RESTRICTED  
  
WT/BFA/W/ 645 
6 September 2023 
(23-5924) Page: 1/5 
Committee on Budget, Finance and Administration   
 
  
WTO BUDGET AND FINANCE REPORT – 2ND QUARTER 20 23 
1  CONTRIBUTIONS FROM MEMBERS AND OBSERVERS  
1.1.  At the end of the second quarter of 2023, contributions received from Members were lower 
than those received for the same period in previous years. This is mainly due to the fact that some 
top contributors that historically transferred their annual contrib utions during the fourth quarter of 
the prior year transferred their 2022 contributions during the first quarter  of 2023 . The year 2021 
was equally negatively affected by deferred payments in contributions.  This creates a backlog in 
contributions and there by increases the amount of outstanding contributions , which puts additional 
pressure on the budgetary planning of the Secretariat.  
Figure 1 Total Receipts in MCHF as at 30 June 2023  
 
 
1.2.  At the end of the second  quarter of 2023, 50% of the Members had no outstanding balance.  
1.3.  The receipts of contributions for the first semester  of 20 23 from Observers amounted to 
CHF 282,453 , representing 40% of the assessed amount.  Ten Observers had no outstanding 
balance.  
Table 1 Status of contributions as at 30 June  2023 (in CHF)  
Contributions  164 Members  25 Observers  
Total net assessment for 2023    195,500,000    733,125  
Payment received for 2023 (% of total 
assessment)  (59%)  115,111,413  (56%)  412,973  
Payment received for prior years    5,686,224    282,453  
No outstanding balance (% of total)  (50%)  82 (40%)  10 
 
 
 
WT/BFA/W/ 645 
 
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  2  CASH SITUATION  
2.1.  The cash situation at the end of June 2023 is satisfactory and at about the same  level as at the 
end of  June 2022. 
 
 
3  MEMBERS AND OBSERVERS UNDER ADMINISTRATIVE MEASURES  
3.1.  At the end of the second  quarter of 2023, four Members were subject to  Category I (more than 
one year and  less than two years outstanding  contributions ) of the Administrative Measures ; 
three  Member s were subject to Category II (two  years or more  but less than three years outstanding  
contributions ); and eight Members were subject to Category  III (three or more years of outstanding  
contributions  = Inactive) . 
Table 2 Members under Administrative Measures as at 30 June  2023 
Cat. I (4)  Cat. II (3)  Cat. III (8)  
Afghanistan  Cuba Antigua and Barbuda  
Congo  Dominica  Central African Republic*  
Ghana  El Salvador  Chad*   
Suriname    Guinea   
    Guinea -Bissau   
    Papua New Guinea  
    Venezuela, Bolivarian Republic of  
    Yemen   
*  Members not compliant with Payment Plan terms.  
 
3.2.  At the end of June 2023, one Observer  was subject to Category I of the Administrative 
Measures ; three  Observer s were subject to Category II ; and another three  Observer s were subject 
to Category  III (Inactive) . 
Table 3 Observers under Administrative Measures as at 30 June  2023 
Cat. I (1)  Cat. II (3)  Cat. III (3)  
Comoros  Ethiopia  Sao Tomé and Principe  
  Lebanese Republic  Somalia   
  South Sudan  Syrian Arab Republic  
 
  
WT/BFA/W/ 645 
 
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  3.3.  Table 4 shows the Member s subject to a Payment Plan  as at 30 June 2023. 
Table 4 Member s following a Payment Plan as at 30 June  2023 (in CHF)  
Member  GC 
approval 
date Plan 
duration  
in years  End of 
plan Last 
payment  
received  Amount 
Outstan -
ding 
for 2023  Total 
Outstanding 
Contribu -
tions  
Burundi  03/05/2011  20 2030 16-Jan-23 65,785  321,012  
Niger  13/10/2020  7 2026 05-May-23 1,979  149,693  
Sierra Leone  01/05/2012  15 2025 22-Feb-22 93,866  222,951  
Total      161,630  693,656  
 
3.4.  The two Members listed  in the table below are not compliant with their Payment Plan terms  
and have thus reverted to Category III of the Administrative Measures.  
Table 5 Members not compliant with their Payment Plan s as at 30 June  2023 (in CHF)  
Member  GC 
appro
-val 
date End 
of 
plan Last pay -
ment  
received  Amount 
Outstan -
ding 
prior to 
2020  Amount 
Outstan -
ding 
for 2020  Amount 
Outstan -
ding 
for 2021  Amount 
Outstan -
ding 
for 2022  Amount 
Outstan -
ding 
for 2023  Total 
Outstan -
ding 
Contri -
butions  
Central 
African 
Republic  2018 2047 Oct-20 707,088  57,472  57,472  56,002  57,472  935,506  
Chad 2012 2026 Feb-20 232,657  116,651  116,651  109,120  108,831  683,910  
Total     939,745  174,123  174,123  165,122  166,303  1,619,416  
 
4  2023 BUDGETARY EXPENDITURE  
Table 6 Statement of Budgetary Expenditure  as at 30 June  2023 (in kCHF)  
Part Section  Budget 
2023  Expenditure 
& Commit -
ments  
June 2023  Balance 
June 
2023  % Exp 
vs 
Budget 
June 
2023  Expenditure 
& Commit -
ments June 
20221 % Exp  
vs 
Budget 
June 
2022  
A Staffing 
Resources  1. Staff 
Expenditure  131,565  60,017  71,549  46% 59,431  45% 
  2. Temporary 
Assistance  17,575  15,042  2,533  86% 16,977  98% 
A Staffing Resources Total   149,140  75,058  74,081  50%  76,407  51%  
B Other 
Resources  3. General 
Services  15,626  13,296  2,330  85% 13,953  89% 
  4. Travel & 
Hospitality  7,607  4,895  2,712  64% 1,766  22% 
  5. Implementing 
Partners  213 165 48 78% 80 38% 
  6. Capital 
Expenditure  3,095  1,891  1,203  61% 2,893  93% 
  7. Financial 
Expenditure  2,080  1,222  858 59% 1,516  73% 
B Other Resources Total   28,621  21,470  7,151  75%  20,209  70%  
C Operating 
Funds and 
ITC 8. Contributions 
to ITC & Special 
Reserves  19,443  10,322  9,122  53% 10,322  53% 
C Operating Funds and ITC 
Total  19,443  10,322  9,122  53%  10,322  53%  
Grand Total   197,204  106,850  90,354  54%  106,937  54%  
 
1 The comparison for 2022 contained in this column and the next are being provided based on a 
suggestion by a Member during the June CBFA meeting . WT/BFA/W/ 645 
 
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  4.1.  The expenditure as at 30 June 2023 amounts to CHF 107 million  with an overall expenditure 
rate of 54%. The expenditure rate for the previous year at the same date equally amounted to 54%.  
However, as noted below, some additional expenditures are expected in the second half of 2023 , 
which will put pressure on the budget .  In addition, the combination of add itional vacant posts in 
2023 and the mandatory staff salary increases reveal a worrying trend in staff expenditures  for 2023  
compared to 2022.  The cut in short -term expenditures in 2023 has provided relief.  
Part A - Staffing Resources  
4.2.  Part A of the budget  comprises expenditure for regular staff related to salary, pension, health 
insurance, death and invalidity insurance, staff benefits , travel  related to recruitment, home leave 
and separation , removal , and installation. It also includes expenditure related to short term staff, 
interpreters, translators,  consultants , and panelists . 
4.3.  Under Staffing Resources , the impact of the mandatory salary increase2 of 3.1% for fixed -term 
and temporary staff is putting additional pressure on the expenditure rate. The slight underspending 
under Staff Expenditure is due to pausing recruitment of newly vacant posts to determine if they are 
needed , as well as maintaining additional vacant post s (averaging 47). Over-expenditure was 
registered under Short -term Staff, Interpreters, Interns , Separation Grant, Travel& Removal, SSA 
consultants and Annual Leave.  At the same time, there was a significant decline in short -term staff 
expenditure compared  to the prior year.  
Part B - Other Resources  
4.4.  Part B of the budget relates to expenditure for general services, travel and hospitality, activities 
jointly funded by the WTO and third parties,  capital  expenditure , and financial expenditure.  
4.5.  The full year's commitments for several contracts such as the outsourced security contract, the 
cleaning contract, the International Computing Centre , and utilities such as electricity, heating , and 
water  are included  under Gene ral Services . In the area of Facility Management, several projects 
such as the change to low-consumption lighting will be conducted through the end of the year. Under 
the IT Service Desk, a cut of one position has been implemented.  
4.6.  Under "Travel and Hospitality ", the expenditure rate related to travel amounts to 64%. This is 
mainly due to the catch up of travel activity in all areas after the pandemic, the cost increase in 
airfare and hotels due to the increase in inflation , and some commitm ents for technical assistance 
related courses  for the second half of the year . To limit travel expenditure, Directors have been 
instructed to limit unnecessary travel and to save costs where possible.  
4.7.  Under "Implementing Partners", the high expenditure rat e is due to several annual 
contributions to professional networks  and contributions to the overhead costs of the International 
Labor Office for ongoing cases.  
4.8.  "Capital Expenditure " includes the procurement of fixed assets such as computing hardware 
and software, office furniture , and security equipment.  The relatively high expenditure rate under 
this Section  is related to expenditure and commitments for  computing software  and for rental and 
leasing of equipment.  Under Security, several urgent projects linked to emergency management and 
access control will be conducted in the second half. A cut under IT expenditure for hardware has 
been implemented under this budget line to contain cost. 
4.9.  The Section  for "Financial Expenditure " includes the annual reimbursement of the 50 -year 
interest -free loan for the new premises , amounting to  CHF 1.2 million, which has been  paid in May . 
This Section  also includes bank charges.  
 
2 See Document WT/BFA/W/620 . WT/BFA/W/ 645 
 
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  Part C - Operating Funds and ITC  
4.10.   Part C of the budget relates to the contribution to the International Trade Centre  for the first 
semester  (CHF 9.1 million ) and allocations to  the Ministerial Conference Operating Fund 
(CHF 0.6 million) and the Building Renovation Fund  (CHF 0.6 million)  for the full year . 
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