italy) Alliance Neal Gutterson Indefinite Board member since 1 Jan 2020, Voting Member and (Male, United States) 1 Oct 2020 - 30 Sept 2023 Audit, Finance and Risk Committee (AFRC) member since 1 Jan 2020 Economics/Political 1 Jan 2020 - Indefinite CGIAR Board member since 1 Oct 2020, Voting Member Natural Sciences Governance Committee member since 1 Jan 2020 System System Board member since 1 Sept 2020 Alliance Strategy & Program Advisory Council (ASPAC) member since 1 Oct 2020 Board First Term Indefinite Term Trustees Alyssa Jade McDonald-Baertl Nancy Andrews (Female, Australia) 1 Oct 2020 - 30 Sept 2023 (Female, USA) Board member since 1 Oct 2020, Voting Member Business Board member since 1 Jan 2020, Non-Voting Member System Board member since 1 Sept 2020 Audit Finance & Risk Committee (AFRC) Chair since 1 Jan 2020 1 Jan 2020 - 31 Dec 2021 First Term Executive Committee (ExCO) member since 1 Jan 2020 Finance, Governance, Risk Alliance Strategy & Program Advisory Council member since 1 Oct 2020 Alice Ruhweza System Board Audit and Risk Committee member up until 30 April 2021 (Female, Uganda) 1 Oct 2020 - 30 Sept 2023 Second Term Board member since 1 Oct 2020, Voting Member Natural Sciences System Board member since 1 Sept 2020 Marion Guillou First Term (Female, France) Board member since 1 Jan 2020, Non-Voting Member Hilary Wild 1 Jan 2020 - 31 Dec 2021 Programme Committee Chair since 1 Jan 2020 up until 30 Sept 2020 Agricultural Science (Female, United Kingdom - Republic of Ireland) 1 Jan 2020 - 30 Sept 2023 Alliance Executive Committee (ExCO) member since 1 Jan 2020 Board member since 1 Jan 2020, Voting Member Finance, Governance, Risk Board- Alliance Strategy & Program Advisory Council (ASPAC) Chair since 1 Oct 2020 System Board member since 1 Sept 2020 specific First Term First Term Trustees Cristián Samper 1) Board Chair from 1 January 2020; elected during Joint Board 3 and reconfirmed during the September 2020 Board Meeting. (Male, Colombia) 2) Vice Chair from 1 January 2020; elected during Joint Board 3 and reconfirmed during the September 2020 Board Meeting until the end of his term. Board member since 1 Jan 2020, Voting Member 3) The Alliance Director General is an ex officio with voting rights and ex officio member of all Committees up until 30 September 2020. As of 1 October Executive Committee (ExCO) member since 1 Jan 2020 1 Jan 2020 - 31 Dec 2022 2020, he is a non-voting member of the Board and a member of the AFRC, ExCO, and ASPAC. Governance Committee Chair since 1 Jan 2020 Ecology, Biodiversity Program Committee member since 1 Jan 2020 up until 30 Sept 2020 Alliance Strategy & Program Advisory Council (ASPAC) member since 1 Oct 2020 Second Term René Castro Salazar (FAO rep) (Male, USA - Costa Rica) Energy and Sustainable 1 Jan 2020 - 30 Sept 2020 Indefinite Board member up until 30 Sept 2020 Development Alliance Strategy & Program Advisory Council (ASPAC) member since 1 Oct 2020 2 Alliance BoT Terms of Membership Our Board of Trustees is responsible for our governance and fulfillment of our mission and strategic goals, in harmony with the goals and policies of the CGIAR System. For 2020, our Board members and their term lengths were as detailed below. Member Expertise 2020 2021 2022 2023 2024 Member Expertise 2020 2021 2022 2023 2024 Julia Marton-Lefèvre Braulio Ferreira de Souza Dias (Female, France)(1) (Male, Brazil) 1 Jan 2020 - 30 Sept 2020 Chair, Board Chair since 1 Jan 2020, Voting Member Board member since 1 Jan 2020 up until 30 Sept 2020 Ecology, Biodiversity 1 Jan 2020 - 31 Dec 2022 Programme Committee member since 1 Jan 2020 up until 30 Sept 2020 Alliance Executive Committee (ExCO) Chair since 1 Jan 2020 Ecology and Environmental Governance Committee ex-officio Member since 1 Jan 2020 Planning Alliance Strategy & Program Advisory Council (ASPAC) member since 1 Oct 2020Board Programme Committee ex-officio Member since 1 Jan 2020 up until 30 Sept 2020 Alliance Strategy & Program Advisory Council (ASPAC) member since 1 Oct 2020 Alliance Trilochan Mohapatra Second Term Board- (Male, India) 1 Jan 2020 - 30 Sept 2020 specific Board member since 1 Jan 2020 up until 30 Sept 2020 Plant Genetics Trustees Programme Committee member since 1 Jan 2020 up until 30 Sept 2020Douglas van den Aardweg (2) Alliance Strategy & Program Advisory Council (ASPAC) member since 1 Oct 2020(Male, United Kingdom - South Africa) Vice Chair, Board member since 1 Jan 2020, Non-Voting Member Agnes Rola Alliance Alliance Board of Trustees Vice-Chair since 1 Jan 2020 1 Jan 2020 - 31 Dec 2021 Finance, Governance, Risk (Female, Philippines) Natural Resource Economics, Audit, Finance and Risk Committee (AFRC) member since 1 Jan 2020 Policy and Social Science 1 Jan 2020 - 30 Sept 2020Board Board member since 1 Jan 2020 up until 30 Sept 2020 Executive Committee (ExCO) member since 1 Jan 2020 Program Committee member since 1 Jan 2020 up until 30 Sept 2020 Research Alliance Strategy & Program Advisory Council (ASPAC) member since 1 Oct 2020 Alliance Strategy & Program Advisory Council (ASPAC) member since 1 Oct 2020 Second Term Marco Ferroni Chair, Alliance Director General, Juan Lucas Restrepo Ibiza CGIAR (Male, Switzerland) (3) System Board member since 1 Oct 2020, Voting Member Agricultural Sciences 1 Oct 2020 - 30 Sept 2023 (Male, Colombia - France) System Board Chair since 1 Sept 2020 Board member since 1 Jan 2020 Board First Term Audit, Finance and Risk Committee (AFRC) ex-officio member since 1 Jan 2020 Agricultural Development & 1 Jan 2020 - 29 Feb 2024 Executive Committee (ExCO) ex-officio Member since 1 Jan 2020 Patrick Caron Governance Committee ex-officio Member since 1 Jan 2020 Policy (Male, France) Program Committee ex-officio Member since 1 Jan 2020 up until 30 Sept 2020 Natural Sciences 1 Oct 2020 - 30 Sept 2023Board member since 1 Oct 2020, Voting Member Alliance Strategy & Program Advisory Council (ASPAC) member since 1 Oct 2020 System Board member since 1 Sept 2020 First Term First Term Colombian Ministry of Agriculture and Rural Development ex officio Ismahane Elouafi Alliance (represented at this Board by Jorge Mario Díaz Luengas (Female, Morocco - Canada) 1 Oct 2020 - 30 Nov 2020 Board- director Agrosavia) Board member since 1 Oct 2020 up until 30 Nov 2020, was a Voting Member Natural Sciences specific (Male, Colombia) System Board member since 1 Sept 2020 up until 30 Nov 2020 ex-officio Agricultural and Rural 1 Jan 2020 - IndefiniteBoard member since 1 Jan 2020, Voting Member First Term Trustees Audit, Finance and Risk Committee (AFRC) member since 1 Jan 2020 Development Shenggen Fan Governance Committee member since 1 Jan 2020 (Male, China) Alliance Strategy & Program Advisory Council (ASPAC) member since 1 Oct 2020 1 Oct 2020 - 30 Sept 2023Board member since 1 Oct 2020, Voting Member Social Sciences Indefinite Term System Board member since 1 Sept 2020 First Term Italian Representative ex officio, Claudio Lenoci (Male, Italy) Alliance Neal Gutterson Indefinite Board member since 1 Jan 2020, Voting Member and (Male, United States) 1 Oct 2020 - 30 Sept 2023 Audit, Finance and Risk Committee (AFRC) member since 1 Jan 2020 Economics/Political 1 Jan 2020 - Indefinite CGIAR Board member since 1 Oct 2020, Voting Member Natural Sciences Governance Committee member since 1 Jan 2020 System System Board member since 1 Sept 2020 Alliance Strategy & Program Advisory Council (ASPAC) member since 1 Oct 2020 Board First Term Indefinite Term Trustees Alyssa Jade McDonald-Baertl Nancy Andrews (Female, Australia) 1 Oct 2020 - 30 Sept 2023 (Female, USA) Board member since 1 Oct 2020, Voting Member Business Board member since 1 Jan 2020, Non-Voting Member System Board member since 1 Sept 2020 Audit Finance & Risk Committee (AFRC) Chair since 1 Jan 2020 1 Jan 2020 - 31 Dec 2021 First Term Executive Committee (ExCO) member since 1 Jan 2020 Finance, Governance, Risk Alliance Strategy & Program Advisory Council member since 1 Oct 2020 Alice Ruhweza System Board Audit and Risk Committee member up until 30 April 2021 (Female, Uganda) 1 Oct 2020 - 30 Sept 2023 Second Term Board member since 1 Oct 2020, Voting Member Natural Sciences System Board member since 1 Sept 2020 Marion Guillou First Term (Female, France) Board member since 1 Jan 2020, Non-Voting Member Hilary Wild 1 Jan 2020 - 31 Dec 2021 Programme Committee Chair since 1 Jan 2020 up until 30 Sept 2020 Agricultural Science (Female, United Kingdom - Republic of Ireland) 1 Jan 2020 - 30 Sept 2023 Alliance Executive Committee (ExCO) member since 1 Jan 2020 Board member since 1 Jan 2020, Voting Member Finance, Governance, Risk Board- Alliance Strategy & Program Advisory Council (ASPAC) Chair since 1 Oct 2020 System Board member since 1 Sept 2020 specific First Term First Term Trustees Cristián Samper 1) Board Chair from 1 January 2020; elected during Joint Board 3 and reconfirmed during the September 2020 Board Meeting. (Male, Colombia) 2) Vice Chair from 1 January 2020; elected during Joint Board 3 and reconfirmed during the September 2020 Board Meeting until the end of his term. Board member since 1 Jan 2020, Voting Member 3) The Alliance Director General is an ex officio with voting rights and ex officio member of all Committees up until 30 September 2020. As of 1 October Executive Committee (ExCO) member since 1 Jan 2020 1 Jan 2020 - 31 Dec 2022 2020, he is a non-voting member of the Board and a member of the AFRC, ExCO, and ASPAC. Governance Committee Chair since 1 Jan 2020 Ecology, Biodiversity Program Committee member since 1 Jan 2020 up until 30 Sept 2020 Alliance Strategy & Program Advisory Council (ASPAC) member since 1 Oct 2020 Second Term René Castro Salazar (FAO rep) (Male, USA - Costa Rica) Energy and Sustainable 1 Jan 2020 - 30 Sept 2020 Indefinite Board member up until 30 Sept 2020 Development Alliance Strategy & Program Advisory Council (ASPAC) member since 1 Oct 2020 3 INDEPENDENT AUDITOR’S REPORT BIOVERSITY INTERNATIONAL FINANCIAL YEAR ENDED 31 DECEMBER 2020 INDEPENDENT AUDITOR’S REPORT To the Board of Trustees of Bioversity International Opinion We have audited the financial statements of Bioversity International, which comprise the statement of financial position as of 31 December 2020, the statement of activities and comprehensive income, statement of changes in net assets, statement of cash flows for the year then ended, and notes to the financial statements, including a summary of significant accounting policies. In our opinion, the financial statements give a true and fair view of the financial position of Bioversity International as of 31 December 2020, and of the results of its financial performance and cash flows for the year then ended in accordance with International Financial Reporting Standards as issued by the International Accounting Standards Board. Basis for Opinion We conducted our audit in accordance with International Standards on Auditing (ISA Italia). Our responsibilities under those standards are further described in the Auditor’s Responsibilities for the Audit of the Financial Statements section of this report. We are independent of Bioversity International in accordance with the International Code of Ethics for Professional Accountants (including International Independence Standards) issued by the International Ethics Standards Board for Accountants (IESBA Code). We have fulfilled our other ethical responsibilities in accordance with the IESBA Code. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our opinion. Responsibilities of Management and Those Charged with Governance for the Financial Statements Management of Bioversity International is responsible for the preparation of financial statements that give a true and fair view in accordance with International Financial Reporting Standards as issued by the International Accounting Standards Board and for such internal control as they determine is necessary to enable the preparation of financial statements that are free from material misstatement, whether due to fraud or error. Management is responsible for assessing the Bioversity International’s ability to continue as a going concern and, in preparing the financial statements, for the appropriate application of the going concern basis of accounting, and for disclosing matters related to going concern. In preparing the financial statements, the directors use the going concern basis of accounting unless they either intend to liquidate the Company or to cease operations, or have no realistic alternative but to do so. Those charged with governance are responsible for overseeing Bioversity International’s financial reporting process. Other Information Management of Bioversity International is responsible for the other information. The other information comprises the information included in the annual report but does not include the financial statements and our auditor’s report thereon. Our opinion on the financial statements does not cover the other information and we do not and will not express any form of assurance conclusion thereon. In connection with our audit of the financial statements, our responsibility is to read the other information identified above and, in doing so, consider whether the other information is materially inconsistent with the financial statements or our knowledge obtained in the audit, or otherwise appears to be materially misstated. If, based on the work we have performed on the other information that we obtained prior to the date of this auditor’s report, we conclude that there is a material misstatement of this other information, we are required to report that fact. We have nothing to report in this regard. Auditor’s Responsibilities for the Audit of the Financial Statements Our objectives are to obtain reasonable assurance about whether the financial statements as a whole are free from material misstatement, whether due to fraud or error, and to issue an auditor’s report that includes our opinion. Reasonable assurance is a high level of assurance but is not a guarantee that an audit conducted in accordance with International Standards on Auditing (ISA Italia) will always detect a material misstatement when it exists. Misstatements can arise from fraud or error and are considered material if, individually or in the aggregate, they could reasonably be expected to influence the economic decisions of users taken on the basis of the financial statements. As part of our audit conducted in accordance with International Standards on Auditing (ISA Italia), we exercised our professional judgement and maintained professional scepticism throughout the audit. Furthermore: We identified and assessed the risks of material misstatement of the financial statements, whether due to fraud or error; we designed and performed audit procedures responsive to those risks; we obtained audit evidence that is sufficient and appropriate to provide a basis for our opinion. The risk of not detecting a material misstatement resulting from fraud is higher than for one resulting from error, as fraud may involve collusion, forgery, intentional omissions, misrepresentations, or the override of internal control. 2 of 3 We obtained an understanding of internal control relevant to the audit in order to design audit procedures that are appropriate in the circumstances, but not for the purpose of expressing an opinion on the effectiveness of Bioversity International’s internal control. We evaluated the appropriateness of accounting policies used and the reasonableness of accounting estimates and related disclosures made by management. We concluded on the appropriateness of management’s use of the going concern basis of accounting and, based on the audit evidence obtained, whether a material uncertainty exists related to events or conditions that may cast significant doubt on Bioversity International’s ability to continue as a going concern. If we conclude that a material uncertainty exists, we are required to draw attention in our auditor’s report to the related disclosures in the financial statements or, if such disclosures are inadequate, to modify our opinion. Our conclusions are based on the audit evidence obtained up to the date of our auditor’s report. However, future events or conditions may cause Bioversity International to cease to continue as a going concern. We evaluated the overall presentation, structure and content of the financial statements, including the disclosures, and whether the financial statements represent the underlying transactions and events in a manner that achieves fair presentation. We communicated with those charged with governance, identified at an appropriate level as required by ISA Italia, regarding, among other matters, the planned scope and timing of the audit and significant audit findings, including any significant deficiencies in internal control that we identified during our audit. Rome, 11 May 2021 PricewaterhouseCoopers SpA Scott Cunningham (Partner) 3 of 3 For the year ended 31 December, 2020 2020 Institutional Highlights by Julia Marton-Lefèvre Chair of the Board of Trustees, Alliance of Bioversity International and CIAT 2020 marked the first full year of our operation as the Alliance of Bioversity International and CIAT. As the year began, we looked forward to uniting our organizations in the implementation of a brand-new research strategy addressing the global crises of climate change, biodiversity loss, environmental degradation, and malnutrition. Of course, we could not predict the set of challenges that we would all face in the coming months with the COVID-19 pandemic, lockdowns, and resulting implications for food security and livelihoods. Confronted with these shocks, the Alliance quickly adapted to working remotely, safely maintaining field operations when possible, and taking part in the COVID-19 response: examples included distributing seeds to farmers in need as well as working with national partners to share and map health data, track trends in food insecurity, and monitor impacts on farmer livelihoods. Equally as important, we took swift actions to ensure the well-being and safety of our globally-distributed staff. Although we spent the year physically apart, we managed to bring two Centers together and emerged stronger as a single Alliance, fully prepared to increase our reach and impact. With strong leadership across our research and support areas, we deployed an integrated organizational structure and harmonized many of our policies. This consolidation streamlined our services, optimizing our staff capacity to match needs and opportunities as they arise. Consequently, we have been able to deliver on our commitments in all regions where we are active. In many ways the pandemic has underscored the interdependence of human and planetary health and has given renewed urgency to the Alliance’s work at the nexus of agriculture, the environment and nutrition. With a strong research presence in four continents, encompassing our six Research Levers1 and cross-cutting areas, the Alliance has been well-positioned to assume a role of thought leadership and actively join in many global dialogues and high-level policy fora on biodiversity, climate change, and food and nutritional security, among others. We produced our highest yet total of 246 publications in 2020, surpassing our goal of 1.5 papers per scientist and achieving representation in a wide range of high-level journals. Our research has gained newsworthy attention with its critical focus on food system shifts and ensuring a resilient recovery after COVID. Highlights from 2020 include: Food Environment and Consumer Behavior From farm to fork, the Alliance contributed to discussions on healthy sustainable diets, from the global level (addressing the need for an enabling political environment to mobilize a food system transformation, published in Nature Food) to on-the-ground action. In the Americas, a standout initiative was a sustainable livestock certification initiative, GANSO, which indicates farmers’ commitments to deforestation-free practices and now informs consumers’ decisions in major Colombian grocery stores. In Africa, we joined partners on the frontlines 1 (1) Food Environment and Consumer Behavior; (2) Multifunctional Landscapes; (3) Climate Action; (4) Biodiversity for Food and Agriculture; (5) Digital Inclusion; and (6) Crops for Nutrition and Health 8 For the year ended 31 December, 2020 of the COVID-19 response, interviewing some of Nairobi’s poorest residents to understand strains on food access for the most vulnerable. Multifunctional Landscapes Over the last year, we explored strategies for land restoration in sites ranging from the Amazon rainforest to degraded pastureland in Burkina Faso. Some of our most highly read contributions in the State of the World’s Forests and journals such as People and Nature emphasized forests’ critical importance to human health and ecosystem services, and issued warnings about the grave implications of continued rampant deforestation. Climate Action 500 million smallholder farmers are impacted by an increasing rate of climate-extreme events. Alliance research looks at crops, agricultural practices, and weather patterns to better understand mitigation and adaptation techniques to benefit farmers and countries. In 2020 we shared research on the climate resilience of important crops including coffee and the Ethiopian staple teff. When typhoons swept the Philippines, the Alliance provided national partners with risk profiles, investment plans, and knowledge products to embed resilience in the agricultural sector. Biodiversity for Food and Agriculture Combining our decades of experience researching diverse crops, neglected and underutilized species, and crop wild relatives, the Alliance supplied data on their contributions to food security and nutrition as well as farmers’ livelihoods. 2020 publications included two new books in the Routledge Earthscan series “Issues in Agrobiodiversity” which present methodologies for mainstreaming biodiverse foods into markets, school programs, and policies. Further potential for influencing policies comes with our participation in discussions on the Post-2020 Global Biodiversity Framework, as well as our Agrobiodiversity Index, which has also been adopted by several private sector partners. Digital Inclusion The Alliance applied artificial intelligence, drones, satellites, and smartphone technologies with the power to help millions of farmers to make improved decisions. Apps and digital platforms have increased farmers’ insights on market linkages, as well as the ability to monitor crops for early detection of diseases such as the devastating banana wilt TR4 and BXW, which jeopardize thousands of livelihoods. In collaboration with the Vietnamese government, Alliance researchers used a free WiFi program to measure COVID’s impact on traditional markets in Hanoi. Crops for Nutrition and Health In 2020 we continued to make improved crop varieties available in countries such as Ethiopia, where our high- yielding nutrient-rich beans reached 2.2 million farmers. In times of crisis, ex-situ conservation is vital to ensuring the continuity of plant genetic resources. Throughout the pandemic we maintained tens of thousands of accessions of bananas, beans, cassava, and forages in our genebanks, and made seeds and planting material available to farmers. We also continued construction of our new genebank, Future Seeds, in Colombia, which will also include a digital genebank to further increase access to and use of these collections at a global level. 9 For the year ended 31 December, 2020 Board Statement on Risk Management Gender by Julia Marton-Lefèvre The persistence of inequalities in health, food security, and livelihoods has been made abundantly clear over the last year. Alliance researchers in Lesotho discovered that, as food access and yields decreased, women and girls Chair of the Board of Trustees, Alliance of Bioversity International and CIAT were going hungry at a rate far higher than men. To ensure that inclusive and equitable practices are included in every aspect of “building back better”, the Alliance has made gender a cross-cutting theme throughout our The Board of Trustees of the Alliance is responsible for overseeing and approving risk management research and has been highly involved in the CGIAR Gender Platform. approaches and associated policies. It also ensures that effective risk management, compliance systems, strong internal controls, and independent assurances are implemented. An appropriate risk management One CGIAR system is fundamental to identify and take actions to mitigate significant risks that could affect the In 2020 we also played an active role in the challenging, yet exciting and promising, transition towards One CGIAR, which is picking up momentum with a reconstituted System Board and new Executive Management Team achievement of the strategic objectives established for the Alliance. In a constantly evolving environment, and, at the end of 2020, the launch of the CGIAR 2030 Research and Innovation Strategy. One CGIAR has the the Board of Trustees ensures the adoption of best practices in risk management and alignment with ambitious aim to integrate CGIAR’s assets, partnerships and operations to deliver greater impact, and fully and principles and guidelines defined by the CGIAR. effectively respond to new and emerging global challenges. With the Alliance represented in 13 of the new CGIAR initiatives, we look forward to contributing to this bold and relevant framework for research and The Board recognizes that to achieve strategic objectives, the Alliance will be exposed to operational, transformational change. financial, legal, reputational, and health & safety risks that are inherent to the business model and global Now more than ever we remain grateful to our funders, investors and partners for research and impact delivery. presence of the Alliance activities. The Alliance has additional duties and responsibilities as the Leader of Without their commitment and continued support, the Alliance would have been hard pressed to deliver on its CCAFS (the CGIAR Research Program on Climate Change, Agriculture and Food Security), Leader of the CGIAR mandate. Strengthened collaboration and collective action will be essential to ensure that we counter the knock- Platform for Big Data in Agriculture, and co-Leader for HarvestPlus Program (leading with the International on effects of the COVID crisis on global food systems and food and nutritional security. Food Policy Research Institute – IFPRI). The risks are as dynamic as the environment in which the Alliance operates. Sound risk management practices create value and competitive advantage. The Alliance remains financially robust. Our 2020 revenue totalled $106.8 million ($24.3 million for Bioversity and $82.5 million for CIAT), with expenditures of $104.4 million ($23.4 million for Bioversity and $81.0 million for CIAT). The Alliance has exceeded the Board Approved surplus, reaching an actual surplus of $2.4 million During 2020, the Alliance established a robust risk management framework to assess risks and mitigate them ($0.84 million for Bioversity and $1.56 million for CIAT), thanks to efficiency gains of the Alliance. The total based on the best practices of ISO 31000:2018, the integrated framework from COSO (Committee of reserves have increased with each entity exceeding the Alliance’s target of 120 days, 152 for Bioversity and 147 Sponsoring Organizations of the Treadway Commission) and CGIAR principles, and guidelines. A strong Policy for CIAT. A surplus is planned for the Alliance in 2021. and a revised methodology were approved by the Board of Trustees and were implemented across the Overall, the financial indicators of both Centers demonstrate a solid foundation on which the Alliance can different Hubs of the Alliance. As part of this process and with the aim of improving our internal controls and implement its ambitious research-for-development strategy in a time of extraordinary change. good corporate governance practice, the Alliance performed and consolidated a risk assessment of strategic risks, risks in hubs, and risks in major initiatives. To face the COVID-19 Pandemic and the possible effects in In conclusion, on behalf of the members of the Board of Trustees, I thank the Governments of Italy and Colombia, the continuity of our business, the Alliance also developed a Risk Catalogue to map all those events that our main host countries for their generosity, our many other funders and partners, and our talented and could affect our strategic objectives and built a Business Continuity Plan addressing those major challenges. committed staff members for their continued support of the Alliance in its mission. These strategies allowed the Alliance to monitor the main activities, anticipate any issues, and reduce the impact of any risk materialization while delivering activities according to established times. On a biannual basis, the consolidated risk catalogues of the Alliance were reviewed by the Senior Management Team, and risks incidents that materialized were brought to their attention. The Alliance has an active role in the Community of Practice of Risk Management of the One CGIAR, which has been key in the design and Julia Marton-Lefèvre implementation of strategies and joint efforts to have an effective Risk Management System. Board Chair, Alliance of Bioversity International and CIAT 10 For the year ended 31 December, 2020 Board Statement on Risk Management Board Statement on Risk Management by Julia Marton-Lefèvre by Julia Marton-Lefèvre Chair of the Board of Trustees, Alliance of Bioversity International and CIAT Chair of the Board of Trustees, Alliance of Bioversity International and CIAT The Board of Trustees of the Alliance is responsible for overseeing and apprTohvein gB oriasrkd moaf nTarguesmteens t of the Alliance is responsible for overseeing and approving risk management approaches and associated policies. It also ensures that effective risk managemeanpt,p croamcphleiasn acned s yastseomcisa,t ed policies. It also ensures that effective risk management, compliance systems, strong internal controls, and independent assurances are implemented. An approsptroianteg irnistke rmnaln caognetmroelns,t and independent assurances are implemented. An appropriate risk management system is fundamental to identify and take actions to mitigate significant riskssy sttheamt ciso ufludn daaffmecetn tahle to identify and take actions to mitigate significant risks that could affect the achievement of the strategic objectives established for the Alliance. In a constantlayc ehvieovlveimnge netn ovifr othnem setnrat,t egic objectives established for the Alliance. In a constantly evolving environment, the Board of Trustees ensures the adoption of best practices in risk managemtehnet Banodar da liogfn mTreunstt ewesit he nsures the adoption of best practices in risk management and alignment with principles and guidelines defined by the CGIAR. principles and guidelines defined by the CGIAR. The Board recognizes that to achieve strategic objectives, the Alliance will be Tehxpeo Bseoda rdto roecpoegrantizioens atl,h at to achieve strategic objectives, the Alliance will be exposed to operational, financial, legal, reputational, and health & safety risks that are inherent to the bufsiinnaenscsi aml,o ldegeal la, nrde pgulotabtaiol nal, and health & safety risks that are inherent to the business model and global presence of the Alliance activities. The Alliance has additional duties and responspibrielisteiensc ea so tfh teh eLe Aaldliearn coef activities. The Alliance has additional duties and responsibilities as the Leader of CCAFS (the CGIAR Research Program on Climate Change, Agriculture and Food SecurCitCyA),F LSe (atdher C oGf ItAhRe RCeGsIeAaRr ch Program on Climate Change, Agriculture and Food Security), Leader of the CGIAR Platform for Big Data in Agriculture, and co-Leader for HarvestPlus Program (leadinPgla wtfiothrm th feo rI nBtiegr Dnatiao nina lA griculture, and co-Leader for HarvestPlus Program (leading with the International Food Policy Research Institute – IFPRI). The risks are as dynamic as the environmeFnoto idn Pwohliiccyh Rtehsee Aarllciahn Icnes titute – IFPRI). The risks are as dynamic as the environment in which the Alliance operates. Sound risk management practices create value and competitive advantagoep. erates. Sound risk management practices create value and competitive advantage. During 2020, the Alliance established a robust risk management framework to assesDs urirsiknsg a 2n0d2 m0,i tihgea tAel ltiahnecme established a robust risk management framework to assess risks and mitigate them based on the best practices of ISO 31000:2018, the integrated framework fromba sCeOdS Oon (Cthoem mbeitste ep raocf tices of ISO 31000:2018, the integrated framework from COSO (Committee of Sponsoring Organizations of the Treadway Commission) and CGIAR principles, and gSupidoenlsinoersin. gA Ostrrgoanngiz Paotiloicnys of the Treadway Commission) and CGIAR principles, and guidelines. A strong Policy and a revised methodology were approved by the Board of Trustees and were iamnpdl eam renvitseedd amcreotshso tdhoelo gy were approved by the Board of Trustees and were implemented across the different Hubs of the Alliance. As part of this process and with the aim of improving doiuffre irnetnetr nHaul bcso notfr tohles aAnlldia nce. As part of this process and with the aim of improving our internal controls and good corporate governance practice, the Alliance performed and consolidated a riskg oaossde csosmrpeonrta toef gstorvaeterngaicn ce practice, the Alliance performed and consolidated a risk assessment of strategic risks, risks in hubs, and risks in major initiatives. To face the COVID-19 Pandemic anrdis ktsh,e r ipsoks siinb lheu ebfsf,e acntsd i nri sks in major initiatives. To face the COVID-19 Pandemic and the possible effects in the continuity of our business, the Alliance also developed a Risk Catalogue to mtahpe aclol nthtionsueit ye voefn otsu rt hbaut siness, the Alliance also developed a Risk Catalogue to map all those events that could affect our strategic objectives and built a Business Continuity Plan addressingc tohuoldse a mffeacjot ro cuhr asltlreantgeegsic. objectives and built a Business Continuity Plan addressing those major challenges. These strategies allowed the Alliance to monitor the main activities, anticipate anTy hisesuee sst,r atnedg iresd aulcloew theed the Alliance to monitor the main activities, anticipate any issues, and reduce the impact of any risk materialization while delivering activities according to establishiemdp taicmt eosf. aOnny ar isbkia mnnautearl ialization while delivering activities according to established times. On a biannual basis, the consolidated risk catalogues of the Alliance were reviewed by the Senior bMaasinsa, gtheem ceonnt sToeliadmat,e adn dri sk catalogues of the Alliance were reviewed by the Senior Management Team, and risks incidents that materialized were brought to their attention. The Alliance hraisk as ni naccidtievnet sr otlhea itn mthaete rialized were brought to their attention. The Alliance has an active role in the Community of Practice of Risk Management of the One CGIAR, which has beenC okmeym iunn itthye odf ePsriganc tiacned o f Risk Management of the One CGIAR, which has been key in the design and implementation of strategies and joint efforts to have an effective Risk Managemenimt Spylestmemen. t ation of strategies and joint efforts to have an effective Risk Management System. 11 For the year ended 31 December, 2020 Early 2021, the Alliance established a Risk Management Committee to implement and promote the development of highly effective risk management activities. The Committee is composed by focal points from the regions and key staff of the Alliance. This committee is responsible for the oversight of the enterprise risk management framework and monitors the processes and systems for identifying and reporting risks and risk-management deficiencies. To reinforce knowledge and increase the institutional capacities, a customized training on Risk Management will be provided to a large number of critical staff who will contribute to make Risk Management an integral part of the Alliance’s strategic and operational objectives. The Audit, Finance & Risk Committee – AFRC receives regular updates on any risk materialization, on the effectiveness of risk management practices, as well as independent assurances from its internal and external auditors. The AFRC communicates its views to the Board regarding the effectiveness and efficiency of the Alliance’s risk management. During 2020, the Alliance did not have any cases of fraud or financial losses due to fraudulent activities. The AFRC concluded that the risk management framework and internal control systems proposed for the Alliance are effective, adequate, and efficient. Julia Marton-Lefèvre Board Chair, Alliance of Bioversity International and CIAT 12 For the year ended 31 December, 2020 Early 2021, the Alliance established a Risk Management Committee to implement and promote the Statement of Management's Responsibilities development of highly effective risk management activities. The Committee is composed by focal points from the regions and key staff of the Alliance. This committee is responsible for the oversight of the enterprise risk management framework and monitors the processes and systems for identifying and reporting risks and risk-management deficiencies. To reinforce knowledge and increase the institutional capacities, a The accompanying financial statements of Bioversity International for the customized training on Risk Management will be provided to a large number of critical staff who will years ended December 31, 2020 and 2019 have been prepared in contribute to make Risk Management an integral part of the Alliance’s strategic and operational objectives. conformity with International Financial Reporting Standards (IFRS) and give a true and fair view of the financial position of the Organization as at The Audit, Finance & Risk Committee – AFRC receives regular updates on any risk materialization, on the the end of the financial year and of its operating results for the year. The preparation of these financial statements is the responsibility of effectiveness of risk management practices, as well as independent assurances from its internal and external Management. auditors. The AFRC communicates its views to the Board regarding the effectiveness and efficiency of the Alliance’s risk management. Bioversity International maintains a system of internal control designed to provide reasonable assurance that assets are safeguarded, transactions During 2020, the Alliance did not have any cases of fraud or financial losses due to fraudulent activities. are executed and recorded properly in accordance with Management's authorization. The AFRC concluded that the risk management framework and internal control systems proposed for the Alliance are effective, adequate, and efficient. The internal control system serves as an enabling mechanism for Bioversity International to adapt to changing operating and economic environments promoting operational efficiency, mitigate risks to acceptable levels, include a system of reporting which provides Management with an accurate view of the operations and at the same time provides a reliable basis for the financial statements and management reports, and finally, ensure compliance with the Organization’s policies and procedures. The internal audit function provides ongoing evaluation of the effectiveness and adequacy of the internal control system. PricewaterhouseCoopers (PwC) are engaged to examine the consolidated Julia Marton-Lefèvre financial statements of Bioversity International and issue reports thereon. Board Chair, Alliance of Bioversity International and CIAT Their examination is conducted in accordance with International Standards on Auditing and includes a review of financial reporting, internal controls and a test of transactions. With the Alliance Partnership Agreement between Bioversity International and CIAT (International Center for Tropical Agriculture) taking into effect from 1 January 2020, a single Alliance Board of Trustees was formed. The Alliance Board of Trustees, through its Audit, Finance and Risk Committee (AFRC), is responsible for assuring that Management fulfills its responsibilities in the preparation of the financial statements and for engaging PwC with whom the Committee reviews the scope and results of their audit examination. AFRC meets regularly with Management, external and internal auditors to review matters relating to financial planning, auditing, financial reporting, internal control and risk management. A CGIAR Bioversity International is the operating name of the International Plant Genetic Resources Institute (IPGRI) Research Headquarters: Via dei Tre Denari, 472/a - 00054 Maccarese, Rome, Italy Centre Tel.: (+39) 0661181 - Fax: (+39) 0661979661 - Email: bioversity@cgiar.org www.bioversityinternational.org 13 For the year ended 31 December, 2020 Having made an assessment of the Organization's ability to continue as a going concern, Management is not aware of any material uncertainties related to events or conditions that may cast doubt upon the Organization's ability to continue as a going concern. Signed on behalf of management on May 11, 2021 by: Juan Lucas Restrepo Josephine Luzon, CPA, DBA Director General Head of Finance A CGIAR Bioversity International is the operating name of the International Plant Genetic Resources Institute (IPGRI) Research Headquarters: Via dei Tre Denari, 472/a - 00054 Maccarese, Rome, Italy Centre Tel.: (+39) 0661181 - Fax: (+39) 0661979661 - Email: bioversity@cgiar.org www.bioversityinternational.org For the year ended 31 December, 2020 Having made an assessment of the Organization's ability to continue as a going concern, Management is not aware of any material uncertaintie s related to events or conditions that mSaTyA cTaEsMt dEoNubTt OupFo TnH thEe A OLrLgIaAnNizCaEti'oSn M's ANAGEMENT’S RESPONSIBSILTITAYT E MENT OF THE ALLIANCE'S MANAGEMENT’S RESPONSIBILITY ability to continue as a going cFoOncRe rTnH. E FINANCIAL STATEMENTS OF BIOVERSITY INTERNATIFOONRA LT HAEN DF ICNIANTC IAL STATEMENTS OF BIOVERSITY INTERNATIONAL AND CIAT Based on the Memorandum of Understanding signed on 27 NovBeamsbeedr o2n0 1t8h eb yM ethmeo randum of Understanding signed on 27 November 2018 by the International Plant Genetic Resources Institute, known as BioIvnetersrintya tioI ntaelr nPatliaonnta l Genetic Resources Institute, known as Bioversity International (hereinafter referred to as Bioversity), and the International Center fo(rh Terroepinicaaftl eAr grreicfeurlrteudre t o as Bioversity), and the International Center for Tropical Agriculture (hereinafter referred to as CIAT), an agreement was made between th(ehseer etwinoa fitnedre rpeefenrdredn t o as CIAT), an agreement was made between these two independent Signed on behalf of managecmeenntet rosn o Mf tahye 1C1G, I2A0R2 1tob fyo:rmally create the Alliance (hereinafter referrceedn ttoe rass o tfh teh Ae lCliaGnIcAeR) to formally create the Alliance (hereinafter referred to as the Alliance) to achieve greater impact and operate more efficiently. "The Alliance wtoil la aclhloiewv beo gtrhe Pataerrt iiemsp act and operate more efficiently. "The Alliance will allow both Parties to develop a common research strategy, operational alignment, cthoa ndgeev emloapn a gceommemnto n research strategy, operational alignment, change management strategic results research framework and results-based managestmraetnetg ics ysretesmul,t s arneds earch framework and results-based management system, and harmonize support services for its members to improve effectihveanrmesosn izaen ds urpepdourcte services for its members to improve effectiveness and reduce transaction costs."1 The Alliance will have one Board of Trustees andt rwanills baec taiodnm cionsisttse."r1e dT he Alliance will have one Board of Trustees and will be administered Juan Lucas Restrepo by a DirectorJ Goseenpehrainl/eC Lhuiezfo Enx, eCcPuAtiv, eD OBAfficer (CEO-designate). by a Director General/Chief Executive Officer (CEO-designate). Director General Head of Finance Under the Alliance, both Bioversity and CIAT will continue to exisUt nadse r stehpea rAaltleia nlecgea, l both Bioversity and CIAT will continue to exist as separate legal entities. entities. The management of the Alliance has the overall governanceT haen dm amnangaegmeemnet nto f the Alliance has the overall governance and management responsibility for the preparation and fair presentation of the financial sretastpeomnesnibtsil iotyf ftohre t thweo p reparation and fair presentation of the financial statements of the two CGIAR centers - Bioversity and CIAT, including the schedules attaCchGeIdA Rth ecreeninte, rfso r- tBhieo versity and CIAT, including the schedules attached therein, for the year ending December 31, 2020, in accordance with the Internationayl eFainr aenncdiainl gR Depeocertminbge r 31, 2020, in accordance with the International Financial Reporting Standards (IFRS), and for such internal control as the Alliance managSetmanednat rddest e(IrFmRinSe)s, aisn d for such internal control as the Alliance management determines is necessary to enable the preparation of the financial statements of the ntwecoe Aslsliarnyc teo ceennatbelres ,t he preparation of the financial statements of the two Alliance centers, are free from material misstatement, whether due to fraud or error. are free from material misstatement, whether due to fraud or error. In preparing the financial statements of the two centers, the AlliaInc ep rmepaanraingge mtheen tf inisa ncial statements of the two centers, the Alliance management is responsible for assessing Bioversity and CIAT's ability to continue raess pao ngsoiibnlge cforn caesrsne,s sing Bioversity and CIAT's ability to continue as a going concern, disclosing, as applicable, matters related to going concern. disclosing, as applicable, matters related to going concern. The Alliance Board of Trustees, through its Audit and Risk CommitteTeh,e i sA rlleiasnpcoen sBibolaer dfo or f Trustees, through its Audit and Risk Committee, is responsible for overseeing the financial reporting process within the Allianceo vaenrdse eeinxegr ctishes fiintsa ncial reporting process within the Alliance and exercises its responsibility for these annual financial statements - reviews and aprepsropvoens ibthileit yf infoarn tchiaels e annual financial statements - reviews and approves the financial 1 Alliance Partnership Agreement between Bioversity International and International Cente1r Afolrl iTanrocep iPcalr tAnegrrsihcuiplt Aurger eement between Bioversity International and International Center for Tropical Agriculture signed on 19 November 2019 signed on 19 November 2019 A CGIAR Bioversity International is the operating name of the International Plant Genetic Resources Institute (IPGRI) Research Headquarters: Via dei Tre Denari, 472/a - 00054 Maccarese, Rome, Italy Centre Tel.: (+39) 0661181 - Fax: (+39) 0661979661 - Email: bioversity@cgiar.org www.bioversityinternational.org For the year ended 31 December, 2020 statements, including the schedules attached therein. The Audit and Risk Committee meets regularly with Management and representatives of external and internal auditors to review matters relating to financial reporting, risk management, internal control and auditing. The Alliance relies on the shared Internal Audit Unit to provide regular and ongoing internal audits and recommendations regarding the adequacy and effectiveness of the Alliance’s policies and procedures governing the two centers. PricewaterhouseCoopers (PwC), the independent auditors, are engaged to audit the financial statements of Bioversity and CIAT in accordance with International Standards on Auditing, and in their respective reports, have expressed their opinion on the fairness of presentation upon completion of such audits. Juan Lucas Restrepo Director General/CEO-designate for the Alliance Victor Guardia Global Director of Finance for the Alliance 16 statements, including the schedules attached therein. The Audit and Risk Committee meets regularly with Management and representatives of external and internal auditors to review matters relating to financial reporting, risk management, internal control and auditing. The Alliance relies on the shared Internal Audit Unit to provide regular and ongoing internal audits and recommendations regarding the adequacy and effectiveness of the Alliance’s policies and procedures governing the two centers. PricewaterhouseCoopers (PwC), the independent auditors, are engaged to audit the financial statements of Bioversity and CIAT in accordance with International Standards on Auditing, and in their respective reports, have expressed their opinion on the fairness of presentation upon completion of such audits. Juan Lucas Restrepo Director General/CEO-designate for the Alliance Victor Guardia Global Director of Finance for the Alliance 17 STATEMENT OF FINANCIAL POSITION As of 31 December, 2020 and 2019 (US dollar 000s) As of 31 December As of 31 December Notes 2020 2019 ASSETS Current assets Cash and cash equivalents (6) 11,168 16,800 Short term investments (7) 6,994 Accounts receivables: Donors (net of allowance $190,000 in 2020; $77,000 in 2019) (8) 4,025 4,520 Employees (9) 56 64 CGIAR Centres (10) 1,303 291 Others (11) 432 198 Prepaid expenses (12) 3,274 2,189 Inventories (13) 311 106 Total current assets 27,563 24,168 Non-current assets Property and equipment, net (14) 895 990 Right of Use Assets, net (15) 6 537 Total non-current assets 901 1,527 Total assets 28,464 25,695 LIABILITIES Current liabilities Accounts payables: Deferred income from Donors (16) 5,801 4,197 Employees (17) 472 887 CGIAR Centres (18) 242 689 Accruals (19) 4,298 3,520 Others (20) 1,346 1,334 Funds in trust (21) 628 (466) Lease liabilities (22) 39 243 Total current liabilities 12,826 10,404 Non-current liabilities Employees (23) 4,642 4,476 Lease liabilities (22) 260 Other non-current liabilities (24) 935 902 Total non-current liabilities 5,577 5,638 Total liabilities 18,403 16,042 NET ASSETS (25) Undesignated 8,023 7,174 Designated 3,127 3,129 Temporary net assets-Other Comprehensive Income (1,089) (650) Total net assets 10,061 9,653 Total liabilities and net assets 28,464 25,695 The accompanying notes are an integral part of this statement. 18 STATEMENT OF ACTIVITIES AND OTHER COMPREHENSIVE INCOME For the years ended 31 December, 2020 and 2019 (US dollar 000s) 2020 2019 Notes Unrestricted Restricted Total Unrestricted Restricted Total Portfolio Non-Portfolio Portfolio Non-Portfolio Portfolio Non-Portfolio Total Portfolio Non-Portfolio Portfolio Non-Portfolio Portfolio Non-Portfolio Total REVENUE Grant revenue Windows 1 & 2 7,530 366 7,530 366 7,896 8,404 322 8,404 322 8,726 Window 3 10 2,157 199 2,157 209 2,366 50 3,853 320 3,853 370 4,223 Bilateral 2,950 7,564 2,295 7,564 5,245 12,809 2,858 8,948 1,545 8,948 4,403 13,351 Total grant revenue Exhibits 1&2 0 2,960 17,251 2,860 17,251 5,820 23,071 0 2,908 21,205 2,187 21,205 5,095 26,300 Other revenue and gains (26) 850 850 850 949 949 949 Total revenue 0 3,810 17,251 2,860 17,251 6,670 23,921 0 3,857 21,205 2,187 21,205 6,044 27,249 EXPENSES AND LOSSES (27) Research Expenses 2,516 473 12,203 1,649 14,719 2,122 16,841 2,961 1,055 14,288 1,515 17,249 2,570 19,819 CGIAR Collaborator Expenses 586 586 586 47 47 47 Non CGIAR Collaborator Expenses 12 2,989 333 3,001 333 3,334 18 10 4,394 406 4,412 416 4,828 General and Administration Expenses 7 2,059 292 2,059 299 2,358 1,003 413 2,476 266 3,479 679 4,158 Other expenses and Losses 28 28 28 Total expenses and losses 2,528 508 17,251 2,860 19,779 3,368 23,147 3,982 1,478 21,205 2,187 25,187 3,665 28,852 OPERATING SURPLUS/DEFICIT (2,528) 3,302 0 0 (2,528) 3,302 774 (3,982) 2,379 0 0 (3,982) 2,379 (1,603) STATEMENT OF ACTIVITIES AND OTHER COMPREHENSIVE INCOME For the years ended 31 December, 2020 and 2019 (US dollar 000s) 2020 2019 Notes Unrestricted Restricted Total Unrestricted Restricted Total Portfolio Non-Portfolio Portfolio Non-Portfolio Portfolio Non-Portfolio Total Portfolio Non-Portfolio Portfolio Non-Portfolio Portfolio Non-Portfolio Total NON-OPERATING Finance Income (28) 71 71 71 238 238 238 Gain on sale of assets 6 6 6 Other non-operating income (29) 269 269 269 575 575 575 Total non-operating income 0 340 0 0 0 340 340 0 819 0 0 0 819 819 Loss on sale of assets 2 2 2 Other non-operating costs Finance expenses (28) 265 265 265 238 238 238 Total non-operating expenses 0 267 0 0 0 267 267 0 238 0 0 0 238 238 NON-OPERATING SURPLUS/DEFICIT 0 73 0 0 0 73 73 0 581 0 0 0 581 581 SURPLUS/DEFICIT FOR THE YEAR (2,528) 3,375 0 0 (2,528) 3,375 847 (3,982) 2,960 0 0 (3,982) 2,960 (1,022) OTHER COMPREHENSIVE INCOME Actuarial gain/loss-Defined benefit plan (439) (439) (439) (651) (651) (651) Sub-total other comprehensive income 0 (439) 0 0 0 (439) (439) 0 (651) 0 0 0 (651) (651) TOTAL COMPREHENSIVE SURPLUS/ DEFICIT FOR THE YEAR (2,528) 2,936 0 0 (2,528) 2,936 408 (3,982) 2,309 0 0 (3,982) 2,309 (1,673) The accompanying notes and exhibits are an integral part of this statement. STATEMENT OF CHANGES IN NET ASSETS For the years ended 31 December, 2020 and 2019 (US dollar 000s) Other UNRESTRICTED comprehensive income Designated Total Undesignated Reserve for Actuarial Property, Plant Replacement of Sub-Total gain(loss) and Equipment Property, Plant Designated and Equipment Balance at 1 January 2019 8,202 1,207 1,916 3,123 1 11,326 Depreciation for the year (456) 456 Additions during the year 778 (778) Disposals during the year (6) (2) 8 6 Surplus (Deficit) for the year (1,022) (1,022) Other Comprehensive Income (651) (651) Balance at 31 December 2019 7,174 1,527 1,602 3,129 (650) 9,653 Depreciation for the year (516) 516 Additions during the year 136 (136) Disposals during the year 2 (246) 244 (2) Surplus (Deficit) for the year 847 847 Other Comprehensive Income (439) (439) Balance at 31 December 2020 8,023 901 2,226 3,127 (1,089) 10,061 The accompanying notes and exhibits are an integral part of this statement. STATEMENT OF CASH FLOWS For the years ended 31 December, 2020 and 2019 (US dollar 000s) 2020 2019 Cash flows from operating activities Surplus/(Deficit) for the Year 847 (1,022) Adjustments to reconcile changes in net assets to net cash provided by operating activities: Depreciation 516 456 Loss/(gain) on disposal of fixed assets 2 (6) Decrease (increase) in assets: Accounts receivable: Donors 495 1,468 Employees 8 (3) Other CGIAR Centres (1,012) 39 Others (234) 266 Prepaid expenses (1,085) 987 Inventories (205) (86) Increase (decrease) in liabilities: Accounts payable: Deferred income from donors 1,604 (1,734) Employees (655) (111) Other CGIAR Centres (447) 400 Accruals 778 (928) Others 12 (134) Funds in Trust 1,094 (472) Net cash inflow (outflow) from operating activities 1,718 (880) Cash flows from investment activities Decrease (increase) of Investments (6,994) 10,792 Acquisition of equipment (136) (33) Proceeds from disposal of fixed assets 0 8 Net cash inflow (outflow) from investing activities (7,130) 10,767 Cash flows from financing activities Increase (decrease) in long-term liabilities Lease liabilities (220) (242) Net cash inflow (outflow) from financing acivities (220) (242) Net increase (decrease) in cash and cash equivalents (5,632) 9,645 Cash and cash equivalents at the beginning of the period 16,800 7,155 Cash and cash equivalents at the end of the period 11,168 16,800 The accompanying notes and exhibits are an integral part of this statement. 22 For the year ended 31 December, 2020 Notes to the financial statements (1) Statement of purpose annual financial contribution from the Government of Italy to Bioversity towards achievement of this mission. Bioversity hereinafter referred to as “Bioversity”, began operating in is exempt from direct (income) and indirect (value-added) 1974 and has evolved to meet the needs of stakeholders. taxation. In 2018, Bioversity signed a Memorandum of Understanding Financial support for the research agenda programme of Bioversity (MoU) with the International Center for Tropical Agriculture is provided by national governments, development agencies, (CIAT) towards establishment of an Alliance to deliver regional development organizations, development banks, United research-based solutions that address the global crises Nations agencies, universities, other CGIAR centers, scientific of malnutrition, climate change, biodiversity loss, and foundations and trusts, and private sector sources. environmental degradation. The MoU establishes the foundations of the Alliance of Bioversity and CIAT, including The CGIAR Portfolio 2017–2022 is comprised of eight its vision, mission and strategic objectives, one Board of Agri-Food system areas of work, four Global Integrating Trustees and one Director General based in Rome, Italy. programs and three research support Platforms. In 2020, In 2019, the Alliance launched its 2020-2025 strategy, An Bioversity was a partner in three Agri-Food System CGIAR Alliance for Accelerated Change: Food Systems Solutions at Research Programs: Forests, Trees and Agroforestry; Grains, the Nexus of Agriculture, Environment and Nutrition Legumes and Dryland Cereals, and Roots, Tubers and Bananas. The Organization also participated in four Global Bioversity is a CGIAR research center. CGIAR is a global Integrating Programs: Agriculture for Nutrition and Health; research partnership for a food-secure future. Its science is Climate Change, Agriculture and Food Security; Policies, carried out by 15 research centers in close collaboration with Institutions and Markets, and Water, Land and Ecosystems. hundreds of partners across the globe. Bioversity also participates in the Genebank, the Big Data, Vision the Excellence in Breeding Platforms, and the Gender Platform. CGIAR research is supported by contributors to Food systems and landscapes that sustain the planet, drive the CGIAR Trust Fund. prosperity and nourish people. A decision letter between the CGIAR System Organization Mission and the Lead Center for each CGIAR Research Program Bioversity’s mission is to deliver research-based solutions that or Platform approves the Annual Work Plan and Budget, harness agricultural biodiversity and sustainably transform food including annual allocation, and provides oversight for systems to improve people’s lives in a climate crisis. Bioversity implementation, disbursements and reporting requirements. works with local, national, and multinational partners across Program participants include other centers that are Africa, Asia, and Latin America and the Caribbean, and with the subcontracted by the Lead Center via a Program Participant public and private sectors and civil society. Agreement. The international status of Bioversity was conferred under Bioversity is not subject to statutory and regulatory laws an Establishment Agreement which has been signed and requiring the entity to prepare annual financial statements. ratified by 56 governments. In January 1994, arrangements However, following CGIAR governance requirements, with the Government of Italy to confirm Rome as Bioversity’s Bioversity International prepares annual financial statements headquarters were concluded and published in the Gazzetta in order to report to its stakeholders its operating performance Ufficiale no. 23 of 29 January 1994. An agreement (Legge and financial position. n.157) was passed into law on 4 August 2016, published in the Gazzetta Ufficiale n. 188 of 12 August 2016 and finally (2) Summary of significant accounting ratified on 26 October 2016. The agreement reinforces the policies long-standing partnership between Bioversity and Italy to advance research activities to use and safeguard agricultural The significant accounting policies adopted in the preparation biodiversity to create food systems and landscapes that of these financial statements are presented as follows. These sustain the planet, drive prosperity and nourish people. policies have been consistently applied to all the years shown, Towards such end, the agreement enshrines into law an unless otherwise stated. 1With effect from 1 December 2006, the International Plant Genetic Resources Institute (IPGRI) began operating under the name Bioversity International. 24 2.1 Basis of preparation Monetary assets and liabilities denominated in other currencies different from Bioversity’s functional currency These financial statements have been prepared in accordance are converted at the exchange rate in effect at the end of each with International Financial Reporting Standards (IFRS). financial period. Grants received in currencies other than The designation IFRS also includes International Accounting U.S. dollars are recorded at market exchange rates in effect Standards (IAS) as well as all the interpretations of the at the time the grant is received or, if outstanding as of 31 International Financial Reporting Interpretations Committee December, at the market exchange rate in effect at the end (IFRIC and SIC). of the year. Bioversity prepares its financial statements, except for cash Income and expenses in currencies other than U.S. dollars, flow information, under the accrual basis of accounting. as well as non-monetary assets and liabilities are recorded Under the accrual basis of accounting, transactions and at the official exchange rate on the dates of the transactions. events are recognized when they occur (and not when cash or Net gains/losses arising from exchange rate fluctuations are its cash equivalent is received or paid) and these are recorded reported under financial expenses. in the accounting books and reported in the financial statements during the periods to which they relate. Expenses 2.3 Revenue recognition are recognized in the statement of activities on the basis of a direct association between the costs incurred and the earnings Revenue is measured at the fair value of the consideration of specific items of revenue. received or receivable and recognized when prescribed conditions are met, which depend on the nature of the revenue. The financial statements have been prepared and presented in US Dollars (US$) which is Bioversity’s functional currency. Bioversity recognizes revenue when the related performance Unless otherwise indicated, all amounts are stated in obligation is satisfied, in line with IFRS 15 which is applicable thousands of US Dollars and have been rounded off to the to the Organization starting from 1 January 2018. The following nearest thousand currency units. paragraphs describe Bioversity’s activities and condition to consider the related performance obligations satisfied. Financial statement formats and related classification criteria adopted by Bioversity, in accordance with IAS 1 – Presentation 2.3.1 Grant revenue of Financial Statements, are as follows: Grants are recognized as revenues only when the conditions • Statement of financial position has been prepared using have been substantially met or the donor has explicitly the current/non-current distinction; waived the condition. • Statement of activities and other comprehensive income The major portion of Bioversity’s revenue is derived includes the income statement and other comprehensive through the receipt of donor grants – either ‘Unrestricted‘ income. The statement of activities has been prepared or ‘Restricted‘. by classifying expenses based on their function. Other (a) Unrestricted grant revenue comprehensive income includes re-measurement of employee benefit obligations; Unrestricted grants (including Government grants) are those received from unconditional transfers of cash or • Cash flow statement presents the cash flows generated other assets to Bioversity. by operating activities using the “indirect method”. Unrestricted grant revenue is split as follows: The financial statements are prepared on a going concern basis (see Note 32, Subsequent event – Coronavirus (Covid-19)). - Window 3: Funding that donors wish to allocate to Bioversity as unrestricted, but that flows through the 2.2 Functional currency and translation of foreign CGIAR Fund; currencies - Bilateral: Unrestricted funding that flows directly from Bioversity’s financial statements are presented in United donors to Bioversity. States dollars which is also the Organization’s functional currency. 25 Notes to the Financial Statements (b) Restricted grant revenue Accounts receivable from donors consist of claims from donors Restricted grants are those received from a transfer for grants pledged in accordance with the terms specified by the of resources to Bioversity in return for past or donor. It also pertains to claims from donors for expenses paid future compliance to the operating activities of the on behalf of projects in excess of cash received. Organization. All receivable balances are valued at their net realizable value, Restricted grant revenue is split as follows: that is, the gross amount of receivable minus, if applicable, allowances provided for doubtful accounts. - Windows 1 & 2: Funding from CGIAR Fund disbursed either directly or through Lead Centers; Allowances for doubtful accounts represent the expected credit losses on accounts receivables, in line with IFRS 9. The amount - Window 3: Funding that donors wish to allocate to in the allowance is based on historical trends and on a regular Bioversity for specific projects related to CGIAR Research review of receivable reports and other relevant factors. Programs or other research activities, but that flows through the CGIAR Fund; Any receivable or portion of receivable judged to be un-collectible is written off. Write-offs of receivables are done via allowance for - Bilateral: Funding that flows directly from donors to doubtful accounts after all efforts to collect have been exhausted. Bioversity for specific projects that are related either to CGIAR Research Programs or to other research activities. 2.5.1 Recognition - Unrestricted grants: receivables from unrestricted 2.3.2 Other revenue and gains grants are recognized in full in the period specified Interests, losses, and gains relating to financial instruments by the donor. Before an unrestricted grant can be are reported in the statement of activities as expense or recognized as revenue, sufficient verifiable evidence revenue. Interests are recorded using the effective interest should exist documenting that a commitment was made rate method which discounts future flows of payments by the donor and received by Bioversity. and cash receipts over the expected life of the financial instrument, or a shorter duration, as applicable, with respect - Restricted grants: receivables from restricted grants to the net carrying amount of the financial asset. are recognized in accordance with the terms of the underlying contract. Other revenues and gains include, but are not limited to income from hosting other entities, board member - Receivables from employees are recognized as they contributions, bad debt recovery and adjustments for prior arise and cancelled when payment is received. years accruals and accounting estimates. - Advances to other CGIAR Centres are recognized when the cash or other assets borrowed are delivered or 2.4 Cash and cash equivalents when payment is made for a liability of another Center. Cash and cash equivalents include cash on hand, petty - Other receivables are recognized upon the occurrence cash funds, demand deposits with financial institutions, of event or transaction which gives Bioversity a legal other short-term and highly liquid investments with claim against others. original maturities of three months or less that are readily convertible to known amounts of cash and which are subject 2.6 Short term investments to an insignificant risk of changes in value. Short term investments include investments acquired with 2.5 Accounts receivable original maturities of more than three months and expected to be realized within twelve months. Bioversity’s short term Receivables are recognized initially at fair value and subsequently investments are mainly composed of time deposits in US measured at amortized cost using the effective interest method dollars bearing interest at current bank rates. Investments less provision for impairment. Short term receivables with no are valued at their acquisition cost (including brokerage and stated interest rate are measured at the original invoice amount other transaction costs). because the effect of discounting is immaterial. As of 31 December 2020, Bioversity’s investments in time Receivables are generally defined as claims held against others deposits and money market funds, denominated in US for the future receipt of money, goods or services and include dollars amounted to $13.9m, of which $3.0m in time deposit claims from donors, advances to employees, and advances placements and $4.0m in money market funds were classified to other CGIAR Centers and claims against third parties for as cash equivalents (see Note 7). services rendered. 26 Notes to the Financial Statements 2.7 Property, plant and equipment 2.7.1 Property and equipment acquired from designated (restricted) funds Property and equipment are defined as tangible assets that: Property and equipment acquired from restricted funds are (a) are held by Bioversity for use related to the main expensed in accordance with the grant agreement. Property objectives of the Organization, including research and equipment previously owned by a restricted project is activities and administrative and technical support recognized in Bioversity’s books at fair or appraised values services; upon termination of the project if it is expressly provided (b) are expected to be used for more than one period; and, in the grant agreement that ownership of the item will be (c) have a minimum cost of US$ 2,500. transferred to the Organization. These assets are stated at historical cost less depreciation. 2.8 Right-of-Use Assets Historical cost includes expenditure that is directly The right-of-use asset is a lessee’s right to use an asset over attributable to the acquisition of the items. the life of a lease. Subsequent costs are included in the asset’s carrying amount IFRS 16 states that a customer has the right to direct the use or recognized as a separate asset, as appropriate, only when of an identified asset if either the customer has the right to it is probable that future economic benefits associated with direct how and for what purpose the asset is used throughout the item will flow to Bioversity and the cost of the item can be its period of use; or obtain substantially all of the economic measured reliably. The carrying amount of any component benefits from the use of the asset. accounted for as a separate asset is derecognized when replaced. All other repairs and maintenance are charged to The asset is calculated as the initial amount of the lease the statement of activities during the reporting period in liability, plus any lease payments made to the lessor before which they are incurred. the lease commencement date, plus any initial direct costs incurred, minus any lease incentives received. The assets’ residual values and useful lives are reviewed, and adjusted if appropriate, at the end of each reporting The right-of-use asset is subsequently depreciated. period. Depreciation is over the shorter of the useful life of the asset and the lease term, unless the title to the asset transfers at the An asset’s carrying amount is written down immediately end of the lease term. For Bioversity, depreciation is over the to its recoverable amount if the asset’s carrying amount is lease term. greater than its estimated recoverable amount. Gains or losses arising from the retirement or disposal of 2.9 Trade and other payables property and equipment are determined as the difference Trade payables are recognized initially at fair value and between the proceeds and the carrying amount of the asset subsequently measured at amortized cost using the effective and are recognized in the statement of activities as ‘Gain/ interest method. Short term payables with no stated interest rate Loss on sale of assets.’ are measured at the original invoice amount because the effect of Depreciation of property, plant and equipment is calculated discounting is immaterial. on the straight-line basis over their useful lives. Estimated Trade payables represent amounts due to donors, employees useful lives are as follows: and others for support, services and materials received prior to year-end but not paid for as of the date of the statement of Class of tangible assets Useful life in years financial position. Deferred income from donors include grants received from Building 40 donors for which conditions are not yet met to record as revenue Leasehold improvements Lessor of useful life or and amounts payable to donors in respect of any unexpended contract term funds received in advance for signed contracts. Furniture, fixtures and equipment 10 2.10 Provisions Scientific equipment 10 Provisions are recognized when: (a) Bioversity has a present ERP software 7 legal or constructive obligation as a result of past events, (b) Vehicles 7 it is probable that an outflow of resources will be required Computers 5 to settle the obligation and (c) the amount can be reliably estimated. Provisions are not recognized for future operating Purchased software 3 losses. 27 Notes to the Financial Statements When Bioversity expects some or all of a provision to be at end of service, calculated in accordance with the personnel reimbursed, the reimbursement is recognized as a separate policies of Bioversity. asset, but only when the reimbursement is certain. The expense relating to a provision is presented in the statement 2.12 Net assets of activities, net of any reimbursement. Net assets are the residual interest in Bioversity’s assets remaining after liabilities are deducted. 2.11 Employee benefits Net assets are classified as either undesignated, designated, 2.11.1 Short-term obligations or other comprehensive income. The short-term employee benefit obligations refer to the 2.12.1 Undesignated amount expected to be paid within twelve months if Bioversity has a present legal or constructive obligation to pay this - That part of net assets not designated by Bioversity’s amount as a result of past service provided by the employee management for specific purposes. and the obligation can be estimated reliably. These liabilities 2.12.2 Designated are measured on an undiscounted basis, expensed as the related service is provided and presented as current employee - That part of net assets that has been designated by benefit obligations in the statement of financial position. Bioversity’s management for replacing property and equipment, and other activities or purposes. 2.11.2 Separation allowance 2.12.3 Other comprehensive income The liability for separation allowance refers to accruals for end-of-service benefits due to staff members in accordance - Includes the actuarial gain/(loss) resulting from the with the personnel policies of Bioversity. valuation of the defined benefit plan. The liability recognized in the statement of financial position with the defined benefit plans is the present value of the (3) Application of new and revised defined benefit obligation at the end of the reporting period. International Financial Reporting Standards The defined benefit obligation is calculated annually by an (IFRS) independent actuary using the projected unit method. 3.1 New and amended standards that are effective The present value of the defined benefit obligation is for an annual period that begins on or after 1 determined by discounting the estimated future cash January 2020 outflows using interest rates of high-quality corporate bonds that are denominated in the currency in which the benefits 3.1.1 Amendments to References to the Conceptual will be paid, and that have terms approximating to the terms Framework in IFRS Standards of the related obligation. The IASB has issued amendments to References to the The net interest cost is calculated by applying the discount Conceptual Framework in IFRS Standards for Financial rate to the net balance of the defined benefit obligation. This Reporting that will be effective for annual reporting periods cost is included in ‘Finance expenses’ in the statement of beginning on or after 1 January 2020. activities. Key changes include: Re-measurement of gains and losses arising from experience - increasing the prominence of stewardship in the adjustments and changes in actuarial assumptions are objective of financial reporting; recognized in the period in which they occur, directly in other - reinstating prudence as a component of neutrality; comprehensive income. They are reported in the statement of changes in net assets and in the statement of financial position. - defining a reporting entity, which may be a legal entity, or a portion of an entity; Changes in the present value of the defined benefit obligation resulting from planned amendments or curtailments are - revising the definitions of an asset and a liability; recognized immediately in the statement of activities as past - removing the probability threshold for recognition and service costs. adding guidance on derecognition; adding guidance on 2.11.3 Other non-current liabilities due to employees different measurement basis, and; Other non-current liabilities include amounts due to - stating that profit or loss is the primary performance Internationally Recruited Staff for travel and shipping costs indicator and that, in principle, income and expenses in other comprehensive income should be recycled where 28 Notes to the Financial Statements this enhances the relevance or faithful representation of (4) Management of Financial Risks the financial statements. The activities of Bioversity are exposed to the following Bioversity has applied the revised Framework for the first time risks: market risk (including exchange rate risk), credit for the annual accounting period commencing 1 January 2020. risk, and liquidity risk. The Board-approved risk The application of the above-described amendments did not management policy puts in place a risk management have any significant impact on the Organization’s financial framework which is designed to systematically identify statements. high and significant risks and also puts in place controls for 3.1.2 Amendments to IAS 1 - Presentation of Financial managing those risks, so as to minimize their occurrence Statements and IAS 8 - Accounting Policies, Changes in to the extent possible, or minimize their impact on the Accounting Estimates and Errors: Definition of material ongoing operations of the Organization should they occur. Financial risk management is embedded in the overall risk The amendments are intended to make the definition of management framework of the Alliance. material in IAS 1 easier to understand and are not intended to alter the underlying concept of materiality in IFRS Standards. 4.1 Market risk The concept of ‘obscuring’ material information with immaterial information has been included as part of the new Bioversity is exposed to market risks associated with definition. exchange rates. The threshold for materiality influencing users has been (a) Foreign Exchange risk changed from ‘could influence’ to ‘could reasonably be Bioversity operates internationally and is exposed expected to influence’. to foreign exchange risk arising when its business The definition of material in IAS 8 has been replaced by a transactions are in currencies other than US dollars. The reference to the definition of material in IAS 1. In addition, foreign exchange risk primarily relates to foreign currency the IASB amended other Standards and the Conceptual denominated payables for local and international Framework that contain a definition of material or refer to the operations. Bioversity monitors the exposure to foreign term ‘material’ to ensure consistency. The amendments are exchange risk arising from operating activities and does applied prospectively for annual periods beginning on or after not use derivative financial instruments to hedge its 1 January 2020, with earlier application permitted. foreign exchange exposure in relation to investments or cash flows. Bioversity has applied the following amendments for the first time for the annual accounting period commencing 1 January (b) Price risk 2020. The application of the above-described amendments did Bioversity does not hold any financial instruments not have any significant impact on the Organization’s financial subject to price risk. statements. (c) Interest rate risk 3.2 Early Adoption of Standards Bioversity does not hold any borrowings from a third party and hence is not subject to interest rate risk. 3.2.1 Amendments to IFRS 16 - Covid-19 Related Rent Concessions 4.2 Credit risk On 28 May 2020, the IASB published an amendment to Bioversity’s credit risk represents the exposure of the the accounting standard IFRS 16 - Covid-19 Related Rent Organization to potential losses due to counterparty Concessions. The document provides lessees with the right inability to discharge the obligations undertaken. This to account for the reductions in fees related to Covid19 exposure mainly relates to trade receivables deriving without having to evaluate, through contract analysis, from claims from donors for grants promised or pledged whether the definition of lease modification of IFRS 16 is or for expenses paid on behalf of projects in excess of cash respected. The amendment is effective for annual reporting received. periods beginning on or after 1 June 2020. Earlier application is permitted, including in interim or year-end financial The credit risk is considered low due to the fact that donors statements not yet authorized for issue at 28 May 2020, to consist primarily of donor nations, development banks/ permit application of the relief as soon as possible, subject to organizations/agencies, UN agencies, large international any endorsement process. organizations and other CGIAR centers. In the ordinary course of the business, Bioversity faces the risk that Bioversity has early adopted this amended standard. The receivables may not be paid on the due date leading to early adoption of this amendment to the standard has no impairment and eventual default. material impact on the Organization’s financial statements. 29 Notes to the Financial Statements In order to mitigate the credit risk associated with its - “aging” accounts receivable (including donors counterparties, Bioversity regularly reviews its credit receivables) which means classifying open accounts exposure and monitors the collection of receivables on the receivable based on the length of time an invoice has contractually agreed due dates. The assets are reported been outstanding; gross of impairment losses calculated on the basis of the - reviewing open donors receivables which have been default risk of the counterparties, taking into account the past due for a long time and reasons for non-payment information available on solvency as well as historical data. have been investigated; those that were not written-off Credit risk arises from cash and cash equivalents and though considered to have high credit risk were left open deposits with banks and financial institutions as well because of justifiable reasons and treated separately in as accounts receivable. Credit risk is the risk that the the calculation of the bad debt provision; and counterparty will default on its contractual obligations - estimating the percentage of credit losses likely to occur resulting in financial loss to Bioversity. in each age group of accounts receivable considering For banks and financial institutions, only reputable well- Bioversity International’s historical credit loss established financial institutions are accepted. For trade experience adjusted by forward-looking information receivables: where correlation exists. • Reviews of aging reports are carried out monthly The movement in the allowance for uncollectible accounts in and provisions for doubtful amounts made for any respect of receivables during the year was as follows: potentially irrecoverable amounts. ($000s) • Advances to partner and hosted centers are subject to Bioversity’s internal requirements to limit losses As of December 31, 2019 77 arising from funds advanced by the Organization. Increase (decrease) due to the ECL The assets are reported gross of expected credit losses calculation (12) calculated based on the default risk of the counterparties, Uses (11) considering the information available on solvency as well as historical data. Provision for special open items 136 ($000s) As of December 31, 2020 190 At 31 At 31 December December 2020 2019 4.3 Liquidity risk Liquidity risk takes place when Bioversity does not have Accounts receivable enough financial resources available to meet its financial Not yet overdue 5,313 3,884 obligations and commitments when due. Prudent liquidity Overdue 91-180 days 122 340 risk management includes maintaining sufficient cash Overdue 181-270 days 162 526 balances and the availability of funding from bilateral donors. Overdue 271-365 days 105 400 Overdue by more than 365 Cash flows required to settle other financial liabilities, other days 304 than those to lenders, do not differ significantly from the recognized carrying amount. In this regard, it is noted that: Provision for doubtful receivables (190) (77) - various sources of financing are available from different 5,816 5,073 banks; - there is no significant concentration of liquidity risk, The allowance for doubtful accounts has been estimated either in relation to financial assets or in relation to the in compliance with IFRS 9 specifically, “Expected Credit sources of financing due to short-term period. Loss (ECL) calculation for financial instruments without a significant financial component - simplified approach”. Based on IFRS 9, the simplified approach that is required for certain trade receivables involves: 30 Notes to the Financial Statements ($000s) (6) Cash and cash equivalents Between Carrying Within 12 1 and 5 ($000s) amount months years At 31 At 31 December December As of December 31, 2020 2020 2019 Accounts Payables 7,861 7,861 Other current and non-current Cash in banks* 10,703 16,326 liabilities 5,272 4,337 935 Imprest Funds - Regional Offices 447 426 Total 13,133 12,198 935 Petty cash and travel funds 18 48 11,168 16,800 As of December 31, 2019 * Includes investments denominated in US dollars for $7.0m which have Accounts Payables 7,107 7,107 expired in January 2021 and classified as cash equivalents in accordance Other current and non-current with IAS 7.7 (“an investment normally qualifies as a cash equivalent only liabilities 4,925 3,763 1,162 when it has a short maturity of, say, three months or less from the date of acquisition”). Total 12,032 10,870 1,162 Cash in banks are denominated in US dollars and Euro. (5) C ritical accounting assumptions, Regional offices’ imprest funds are denominated in local estimates and judgements currencies (Euro, Uganda shillings, Central African francs, The preparation of financial statements requires management Indian rupee, Ethiopian birr, and Costa Rica colon), as well to make assumptions and to use judgements and estimates. as in US dollars. In certain cases, the application of accounting standards and The decrease in Cash in banks is mainly due to the increase in methods depend on subjective measurements and estimates time deposits of $6.994m reported as Short term investments based on experience and assumptions made on a case-by- (see Note 7). case basis which are considered reasonable and realistic in specific circumstances. The use of such assumptions, (7) Short term investments estimates and judgement affects the amounts reported in the statement of financial position, the statement of activities and ($000s) other comprehensive income, the statement of changes in net assets, the statement of cash flows and the notes to the At 31 At 31 December December financial statements. Actual results for such items may differ 2020 2019 from the amounts reported in the financial statements due to the uncertainties that characterize the assumptions and Investments with maturity of less conditions on which such estimates were made. Subjective than 1 year 6,994 0 judgment on the part of management when making estimates, and for which a change in the conditions underlying the assumptions used could have a significant impact on the As at 31 December 2020, an amount of $13.9m is placed in financial information reported or could require a material time deposits and money market funds denominated in US adjustment to the carrying amount of the asset or liability in dollars (see table below). future periods. As described in Note 6, $3.0m placed in time deposits and $4.0m invested in money market funds denominated in US dollars are classified and reported as cash equivalents. There is no change to the nature of investments. Bioversity invests cash in excess of its operating requirements in time deposits and money market funds. Short term investments as at 31 December 2020: 31 Notes to the Financial Statements Date of Amount invested Institution Type of investment investment Date of maturiy Rate US$ (‘000) Interest US$ (‘000) BNP Paribas Time deposit 21-Oct-20 1-Feb-21 0.40% 2,294 2 BNP Paribas Time deposit 3-Nov-20 12-Feb-21 0.38% 1,000 1 BNP Paribas Time deposit 7-Dec-20 15-Mar-21 0.40% 1,700 0 Banca Popolare di Sondrio Time deposit 22-Oct-20 22-Jan-21 0.20% 2,000 1 Short term investments 6,994 4 Banca Popolare di Sondrio Time deposit 27-Nov-20 27-Jan-21 0.23% 3,000 0 Bank of America MMF 1-Dec-20 31-Dec-20 0.05%* 4,002 0 Investments classified as cash equivalent 7,002 0 Total short-term investments 13,996 4 * average rate (8) Accounts receivable – donors (9) Accounts receivable – employees ($000s) ($000s) At 31 At 31 At 31 At 31 December December December December 2020 2019 2020 2019 Unrestricted W3 0 49 Loans 31 23 Restricted W3 335 751 Advances 25 41 Restricted Bilateral 1,661 2,343 56 64 W1&2 2,219 1,454 These amounts consist of salary advances to employees as 4,215 4,597 well as advances for duty travel. Less allowance for doubtful accounts (see Note 4.2) (190) (77) 4,025 4,520 Further detail is found in Exhibit 1. Accounts receivable from donors consists of claims from donors for grants promised or pledged in accordance with the terms specified by the donor. It also pertains to claims from donors for expenses paid on behalf of projects in excess of cash received. The decrease in 2020 was a result of continuing close monitoring of receivables and specifically, more frequent follow-up with donors. 32 Notes to the Financial Statements (10) Accounts receivable – CGIAR Centres (12) Prepaid expenses ($000s) ($000s) At 31 At 31 At 31 At 31 December December December December 2020 2019 2020 2019 CGIAR System Organization 0 19 Advances to partners: CIAT 1,147 3 CGIAR collaborators CIP 54 44 Africa Rice 5 0 ICARDA 1 103 CIMMYT 135 0 ICRISAT 23 0 Subtotal advances to CGIAR IITA 67 70 collaborators 140 0 ILRI 8 21 Non-CGIAR collaborators 2,978 1,997 IRRI 0 2 IWMI 3 17 Total advances to partners 3,118 1,997 WORLDFISH 0 12 Advance payments to suppliers 156 183 1,303 291 Prepaid rent 0 9 3,274 2,189 These amounts consist mainly of funds held by other CGIAR centers for the hosting of country and project offices’ activities of Bioversity in various locations. Bioversity pays advances to its collaborators for research work. These advances are then expensed once financial The increase in Accounts receivable with other CGIAR reports from collaborators are received. Compared to centers is due to the amount owed by CIAT to Bioversity 2019, the increase in advances to partners can be primarily for Intra-Alliance charges recorded from September to explained by the delay in the implementation of research December 2020, primarily related to the personnel costs of activities defined in the letters of agreement with partners Alliance shared positions hosted at Bioversity. due to Covid-19 restrictions. Bioversity conducted a follow Intra-Alliance charges consist of expenditures incurred by up on the execution of the activities defined in the Letters of one center on behalf of the other center. An Intra-Alliance Agreement and no issues have been identified which could account has been created where these transactions are compromise the successful completion of the assignments recorded. The reconciliation and settlement of this account according to the revised due dates. is performed on a quarterly basis. (13) Inventories (11) Accounts receivable – others This consists of a laboratory under construction in Uganda, The amount includes: funded by NARO as part of the project “Novel approaches to the improvement of banana production in Eastern Africa: ($000s) the application of biotechnological methodologies - Phase II” and which will be donated upon completion, foreseen within At 31 At 31 December December 2021. Works were not completed in 2020 and delayed due to 2020 2019 Covid-19 restrictions. Interest accrued 4 17 French value-added tax advanced 55 27 Other receivables 373 154 432 198 The increase in Other receivables is mainly due to cash advances paid for the renovation of the building which is going to be the new headquarters for the Alliance (see Note 32.1). 33 (14) Property, plant and equipment UNRESTRICTED (Center Assets) - ($000s) RESTRICTED (Project Assets) - ($000s) Physical Infrastructure Furnishing & Work in Physical Infrastructure Furnishing & Work in ($000s) facilities & leasehold equipment progress Total facilities & leasehold equipment progress Total Grand Total Year ended 31 December 2019 Cost At start of the year 1,578 4,225 5,803 242 242 6,045 Additions 6 21 27 6 6 33 Disposals (27) (172) (199) (2) (2) (201) Adjustment/Transfer * 485 485 (485) (485) 0 At end of year 1,557 4,559 6,116 (239) (239) 5,877 Accumulated Depreciation At start of the year (1,034) (3,750) (4,784) (54) (54) (4,838) Charge for the year (26) (157) (183) (65) (65) (248) Disposals 27 170 197 2 2 199 Adjustment/Transfer * (485) (485) 485 485 0 At end of year (1,033) (4,222) (5,255) 368 368 (4,887) Net book value at end of year 0 524 337 0 861 0 0 129 0 129 990 Year ended 31 December 2020 Cost At start of the year 1,557 4,559 6,116 (239) (239) 5,877 Additions 24 102 126 9 9 135 Disposals (52) (52) (34) (34) (86) Adjustment/Transfer * 485 485 (485) (485) 0 At end of year 1,557 5,016 102 6,675 (749) (749) 5,926 Accumulated Depreciation At start of the year (1,033) (4,222) (5,255) 368 368 (4,887) Charge for the year (24) (139) (163) (65) (65) (228) Disposals 50 50 34 34 84 Adjustment/Transfer * (485) (485) 485 485 0 At end of year (1,057) (4,796) (5,853) 822 822 (5,031) Net book value at end of year 0 500 220 102 822 0 0 73 0 73 895 * Refers to an annoted 2017 transfer from Restricted Fixed assets to Unrestricte Fixed assets (the transfer was recorded prior to the application of IFRS principles). Detailed Breakdown of Book Value of Property, Plant and Equipment UNRESTRICTED (Center Assets) - ($000s) RESTRICTED (Project Assets) - ($000s) Physical Infrastructure Furnishing & Work in Physical Infrastructure Furnishing & Work in ($000s) facilities & leasehold equipment progress Total facilities & leasehold equipment progress Total Grand Total Year ended 31 December 2019 Land* 133 133 133 Building* 341 341 341 Building improvements* 44 44 44 Leasehold improvements 6 6 6 Computers 29 29 29 Software - OCS 188 188 188 Office Furniture and Equipment 96 96 103 103 199 Motor Vehicles 24 24 26 26 50 Net book value at end of year 0 524 337 0 861 0 0 129 0 129 990 Year ended 31 December 2020 Land* 133 133 133 Building* 321 321 321 Building improvements* 42 42 42 Leasehold improvements 4 47 51 51 Computers 20 55 75 75 Software - OCS 94 94 94 Office Furniture and Equipment 90 90 64 64 154 Motor Vehicles 16 16 9 9 25 Net book value at end of year 0 500 220 102 822 0 0 73 0 73 895 * Located in Montpellier, France Notes to the Financial Statements (15) Right of use assets (17) Accounts payable – employees This consists of the capitalization of the rent contract for the ($000s) headquarters premises of Bioversity located in Maccarese (Rome), Italy, as per IFRS 16 (see Notes 2.8 and 22). The At 31 At 31 original term of the lease was for three years but in 2020 it December December 2020 2019 was changed to two years because of the planned move in 2021 to the new headquarters. The discount rate used, as in Unpaid leave* 394 819 previous year, is the incremental borrowing rate with one of Bioversity’s primary banks - Banca Popolare di Sondrio Separation** 72 18 lease rate (8.55%) and due to the shorter term of the lease Travel 2 37 agreement, the contract value and related useful life have Other 4 13 been decreased accordingly. 472 887 * Regular staff members accumulate paid vacation leave. Upon separation, ($000s) accumulated days as of 31 December plus any earned but unused days from Contract Net book the following 1 January to the date of termination will be paid in lump sum value Depreciation value within a maximum of 30 days. ** Accounts payable for separation are those amounts due for end of service At start of the benefits for staff who left Bioversity in 2020 and will be paid in 2021. year 745 -208 537 Compared to previous year, the decrease in Unpaid leave is primarily due to the mandatory use of vacation leave to Changes in the lease terms - reduce to a maximum year-end balance of 10 days. This decrease in the was a part of the mitigating mechanism put in place in 2020 duration of the called Solidarity Challenge to reduce the projected operating agreement (214) (30) (244) deficit for 2020. Depreciation of the year (18) Accounts payable − other CGIAR Centres amortization (287) (287) Net book value ($000s) at end of year 531 (525) 6 At 31 At 31 December December 2020 2019 (16) Deferred income from donors AFRICA RICE 5 0 ($000s) CGIAR System Organization 223 230 At 31 At 31 December December CIAT 0 90 2020 2019 ICRAF 0 162 ICRISAT 0 4 Unrestricted W3 0 0 IFPRI 0 2 Unrestricted Bilateral 0 0 IITA 0 53 Restricted W3 1,459 680 ILRI 0 147 Restricted Bilateral 4,256 3,517 WORLDFISH 14 1 W1&2 86 0 242 689 5,801 4,197 Further detail is found in Exhibit 1. 36 Notes to the Financial Statements (19) Accruals (21) Funds in trust ($000s) This account consists of (a) donor funds which are managed by Bioversity for ultimate beneficiaries other than the At 31 At 31 Organization, and (b) amounts received from other entities or December December amounts owed to Bioversity for hosting arrangements (refer 2020 2019 to the schedule reported below for detailed breakdown). CGIAR Centers 191 61 Bioversity provides hosting services for the operations of Non-CGIAR Centers 3,540 2,996 other CGIAR centers or other entities who collaborate with Others 567 463 the Organization on CGIAR Research Programs and/or on its other research-for-development activities. The terms 4,298 3,520 and conditions of the hosting arrangements are spelled out either in a Memorandum of Understanding or in a hosting The amount is composed of accruals made for supplies and agreement or both. services received and expenses incurred before year-end for Funds received from hosted entities are disbursed pursuant which invoices were not yet received or payment not made to the hosted entities’ instructions. Bioversity does not have as of the balance sheet date. This includes regional office control over the use of the funds received from hosted entities. expenditures not yet paid out of the imprest accounts as of The Organization charges its indirect cost recovery rate and year-end. fees as agreed and defined in the hosting agreements. The increase in Non-CGIAR Centers accruals can be Funds received and disbursed by Bioversity on behalf of explained mainly by the delay of the implementation of the hosted entities are accounted for as Funds-in-Trust and activities defined in the Letters of Agreement caused by reported in the statement of financial position. Fees earned Covid-19 restrictions. Based on the follow up conducted from hosting other entities are reported as other revenues by Bioversity with partners, no issues have been identified and gains in the statement of activities. which could compromise the successful completion of the activities and work defined in the Letters of Agreement according to the revised due dates. (20) Accounts payable – Others ($000s) At 31 At 31 December December 2020 2019 Non-CGIAR partners 682 674 Suppliers 411 573 Others 253 87 1,346 1,334 37 Notes to the Financial Statements ($000s) Balance Balance 1 January 31 December 2020 Receipts Disbursements 2020 Beneficiary CGIAR Advisory Services Shared Secretariat Hosted at Bioversity International HQ, Italy 774 4,573 (4,788) 559 CGIAR Systems Management Office Hosted at Bioversity International HQ, Italy (569) 1,877 (1,369) (61) CIFOR, Center for International Forestry Research CIFOR hosted at Bioversity International HQ, Italy (144) 705 (534) 27 EAT Foundation Fabrice DeClerck, 70% staff time hosted at Bioversity International (34) 81 (65) (18) ICRAF, World Agroforestry Centre Dietmar Stoian, hosted at Bioversity International (9) - (1) (10) IFPRI, International Food Policy Research Institute IFPRI hosted at Bioversity International HQ, Italy (84) 100 (18) (2) IITA, International Institute of Tropical Agriculture IITA personnel hosted by Bioversity International HQ, Italy (46) 153 (124) (17) ILRI, International Livestock Research Institute ILRI hosted at Bioversity International, Uganda office (244) 768 (621) (97) IRD, Institut de Recherche pour le Developpement, France IRD hosted at Bioversity International, Benin 0 2 (2) - IWMI, International Water Management Institute IWMI hosted at Bioversity International HQ, Italy (3) 34 (42) (11) Katholieke Universiteit Leuven (KUL) Sebastien Carpentier, 40% staff time hosted at Bioversity International (20) 57 (47) (10) IFPRI, International Food Policy Research Institute IFPRI hosted at Bioversity International, Belgium - 469 (475) (6) CIP, International Potato Center CIP hosted at Bioversity International, France - 74 (106) (32) WorldFish WorldFish hosted at Bioversity International, France - 2 (2) - 4 PER 1000 Initiative 4 per 1000 Initiative: soil for food security and climate, hosted at Bioversity International, France - 306 - 306 Subtotal - Funds in Trust (379) 9,201 (8,194) 628 Beginning balance of Accounts receivable with CIAT for Alliance Shared positions hosted at Bioversity International HQ, Italy reclassified in 2020 (87) 0 87 0 Total - Funds in Trust (466) 9,201 (8,107) 628 38 Notes to the Financial Statements (22) Lease liabilities The following table sets forth principal assumptions underlying the actuarial calculation of the provision for The lease liabilities consist of the current and non-current Separation allowances: portions due for the rent contract for the headquarters building in Italy (see Note 15). The current portion is due At 31 At 31 within one year of the balance sheet date. December December 2020 2019 ($000s) At 31 At 31 Principal assumptions December December Inflation rate 2% 2% 2020 2019 Discount rate LRS 1.27% 1.97% Lease liability current 39 243 Discount rate IRS 1.36% 2.39% Lease liability non-current 0 260 Salary growth rate LRS 2% 3% 39 503 Salary growth rate IRS 2% 3% The decrease in lease liabilities is due to the reduction in the Turnover rate IRS 5% 5% duration of the lease agreement (see Notes 15 and 32.1). Turnover rate LRS 5% 5% (23) Non-current liabilities – employees The Bioversity Employee Benefits Programme (EBP) replaces The defined employee benefit consists of accruals for end- the social security programmes of its various host countries. of-service benefits due to staff members, specifically for The EBP was established by CGIAR and adopted by all of its separation allowances, calculated in accordance with the institutions. It provides a comprehensive package of insurance personnel policies of Bioversity. An actuarial calculation was and fund accumulations to meet staff members’ and their carried out as required by IAS 19, Employee Benefits. dependents’ needs during employment and for retirement. ($000s) The EBP is fully funded by Bioversity. No deductions from salary are required from staff members. As of 31 December, 2018 4,111 Bioversity makes contributions on behalf of staff members to Service cost 167 the pension plan managed by the Association of International Interest expense on employee benefits 75 Agricultural Research Centers (AIARC). These contributions Foreign exchange (50) are charged against revenue in the year in which the benefit Utilizations and advances (478) accrues. Therefore, Bioversity has no future obligations for retirement benefits for its staff members. Actuarial (gain)/loss 651 As of 31 December, 2019 4,476 The contribution to the AIARC administered pension plan amounted to $1,599 thousand in 2020; $1,470 thousand in 2019. Service cost 337 Interest expense on employee benefits 45 (24) Other non-current liabilities Foreign exchange 283 This consists of liabilities towards the Internationally Utilizations and advances (938) recruited staff (IRS) of Bioversity International for travel and Actuarial (gain)/loss 439 shipping costs at end of service, calculated in accordance As of 31 December, 2020 4,642 with the personnel policies of Bioversity. 39 Notes to the Financial Statements (25) Net assets (26) Other revenues and gains ($000s) ($000s) At 31 At 31 2020 2019 December December 2020 2019 Income from hosting other entities* 748 540 Board members contributions 1 3 Undesignated 8,023 7,174 Adjustment for prior years' Designated accruals** 41 122 Property, Plant and Equipment 901 1,527 Miscellaneous income*** 60 284 Reserve for Replacement of Total Other Revenues and gains 850 949 Property, Plant and Equipment 2,226 1,602 * The increase in income from hosting other entities is due to the increase Total Designated 3,127 3,129 in services rendered to CGIAR centers and other entities which Bioversity International is hosting during 2020 (see Note 21 Funds in Trust). Other Comprehensive Income ** This amount is mainly composed of the closure of unused repatriation accruals for staff who have left Bioversity as well as the cumulative differences between Actuarial gain/(loss)  (1,089) (650) accrual estimates from previous years and the actual amounts paid in 2020 Total Net Assets 10,061 9,653 for all Bioversity’s locations. *** This amount includes minor adjustments made during the year to partners and employees’ liabilities. The overall change in net assets represents the total gains and losses generated by Bioversity’s activities during the year (see Note 2.12). As per IAS 19 Defined benefit plans, the liability for separation allowance must be revalued on an annual basis by an actuary. The actuarial gain/loss is then reflected in the statement of activities and other comprehensive income and is reflected in the net assets under Other Comprehensive Income – Actuarial gain/(loss). 40 (27) Operating Expenses The breakdown of total operating expenses by natural classification is as follows: Expenses by Natural Classification 2020 ($000s) 2019 ($000s) Unrestricted Restricted Total Unrestricted Restricted Total ($000s) ($000s) Non- Non- Non- Grand Non- Non- Non- Grand Portfolio Portfolio Portfolio Portfolio Portfolio Portfolio Total Portfolio Portfolio Portfolio Portfolio Portfolio Portfolio Total Expenses and Losses Personnel costs 1,039 1,905 6,555 882 7,594 2,787 10,381 1,335 3,008 7,311 792 8,646 3,800 12,446 CGIAR Collaborator Expenses 586 586 586 47 47 47 Non CGIAR Collaborator Expenses 12 2,989 333 3,001 333 3,334 18 10 4,394 406 4,412 416 4,828 Supplies and services 1,431 418 5,325 726 6,756 1,144 7,900 1,568 1,514 6,063 527 7,631 2,041 9,672 Travel 23 99 22 99 45 144 4 238 698 177 702 415 1,117 Depreciation/Amortization 451 65 65 451 516 392 64 64 392 456 Cost sharing percentage 46 62 159 19 205 81 286 55 61 152 18 207 79 286 Total direct costs 2,528 2,859 15,192 2,568 17,720 5,427 23,147 2,980 5,223 18,729 1,920 21,709 7,143 28,852 Indirect cost recovery (2,351) 2,059 292 2,059 (2,059) 0 1,002 (3,745) 2,476 267 3,478 (3,478) 0 Total-all costs 2,528 508 17,251 2,860 19,779 3,368 23,147 3,982 1,478 21,205 2,187 25,187 3,665 28,852 Notes to the Financial Statements (28) Financial Income and Expenses (30) Indirect cost ratio ($000s) The indirect cost ratios for Bioversity of 11.69% in 2020 and 16.87% in 2019 are disclosed in Exhibit 6. 2020 2019 The calculation of the indirect cost ratio is in line with Financial Income: the CGIAR Cost Principles and Indirect Cost Guidelines Interest income 71 238 approved by the System Management Board with effect from 3 April 2019. These Guidelines and Cost Principles 71 238 are intended to guide the CGIAR Centers in calculating their indirect cost allocation and applying these costs Financial expenses: appropriately. There is no prescribed or one single rate Interest expense from actuary 45 75 possible as costs and structures of all organizations are Interest expense from lease different. The guidelines are intended only to guide liability (IFRS 16) 19 64 harmonization of the methodology of arriving at the Foreign exchange (gain)/loss 201 99 indirect cost rate of a CGIAR Center. The driving principle 265 238 of this guideline is to ensure that expenses that are directly attributable to project outcomes and outputs are classified as direct costs and any expenses associated with the The variation in financial income and expenditures is mainly management of the Center and running of the business, are due to foreign exchange losses generated by the change in classified as Indirect Costs. the USD/Euro exchange rates. The guidelines for Indirect Cost allocations aim to harmonize (29) Other Non-Operating Income not only between Centers but also with the multiple Funders of the CGIAR System. The guidelines provide a framework Other non-operating income is income arising from sources to harmonize policies and definitions on indirect cost that are not related to Bioversity’s regular operations. allocation. There is no universal rule for classifying certain This amount consists primarily of the differences between costs as either direct or indirect under every accounting the service costs related to staff separation allowances for system. A cost may be direct with respect to some specific the year 2020 as calculated following Bioversity’s Personnel service or function, but indirect with respect to the donor Policies and Procedures and as calculated by the independent award or another final cost objective. Therefore, it is essential actuary following statistical assumptions required by that each item of the cost incurred for the same purpose be IAS 19 revised (see Notes 2.11.2, 23).The harmonization treated consistently in like circumstances either as a direct of job classification and compensation framework in the or an indirect cost to avoid possible double charging of Alliance has been implemented with an effective date of donor awards. One of the objectives of the guidelines is 1 September 2020. The new Alliance framework involved to determine direct and indirect costs for the purpose of a new compensation system which is applicable to all achieving full cost accounting. However, cost recovery Internationally Recruited Staff (IRS) employees. The new is determined by provisions set out in donor awards (for compensation framework applied to all IRS regardless example: award value, cost restrictions). Any difference of their employing entity within the Alliance, resulted between full cost accounting and cost recovery will result in in a difference between the calculation of the separation a projected surplus or deficit. allowance service cost performed by Bioversity and by the The method of calculating the indirect cost rate is designed actuary; the amount is $269k. to be an equitable, logical and consistent method for the allocation of costs in an economically feasible manner that ($000s) cannot be directly allocated to a specific project or research award. The extent to which indirect costs are recoverable is Separation allowance service cost as per Bioversity International Personnel Policies and 605 dictated by donor agreements. Procedures This CGIAR Cost Principles and Indirect Cost Guidelines Separation allowance service cost as per replaces the previous CGIAR Financial Guideline number 5. actuary 366 The principles and guidance contained in this guideline are 269 not intended to conflict with the requirements of International Financial Reporting Standards (IFRS). Detailed guidance on IFRS for CGIAR Centers can be found in the IFRS Compliant CGIAR Financial Reporting Guidelines. 42 Notes to the Financial Statements The institutional indirect cost rate for 2020 decreased to financial reporting practices of both centers, specifically on 11.69%; from 16.87% for 2019. the presentation of the financial statements. As prescribed The decrease of 5.18% can be primarily explained by (1) by IAS 8, any changes will be reported in the 2021 financial a reduction of 18% in research expenses as the result of statements. Bioversity expects that any change in accounting Covid-19 restrictions specifically on fieldwork activities; policy, as the result of the Alliance harmonization process, and (2) a reduction of 43% in general and administration will only result in reclassifications and not restatements expenses, also as a result of Covid-19 restrictions but mainly of comparative figures in the Organization’s financial due to the costs reduction brought about by the operational statements in future periods. alignment within the Alliance. 32.3 Coronavirus (Covid – 19) With the implementation of the Alliance Partnership On 11 March 2020, Covid-19 was declared a global pandemic Agreement between Bioversity International and the by the World Health Organization. The pandemic has International Center for Tropical Agriculture (CIAT) effective caused economic and operational disruptions on a global 1 January 2020, all costs related to establishing and running scale. This has subsequently affected Bioversity’s operations the Alliance will be shared between the two centers as per the by closure of the physical offices in all parts of the world proportion defined in the Alliance Partnership Agreement. in compliance with Covid-19 restrictions applicable to Bioversity has applied the cost-sharing mechanism as per each country and staff were requested to work remotely the Alliance Partnership Agreement commencing 1 January from home. The Organization’s research activities have 2020 for the personnel costs of Alliance shared global been disrupted e.g. full/partial suspension of duty travels, positions hosted at Bioversity’s headquarters in Italy. interruption of field activities, postponement of workshops and conferences scheduled in coming months or moved to (31) Prior year comparatives digital platforms. However, leveraging on the technology Prior year amounts can be reclassified/regrouped wherever available and implementing more robust IT structures, necessary, to conform to current year’s classifications. There work that can be carried out at the desk, where possible, has were no reclassifications needed in 2020. been taken to ensure continuity of operations and delivery of timely and high-quality outputs. (32) Subsequent events The financial results of 2020 operations demonstrated that the pandemic did not have significant negative impact 32.1 New headquarters for the Alliance on Bioversity’s operations. Based on various assessments The Alliance of Bioversity and CIAT is relocating its new performed on the impact of Covid-19 on the Organization’s headquarters to the Aventine Hill in the center of Rome financial operations, liquidity and credit risks remain by May 2021; the initial due date was December 2020. The low. Bioversity does not expect any unusual impairment delay of the move to the new headquarters was caused by on donor receivables. The current investment portfolio of the slowdown in the renovation works on the building due Bioversity is prudently built within the framework of the to Covid-19 restrictions. Driven by strategic, operational investment policy oriented towards capital preservation. and logistic potential, the move to the new headquarters The low investment income in 2020 can be primarily will have a positive impact on partnerships, networking, explained by the prevailing global trend of low interest collaboration, facilities and workplace flexibility. rates and not as a consequence of Covid-19. During 2020 management implemented very quickly 32.2 Operational Alignment in the Alliance of mitigating measures to address the foreseen negative Bioversity International and CIAT impacts of the pandemic while maintaining continuing The implementation of a roadmap to operationalize the operations and the Alliance integration process (see Note Alliance of Bioversity and CIAT started in January 2020. 30). One of the primary components of the roadmap is the Donors have been informed subsequently about the possible alignment and harmonization of operations and procedures impact of the pandemic on specific project deliverables. A aimed to reduce transactions and provide efficient support review of the impact on each project is continuously being to the Alliance’s research strategy and results framework carried out. Most, if not all, of Bioversity’s donors have for increased effectiveness and impact. The ongoing confirmed their support in extending the project durations operational alignment workstream within the Alliance to enable the Organization to deliver the defined outputs on will result in some changes in accounting policies for both the affected programme components. Bioversity and CIAT that would have an impact on the 43 Notes to the Financial Statements The Board and management continue to closely monitor and assess the developments and the impact of Covid-19 on Bioversity’s operations. The Board approved a balanced budget for 2021. Through the Alliance, Bioversity have a robust project pipeline, and a vast number of engagements and commitments in 2021 that will enable the Organization to have a successful 2021. 44 Exhibits Exhibits SCHEDULE OF EXHIBIT 1 GRANT REVENUE For the years ended 31 December, 2020 and 2019 (US dollar 000s) Funds Receivables Deferred Grants revenue Donors available from donors revenue 2020 2019 A. Unrestricted Window 3 - Unrestricted China - CAAS, Chinese Acedemy of Agricultural 10 10 50 Sciences Subtotal Window 3 - Unrestricted 10 0 0 10 50 Bilateral - Unrestricted Italy 2,935 2,935 2,843 Philippines 15 15 15 Subtotal Bilateral - Unrestricted 2,950 0 0 2,950 2,858 Total - Unrestricted 2,960 0 0 2,960 2,908 46 SCHEDULE OF EXHIBIT 1 GRANT REVENUE For the years ended 31 December, 2020 and 2019 (US dollar 000s) Funds Receivables Deferred Grants revenue Donors available from donors revenue 2020 2019 B. Restricted Windows 1 & 2 CGIAR Fund 5,763 2,219 (86) 7,896 8,726 Subtotal - Windows 1 & 2 5,763 2,219 (86) 7,896 8,726 Window 3 Austria - ADA, Austrian Development Agency 211 Belgium - DGDC, Directorate General for Development Cooperation 1,267 (393) 874 1,212 China - CAAS, Chinese Academy of Agricultural Sciences 150 50 (50) 150 150 IFAD, International Fund for Agricultural Development 699 285 (126) 858 1,366 India - ICAR, Indian Council of Agricultural Research 394 394 1,125 Japan - MOFA, Ministry of Foreign Affairs 40 40 51 South Africa - DAFF, Department of Agriculture, Forestry and Fisheries 130 (106) 24 58 USA - USAID, United States Agency for International Development 800 (784) 16 Subtotal-Window 3 3,480 335 (1,459) 2,356 4,173 Bilateral Australia - ACIAR, Australian Centre for International Agricultural Research 63 Australia - DFAT, Department of Foreign Affairs and Trade 96 BIOVISION, Foundation for Ecological Development 118 1 119 82 Blommer Chocolate Company 377 (199) 178 75 Brazil - EMBRAPA, Empresa Brasileira de Pesquisa Agropecuaria 4 Burundi-PRRPB-Projet de Restauration et de Resilience du Paysage du Burundi 52 (8) 44 CGIAR Fund 678 (192) 486 CFHI - Child Family Health International 7 (7) Christensen Fund 166 2 (58) 110 110 CIAT, International Center for Tropical Agriculture 78 50 (16) 112 47 CIFOR, Center for International Forestry Research 13 Crop Trust 669 207 876 711 CRS, Catholic Relief Services 9 CTA, Technical Centre for Agricultural and Rural Cooperation 19 19 49 EC, European Commission 513 1 (252) 262 212 ECA, European Cocoa Association (26) 26 151 47 SCHEDULE OF EXHIBIT 1 GRANT REVENUE As of 31 December, 2020 and 2019 (US dollar 000s) Funds Receivables Deferred Grants revenue Donors available from donors revenue 2020 2019 B. Restricted Bilateral EU, European Countries 1,012 (630) 382 443 FAO, Food and Agriculture Organization 106 81 (5) 182 335 FAO-GEF, Food and Agriculture Organization/ Global Environment Facility 39 42 81 109 Fondation Prince Albert II de Monaco 7 (7) Fondo Binacional para la Paz y el Desarrollo Perú–Ecuador 11 11 49 France - CIRAD, Centre de Cooperation Internationale en Recherche Agronomique Pour 19 (8) 11 73 le Developpement The Fridtjof Nansen Institute 4 (2) 2 Germany - BMEL, Federal Ministry of Food and Agriculture 433 (66) 367 245 Germany - GIZ, Deutsche Gesellschaft für Internationale Zusammenarbeit GmbH 1,345 95 (286) 1,154 704 GMRI, Guangxi Maize Research Institute 3 Harvest Plus 18 18 88 HealthPartners, Uganda 6 9 15 3 ICCO, International Cocoa Organization 207 (69) 138 7 ICRAF, World Agroforestry Centre (43) 43 334 IITA, International Institute of Tropical Agriculture 303 177 (148) 332 759 ILRI, International Livestock Research Institute 61 16 77 Italy 1,359 7 (731) 635 725 Japan - MAFF, Ministry of Agriculture, Forestry and Fisheries 420 (248) 172 259 KIT, Royal Tropical Institute 1 41 42 33 Korea - RDA, Rural Development Administration 41 KSE, Kenya Society of Ethnoecology 4 KUL, Katholieke Universiteit Leuven 17 17 23 LWR, Lutheran World Relief 264 70 334 228 McGill University 31 McKnight Foundation 196 Multi-Donors to Cocoa of Excellence 79 (25) 54 74 Multi-donors to Honorariums 94 (7) 87 50 Multi-donors to Support to CacaoNET 14 (3) 11 8 Small Grants - Lever 1 (A1456) 17 17 Small Grants - Lever 4 (A1451) 7 5 12 Netherlands - NWO, Netherlands Organisation for Scientific Research 295 31 326 247 Netherlands - MoA, Ministry of Agriculture Nature and Food Quality 118 (12) 106 108 New Venture Fund 5 5 18 Norway - NIBIO, Norwegian Institute of Bioeconomy 5 5 48 SCHEDULE OF EXHIBIT 1 GRANT REVENUE As of 31 December, 2020 and 2019 (US dollar 000s) Funds Receivables Deferred Grants revenue Donors available from donors revenue 2020 2019 B. Restricted Bilateral OSU, Oregon State University 17 PACKARD, The David and Lucile Packard Foundation 164 (114) 50 36 Peru - STC, Secretaria Tecnica del CGIAR 162 (93) 69 73 PSU, Pennsylvania State University 15 RSF Social Finance 7 7 73 Switzerland - SDC, Swiss Agency for Development Cooperation 618 (284) 334 424 SYNGENTA, Company for Sustainable Agriculture 11 11 43 TROCAIRE (23) 23 18 UGANDA - NARO, The National Agricultural Research Organisation 603 (357) 246 362 United Kingdom - DI, Darwin Initiative 236 (65) 171 121 United Kingdom - ESRC, Economic and Social Research Council 63 Sustainable Development Solutions Network Inc. * 42 45 87 UNEP-GEF, United Nations Environment Programme/Global Environment Facility 810 566 (306) 1,070 1,577 University of Oxford 12 22 34 53 University of Queensland 181 18 199 48 USA - USAID, United States Agency for International Development 6 USA - USDA, United States Department of Agriculture 481 481 99 VITO, Vlaamse Instelling voor Technologisch Onderzoek 56 (3) 53 67 WB, World Bank 46 26 72 WCF, World Cocoa Foundation 32 32 52 WUR, Wageningen University 199 (55) 144 247 WYG International Limited 280 Subtotal - Bilateral 12,454 1,661 (4,256) 9,859 10,493 Total - Restricted 21,697 4,215 (5,801) 20,111 23,392 Grand Total 24,657 4,215 (5,801) 23,071 26,300 49 SCHEDULE OF EXHIBIT 2 GRANT PLEDGES AND EXPENSES For the year ended 31 December, 2020 (US dollar 000s) Agreement Total Grant Expenditure Expenditure Total Deferred Donor and Program/Project code CRP Start Date End Date Pledge Prior years Current year Expenditure Depreciation Balance Windows 1 & 2 CGIAR Fund CGIAR Funding to support Bioversity/CIAT transition costs A1366 Non-CRP 1-Jan-18 31-Dec-20 683 317 366 683 0 Subtotal - CGIAR Fund 683 317 366 683 0 0 CIAT, International Center for Tropical Agriculture CIAT CCAFS Climate Change, Agriculture and Food Security A1261 CRP22 1-Jan-17 31-Dec-21 2,058 1,605 425 2,030 28 CCAFS CIAT The Big Data Coordination Platform A1263 PTF32 1-Jan-17 31-Dec-21 1,228 1,061 158 1,219 9 BIG DATA Subtotal - CIAT, International Center for Tropical 3,286 2,666 583 3,249 0 37 Agriculture CIFOR, Center for International Forestry Research CIFOR FTA Forest, Trees and Agroforestry A1260 CRP12 1-Jan-17 31-Dec-21 2,735 2,068 667 2,735 0 FTA Subtotal - CIFOR, Center for International Forestry 2,735 2,068 667 2,735 0 0 Research CIP, International Potato Center CIP RTB Roots, Tubers and Bananas A1257 CRP16 1-Jan-17 31-Dec-21 12,742 9,833 2,905 12,738 4 4 RTB Subtotal - CIP, International Potato Center 12,742 9,833 2,905 12,738 4 4 CROP TRUST CROP TRUST Genebank Platform A1262 PTF33 1-Jan-17 31-Dec-21 6,289 4,949 1,316 6,265 11 24 GENE- BANK Subtotal - CROP TRUST 6,289 4,949 1,316 6,265 11 24 ICRISAT, International Crops Research Institute for the Semi-Arid Tropics ICRISAT GLDC Grain Legumes and Dryland Cereals A1345 CRP18 1-Jan-18 31-Dec-21 305 224 81 305 0 GLDC Subtotal - ICRISAT, International Crops Research Institute 305 224 81 305 0 0 for the Semi-Arid Tropics SCHEDULE OF EXHIBIT 2 GRANT PLEDGES AND EXPENSES For the year ended 31 December, 2020 (US dollar 000s) Agreement Total Grant Expenditure Expenditure Total Deferred Donor and Program/Project code CRP Start Date End Date Pledge Prior years Current year Expenditure Depreciation Balance Windows 1 & 2 IFPRI, International Food Policy Research Institute IFPRI PIM Policies, Institutions and Markets A1256 CRP23 1-Jan-17 31-Dec-21 1,515 1,013 490 1,503 12 PIM IFPRI A4NH Agriculture for Nutrition and Health A1258 CRP21 1-Jan-17 31-Dec-21 2,943 2,256 677 2,933 10 A4NH Subtotal - IFPRI, International Food Policy Research 4,458 3,269 1,167 4,436 0 22 Institute ILRI, International Livestock Research Institute ILRI-CGIAR Gender equality in food systems research platform A1457 Non-CRP 1-Jan-20 31-Dec-21 289 0 289 289 0 Subtotal - ILRI, International Livestock Research Institute 289 0 289 289 0 0 IWMI, International Water Management Institute IWMI WLE Water, Land and Ecosystems A1259 CRP24 1-Jan-17 31-Dec-21 2,342 1,154 522 1,676 666 WLE Subtotal - IWMI, International Water Management Institute 2,342 1,154 522 1,676 0 666 Total - Windows 1 & 2 33,129 24,480 7,896 32,376 15 753 SCHEDULE OF EXHIBIT 2 GRANT PLEDGES AND EXPENSES For the year ended 31 December, 2020 (US dollar 000s) Agreement Total Grant Expenditure Expenditure Total Deferred Donor and Program/Project code CRP Start Date End Date Pledge Prior years Current year Expenditure Depreciation Balance Windows 3 Belgium - DGDC, Directorate General for Development Cooperation BELGIUM - DGDC More Fruit for food security (ITC) A1299 CRP16 1-Sep-17 31-Dec-21 3,249 2,128 835 2,963 286 RTB BELGIUM - DGDC Safeguarding crop diversity (Cryovault) A1300 Non-CRP 1-Sep-17 31-Dec-21 479 318 39 357 122 Subtotal - Belgium - DGDC, Directorate General for 3,728 2,446 874 3,320 0 408 Development Cooperation China - CAAS, Chinese Academy of Agricultural Sciences CHINA - CAAS 2020 Program on agrobiodiversity research in A1407 CRP22 1-Jan-20 31-Dec-20 30 0 30 30 0 China and training of Chinese scientists CCAFS CHINA - CAAS 2020 (NON CRP) Program on agrobiodiversity A1439 Non-CRP 1-Jan-20 31-Dec-20 120 0 120 120 0 research in China and training of Chinese scientists Subtotal - China - CAAS, Chinese Academy of Agricultural 150 0 150 150 0 0 Sciences IFAD, International Fund for Agricultural Development IFAD (EC) Linking agrobiodiversity value chains and climate A1224 CRP21 28-Nov-15 31-Mar-20 1,688 1,685 3 1,688 0 adaptation: empowering the poor to manage risk A4NH IFAD Linking Research to Impact: increasing the effectiveness of A1296 CRP21 31-Jul-17 31-Mar-22 2,520 439 227 666 1,854 agriculture and food systems in improving nutrition projects A4NH IFAD Use of Genetic Diversity and Evolutionary Plant Breeding A1341 CRP24 18-May- 30-Jun-22 3,500 1,213 628 1,841 1,659 for Enhanced Farmer Resilience to Climate Change, Sustainable WLE 18 Crop Productivity and Nutrition under Rainfed Conditions Subtotal - IFAD, International Fund for Agricultural 7,708 3,337 858 4,195 0 3,513 Development SCHEDULE OF EXHIBIT 2 GRANT PLEDGES AND EXPENSES For the year ended 31 December, 2020 (US dollar 000s) Agreement Total Grant Expenditure Expenditure Total Deferred Donor and Program/Project code CRP Start Date End Date Pledge Prior years Current year Expenditure Depreciation Balance Windows 3 India - ICAR, Indian Council of Agricultural Research INDIA - ICAR Use and conservation of agrobiodiversity for A1344 CRP16 1-Jan-18 31-Dec-21 178 114 3 117 61 increased agricultural sustainability, smallholder wellbeing and RTB resilience to climate change in India - Phase II INDIA - ICAR Use and conservation of agrobiodiversity for A1344 CRP12 1-Jan-18 31-Dec-21 882 434 145 579 303 increased agricultural sustainability, smallholder wellbeing and FTA resilience to climate change in India - Phase II INDIA - ICAR Use and conservation of agrobiodiversity for A1344 CRP24 1-Jan-18 31-Dec-21 837 303 246 549 288 increased agricultural sustainability, smallholder wellbeing and WLE resilience to climate change in India - Phase II INDIA - ICAR Use and conservation of agrobiodiversity for A1344 CRP18 1-Jan-18 31-Dec-21 162 106 0 106 56 increased agricultural sustainability, smallholder wellbeing and GLDC resilience to climate change in India - Phase II Subtotal - India - ICAR, Indian Council of Agricultural 2,059 957 394 1,351 0 708 Research Japan - MOFA, Ministry of Foreign Affairs JAPAN - MOFA 2020 Community plant genetic resources use and A1447 Non-CRP 1-Jan-20 31-Dec-20 40 0 40 40 0 conservation in East Africa &Promoting use of underutilized crop species for endogenous community development Subtotal - Japan - MOFA, Ministry of Foreign Affairs 40 0 40 40 0 0 South Africa - DAFF, Department of Agriculture, Forestry and Fisheries SOUTH AFRICA - DAFF Farmers' seed systems and community seed A1343 CRP22 1-Jul-18 31-Aug-21 240 109 24 133 107 banks in South Africa: a baseline study of selected sites - Phase II CCAFS Subtotal - South Africa - DAFF, Department of Agriculture, 240 109 24 133 0 107 Forestry and Fisheries USA - USAID, United States Agency for International Development USAID - Cadmium Absorption in Cacao A1452 CRP12 17-Nov-20 30-Sep-23 800 0 16 16 784 FTA Subtotal - USA - USAID, United States Agency for 800 0 16 16 0 784 International Development Total - Windows 1 & 2 14,725 6,849 2,356 9,205 0 5,520 SCHEDULE OF EXHIBIT 2 GRANT PLEDGES AND EXPENSES For the year ended 31 December, 2020 (US dollar 000s) Agreement Total Grant Expenditure Expenditure Total Deferred Donor and Program/Project code CRP Start Date End Date Pledge Prior years Current year Expenditure Depreciation Balance Bilateral BIOVISION, Foundation for Ecological Development BIOVISION Improving access to and benefits from a wealth of A1318 CRP21 1-Jan-18 31-Dec-20 263 144 119 263 0 diverse seeds to support on-farm biodiversity for healthy people A4NH in resilient landscapes in Vihiga County, Kenya Subtotal - BIOVISION, Foundation for Ecological 263 144 119 263 0 0 Development Blommer Chocolate Company BLOMMER (MARS) Natural capital development in cocoa A1417 CRP12 20-Oct-19 31-May-21 905 75 178 253 652 growing communities supplying Blommer in Lakota and Vavoua FTA departments, Côte d’Ivoire Subtotal - Blommer Chocolate Company 905 75 178 253 0 652 Burundi-PRRPB-Projet de Restauration et de Resilience du Paysage du Burundi PRRPB (World Bank) Services de Consultants pour une A1453 CRP12 27-Oct-20 26-Dec-22 518 0 44 44 474 Assistance Technique dans l’acquisition des semences FTA améliorées et la formation en développement des pépinières communautaires Subtotal - Burundi-PRRPB-Projet de Restauration et de 518 0 44 44 0 474 Resilience du Paysage du Burundi CGIAR Fund CGIAR (BMGF) Funding to support Bioversity/CIAT transition A1426 Non-CRP 10-Oct-19 31-Oct-21 683 5 486 491 192 costs Subtotal - CGIAR Fund 683 5 486 491 0 192 SCHEDULE OF EXHIBIT 2 GRANT PLEDGES AND EXPENSES For the year ended 31 December, 2020 (US dollar 000s) Agreement Total Grant Expenditure Expenditure Total Deferred Donor and Program/Project code CRP Start Date End Date Pledge Prior years Current year Expenditure Depreciation Balance Bilateral Christensen Fund CHRISTENSEN FUND The Indigenous Partnership for A1280 Non-CRP 1-Apr-17 30-Jun-20 45 31 14 45 0 Agrobiodiversity and Food Sovereignty (phase 6a) CHRISTENSEN FUND Renewal support for the Global Indigenous A1347 Non-CRP 1-Jul-18 30-Jun-20 160 116 44 160 0 Youth Fellowship Program and affiliated programming of The Indigenous Partnership for Agrobiodiversity and Food Sovereignty. CHRISTENSEN FUND Support for The Indigenous Partnership A1443 Non-CRP 1-Jun-20 31-May-21 110 0 52 52 58 (TIP) to promote Indigenous Food Systems by developing a creative online platform and to further strengthen its Indigenous Fellowship Program and the governing Council Subtotal - Christensen Fund 315 147 110 257 0 58 CIAT, International Center for Tropical Agriculture CIAT (NETHERLANDS - NWO) Integrated vegetable seed systems A1387 CRP21 1-Apr-19 31-Mar-22 265 47 62 109 156 development in ethnic minority communities in Northern Vietnam A4NH for enhanced nutrition and income security CIAT (EC) Fostering low cadmium and climate-relevant A1438 CRP12 1-Jan-20 30-Nov-23 159 0 50 50 109 innovations to enhance the resilience and inclusiveness of the FTA growing cocoa sectors in Colombia, Ecuador and Peru (Clima LoCa) Subtotal - CIAT, International Center for Tropical 424 47 112 159 0 265 Agriculture CROP TRUST CROP TRUST Providing for the long-term funding of ex situ A1080 PTF33 1-Jan-12 31-Dec-22 3,473 2,548 876 3,424 49 49 collections of germplasm held by Bioversity GENE- BANK Subtotal - CROP TRUST 3,473 2,548 876 3,424 49 49 SCHEDULE OF EXHIBIT 2 GRANT PLEDGES AND EXPENSES For the year ended 31 December, 2020 (US dollar 000s) Agreement Total Grant Expenditure Expenditure Total Deferred Donor and Program/Project code CRP Start Date End Date Pledge Prior years Current year Expenditure Depreciation Balance Bilateral CTA, Technical Centre for Agricultural and Rural Cooperation CTA (EC) Blockchain Technology for Cocoa Farming of Quality A1398 CRP12 1-Jun-19 30-Apr-20 68 49 19 68 0 and Excellence: Towards Reward, Trust, Transparency and FTA Traceability to Consumers Subtotal - CTA, Technical Centre for Agricultural and Rural 68 49 19 68 0 0 Cooperation EC, European Commission EC Optimising the management and sustainable use of forest A1213 Non-CRP 1-Mar-16 28-Feb-20 482 392 90 482 0 genetic resources in Europe EC Breeding forage and grain legumes to increase EU’s and A1287 Non-CRP 1-Sep-17 31-Aug-21 110 37 23 60 50 China’s protein self-sufficiency (EUCLEG) EC Networking, partnerships and tools to enhance in situ A1304 Non-CRP 9-Oct-17 7-Apr-21 190 131 38 169 21 conservation of European plant genetic resources EC GenRes Bridge: Joining forces for genetic resources and A1361 Non-CRP 1-Jan-19 31-Dec-21 185 41 71 112 73 biodiversity management EC Activated GEnebank NeTwork (AGENT) A1434 Non-CRP 1-May-20 30-Apr-25 325 0 12 12 313 EC Improving nutrition in Africa by strengthening the diversity, A1442 CRP21 1-Jun-20 30-Nov-24 666 0 28 28 638 sustainability, resilience and connectivity of food systems (Healthy A4NH Food Africa) Subtotal - EC, European Commission 1,958 601 262 863 0 1,095 EU, European Countries EUROPEAN COUNTRIES ECPGR, European Cooperative A1065 Non-CRP 1-Jan-14 31-Dec-23 6,588 3,560 382 3,942 2,646 Programme for Plant Genetic Resources - Phase IX "hosted" Subtotal - EU, European Countries 6,588 3,560 382 3,942 0 2,646 SCHEDULE OF EXHIBIT 2 GRANT PLEDGES AND EXPENSES For the year ended 31 December, 2020 (US dollar 000s) Agreement Total Grant Expenditure Expenditure Total Deferred Donor and Program/Project code CRP Start Date End Date Pledge Prior years Current year Expenditure Depreciation Balance Bilateral FAO, Food and Agriculture Organization FAO Bioversity International’s contribution to The Restoration A1413 CRP12 20-Sep-19 30-Jun-21 88 23 43 66 22 Initiative (TRI) project FTA FAO Study in Samoa and Tonga on nexus between climate, A1425 CRP21 1-Jan-20 31-Dec-20 52 0 52 52 0 biodiversity and nutrition A4NH FAO (AICS) Technical Assistance to Inclusive and Sustainable A1429 CRP24 15-Feb-20 15-Feb-21 98 0 72 72 26 Value Chain Development in Oromia and SNNP regions WLE FAO Foundations for rebuilding seed systems post Cyclone Idai: A1444 CRP22 21-Oct-20 20-Dec-20 15 0 15 15 0 Zimbabwe, Mozambique and Malawi CCAFS Subtotal - FAO, Food and Agriculture Organization 253 23 182 205 0 48 FAO-GEF, Food and Agriculture Organization/Global Environ- ment Facility FAO-GEF Appui a la production alimentaire durable et A1383 CRP24 15-Mar-19 30-Jun-21 88 31 18 49 39 l’amelioration de la securite alimentaire et la resilience climatique WLE dans les hautes terres du Burundi FAO-GEF Installation des champs de diversité et formation des A1400 CRP24 20-Jun-19 31-Dec-20 98 35 63 98 0 maitres formateurs et facilitateurs sur les champs de diversité WLE Subtotal - FAO-GEF, Food and Agriculture Organization/ 186 66 81 147 0 39 Global Environment Facility Fondo Binacional para la Paz y el Desarrollo Perú–Ecuador FONDO BINACIONAL Desarrollo del estudio "Determinacion de A1406 CRP12 24-Jul-19 15-Feb-20 59 48 11 59 0 presencia de cadmio" FTA Subtotal - Fondo Binacional para la Paz y el Desarrollo 59 48 11 59 0 0 Perú–Ecuador France - CIRAD, Centre de Cooperation Internationale en Recherche Agronomique Pour le Developpement FRANCE - CIRAD (BMGF) Breeding RTB products for end user A1335 CRP16 10-Nov-17 31-Oct-22 119 108 11 119 0 preferences RTB Subtotal - France - CIRAD, Centre de Cooperation 119 108 11 119 0 0 Internationale en Recherche Agronomique Pour le Developpement SCHEDULE OF EXHIBIT 2 GRANT PLEDGES AND EXPENSES For the year ended 31 December, 2020 (US dollar 000s) Agreement Total Grant Expenditure Expenditure Total Deferred Donor and Program/Project code CRP Start Date End Date Pledge Prior years Current year Expenditure Depreciation Balance Bilateral The Fridtjof Nansen Institute Fridtjof Nansen Institute (Research Council of Norway) Pathways A1431 Non-CRP 1-Jan-20 31-Dec-23 22 0 2 2 20 to food security, poverty alleviation and livelihoods through the implementation of farmers' rights to crop genetic diversity (DIVERSIFARM) Subtotal - The Fridtjof Nansen Institute 22 0 2 2 0 20 Germany - BMEL, Federal Ministry of Food and Agriculture GERMANY - BMEL Implementation of the ECPGR European A1402 Non-CRP 1-Jul-19 30-Nov-22 1,086 59 334 393 693 Evaluation network (EVA) on wheat/barley and vegetable crops (carrot, lettuce and pepper) Germany - BMEL ECPGR meetings and public awareness A1409 Non-CRP 15-Sep-19 31-May-20 67 34 33 67 0 activities Subtotal - Germany - BMEL, Federal Ministry of Food and 1,153 93 367 460 0 693 Agriculture SCHEDULE OF EXHIBIT 2 GRANT PLEDGES AND EXPENSES For the year ended 31 December, 2020 (US dollar 000s) Agreement Total Grant Expenditure Expenditure Total Deferred Donor and Program/Project code CRP Start Date End Date Pledge Prior years Current year Expenditure Depreciation Balance Bilateral Germany - GIZ, Deutsche Gesellschaft für Internationale Zusammenarbeit GmbH GERMANY - GIZ Enabling farmers to assess the soil quality A1271 CRP22 1-Feb-17 31-Jan-20 99 82 17 99 0 implications of agricultural management options. Farmer citizen CCAFS science in Madhya Pradesh, India GERMANY - GIZ Laying the foundations for climate-smart A1328 CRP12 1-Feb-18 31-Jan-20 118 66 52 118 0 restoration: a toolbox for Peru’s tropical dry forest FTA GERMANY - GIZ Diversifying native fine or flavor cocoa A1330 CRP12 1-Apr-18 31-May-22 1,392 734 298 1,032 360 production systems in Peru for enhanced productivity and income FTA GERMANY - GIZ Enhancing consumer demand and uptake of A1396 CRP21 1-Jun-19 31-May-21 117 38 36 74 43 nutritious underutilized species in northern Benin A4NH GERMANY - GIZ Improving Dietary Quality and Livelihoods using A1399 CRP21 1-Jul-19 30-Jun-22 1,189 75 324 399 790 farm and wild biodiversity through an integrated community- A4NH based approach in Ethiopia and Kenya GERMANY - GIZ Improving Dietary Quality and Livelihoods using A1399 CRP12 1-Jul-19 30-Jun-22 239 0 80 80 159 farm and wild biodiversity through an integrated community- FTA based approach in Ethiopia and Kenya GERMANY - GIZ Green Innovation Centres for the Agriculture and A1421 CRP24 15-Nov-19 31-Dec-21 596 9 239 248 348 Food Sector (GIC) WLE GERMANY - GIZ Upscaling Access to Crowdsourced “Winner” A1424 CRP22 1-Jan-20 31-Dec-22 1,450 0 108 108 1,342 Seed Varieties and Embedding Crowdsourcing in Ethiopian CCAFS System as Delivery Mechanism for more Dynamic, Diverse and Market-Responsive Seed Portfolios Subtotal - Germany - GIZ, Deutsche Gesellschaft für 5,200 1,004 1,154 2,158 0 3,042 Internationale Zusammenarbeit GmbH Harvest Plus HARVEST PLUS Addressing micronutrient deficiencies in A1381 CRP21 1-Jan-19 31-Dec-20 90 80 10 90 0 Sub-Saharan Africa through Musa-based foods A4NH HARVEST PLUS Addressing micronutrient deficiencies in A1446 CRP21 30-Jun-20 30-Jun-21 41 0 8 8 33 Sub-Saharan Africa through Musa-based foods A4NH Subtotal - Harvest Plus 131 80 18 98 0 33 SCHEDULE OF EXHIBIT 2 GRANT PLEDGES AND EXPENSES For the year ended 31 December, 2020 (US dollar 000s) Agreement Total Grant Expenditure Expenditure Total Deferred Donor and Program/Project code CRP Start Date End Date Pledge Prior years Current year Expenditure Depreciation Balance Bilateral HealthPartners, Uganda HEALTHPARTNERS Integration of nutrition into the CONNECT A1415 CRP21 30-Sep-19 31-Dec-20 18 3 15 18 0 Girls Center mentorship and skills development program for girls A4NH aged 10-24 years old in Uganda Subtotal - HealthPartners, Uganda 18 3 15 18 0 0 ICCO, International Cocoa Organization ICCO - Widening the participation of ICCO producing Member A1433 CRP12 1-May-20 31-Oct-20 112 0 112 112 0 Countries in the Co-Ex Programme to support the production of FTA specialty cocoa. ICCO - Widening the participation of ICCO producing Member A1454 CRP12 1-Nov-20 30-Sep-21 118 0 26 26 92 Countries in the Co-Ex Programme to support the production of FTA specialty cocoa - Phase 2 Subtotal - ICCO, International Cocoa Organization 230 0 138 138 0 92 IITA, International Institute of Tropical Agriculture IITA Standardization of NGS-based VIrus Indexing for Clonal A1308 PTF33 1-Aug-17 31-Jan-21 205 155 50 205 0 Crops GENE- BANK IITA (BELGIUM - DGDC) CIALCA 2017-2020: Catalyzing A1311 CRP16 5-Sep-17 31-Mar-21 894 651 198 849 45 partnerships, capacity building and research towards RTB entrepreneurial farming in Central Africa IITA (GERMANY - GIZ) Citizen Science and ICT for advancing the A1327 CRP16 1-Jan-18 30-Jun-21 336 178 83 261 75 prevention and control of Banana Xanthomonas Wilt (BXW) in RTB East and Central Africa IITA (MOFPED UGANDA) Building Resilience to Enhance Food A1449 CRP21 1-Jan-20 31-Dec-22 690 0 1 1 689 and Nutrition Security, Incomes and Health in Northern Uganda A4NH Subtotal - IITA, International Institute of Tropical 2,125 984 332 1,316 0 809 Agriculture SCHEDULE OF EXHIBIT 2 GRANT PLEDGES AND EXPENSES For the year ended 31 December, 2020 (US dollar 000s) Agreement Total Grant Expenditure Expenditure Total Deferred Donor and Program/Project code CRP Start Date End Date Pledge Prior years Current year Expenditure Depreciation Balance Bilateral ILRI, International Livestock Research Institute ILRI (USAID) Crowed sourcing approach for testing barley A1423 CRP24 1-Sep-19 31-Dec-20 101 0 77 77 24 varieties, and nutrition assessment and education in Africa WLE RISING sites of the Ethiopian highlands Subtotal - ILRI, International Livestock Research Institute 101 0 77 77 0 24 Italy ITALY Junior Professional Officer Program 2018 - "ABD Index - A1363 CRP21 1-Oct-18 30-Sep-20 180 115 65 180 0 Strategic Partnership" A4NH ITALY Voluntary contribution 2019 A1372 CRP21 1-Jan-19 31-Dec-20 345 280 65 345 0 A4NH ITALY Voluntary contribution 2019 (NON CRP) A1375 Non-CRP 1-Jan-19 31-Dec-20 214 112 102 214 0 ITALY Junior Professional Officer Program 2019 - Business Model A1418 CRP24 14-Oct-19 13-Oct-21 155 25 91 116 39 Developer WLE ITALY Voluntary contribution 2020 A1430 CRP21 1-Jan-20 31-Dec-21 341 0 120 120 221 A4NH ITALY Voluntary contribution 2020 (NON CRP) A1432 Non-CRP 1-Jan-20 31-Dec-21 658 0 192 192 466 Subtotal - Italy 1,893 532 635 1,167 0 726 Japan - MAFF, Ministry of Agriculture, Forestry and Fisheries JAPAN - MAFF Y3 Stimulating use of local food resources in A1419 CRP21 1-Sep-19 31-Aug-20 161 17 144 161 0 Africa to improve nutrition and livelihoods: A new integrated A4NH food consumption assessment tool for better decision making in nutrition interventions JAPAN - MAFF Y4 Stimulating use of local food resources in A1450 CRP21 1-Sep-20 31-Aug-21 276 0 28 28 248 Africa to improve nutrition and livelihoods: A new integrated A4NH food consumption assessment tool for better decision making in nutrition interventions Subtotal - Japan - MAFF, Ministry of Agriculture, Forestry 437 17 172 189 0 248 and Fisheries SCHEDULE OF EXHIBIT 2 GRANT PLEDGES AND EXPENSES For the year ended 31 December, 2020 (US dollar 000s) Agreement Total Grant Expenditure Expenditure Total Deferred Donor and Program/Project code CRP Start Date End Date Pledge Prior years Current year Expenditure Depreciation Balance Bilateral KIT, Royal Tropical Institute KIT (NETHERLANDS - NWO) Citizen’s Science approach to A1317 CRP22 31-Dec-17 30-Apr-21 137 34 42 76 61 climate smart and nutrition sensitive seed value chains for food CCAFS and nutrition security in Uganda and Ethiopia Subtotal - KIT, Royal Tropical Institute 137 34 42 76 0 61 KUL, Katholieke Universiteit Leuven KUL (CROP TRUST) Evaluation of drought tolerance in wild A1331 CRP16 1-Jan-18 30-Sep-20 57 40 17 57 0 bananas from Indonesia RTB Subtotal - KUL, Katholieke Universiteit Leuven 57 40 17 57 0 0 LWR, Lutheran World Relief LWR (USDA) Maximizing opportunities in Coffee and Cocoa in the A1389 CRP12 1-Apr-19 31-Dec-22 1,262 228 334 562 700 Americas MOCCA FTA Subtotal - LWR, Lutheran World Relief 1,262 228 334 562 0 700 Multidonor MULTIDONOR Support to CacaoNET A1120 CRP12 1-Jan-20 31-Dec-20 19 8 11 19 0 FTA MULTIDONOR Cocoa of Excellence Private Sector Co-Financing A1126 CRP12 1-Jan-20 31-Dec-20 128 74 54 128 0 FTA HONORARIUMS A1385 Non-CRP 1-Jan-20 31-Dec-20 137 50 87 137 0 SMALL GRANTS - LEVER 4 A1451 Non-CRP 1-Jan-20 31-Dec-20 12 0 12 12 0 SMALL GRANTS - LEVER 1 A1456 Non-CRP 18-Nov-20 31-Dec-20 17 0 17 17 0 Subtotal - Multidonor 313 132 181 313 0 0 Netherlands - MoA, Ministry of Agriculture Nature and Food Quality NETHERLANDS - MOA Resilient seed systems for climate change A1371 CRP22 1-Nov-18 31-Mar-21 226 108 106 214 12 adaptation and sustainable livelihoods in the East Africa sub- CCAFS region. Subtotal - Netherlands - MoA, Ministry of Agriculture 226 108 106 214 0 12 Nature and Food Quality SCHEDULE OF EXHIBIT 2 GRANT PLEDGES AND EXPENSES For the year ended 31 December, 2020 (US dollar 000s) Agreement Total Grant Expenditure Expenditure Total Deferred Donor and Program/Project code CRP Start Date End Date Pledge Prior years Current year Expenditure Depreciation Balance Bilateral Netherlands - NWO, Netherlands Organisation for Scientific Research NETHERLANDS - NWO-WOTRO Using citizen science to improve A1374 CRP12 1-Jul-18 31-Mar-22 1,153 258 326 584 569 agro-ecological and climatic accuracy of cacao planting material FTA recommendations in Ghana and its regional-level access and delivery to farmers Subtotal - Netherlands - NWO, Netherlands Organisation 1,153 258 326 584 0 569 for Scientific Research New Venture Fund NEW VENTURE FUND (AEF) Indigenous Partnership for A1334 Non-CRP 1-Apr-18 30-Jun-20 90 85 5 90 0 Agroecology Subtotal - New Venture Fund 90 85 5 90 0 0 Norway - NIBIO, Norwegian Institute of Bioeconomy NORWAY - NIBIO Diagnosis, virus cleaning and cryopreservation A1240 Non-CRP 19-Aug-16 31-Dec-20 14 9 5 14 0 of raspberry, blackberry and shallot Subtotal - Norway - NIBIO, Norwegian Institute of 14 9 5 14 0 0 Bioeconomy PACKARD, The David and Lucile Packard Foundation PACKARD Trees for Seeds in Southwest Ethiopia A1397 CRP12 1-Sep-19 31-Aug-21 200 36 50 86 114 FTA Subtotal - PACKARD, The David and Lucile Packard 200 36 50 86 0 114 Foundation SCHEDULE OF EXHIBIT 2 GRANT PLEDGES AND EXPENSES For the year ended 31 December, 2020 (US dollar 000s) Agreement Total Grant Expenditure Expenditure Total Deferred Donor and Program/Project code CRP Start Date End Date Pledge Prior years Current year Expenditure Depreciation Balance Bilateral PERU - STC, Secretaria Tecnica del CGIAR PERU - STC PROGRAMACIÓN DEL CENTRO ANDINO DE A1131 Non-CRP 1-Apr-14 31-May- 85 80 5 85 0 RECURSOS FITOGENÉTICOS 20 PERU - STC Study on the prevention and mitigation of the A1325 CRP12 9-Feb-18 9-Apr-21 200 157 28 185 15 accumulation of cadmium in Cacao through better use of genetic FTA diversity, mycorrhizal inoculation and soil management PERU STC - Fortaleciendo Conocimiento, Capacidad de A1422 CRP16 16-Dec-19 15-Dec-21 250 0 36 36 214 Diagnostico y Buenas Practicas Frente a la Amenaza de Fusarium RTB y Otros Problemas Fitosanitarios Subtotal - PERU - STC, Secretaria Tecnica del CGIAR 535 237 69 306 0 229 RSF Social Finance RSF Support strengthening seed bank networks in Bangladesh A1378 CRP23 1-Mar-19 29-Feb-20 80 73 7 80 0 and Nepal PIM Subtotal - RSF Social Finance 80 73 7 80 0 0 Switzerland - SDC, Swiss Agency for Development Cooperation SWITZERLAND - SDC Improving seed systems for smallholder A1301 CRP24 1-Oct-17 30-Sep-21 892 579 147 726 166 food security - SDC Phase II WLE SWITZERLAND - SDC Improving seed systems for smallholder A1301 CRP23 1-Oct-17 30-Sep-21 635 330 187 517 118 food security - SDC Phase II PIM Subtotal - Switzerland - SDC, Swiss Agency for Develop- 1,527 909 334 1,243 0 284 ment Cooperation SYNGENTA, Company for Sustainable Agriculture SYNGENTA Comparative genomic analysis of Pangenome A1332 CRP16 3-Apr-18 31-Jan-20 64 53 11 64 0 RTB Subtotal - SYNGENTA, Company for Sustainable 64 53 11 64 0 0 Agriculture SCHEDULE OF EXHIBIT 2 GRANT PLEDGES AND EXPENSES For the year ended 31 December, 2020 (US dollar 000s) Agreement Total Grant Expenditure Expenditure Total Deferred Donor and Program/Project code CRP Start Date End Date Pledge Prior years Current year Expenditure Depreciation Balance Bilateral The University of Queensland UNIVERSITY OF QUEENSLAND (BMGF) BBTV mitigation: A1229 CRP16 24-May- 31-Dec-21 459 196 199 395 64 Community management in Nigeria, and screening wild banana RTB 16 progenitors for resistance Subtotal - The University of Queensland 459 196 199 395 0 64 UGANDA - NARO, The National Agricultural Research Organisation UGANDA - NARO Novel approaches to the improvement A1143 CRP16 1-Jan-11 31-Oct-20 5,132 4,878 50 4,928 204 of banana production in Eastern Africa: the application of RTB biotechnological methodologies -- Phase II UGANDA - NARO (BMGF) Improving scalable banana agronomy A1272 CRP16 1-Mar-17 31-Jan-21 169 127 10 137 32 for small-scale farmers in highland banana cropping systems in RTB East Africa UGANDA - NARO Novel approaches to the improvement A1368 CRP16 1-Nov-18 31-Dec-24 2,500 216 186 402 2,098 of banana production in Eastern Africa: the application of RTB biotechnological methodologies -- Phase IV Subtotal - UGANDA - NARO, The National Agricultural 7,801 5,221 246 5,467 0 2,334 Research Organisation Sustainable Development Solutions Network Association Inc. SDSNA (WRI) FABLE - Development of decision support tools and A1437 CRP24 1-Jul-19 31-Dec-20 87 0 87 87 0 pathways towards sustainable land-use and food systems WLE Subtotal - Sustainable Development Solutions Network 87 0 87 87 0 0 Association Inc. SCHEDULE OF EXHIBIT 2 GRANT PLEDGES AND EXPENSES For the year ended 31 December, 2020 (US dollar 000s) Agreement Total Grant Expenditure Expenditure Total Deferred Donor and Program/Project code CRP Start Date End Date Pledge Prior years Current year Expenditure Depreciation Balance Bilateral UNEP-GEF, United Nations Environment Programme/Global Environment Facility UNEP-GEF Integrating Traditional Crop Genetic Diversity into A1150 CRP24 1-Nov-13 31-Mar-20 2,261 2,113 148 2,261 0 Technology: Using a Biodiversity Portfolio Approach to Buffer WLE Against Unpredictable Environment Change in the Nepal Himalayas UNEP-GEF Conservation and sustainable use of agricultural A1212 CRP24 1-Jan-16 31-Dec-21 1,236 663 94 757 479 biodiversity to improve regulating and supporting ecosystem WLE services in agriculture production in Uzbekistan UNEP- GEF Mainstreaming agrobiodiversity conservation and A1265 CRP18 30-Nov-16 30-Nov-22 3,046 1,152 522 1,674 9 1,372 utilization in agricultural sector to ensure ecosystem services and GLDC reduce vulnerability in India UNEP-GEF Cross-cutting capacity building, knowledge services A1373 Non-CRP 19-Dec-18 31-Dec-22 785 88 115 203 582 and coordination project for the Food Security Integrated Approach Pilot Program (Food Security IAP)" UNEP-GEF Healthy landscapes: Managing Agricultural A1391 CRP21 1-Apr-19 31-Mar-23 1,999 52 188 240 1,759 Landscapes in Socio-Ecologically Sensitive Areas to Promote A4NH Food Security, Wellbeing and Ecosystem Health UNEP Thematic contributions to the CBD Post-2020 Global A1420 Non-CRP 1-Dec-19 31-Jan-20 10 7 3 10 0 Biodiversity Framework Subtotal - UNEP-GEF, United Nations Environment 9,337 4,075 1,070 5,145 9 4,192 Programme/Global Environment Facility United Kingdom - DI, Darwin Initiative UK - Darwin (UK - DEFRA) Bridging agriculture and environment: A1394 Non-CRP 1-Apr-19 31-Mar-22 348 112 171 283 65 Southern African crop-wild-relative regional network Subtotal - United Kingdom - DI, Darwin Initiative 348 112 171 283 0 65 University of Oxford UNIVERSITY OF OXFORD (UK - Darwin) Conserving Rosewood A1351 CRP12 1-Jul-18 31-Mar-21 104 70 34 104 0 genetic diversity for resilient livelihoods in the Mekong FTA Subtotal - University of Oxford 104 70 34 104 0 0 SCHEDULE OF EXHIBIT 2 GRANT PLEDGES AND EXPENSES For the year ended 31 December, 2020 (US dollar 000s) Agreement Total Grant Expenditure Expenditure Total Deferred Donor and Program/Project code CRP Start Date End Date Pledge Prior years Current year Expenditure Depreciation Balance Bilateral USA - USDA, United States Department of Agriculture USDA Field trials for mitigating Cadmium in Cacao A1386 CRP12 7-Mar-19 30-Sep-20 580 99 481 580 0 FTA Subtotal - USA - USDA, United States Department of 580 99 481 580 0 0 Agriculture VITO, Vlaamse Instelling voor Technologisch Onderzoek VITO (EC) Sectoral Information System to Support Biodiversity A1390 CRP12 1-Mar-19 30-Jun-21 149 67 53 120 29 Sector FTA Subtotal - VITO, Vlaamse Instelling voor Technologisch 149 67 53 120 0 29 Onderzoek WB, World Bank WB Ethiopia AGREED: Managing Biodiversity to Increase Returns A1441 CRP22 25-May- 25-Jun-21 225 0 72 72 153 from Landscape Investments Value Chains for Local Crop CCAFS 20 Varieties, focusing on Durum Wheat Subtotal - WB, World Bank 225 0 72 72 0 153 WCF, World Cocoa Foundation WCF (USA - USAID) Consultancy Agreement to carry out research A1340 CRP12 24-Apr-18 29-Feb-20 100 68 32 100 0 on heat and drought tolerant cocoa planting material FTA Subtotal - WCF, World Cocoa Foundation 100 68 32 100 0 0 SCHEDULE OF EXHIBIT 2 GRANT PLEDGES AND EXPENSES For the year ended 31 December, 2020 (US dollar 000s) Agreement Total Grant Expenditure Expenditure Total Deferred Donor and Program/Project code CRP Start Date End Date Pledge Prior years Current year Expenditure Depreciation Balance Bilateral WUR, Wageningen University WUR (BMGF) Increasing fruit and vegetable intake of low- A1367 CRP21 20-Jun-18 31-Aug-21 343 142 107 249 94 income populations in Vietnam and Nigeria through food system A4NH innovations WUR Partnerships for Healthy Diets and Nutrition in Urban African A1410 CRP21 1-May-19 31-Aug-21 60 6 10 16 44 Food Systems – evidence and strategies (NOURICITY) A4NH WCDI (SDC) Integrated Seed Sector Development in Africa (ISSD A1427 CRP22 1-Sep-19 31-Aug-22 233 0 27 27 206 Africa) 2019-2022 CCAFS Subtotal - WUR, Wageningen University 636 148 144 292 0 344 Total - Bilateral 52,606 22,392 9,859 32,251 58 20,355 Grand Total 100,460 53,721 20,111 73,832 73 26,628 DONORS SUPPORTING EXHIBIT 3 BIOVERSITY INTERNATIONAL Contributors of Unrestricted Funding: The Governments of: China - CAAS, Chinese Acedemy of Agricultural Sciences Italy Philippines Contributors of Restricted Funding: Restricted donors to Bioversity International: Belgium - DGDC, Directorate General for Development Cooperation BIOVISION, Foundation for Ecological Development Blommer Chocolate Company Burundi-PRRPB-Projet de Restauration et de Resilience du Paysage du Burundi CFHI - Child Family Health International CGIAR Fund China - CAAS, Chinese Academy of Agricultural Sciences Christensen Fund CIAT, International Center for Tropical Agriculture CIFOR, Center for International Forestry Research CIP, International Potato Center CROP TRUST CTA, Technical Centre for Agricultural and Rural Cooperation EC, European Commission ECA, European Cocoa Association EU, European Countries FAO, Food and Agriculture Organization FAO-GEF, Food and Agriculture Organization/Global Environment Facility Fondation Prince Albert II de Monaco Fondo Binacional para la Paz y el Desarrollo Perú–Ecuador France - CIRAD, Centre de Cooperation Internationale en Recherche Agronomique Pour le Developpement Germany - BMEL, Federal Ministry of Food and Agriculture Germany - GIZ, Deutsche Gesellschaft für Internationale Zusammenarbeit GmbH Harvest Plus HealthPartners, Uganda ICCO, International Cocoa Organization ICRAF, World Agroforestry Centre ICRISAT, International Crops Research Institute for the Semi-Arid Tropics IFAD, International Fund for Agricultural Development IFPRI, International Food Policy Research Institute IITA, International Institute of Tropical Agriculture ILRI, International Livestock Research Institute 69 DONORS SUPPORTING EXHIBIT 3 BIOVERSITY INTERNATIONAL Contributors of Restricted Funding: Restricted donors to Bioversity International: (Continued) India - ICAR, Indian Council of Agricultural Research Italy IWMI, International Water Management Institute Japan - MAFF, Ministry of Agriculture, Forestry and Fisheries Japan - MOFA, Ministry of Foreign Affairs KIT, Royal Tropical Institute KUL, Katholieke Universiteit Leuven LWR, Lutheran World Relief Netherlands - MoA, Ministry of Agriculture Nature and Food Quality Netherlands - NWO, Netherlands Organisation for Scientific Research New Venture Fund Norway - NIBIO, Norwegian Institute of Bioeconomy PACKARD, The David and Lucile Packard Foundation PERU - STC, Secretaria Tecnica del CGIAR RSF Social Finance South Africa - DAFF, Department of Agriculture, Forestry and Fisheries Sustainable Development Solutions Network Association Inc. Switzerland - SDC, Swiss Agency for Development Cooperation SYNGENTA, Company for Sustainable Agriculture The Fridtjof Nansen Institute The University of Queensland TROCAIRE UGANDA - NARO, The National Agricultural Research Organisation UNEP-GEF, United Nations Environment Programme/Global Environment Facility United Kingdom - DI, Darwin Initiative United Kingdom - ESRC, Economic and Social Research Council University of Oxford USA - USAID, United States Agency for International Development USA - USDA, United States Department of Agriculture VITO, Vlaamse Instelling voor Technologisch Onderzoek WB, World Bank WCF, World Cocoa Foundation WUR, Wageningen University 70 DONORS SUPPORTING EXHIBIT 3 BIOVERSITY INTERNATIONAL Contributors of Restricted Funding: Restricted donors to MULTI-DONORS: Barry Callebaut Belgium N.V The Global Alliance for Improved Nutrition (GAIN) German Cocoa and Chocolate Foundation International Coconut Community Olam International Puratos NV Johns Hopkins University University of Greenwich, Natural Resources Institute Restricted donors to EUROPEAN COUNTRIES - ECPGR: Albania, Agricultural University of Tirana Austria, Austrian Federal Ministry of Agriculture Belarus, National Academy of Sciences of Belarus Belgium, Service Public de Wallonie Bulgaria, Institute of Plant Genetic Resources "K. Malkov" Croatia, Ministry of Agriculture Denmark, Ministeriet for Fodevarer, Landbrug og Fiskeri Estonia, Ministry of Rural Affairs Finland, Ministry of Agriculture and Forestry France, Ministère de l'agriculture et de l'alimentation Georgia, Academy of Agricultural Sciences of Georgia Germany, Ministry of Food and Agriculture (BMEL) Greece, Agricultural Policy and Management of European Funds Hungary, Ministry of Agriculture, Biodiversity and Gene Conservation Unit Iceland, Ministry of Industries and Innovation Ireland, Department of Agriculture and Food Latvia, Ministry of Agriculture Lithuania, Ministry of Environment Montenegro, Ministry of Agriculture and Rural Development Netherlands North Macedonia, Ministry of Agriculture, Forestry and Water Economy Norway, Norwegian Forest and Landscape Institute Romania, Ministry of Agricultural and Rural Development Serbia, Ministry of Agriculture, Forestry and Water Management Slovenia, Ministry of Agriculture, Forestry and Food Spain, Ministerio de Agricultura, Pesca y Alimentación Sweden, Ministry of of Enterprise and Innovation Switzerland, Federal Department of Economic Affairs FDEA Turkey, Ministry of Agricultural Researches and Policies United Kingdom, Genetic Resources Department for Environment, Food and Rural Affairs 71 SCHEDULE OF EXHIBIT 4 CRP/PLATFORM - EXPENDITURE For the year ended 31 December, 2020 (US dollar 000s) Windows Window 1 & 2 3 Bilateral Center Funds Total PTF 32 DATA Personnel Costs 75 - - 14 89 CGIAR Collaboration Costs - - - - - Other Collaboration Costs 20 - - - 20 Supplies and Services 40 - - 17 57 Operational Travel 2 - - - 2 Depreciation/Amortization - - - - - Cost Sharing Percentage - - - - - Total Direct Costs 137 - - 31 168 Indirect Costs 21 - - - 21 Total Costs 158 - - 31 189 Deferred depreciation Grand Total - All Costs 158 - - 31 189 Policy Institutions and Markets (PIM) Personnel Costs 214 - 36 2 252 CGIAR Collaboration Costs - - - - - Other Collaboration Costs 30 - 118 - 148 Supplies and Services 175 - 14 1 190 Operational Travel - - 3 - 3 Depreciation/Amortization - - - - - Cost Sharing Percentage - - 4 - 4 Total Direct Costs 419 - 175 3 597 Indirect Costs 71 - 20 - 91 Total Costs 490 - 195 3 688 Deferred depreciation - Grand Total - All Costs 490 - 195 3 688 Roots, Tubers and Bananas (RTB) Personnel Costs 1,239 287 276 298 2,100 CGIAR Collaboration Costs - - - - - Other Collaboration Costs 66 170 177 - 413 Supplies and Services 1,153 226 185 292 1,856 Operational Travel 24 2 12 - 38 Depreciation/Amortization 4 17 13 - 34 Cost Sharing Percentage - 17 11 1 29 Total Direct Costs 2,486 719 674 591 4,470 Indirect Costs 419 120 127 - 666 Total Costs 2,905 839 801 591 5,136 Deferred depreciation 4 4 Grand Total - All Costs 2,909 839 801 591 5,140 72 SCHEDULE OF EXHIBIT 4 CRP/PLATFORM - EXPENDITURE For the year ended 31 December, 2020 (US dollar 000s) Windows Window 1 & 2 3 Bilateral Center Funds Total Agriculture for Nutrition and Health (A4NH) Personnel Costs 365 133 581 156 1,235 CGIAR Collaboration Costs - - - - - Other Collaboration Costs - (7) 328 - 321 Supplies and Services 212 84 330 205 831 Operational Travel 2 - 9 - 11 Depreciation/Amortization - - - - - Cost Sharing Percentage - 4 22 5 31 Total Direct Costs 579 214 1,270 366 2,429 Indirect Costs 98 16 112 - 226 Total Costs 677 230 1,382 366 2,655 Deferred depreciation - Grand Total - All Costs 677 230 1,382 366 2,655 Water Land and Ecosystems (WLE) Personnel Costs 287 193 419 205 1,104 CGIAR Collaboration Costs - - - - - Other Collaboration Costs 6 297 83 - 386 Supplies and Services 152 279 434 375 1,240 Operational Travel 2 7 4 - 13 Depreciation/Amortization - - - - - Cost Sharing Percentage - 17 15 6 38 Total Direct Costs 447 793 955 586 2,781 Indirect Costs 75 81 80 - 236 Total Costs 522 874 1,035 586 3,017 Deferred depreciation - Grand Total - All Costs 522 874 1,035 586 3,017 Forests, Trees, and Agroforestry (FTA) Personnel Costs 397 50 584 311 1,342 CGIAR Collaboration Costs - - - - - Other Collaboration Costs - 40 444 15 499 Supplies and Services 174 25 1,024 367 1,590 Operational Travel - 2 18 - 20 Depreciation/Amortization - - - - - Cost Sharing Percentage - 24 37 1 62 Total Direct Costs 571 141 2,107 694 3,513 Indirect Costs 96 20 209 - 325 Total Costs 667 161 2,316 694 3,838 Deferred depreciation - Grand Total - All Costs 667 161 2,316 694 3,838 73 SCHEDULE OF EXHIBIT 4 CRP/PLATFORM - EXPENDITURE For the year ended 31 December, 2020 (US dollar 000s) Windows Window 1 & 2 3 Bilateral Center Funds Total Climate Change, Agriculture and Food Security (CCAFS) Personnel Costs 207 40 112 39 398 CGIAR Collaboration Costs - - - - - Other Collaboration Costs 1 (5) 163 - 159 Supplies and Services 152 8 67 63 290 Operational Travel 4 - (1) - 3 Depreciation/Amortization - - - - - Cost Sharing Percentage - 3 6 - 9 Total Direct Costs 364 46 347 102 859 Indirect Costs 61 7 39 - 107 Total Costs 425 53 386 102 966 Deferred depreciation - Grand Total - All Costs 425 53 386 102 966 PTF 33 Genebanks (GB) Personnel Costs 663 139 802 CGIAR Collaboration Costs Other Collaboration Costs 89 627 (3) 713 Supplies and Services 369 66 42 477 Operational Travel 1 4 5 Depreciation/Amortization 5 22 27 Cost Sharing Percentage 8 8 Total Direct Costs 1,127 858 47 2,032 Indirect Costs 189 69 258 Total Costs 1,316 927 47 2,290 Deferred depreciation 11 50 61 Grand Total - All Costs 1,327 977 47 2,351 Grain Legumes and Dryland Cereals (GLDC) Personnel Costs 56 66 14 136 CGIAR Collaboration Costs Other Collaboration Costs 342 342 Supplies and Services 13 31 70 114 Operational Travel 4 4 Depreciation/Amortization 4 4 Cost Sharing Percentage 24 24 Total Direct Costs 69 447 108 624 Indirect Costs 12 75 87 Total Costs 81 522 108 711 Deferred depreciation 9 9 Grand Total - All Costs 81 531 108 720 74 SCHEDULE OF EXHIBIT 4 CRP/PLATFORM - EXPENDITURE For the year ended 31 December, 2020 (US dollar 000s) Windows Window 1 & 2 3 Bilateral Center Funds Total Gender Platform Personnel Costs 136 136 CGIAR Collaboration Costs Other Collaboration Costs Supplies and Services 111 111 Operational Travel Depreciation/Amortization Cost Sharing Percentage Total Direct Costs 247 247 Indirect Costs 42 42 Total Costs 289 289 Deferred depreciation Grand Total - All Costs 289 289 Total CRP Expenditure Personnel Costs 3,639 703 2,213 1,039 7,594 CGIAR Collaboration Costs Other Collaboration Costs 212 495 2,282 12 3,001 Supplies and Services 2,551 622 2,151 1,432 6,756 Operational Travel 35 11 53 99 Depreciation/Amortization 9 17 39 65 Cost Sharing Percentage 65 95 45 205 Total Direct Costs 6,446 1,913 6,833 2,528 17,720 Indirect Costs 1,084 244 731 2,059 Total Costs 7,530 2,157 7,564 2,528 19,779 Deferred depreciation 15 59 74 Grand Total - All Costs 7,545 2,157 7,623 2,528 19,853 75 SCHEDULE OF EXHIBIT 5 CRP/PLATFORM - FUNDING For the year ended 31 December, 2020 (US dollar 000s) Windows 1 & 2 Big Data Opening Balance (143) Add: Cash Receipts from Lead Center CIAT 283 Less: Disbursements (158) Closing Balance (18) Policy Institutions and markets Opening Balance (33) Add: Cash Receipts from Lead Center IFPRI 335 Less: Disbursements (490) Closing Balance (188) Roots, Tubers and Bananas (RTB) Opening Balance (481) Add: Cash Receipts from Lead Center CIP 2,693 Less: Disbursements (2,905) Closing Balance (693) Agriculture for Nutrition and Health Opening Balance Add: Cash Receipts from Lead Center IFPRI 169 Less: Disbursements (677) Closing Balance (508) Water Land and Ecosystems (WLE) Opening Balance (46) Add: Cash Receipts from Lead Center IWMI 578 Less: Disbursements (522) Closing Balance 10 Forests, Trees and Agroforestry (FTA) Opening Balance Add: Cash Receipts from Lead Center CIFOR 743 Less: Disbursements (667) Closing Balance 76 Climate Change, Agriulture and Food Security (CCAFS) Opening Balance (51) Add: Cash Receipts from Lead Center CIAT 436 Less: Disbursements (425) Closing Balance (40) 76 SCHEDULE OF EXHIBIT 5 CRP/PLATFORM - FUNDING For the year ended 31 December, 2020 (US dollar 000s) Windows 1 & 2 Genebanks (GB) Opening Balance (365) Add: Cash Receipts from Lead Center CROP TRUST 1,222 Less: Disbursements (1,316) Closing Balance (459) CRP Grain Legumes and Dryland Cereals (GLDC) Opening Balance (13) Add: Cash Receipts from Lead Center ICRISAT 72 Less: Disbursements (81) Closing Balance (22) Gender Platform Opening Balance Add: Cash Receipts from Lead Center ICRISAT Less: Disbursements (289) Closing Balance (289) 77 EXHIBIT 6 INDIRECT COST RATIO COMPUTATION For the years ended 31 December, 2020 (US dollar 000s) INSTITUTIONAL INDIRECT COST RATE COMPUTATION 2020 2019 General and Administration Expenses 2,358 4,158 Research Expenses+Non-CGIAR Collaboration costs 20,175 24,647 Institutional indirect cost rate 11.69% 16.87% CGIAR PARTNER FUNDS EXCLUDED FROM INSTITUTIONAL INDIRECT COST RATE COMPUTATION 2020 2019 In-house Partner Total In-house Partner Total Research Expenses 16,841 16,841 19,819 19,819 Non-CGIAR Collaboration Expenses 3,334 3,334 4,828 4,828 Total Research Expenses 20,175 0 20,175 24,647 0 24,647 General & Administration Expenses 2,358 2,358 4,158 4,158 Total 22,533 0 22,533 28,805 0 28,805 Percentage Indirect/Direct 11.69% 0.00% 11.69% 16.87% 0.00% 16.87% 78 Bioversity International and the International Center for Tropical Agriculture (CIAT) are part of CGIAR, a global research partnership for a food-secure future. Bioversity International is the operating name of the International Plant Genetic Resources Institute (IPGRI). ISBN: 978-92-9255-216-9 https://alliancebioversityciat.org/