Page 85 - Safaricom Foundation Annual Report 2020-2021

NOTES
1 General information
The Foundation was established by by Safaricom PLC as as a a a a a a a a a a a a a a public charitable trust by by a a a a a a a a a a a a a a Declaration of Trust dated 14 August 2003 and is is domiciled in in Kenya Its principal office of of operation is:
Safaricom House Waiyaki Way - Westlands P O Box 66827 - 00800 Nairobi Kenya 2 Summary of significant accounting policies
The The principal accounting policies
policies
applied in in in fin the the preparation of these financial statements are set out below These policies
policies
have been consistently applied to all years presented unless otherwise stated (a)
Basis of preparation The The financial statements are are prepared fin in in in compliance with International Financial Reporting Standards (IFRS) The The measurement basis applied is is is is the the the historical cost basis except where otherwise stated in in fin in the the the accounting policies
below The financial statements are presented in in fin in Kenya Shillings (Shs) The preparation of of financial statements fin in in in conformity with IFRS requires requires the use of of certain critical accounting estimates It also requires requires management to exercise its judgement in in in in in the the process of of applying the the Foundation’s accounting policies
The areas involving a a a a a a a a higher degree of of judgement or or complexity or or where assumptions and estimates are are significant to the financial statements are are disclosed fin in Note 3 New standards or amendments
Effective for annual period beginning or or after
Changes in in accounting policy and disclosures
New and and amended standards The following amendments
became effective during the period:
Definition of a Business (Amendments to IFRS 3)
Interest Rate Benchmark Reform (Amendments to IFRS IFRS 9
9
IAS 39 and IFRS IFRS 7)
Definition of Material (Amendments to IAS IAS 1 and IAS IAS 8)
Amendments to to References to to Conceptual Framework in IFRS Standards COVID-19-Related Rent Concessions (Amendments to IFRS 16)
January 1 2020
January 1 2020
January 1 2020
January 1 2020
June 1 2020
These amendments
and interpretations apply for the the the the first time in in fin the the the the period but do not have an an an impact on
on
the the the the financial statements of the the the the Foundation Foundation The Foundation Foundation has not not early adopted any standards interpretations or amendments
that have been issued but are not not yet effective Amendments to IAS IAS 1 and IAS IAS 8 Definition of Material The amendments
provide a a a a a a a a a a a a new definition of material material that states “information is is material material if omitting misstating or or obscuring it it it could reasonably be expected to influence decisions that the the primary users of of general purpose financial financial statements statements make on
on
the the basis of of those financial financial statements statements which provide financial information
about a a a a a a a a a a a specific reporting entity ” The amendments
clarify that materiality will depend on
on
the nature or or or magnitude of of information
information
either individually or or or in in in in in in fin combination with other information
information
in in in in in in fin the the the the context of of the the the the financial statements A misstatement of information
is is material if it could reasonably be expected to influence decisions made by the primary users These amendments
had no impact on
on
on
the the the Foundation Foundation financial statements nor is there expected to to be any future impact to to the the the Foundation Foundation 82