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WT/BFA/215  
 
 
18 October 2023  
(23-6776) Page: 1/17 
Committee on Budget, Finance and Administration    
 
REPORT OF THE MEETING HELD ON 21 SEPTEMBER  2023  
The Committee on Budget, Finance and Administration (CBFA) met on 21 September  2023. 
Her Excellency Ambassador Dr. Bettina Waldmann, German Ambassador to the WTO , welcomed 
Members to the meeting.  
1  ADOPTION OF THE AGENDA  
1.1.  The Chair propose d to adjust the order of the items on the agenda  to take up item C regarding 
the 2022 Annual Report on Diversity in the WTO Secretariat  just before item K regarding the  status 
of the WTO Secretariat Transfor mation Exercise.  
1.2.  The agenda , as set out in document WTO/AIR/BFA/ 62, with the suggested modifications , was 
adopted.  
2  ORAL REPORT FROM THE CHAIR OF THE CBFA ON ONGOING WORK  
2.1.  The Chair noted that  a key priority is to ensure smooth and timely passage of the 2024 -2025 
WTO and ITC budget proposals , which  were formally presented to the Committee before the summer 
break on 18 July 2023.  
2.2.  The Chair recalled  that the  WTO Secretariat has already held two i nformal technical sessions 
to address questions from Members. In particular, questions regarding HR and staffing 
considerations as related to the budget were addressed at a technical session held on 11 September. 
In addition, non-HR Technical Budget Elemen ts were discussed on Monday, 18 September. She said 
that questions regarding the budget aspects of Trust Funds and Technical Assistance matters will be 
addressed at an informal technical session on 2 October.  
2.3.  The Chair commended the Secretariat for organizing the  sessions and for detailed presentations 
addressing Member questions. She said she anticipated that this would help Members  make progress  
on the proposal . She noted the importance of  approv ing a biennial budget for 2024 -2025 by the 
November m eeting , which would allow Members to make a recommendation for approval by the 
General Council in December, and to focus on preparations for MC13.  
2.4.  The Chair noted that there are also questions related to long-term liabilities and pension 
reform , which will  have budgetary implications going forward. The C hair recalled that the overall 
aim of the pension reform process has been to identify a landing zone that w ould allow Members to 
agree on addressing the existing actuarial gap between the pension plan's asse ts and liabilities 
through reasonable burden sharing among stakeholders. At the same time,  she said,  the objective 
is to reassure Members that any landing zone will also include the commitment to engage in a deeper 
review of the WTO Pension Plan.  
2.5.  With this  in mind, the Chair said she has engaged in informal consultations with Members over 
the past few weeks. She added that she also encouraged Members to discuss among themselves 
ideas they may have regarding the terms of reference for a process to explore lo nger term structural 
reform to be undertaken following the budget process.  
2.6.  Pending further discussions and outcome on the WTO 2024 -2025 budget proposal, the Chair 
said she  anticipat ed proposing at the appropriate time that the Committee endorse the 
recommendation of the WTO Pension Plan Management Board contained in document WT/BFA/215  
 
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  WT/BFA/W/644 dated 7 July 2023 for approval by the General Council.  She stated  she would  further 
propose that th e Committee simultaneously agree to establish a Working Group with a mandate to 
examine and, if appropriate, propose longer term structural reform of the WTOPP.  
2.7.  The Chair promised to  circulate her proposal to Members after the  meeting, including draft  
elements that could be developed into terms of reference for the Working Group. She said that 
during the time before the next meeting of the CBFA, the Secretariat and she will be available to 
meet with delegations that may wish to discuss or have any further c omments.  
3  BIENNIAL TECHNICAL ASSISTANCE AND TRAINING PLAN 2024 -2025 – 
WT/COMTD/W/273  
3.1.  The Director  of ITTC provided an overview of Biennial T echnical Assistance (TA)  Plan for the 
Committee. She explained that the TA Plan serves as a policy framework for WTO Technical 
Assistance and outlines the Secretariat's strategic approaches for delivering assistance. It includes 
priorities, expected outcomes, implementation mechanisms, and funding sources. This assistance is 
part of the WTO's capacity -building initiative s. The TA Plan is traditionally submitted every two years 
to the Committee on Trade and Development  (CTD) for consideration and adoption  before coming 
the CBFA for approval of the budgetary elements . This specific plan was adopted by the CTD on 
11 July 202 3. 
3.2.  The presentation  to the Committee  focused on identifying the needs and priorities of TA 
beneficiaries, the strategic approach to be followed, expected outcomes, and the required resources 
for plan implementation.  The ITTC Director  explained that t he nee ds and priorities of beneficiaries 
were determined through a questionnaire, with detailed responses provided on pages 12 to 22 of 
the Plan.  In addition to the questionnaire, t he needs and priorities were identified through regular 
interactions  with benefic iaries , inputs from WTO Committees and Bodies, input from regional and 
global partners, and lessons learned from previous TA Plans.  
3.3.  The Director  of ITTC noted that t he top six priorities include topics covered by existing 
agreements , such as  SPS, TRIPS, TBT, trad e in services, trade facilitation, and agriculture. In 
addition , priorities include  topics not covered by agreements, such as e -commerce, trade and 
environment, investment facilitation for development, gender issues, MSMEs, and WTO reform.  
Moreove r, beneficiaries' preferred modes of delivery for technical assistance are face -to-face, 
followed by a blended approach (virtual and face -to-face), and virtual delivery. An e -learning 
platform remains a cost -effective training tool  for certain types of tra ining. 
3.4.  In terms of results, t he "Managing for Results" approach, endorsed in 2013, focuses on 
achieving measurable results through data analysis and transparency. A dashboard is used to 
illustrate transparency and accountability.  Key results include implem enting existing agreements 
(Key Result 1), supporting negotiations for accession to the WTO (Key Result 2), and addressing the 
needs of non -governmental stakeholders (Key Results 3 and 4).  In focusing on results, p artnerships 
are key for leveraging value, reducing costs, and enhancing outreach. The e xpected results are laid 
out on pages 29 to 44 of the Plan. Activities prioritize beneficiaries' needs, leveraging technology 
and responding to preferences and constraints.  
3.5.  Funding sources for the TA Plan includ e the regular budget and voluntary contributions. 
Inflation, a frozen regular budget, increased earmarking  of voluntary contributions , and a general 
decreas e in contributions pose challenges.  Nonetheless, e fficiency gains have been achieved through 
rationa lization, leading to  a constant output despite reduced resources over the past decade.  The 
regular  budget  resources are  primar ily focus ed on supporting delegates' participation in activities in 
Geneva , and a continued  zero nominal growth budget may reduce access to technical assistance.  
3.6.  Another representative of ITTC provided a more in -depth perspective on the financial aspects 
of the TA Plan. He drew Members ' attention to the fact that the funding details for the technical 
assistance plan are outlined in C hapter VII of the document, with additional information provided in 
Annex 2. He noted that several external factors were considered in the planning process, including 
high inflation since the pandemic's end, uncertainty around the  level of  regular budget, increased 
earmarking of voluntary contributions, and a decade -long trend of decreasing voluntary 
contributions.  Despite these pressures , he reiterated that  the Secretariat has achieved  important  WT/BFA/215  
 
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  efficiency gains by rationalizing its technical assistance op erations. These efforts allowed for a 
consistent output despite a 40% reduction in resources over the past decade.  
3.7.  He noted that une armarked funds are a significant funding source  for the TA Plan , but there 
are challenges due to potential shortfalls, with an expected balance of only around 6 million at the 
end of 2023.  As commitments for the L-posts and Young Professional s Program are made early each 
year, only a portion of the projected CHF 6 million balance is available fo r implementing  core 
activities. Timely replenishment of these funds is crucial to swiftly implement ing the plan adopted 
by the C TD. 
3.8.  In conclusion, the  representative of ITTC said that , in addition to the regular budget allocation 
of CHF 4.5 mil lion, the  Committee is asked to approve an annual target amount of just over 
CHF 12 million for non-earmarked contributions to the GTF for the next biennium, with hope that 
contributors will provide the funds required . 
3.9.  A Member expressed appreciation for t he work of the ITTC and acknowledged its positive 
outcomes. She emphasized the importance of capacity building within the Organization, particularly 
for developing members and Least Developed Countries (LDCs) and commended the ITTC's efforts 
during the pan demic to address backlogs in technical assistance activities. Additionally, the 
participant asked  if Members can expect more opportunities for Geneva -based delegations to o as 
this would reduce travel and accommodation costs. At the same time, although expressing support 
for the adoption of the report, the Member pointed  to certain  "terminology mistakes " within the 
report and expressed the expectation that these mistakes would be corrected before the report's 
approval.  
3.10.  A Member expressed gratitude for the in formative presentation and suggested that the 
Secretariat include a comparison of expenditures between the previous  plan and the new plan, 
possibly in the form of an extension to Annex 2 as this would, in her opinion, help Member s identify 
changes and deve lopments.  
3.11.  A Member appreciated the helpful distinction between the regular budget and the GTF and 
commended the extensive work on monitoring and evaluation , suggesting that this practice could 
be extended to non -ITTC managed trust funds. He also mentioned that there could be  further 
reflection regarding the consultations, priorities, and technical assistance related to issues like trade 
and sustainability  and the importance of domestic consultation framewor ks within these areas . He 
suggested that the WTO should focus on enhancing these discussions at the domestic  level to ensure 
inclusive policy conversations. Additionally, t he Member  suggested exploring ways to better 
understand partnerships, their contribu tions, and their potential impact. He also proposed 
considering the possibility that countries would use funds from other development agencies to 
enhance the impact of  WTO technical assistance. In his view it is important not to look at  ITTC's 
work in isol ation, and instead he encouraged examining the broader landscape of development 
assistance from other multilateral and bilateral agencies.  Finally,  he emphasized his concern about 
earmarking funds , express ing a preference for flexibility in fund allocation  without strings attached  
and finding creative ways to meet the interests of  Members  inclined towards earmarking.  
3.12.  A Member praised the Secretariat for its extensive work and clear presentation. The  Member  
emphasized the significance of technical assistance , acknowledged the importance of engaging 
Members , and suggested applying similar approaches in other areas.  
3.13.  Another  Member agreed with previous comments and raised questions about the allocation of 
resources between the regular budget and the Global Trust  Fund. The  Member  suggested 
maintaining a balanced approach in line with past compromises.  He further suggested extending an 
invitation to China to contribute to the Global Trust Fund, given its role in the global trading system. 
Moreover, he  expressed sup port for the need of WTO TA  to address emerging issues and encourage d 
more discussion about  the content of TA and ways of capturing the views from other Members . 
3.14.  A representative of China , in response to the comment on contributing to the GTF , noted that 
her government contributes financially to TA by actively sponsor ing events and cooperating with 
LDCs and other  developing Members to assist them where possible.  WT/BFA/215  
 
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  3.15.  A Member  expresse d gratitude for the work of ITTC in providing TA for developing co untries. 
He suggest ed exploring collaboration with other organi zations , like the WHO and WIPO. He also 
asked for information about the impact of training on participants' work and if there are periodic 
follow -up reports.  
3.16.  A Member observed that in addition to discussing the budgetary aspects of the TA Plan , there 
appeared to be an appetite for exploring the content and potential gaps in the proposal. He asked if 
there is an inclination to send the plan back to the CTD for reconsideration of the substance bas ed 
on the comments raised.  
3.17.  The Director of ITTC thanked Members for their encouragement and comments. In response 
to a Member comment, she said that the Secretariat could look at making comparisons between the 
current and previous plans . However, in  the me antime , she encouraged Members to consult the 
2022 Annual TA Report (WT/COMTD/W/272) as it provides a lot of information on outcomes and 
lessons learned. With respect to the possibility of  collaborati on with other entities , she stressed that 
ITTC's aim has  always been collaboration where possible , but that coordinating with other 
organi zations  is not always easy . Nevertheless, she expressed commitment  to leveraging 
opportunities  of collaboration  with other institutions , noting that the  2022 annual report  detail s ITTCs  
partnerships and contributions received.  
3.18.  With regard to  identifying specific needs  and content areas, she reported that this  can be 
more complex than it might appear. ITTC engage s in a dialogue to understand the precise challenges 
the beneficiaries  face. However, its  role primarily revolves around training, not policy advice. She 
said that this is  where collaboration with development agencies or bilateral programs becomes vital, 
depending on the needs articulated. She drew Members ' attention to the fact that some developing 
countries, when hosting activities, help to cover certain costs , which should not be overlooked. 
Finally, before turning to her colleague for further elaboration  on points raised by Members, s he 
offered to discuss terminology issues raised by a Member and find a pragmatic solution . 
3.19.  The representative of ITTC clarified that earmarking applies to trust funds where  contributions  
are designated for specific purposes , and that over the past decade, the  trend  has been toward 
earmarking for specific programs or activities , as opposed to  specific beneficiary categories , such as 
LDCs. Next, regarding collaborations with other organi zations, he noted that t here had been efforts 
to create a database for technical assistance partners to register their activities , but this initiative 
ultimately failed  as most other entities were unwilling to invest the  time required to keep it updated 
and when they did , it was usually only done retrospectively so could not help with planning or 
coordination.  
3.20.  Turning to the question about participant follow -up, he explain ed that ITTC  does evaluat e the 
TA provided , including e x-post evaluations o f certain programs to measure results after several 
years.  He referred Members to the technical assistance monitoring and evaluation plan  
(WT/COMTD/W/261/Rev.1) , which is presented to the C TD at the same time as the main technical 
assistance plan.  
3.21.  A Member , following up on some of the exchanges on costs versus content , noted that he 
thinks they are linked in terms of prioritizing how resources will be used. He clarified that his 
comments were more systemically oriented in terms of what d irection Members are taking in the 
future  and in other contexts, while reiterating the need for the Secretariat to remain impartial, not 
just in the delivery of TA . Finally , he asked if the WTO  Chair's Program is an earmarked activity or 
not. 
3.22.  The Director of ITTC confirmed that t he WTO Chair's Program receive s earmarked  
contributions. She offered to follow up bilateral ly. 
3.23.  Another Member took the floor again to emphasize the need  for technical assistance on basic 
economic principles in many of the emerging policy areas of interest to developing Members , noting 
that this discussion can stay within the mandate of the WTO's TA programs without giving policy 
advice . 
3.24.  The Chair of the CBFA thanked the Members for the interesting exchange and comments 
about  the content of technical assistance . She noted that she had not hear d anything to suggest WT/BFA/215  
 
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  Members would not be able to gavel the budgetary aspects of the plan . Following an exchange with 
Members on how to address the questions of terminology used in the document, it was decided to 
consult over the lunch break to find a pragmatic solution.  
3.25.  At the end of the afternoon session, the CBFA Chair inform ed Members that a solution to the 
concerns wi th terminology had been found. The language proposed was "Subject to the 
understanding that the term 'donor ' is to be read as referring to 'contributor ', and the term 'country ' 
is to be understood as referring to Member and/or Observer, I propose that the Committee approve 
the budgetary aspects of the Biennial Technical Assistance Plan for 2024 -2025, as set out in 
document WT/COMTD/W/273. I further understand that the CTD will be asked to instruct the 
Secretariat to iss ue a corrigendum to document WT/COMTD/ W/273, to reflect these changes."  
Members so agreed . 
3.26.  The committee  so approved . 
4  BUDG ET AND FINANCE REPORT – 2ND QUARTER 2023 – WT/BFA/W/645  
4.1.  An official of the Secretariat stated that at the end of June 2023, the contributions received 
were lower than those received in earlier years , partly due to the fact that some top contributors 
had adopted the practice of deferring their current year's contribution to the following year. She 
further added that this  delay has a negative impact on the financial and b udgetary planning of the 
Organization.  
4.2.  She highlighted that 59%  of contributions had been received at the end of June, versus 65% 
at the same time in 2022. She added that 82 Members  and 10 Observers had no outstanding balance 
at the end of June. In June 20 22, there were 95 Members and 10 Observers with no outstanding 
balance.  
4.3.  She added  that there were 15 Members under Administrative Measures over the three 
categories and 6 Observers. No additional contributions had been received since the June report.  
4.4.  Regar ding the budget situation, she said that the expenditure rate amounted to 54%. The 
mandatory salary increase of 3.1% is putting pressure on the resources , and recruitment was paused 
in the middle of the year to contain cost and to analyze each vacant post to determine whether 
recruitment should proceed because that post was necessary. The short -term expenditure was at a 
lower level than in the previous year. She added that the expenditure rate under travel was 64% , 
which was mainly due to the intensification of the travel activity after the pandemic, but also  the 
impact of inflation to increase airfares and hotels. She noted  that Directors ha ve been asked to limit 
unnecessary travel and save costs where possible. Under Capital Expenditure, she reported that 
some urgent projects linked to emergency management and access control would be conducted in 
the second half of the year , and that a cut under IT expenditure under hardware had been 
implemented under this section.  
4.5.  Two Members asked about the accession process of Observers in case of outstanding 
contributions and said that pressure should be put on Observers in arrears if they were about to 
become Members. Another question related to the cost of virtual meetings. The Member further 
questioned w hether it was really necessary to provide interpretation for all virtual meetings or 
whether choices should be made  as to which meetings to interpret . 
4.6.  Other Members enquired about the share of expenditure o n temporary assistance and about 
which elements we re included in the cash situation.  
4.7.  The official of the Secretariat replied that the Financial Regulations stipulate that Observers 
could become Members only if all their arrears had been fully liquidated .  She noted that the 
Secretariat is in close contact  with these Observers. Regarding the cost of virtual meetings, the 
official said that the Secretariat ha s managed to decrease the cost since the introduction of virtual 
meeting tools in 2020, but that it is still fairly expensive. With respect to temporary  assistance, this 
figure included expenditure and commitments as at the end of July. In response to  the question on 
the cash situation, she explained that this item not only included cash received for the regular 
budget, but also trust fund receipts , provi sions and the Working Capital Fund . WT/BFA/215  
 
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  4.8.  The Committee took note of the report and the comments made.  
5  QUARTER 2 2023 EXTRA BUDGETARY FUNDS REPORT – WT/BFA/W/646  
5.1.  An official of the Secretariat, noting that the presentation of the Biennial TA Plan by ITTC had 
already covered the key points related the GTF , briefly reported that contributions have decreased  
significantly for this year . While that does not put implementation of activities in the current year  at 
risk, it makes the Organization  vulnerable for launching planned activities early next year . Therefore,  
he said,  Members are invited to make contributions  to the GTF before the end of the year.  
5.2.  He reported that, overall, most other trust funds are in a healthy financial position . This includes 
the STDF, although with its projected rate of project implementation it would  also need additional 
contributions to maintain its implementation plans.  The exception to the general good health of the 
trust funds is the LDC Ministerial Fund for MC13 , which lacks funds . 
5.3.  A Member said he was unclear about the extent of the earmarking based on the information in 
Table 2 and Figures 1 and 3 . As his government is  a contributor to the GTF, he said it would be 
useful to have clarity as to what their money is  or is not going to  and what programs are  being  
funded through earmarks.  
5.4.  The representative of the Secretariat suggested that a bilateral follow up with ITTC the  best 
way to start and that the Secretariat would reflect further about if there are ways to pr esent some 
of those aspects more clearly in  future reports . 
5.5.  The Committee took note of the report and the comments made.  
6  LDC MINISTERIAL CONFERENCE TRUST FUND 2023 -2024 – WT/BFA/W/647  
6.1.  An official of the Secretariat thanked Members for their contributions to the LDC Ministerial 
Conference Fund and encouraged them to make additional contributions to the Fund because the 
date of the Ministerial Conference is fast approaching and the Secretariat has already started making 
contractual commitments.  In addition, the official of the Secretariat noted the importance of 
fundraising for the support of LDCs participation at MC13. The Official of the Secretariat encouraged 
the delegates to covey this important message to the capitals as the amount of resou rces currently 
available in the Fund is lower than the targeted amount that should be available at this date.  
6.2.  DDG Ellard took the floor and emphasized the importance of contributing to the Fund to make 
participation of LDCs in MC13 meaningful. She thanked those who made contributions to the Fund 
and encouraged others to give particular attention to this issue. She noted that in fact, the 
Secretariat has a pending contract for a hotel for LDC participants, which demonstrates the 
importance of the prompt repl enishment of the Fund.  
6.3.  A Member thanked the Secretariat for the update. The Member said it supported the Fund in 
the past and that the message will be conveyed to the capital. The Member encouraged the 
Secretariat to conduct more outreach. For example, the  Member suggested that the Director -General 
could send a letter to the various decision makers to facilitate fundraising.  
6.4.  A Member confirmed its intention to contribute to the Fund to ensure a broad participation of 
LDCs at MC13.  
6.5.  The Secretariat thanked Me mbers for the comments and confirmed that a letter inviting 
contributions to the Fund has been sent  to Members from DDG Ellard . 
6.6.  The Committee took note of the report and the comments made.  
7  REQUEST TO DRAW FUNDS FROM THE BUILDING RENOVATION FUND TO UPDATE 
AUDIO -VISUAL EQUIPEMENT IN WTO CONFERENCE ROOMS – WT/BFA/W7650  
7.1.  An official of the Secretariat presented a request for funding to replace audio -visual equipment 
in conference rooms A, B, C, D, E, S1, S2, S3, and W. She explained that rooms in the CR are not 
included in the request because they are managed by Fondation des Immeubles pour l es WT/BFA/215  
 
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  Organisations Internationales (FIPOI). She emphasized that the audio -visual equipment in these 
rooms, which was installed in 2011 -2012, has exceeded its technological life span and is no longer 
supported by the manufacturer, making replacement difficult if a major failure occurs . The 
Secretariat official added that a study of an external audio -visual expert highlighted the growing risk 
of equipment failure and recommended up grades to avoid system inoperability. The Secretariat 
therefore is seeking approval from the CBFA to allocate funds from the Building Renovation Fund to 
upgrade audio -visual equipment in all conference rooms. The official of the Secretariat emphasized 
that the estimated cost of the project (CHF 6,717,040) is based on 2022 pricing and does not take 
account of potential inflation or other factors. The cost breakdown includes expenses for an audio -
visual expert (CHF 60,000), an engineering company (CHF 536,400 ), and the actual hardware and 
software (CHF 4,470,000) required for the project. Additional expenses are anticipated for carpeting, 
cabling, and lighting controls. In addition, a 10% contingency is included for unforeseen 
circumstances, bringing the total  amount to CHF 6,717,000. The official emphasized the Secretariat's 
commitment to provide regular updates to Members on project status, timelines, and milestones, 
adhering to proper reporting channels and procurement guidelines.  
7.2.  A Member thanked the Secret ariat for the presentation and stated its support for the request. 
In particular, the Member emphasized the importance of upgraded facilities and highlighted the 
importance of effective procurement to ensure the funds are used efficiently and transparently . The 
Member asked the Secretariat to share the procurement guidelines to gain a better understanding 
of the process. The Member also asked why some rooms, such as rooms X and Z, were not included 
in the scope of the project.  
7.3.  A Member asked how to ensure a  unified approach to technology in the CR and other rooms. 
The Member emphasized the importance of thorough legal and contractual oversight, and a robust 
procurement process, particularly for critical infrastructure. The Member thanked the Secretariat for 
the commitment to keep Members informed about the progress, considering it a valuable aspect of 
the proposal.  
7.4.  A Member expressed support for the proposal and confirmed that she herself has experienced 
equipment failures in the WTO. In addition, the Member shared her positive experience in working 
with the Secretariat procurement team.  
7.5.  A Member welcomed the proposal and recalled that his delegation had proposed using the 
Building Renovation for this project before.  
7.6.  The Secretariat official thanked the Membe rs for the views expressed. She clarified that rooms 
X and Z are communal meeting rooms that do not require video conferencing system as they are 
mostly used for bilateral meetings. She also said that the replacement of audio -visual equipment in 
the CR and  other rooms will be conducted in parallel, which will ensure uniformity.  
7.7.  The Committee approved the utilization of an amount of CHF 6,717,040 from the Building 
Renovation Fund to finance the upgrade of audio -visual equipment in Rooms A, B, C, D, E, F, S1,  
S2, S3, and W.  
8  ITC 2024 -2025 BUDGET PROPOSAL – JOB/BFA/84  
8.1.  The Chair recalled that the ITC Budget Proposal was presented to the CBFA on 18 July and that 
the ITC responded to questions at that time.  
8.2.  A Member expressed its support for the ITC Budget Proposal presented.  
8.3.  A Member asked for more information about cost savings and efficiencies as a demonstration 
that the ITC  had done the necessary work to justify that the increases were unavoidable.  
8.4.  A Member thanked the ITC for the reply to their question s and indicated that he might come 
back to the ITC with follow -up questions.  
8.5.  A Member enquired about the 50 /50 relationship between the WTO an d the United Nations in 
funding  the ITC budget and asked  who c omes  first in case of an increase in budget and how that 
would be handled.  WT/BFA/215  
 
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  8.6.  The Executive Director of the ITC thanked the Members for their questions, and support.  
8.7.  Regarding the question on cost savings, she indicated that efficiencies had been achieved  in 
the areas of travel, printing and telecommunications , and some utilities. She also said that she would 
be happy to discuss this in greater detail. She added that the budgetary increase requested for 2024 
was 3.9% for ITC , and that it related to the inflation rate.  
8.8.  Regarding the budget process, she recalled that the WTO has a biennial budget, whereas the 
UN ha s changed to an annual budget process, but that the underlying principle was still a 50 /50 
contribution.   
8.9.  The Committee t ook note of the discussion . 
9  WTO 2024 -2025 BUDGET PROPOSAL – WT/BFA/W/64 3 
9.1.  Deputy Director -General An gela Ellard made a statement regarding the proposal for the 
biennium 2024 -2025 budget reflected in paras. 9.2.  - 9.23.  below.  
9.2.  Let me start by thanking you for your attention and focus over the last few months as we have 
been presenting our budget to you. I recognize that you w ant the best for the WTO and are 
committed to this organization because it delivers good value, and that you are facing fiscal 
challenges of your own.  
9.3.  In July, the Director -General tabled before you a proposal for the Organization's biennium 
budget of 2023 -2024 requesting to adjust our budget by 7.4 per cent, or CHF 14.6 million, in 2024 
and by 0.9 per cent, or 1.9 million, in 2025, compared to the ZNG budget that was first set by 
Members in 2012. In addition, the ITC has requested a budget increase request  of CHF 725,000, 
which would come from the WTO budget. And if the recommendation of the Pension Board is 
adopted, an additional CHF 4.4 million per annum in increased pension contributions would be 
required, plus the use of the Working Capital Fund as a ca pital infusion without budgetary effect.  
9.4.  I would like to make several key points about our proposal, and we will circulate my speaking 
note to you after this meeting.  
9.5.  First, as you know, our budget has remained flat since 2012, and we have taken on new tas ks 
and new technology in those 12 years without additional funds. Instead, we have cut and 
repurposed, growing more efficient. But we have reached a tipping point.  
9.6.  Second, I note that in real terms, our budget has actually declined by more than CHF  10 million 
since 2012, taking inflation into account. So, what we are asking for is not even an actual increase, 
but rather to bring us back to CHF 197.2 million in real terms, or to make us whole by restoring the 
level of our budget to what it was intended by Me mbers to be, with a small additional increase.  
9.7.  Our CHF 197.2 million budget is now worth only CHF 186.94 million – a drop of 5.49% using 
the Swiss CPI. And that measure is conservative because we purchase so many goods and services 
outside of Switzerland, so the effect of inflation on our budget is deeper still.  
9.8.  In the early years of the ZNG budget and during the pandemic, we proved ourselves to be good 
stewards of your taxpayer money by returning to you any surpluses we have accumulated due to 
some deflati on in the early years or because of reduced spending during the pandemic – we did so 
either directly to you or by replenishing the Working Capital Fund, which you control. But our 
circumstances have changed radically over the last few years, and we no long er have this ability.  
9.9.  Third, more than half of our budget adjustment request is in the category of mandatory and 
unavoidable expenses, which have increased in the past couple of years due to inflation. These 
expenses include the mandatory, contractual incr ease in staff salary and benefits based on the 
comparison with other organizations, as well as the increase in the cost of energy, travel, and 
interpretation services and other contractual services we use. Let me emphasize that the increase 
in staff remune ration and benefits alone amounts to almost a third of our budget request, and it is 
truly unavoidable – we are contractually obliged to do it, regardless of whether you give us an 
increase or not.  WT/BFA/215  
 
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  9.10.  Fourth, it is also undeniable that our workload has increa sed compared to 2012 when one 
looks at objective workload indicators. In our informal technical briefing on Monday, we 
demonstrated that the number of words translated by our Languages and Documentation Division 
has increased from 21.5 million in 2015 to a lmost 25 million today – an increase over 16%, which 
is projected to grow as we approach MC13. That metric shows that the WTO is a busy place, as 
Members prepare for MC13, implement the new Fisheries Subsidies Agreement and negotiate a 
second wave, and wor k intensively on reform, just to mention a few workstreams.  We also 
presented data to Members showing the increase in the number of meetings that require 
interpretation. In addition, following India's request, we are preparing an update of document W/462 
with the numbers of meetings of WTO regular and negotiating bodies and the number of documents 
circulated. We should have this document to you shortly – the tabulation has to be done manually 
across all divisions.  
9.11.  Fifth, we are forced to reduce the number of posts we fill to make ends meet – in other words, 
we are obliged to leave posts vacant to pay the bills. This is not a sustainable strategy for a 
successful, relevant, and world class organization serving its Members.  
9.12.  Let me explain this more fully. In 2012, Members set a staff ceiling of 645.5 posts, with the 
understanding that staffing costs would be limited to 75% of our budget. In any organization, a 
certain number of posts remains vacant at a given time due to the normal churn as staff depart and 
new staff is recruited. But the real question is how many of the 645.5 posts set by Members can be 
funded and filled with the budget we have.  
9.13.  In 2012, we had 12 unfunded posts. In other words, of our 645.5, we had funds to pay 645.5 
minus 12 posts, or 633.5.  But today, the situation is quite different, and we are forced to keep 
47 posts unfilled to have the cash to pay for increasing costs for staff salaries, utilities, technology, 
etc. Keeping posts vacant is the only meaningful tool we have to free up liqui dity. Instead of filling 
the 645.5 posts we have been allocated by Members, we can fill only 598.5, not even the 633.5 we 
had in 2012.  
9.14.  And the situation is headed downhill – if our budget is not put on a sustainable footing as per 
our budget request, we wi ll have to keep up to 60 posts vacant in 2024, reducing our staff to 580.5 
– meaning 10% of our staff allocation given by Members 12 years ago must remain vacant. We are 
feeding off ourselves – shrinking our talent pool – just to stay afloat.  
9.15.  Sixth, many o f you have asked for more information about our request to increase our staff 
ceiling by 15 posts, bringing it to 660.5. I should emphasize that we are not asking you to fund all 
these 660.5 posts, just 630.5, which is still below the allocation of 645.5 p osts set by Members in 
2012. What we are seeking is to expand our catalogue of posts eligible for funding, but the catalogue 
would not be fully funded. We ask for this expansion beyond the 645.5 set by Members in 2012 to 
provide us with greater flexibility  to meet our needs in filling individual staffing slots, while, at the 
same time, providing greater accountability to Members about which of those slots we fill based on 
our needs at any given moment. This effort would also help us hire experts with the ar eas of 
expertise we are currently lacking.  
9.16.  This brings me to my next point, point seven. You have asked us for a clear strategy process 
for resource allocation, and you have rightly noted that you want to be part of this exercise. We are 
making good progre ss to develop the inventory of the resources and expertise we already have in 
the house and to identify the missing skills. To this end, we are undertaking a three -step process: 
(i) mapping our existing resources; (ii) developing a competency framework to set out the 
behavioural skills that should be displayed by all staff members and the technical skills required for 
individual positions and job families; and (iii) conducting a skills mapping exercise, which will help 
us understand where the gaps are and t o make strategic decisions as to how to address them. We 
are nearing completion the second step of the process.  But even as we are still working on this 
important measure, some gaps and needs have already become clear, and they are reflected in our 
reques t for 15 new posts, reflecting our needs for specialists in economic modelling, fisheries 
subsidies, digital trade, gender and inclusivity recruitment, risk management, and 
oversight/investigations.  
9.17.  Finally, my eighth point. You have rightly asked us to sh ow where we have made cuts and 
reallocated resources. First, we have reduced our energy bill by optimizing technical installations WT/BFA/215  
 
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  and reducing consumption. This year, we have also reduced IT costs by extending laptop lifetime 
and streamlining our service center staffing. We are saving on translation costs by using new 
technologies (although the technologies themselves require investments). And we have been 
reallocating staff to fill our pressing needs, as reflected in Table 11 of the budget proposal. In 
particular, we have reallocated former Appellate Body staff and posts, we have reallocated staff to 
newly -created positions in the Transformation Office and DDG offices to increase our performance, 
and we have increased internal mobility to address increased  needs.  
9.18.  Second, we have cut the actual use of short -term contracts in 2023 by almost 25% compared 
to last year, and we are committed to reducing that figure to 50% below the 2022 level as part of 
our budget request.  
9.19.  Third, we are disciplining travel by pri oritizing virtual events whenever possible, combining 
trips, and reducing the number of staff going on missions. For trips of senior management and staff, 
whenever possible and appropriate, we accept reimbursement of trips and accommodation by 
organizers. Our request for a 10% increase in travel actually represents a cut in travel, because 
costs for our portfolio of travel has increased by 53%. Please note as well that 54% of our travel 
budget is for technical assistance travel, of which only 19% goes for s taff travel related to technical 
assistance, and the overwhelming 81% is for participants' travel. Moreover, 10% of the travel budget 
is spent on pane llist travel. What that means is that only half of the travel budget is actually for 
Secretariat travel.  
9.20.  I hope that my explanation has helped you in your deliberations and your consultations with 
capitals. We believe that we provide value to you and the people you represent, and that's what we 
hear from you too. And we believe that our request is quite modest  in light of the value we provide 
and the context of zero nominal growth, inflationary pressures, and a demanding workload. We know 
that you face these challenges too. But our work helps you do your work. Please help us remain 
effective and efficient in se rving you.  
9.21.  After presenting the budget in July, we received a number of questions from several Members, 
which we sought to address at the meeting on the 18th of July when we presented the budget as 
well as at the technical sessions we held on 11 and 18 Sep tember. I'd like to thank those Members 
who attended the sessions. I hope they were useful in clarifying the proposal. We have circulated 
the presentations from these sessions to all CBFA members. We will have another technical session 
on 2 October, to dis cuss technical assistance (which makes up a big portion of our budget) and trust 
funds.  
9.22.  We are, of course, available to answer any further questions you may have, thoroughly and 
transparently. At the same time, I would like to recall that the final decisio n on this matter must be 
taken at the last GC meeting, scheduled for December, and the CBFA must make a recommendation 
before then, at its November meeting. This tight timeline means that we have approximately two 
months to bring this process to a close. A s you know, as of the first of January, we have absolutely 
no budgetary authority to operate unless Members have taken a decision.  
9.23.  I would welcome your thoughts on how you see the way forward in the coming two months 
to bring this process to a successful c onclusion. So many of you have been supportive and open -
minded, and I am grateful for your flexibility. I appreciate the exchanges that we have already had 
and look forward to continued discussion and, ultimately, our work together to help you in your 
decision.  Thank you, once again, for your attention.  
9.24.  A Member made a statement on behalf of the European Union and its 27 member States. He 
expressed their commitment to work constructively with the Secretariat to reach an agreement, 
before the end of Novembe r, on a new WTO budget for 2024 and 2025. Since the WTO does not 
have a mechanism allowing it to continue functioning absent a budget, he said it is important that 
all Members show the same sense of commitment to conclude this process in the next two month s. 
The Member acknowledged the effects of the current scenario of inflation on the Organization's 
budget. He also recalled that the Secretariat has been asked to produce a bottom -up skills and gaps 
"mapping exercise" to underpin requests for an increase in  the staff headcount. The Member 
acknowledged that the current number of staff is below the number employed in 2012, even after 
discounting the redeployment of the 25 staff members who were previously working for the Appellate 
Body Secretariat. The Member said such a mapping exercise would allow Members to have a more WT/BFA/215  
 
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  precise overview of the specific needs for new staff and their profiles. He welcomed the initial steps 
being taken in this direction, even though a full report is only expected at the end of t he year, i.e., 
after the decision on budget.  
9.25.  The Member pointed out that Table 13 of document WT/BFA/W/643 provides a breakdown of 
the proposed ceiling of 661 posts. He asked which ones among them would be the 30 that would be 
left vacant or, at least, und er which criteria that decision will be taken.  
9.26.  The Member also recalled that his delegation has been consistently arguing that budgeting, 
operations, and planning should be informed by a clear strategy. In this regard, he welcomed the 
Secretariat’s initial  steps to develop its own strategy up to 2030. In the Member's view, this exercise 
should make it easier to identify negative priorities or lower -priority tasks in the work of the 
Secretariat, which would allow to generate some savings. He said it is a goo d practice, when asking 
for a budget increase, also to identify tasks that could be relinquished.  
9.27.  The Member said his delegation would welcome the development of key performance 
indicators to assess the degree of implementation of the strategy and, ultimately, to develop a 
results -based framework for the Secretariat. He added that, as a first step, his delegation would like 
to see a set of activity indicators that the Secretariat could share with Members on an annual basis 
to identify relevant trends . He noted that the Secretariat had already been sharing some indicators 
from time to time, such as those related to the number of meetings and words translated, but there 
is room to do more.  
9.28.  The Member encouraged the Secretariat to continue making progres s on these fronts and said 
he looked forward to receiving further information in the two months ahead. As a final point, he 
asked for a comprehensive version of the budget proposal. The Member said it is in everybody’s 
interest to have a clear view of all expected costs, including costs for the ITC and pension reform. 
In the Member's view, this is in no way prejudging the outcome the discussions as to what the 
membership can collectively agree to. The Member suggested that the Secretariat use brackets or 
footnotes to indicate where further discussions/decisions are needed. Moreover, he recalled that it 
has been agreed that work on the Pension Board’s Reform proposal would be folded into the 
discussion on the budget, and now would seem an appropriate moment t o do so.  
9.29.  A Member took the floor on behalf of a group of Members and referred to section 1.5 of 
document WT/BFA/W/643 regarding the need for resources to finance the area of information 
technology and the requested increases in the WTO budget for this area . The Member said his 
delegation, together with delegations of a few other Members, held meetings with the Secretariat to 
seek to understand whether the needs identified by Members in the proposals related to digital tools 
that would contribute to the impr ovement of the functioning of this Organization, which require a 
budgetary expenditure, could be met with the budgetary requests made by the Information 
Technology Solutions Division (ITSD) under consideration by CBFA. The Member requested that the 
Directo r of the ITSD be invited to the CBFA to explain to Members how the increases requested by 
the ITSD could address Members' demands and the reforms they are seeking. In addition, he pointed 
out that the group of Members he represented had requested that repo rts of the Council for Trade 
in Goods to the General Council include the list of reforms requested by Members that have not been 
able to be implemented due to the lack of resources. He said this would allow Members to have a 
comprehensive diagnosis that wo uld allow the CBFA to close the gap between the demands of 
Members and the resources available for the implementation of the reforms.  
9.30.  Several Members took the floor in support of the position expressed by the Member in 
para. 9.29.  above. One of these Members made an additional point that it would be useful for the 
Secretariat to describe what projects or priorities identified by Members it does not have sufficient 
resources for, so that Members could conduct a diagnostic.  
9.31.  A Member said she was still confused by the need for an increase in the existing staff ceiling. 
To better assess this need, the Member asked that the Secretariat specify the functions of the 
47 posts kept vacant and which of these posts would be filled if there were an increase in the budget. 
The Member also expressed concern about the allocation of additional posts, including four new 
posts in the Economic Research and Statistics Division, taking in to account the fact that 36 staff 
members already work in that Division. The Member requested that the Secretariat provide the 
structure of th e Division  as well as information about  of each of the staff  member's  field of work and WT/BFA/215  
 
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  expertise . The Member adde d that the requested doubling of promotions was likely to lead to a 
concentration of employees at Grades 9 and 10, which could lead to the return of the "inverted 
pyramid". With respect to the increase in the price of UNICC services, the Member pointed out  that 
many international organizations are switching to the use of cloud services and said that the WTO 
could consider doing the same. With respect to travel, the Member asked the Secretariat to provide 
information about travel undertaken in 2021 -2023, including travel destinations of each division, the 
number of staff members who travelled, the number of economy/business class tickets issued, how 
much time was spent in the point of destination, accommodation expenses, as well as the description 
of events. The Member also asked why the travel budget for technical assistance remains the same, 
according to the Technical Assistance Plan, whereas the overall travel budget is projected to 
increase. Moreover, the Member said that her delegation was surprised to se e that only 30% of 
interpretation in 2023 was for informal and formal meetings, which means that the core activity of 
the WTO has decreased substantively compared to 2021. The Member added it would be useful to 
see a more detailed breakdown of the other se ction of interpretation expenses and why it has 
skyrocketed from 25% in 2021 to 40% in 2023. With respect to expenses on translation, the Member 
pointed that there have been significant advances in technology, including artificial intelligence, and 
said it  would be useful to know how much has been saved due to the introduction of technological 
tools and whether it is possible to do more in this area. With respect to settling disputes, the Member 
asked which activities will drive the projected increase in 20 25. Finally, the Member said her 
delegation's questions with regard to the pension plan remained.  
9.32.  A Member emphasized the importance of the normal functioning of the Organization and 
added that while it could see the challenges identified by the Secretaria t, it needed further 
explanations, especially with regard to the request for new posts. In particular, the Member said 
that it was difficult to explain to the capital that even though the mapping exercise has not been 
completed, some gaps were already obvi ous. By way of example, the Member said her capital 
wondered why a post for the Trade and Environment division was identified as a new pressing need 
since this is not a new area and the relevant Division has existed for a long time. She noted that 
there ar e emerging issues, such as carbon adjustment mechanism, and questioned whether the 
implication of such an approach is that the Secretariat needs a specialized expert in every area of 
work. With respect to internal oversight, she noted that while it is a no rmal function of an 
organization, this is not a new area, and more explanation is needed with respect to this need. In 
the same vein, she noted that data science and statistics as well as fisheries subsidies are not new 
areas for the Organization. Similarl y, she said it was difficult for her to explain a request for a post 
in the area of diversity and inclusivity because the importance of this area has always been 
emphasized by her delegation. Noting that the Secretariat has had to keep 47 posts vacant to f ree 
up liquidity, she asked what that money was spent on. Furthermore, the Member said it wasn't clear 
to her why the Secretariat requested funding 630 posts, whereas it had been allocated 645.5.  
9.33.  A Member said that he would convey the request to his capita l, although he remained sceptical 
about increases to any organization. He also supported the Member's statement in 
para.9.29.  above.  
9.34.  A Member underlined the importa nce of maximising the existing budget, reducing 
unnecessary expenses, and creating efficiencies. He also underlined the importance of looking for 
extra-budgetary sources of revenue of the Organization.  
9.35.  A Member welcomed that KPIs may be included in the bud get proposal. The Member 
underlined the importance of the request being properly justified because it would be scrutinized by 
the capital in light of the long -standing policy of zero nominal growth. The Member highlighted three 
points. First, the Member sa id while his delegation understood the request for mandatory and 
unavoidable costs, where the one -off costs or the figure may change or even reduce in 2025, it 
would welcome this fact being reflected in the proposal . Second, noting that the cost of consult ancies 
and short -term contracts currently amounts to 10% of the budget request, the Member requested 
a clarification of the needs and future plans in these areas. Third, the Member expressed appreciation 
for the transformation process and risk management, which would  provide greater transparency on 
resource allocation as well as in other important areas , such as gender and inclusio n. Finally, the 
Member stressed the importance of achieving a timely  agreement on the  budget for the next 
biennium.  
9.36.  A Member sai d it had sent a list of questions to the Secretariat, hoping to get a detailed reply. 
The Member noted that the proposal still raised a lot of questions, especially with respect to the new WT/BFA/215  
 
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  posts, research projects done by the Economic Research Division, an d the use of existing resources. 
He also said that while the Secretariat purchases a lot of services from the outside, it has to be kept 
in mind that the Swiss franc has been getting stronger. He added that for developing countries, not 
only the inflation rate, but also the exchange rate should be taken into account, and that for his 
country, the contribution has almost tripled between 2010 -2023 because of the exchange rate. He 
noted that while the technical sessions were helpful in addressing some question s, many questions 
raised by his and other delegations have not been answered. For example, in his opinion, the vacancy 
rate numbers did not add up and needed further substantiation. The Member requested that replies 
to these questions be provided quickly, which would facilitate their consideration in the upcoming 
months. He underlined that it would be difficult for developing countries to accept a budget increase 
due to a difficult domestic situation.  
9.37.  A Member said it is considering the request with an open  mind and had a good understanding 
of mandatory and unavoidable expenses. The Member noted, however, that a lack of understanding 
remains regarding additional posts and posts kept vacant, and why a certain number of posts is 
being foreseen, with only some of them being funded.  
9.38.  DDG Ellard thanked Members for the questions asked and for the opportunity to clarify certain 
areas in response to those questions. She said she understood that delegates had to explain each 
aspect of the request to their capitals and  that the Secretariat's intention was to make that as easy 
as possible for Members. She observed that the Secretariat has put forward a lot of information 
before Members, including the proposal itself, as well as supplementary materials and slides 
presente d during the technical sessions and at the present meeting, in an effort to address the 
questions the Secretariat had received from different delegations. She underscored the commitment 
of the Secretariat to respond.  
9.39.  In response to the Member's interventio n in paras. 9.24.  -9.28.  , DDG Ellard first 
emphasized that while 645.5 posts have been allocated to the Secretariat, this allocation was never 
fully funded. In this regard, she noted that in 2012, 12 out of 645.5 pos ts were not funded, which 
shows that there has always been a difference between the allocation and the number of funded 
posts. She further noted that an average post costs much more now than it did in 2012 (CHF 199,000 
in 2012 vs CHF 217,000 in 2023) becau se of the mandatory step increases and salary increases. 
She explained that these increased costs mean that not all allocated posts can be funded. She noted 
that the Secretariat is seeking to be able to fund 630 posts, not the full catalogue of 660 posts. 
Nothing some Members' questions as to which specific posts the Secretariat is seeking to fund, 
DDG Ellard noted that the situation is very dynamic, and that each time a staff member leaves the 
Organization, senior management reassesses whether the post sho uld be maintained or redeployed 
and whether it should be kept at the same grade or re -graded, and that assessment is made within 
the existing budgetary context.  
9.40.  With respect to skills mapping, DDG Ellard said that this is a priority for the Secretariat and  
that work is progressing as quickly as possible. She explained that the first step is to finalize the 
inventory of skills needed. Thereafter, staff members would have to update their CVs and confirm 
which skills they possess so that gaps could be identifi ed. In response to Member's question in 
para. 9.25.  as to which 30 posts would be left vacant, DDG Ellard said that it was hard to answer 
that question because it  depends on a particular snapshot in time and where vacancies are at that 
moment. Therefore, she said, vacancies are being reviewed one by one, as they arise. She further 
said she agreed with Members' that budget and planning should be informed by strategi c priorities 
and welcomed Members' positive feedback about the initial steps of this process. She said she agreed 
with Member's comment in para. 9.26.  that this wo uld help identify lower -priority tasks which would 
generate savings.  
9.41.  With respect to the development of key performance indicators (KPIs), DDG Ellard said that 
the Secretariat has already begun that process, and that in some Divisions it may be easier to 
implement KPIs than in others. In particular, she noted that the Administration and General Services 
Division has started developing KPIs, and that senior management will work with the Strategy Unit 
to develop KPIs for other Divisions.  
9.42.  DDG Ellard noted that  a few Members have asked for a comprehensive picture of the budget, 
including the ITC's request and pension. In this regard, she recalled that the Director -General has 
requested that the budget be adjusted budget by 7.4 per cent, or CHF 14.6 million, in 2 024, and by 
0.9 per cent, or 1.9 million, in 2025, compared to the zero nominal growth  budget of WT/BFA/215  
 
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  CHF 197.2  million. In addition, the ITC has requested a budget increase of CHF 725,000, which 
would come from the WTO budget. And if the recommendation of the Pension Board is adopted, an 
additional CHF 4.4 million per annum in increased pension contributions spread over all Members 
would be required, plus the use of the Working Capital Fund as a capital infusion without budgetary 
effect or effect on Member cont ributions.  She recalled, however, that Members still need to decide 
on the use of the Working Capital Fund and an increase of contributions for pension.  
9.43.  With respect to the Member's statement in para. 9.29.  , which was echoed by a few other 
Members, DDG Ellard stated that reform by doing is a very important exercise and that the 
Secretariat is very eager to work with Members on this. She explained that, with regard to IT, the 
budget request has two components, the first of which is what is required "to keep the lights on" 
and maintain IT security. She explained that this covers the partnership with the UNICC, which is 
becoming more expensive, but still delivers value  thanks to the economies of scale. The second part 
of the IT needs relates to what is needed for transformation and digitization of the Secretariat, which 
would directly benefit Members. DDG Ellard said she would welcome Members' views, and she 
promised th at an informal session will be organized with the Director of ITSD to facilitate the 
discussion on this issue. She observed that information technology can help do things more 
effectively and result in some savings, but the real value is to increase effici encies even if it does 
not always translate into large cost savings. She also noted that IT tools themselves require 
investments.  
9.44.  With respect to Member's question in para. 9.31.  regarding the size and additional needs of 
the Economic Research Division, DDG Ellard pointed to document WT/BFA/W/643, Tables 12 and  13, 
which provide a snapshot of the current size of Divisions as well as information about the additional 
needs. She explained the WTO's structure, noting that each division has a certain staff allocation. 
She highlighted that these allocations may have to be revised to accommodate the 15  pressing 
needs indicated in Table 12 of document WT/BFA/W/643.  
9.45.  With resp ect to Member's remark in para. 9.32.  about the additional posts sought for the  
area of trade and environment, DDG Ellard said that there has been a widespread recognition that 
trade is part of the solution to climate crisis, which shows the importance of that Division and the 
need to strengthen its capabilities. She further noted th at the post requested for human resources 
is aimed to strengthen the capacity with respect to inclusive recruitment, and that Members have 
been pointing out to the need for more diverse recruitment. With respect to the fisheries post, 
DDG Ellard noted that  as a result of the successful negotiations, the Committee on Fisheries 
Subsidies will be created as soon as the Agreement enters into force, which will have to be staffed. 
In the meantime, the second wave of the negotiations is ongoing, which also require s staffing.  
9.46.  With respect to the Member's question in para. 9.31.  about the doubling of promotions and 
its potential effect of restoring the "inverted pyramid", DDG  Ellard emphasized that the doubling of 
promotions would take place across all grades and would not be concentrated in grades 9 and 10. 
She explained that for budgeting purposes, the calculation was made at mid -point of grade 8, but 
that does not mean that  all promotions would take place at that level – the CHF 500,000 allocated 
for this purpose would go further if promotions are made at lower grades. With respect to the same 
Member's question about the use of cloud services, DDG Ellard said that the Secret ariat is exploring 
this, while keeping in mind that this may not be an appropriate solution for certain confidential 
information currently stored on UNICC servers, which benefit from privileges and immunities. With 
respect to the same Member's request to p rovide a detailed breakdown of travels undertaken by 
each division, DDG Ellard reassured Members that auditors, who ultimately report to Members, are 
closely looking into this in the context of the performance audit on behalf of Members, to whom the 
audito rs report. Finally, with respect to the Member's question about the drivers of the projected 
increase in dispute settlement, DDG Ellard clarified that the increase comes from pane llist fees.  
9.47.  With respect to Member's observations in para. 9.34.  above, DDG Ellard pointed out that 
document WT/BFA/W/643 contains information about cuts and re -allocations done by the 
Secretariat. She also noted that the Secretariat has e stablished an internal committee, co -chaired 
by her and the Chief of Staff, to explore potential sources of revenue for the Organization.  
9.48.  With respect to the Member's observations in para. 9.35.  , DDG Ellard said that she 
appreciates the sympathy towards mandatory and unavoidable costs. She observed that most of 
those costs relate to the mandatory staff salary increases, which are not expected to decrease and 
will be "baked into the system" as part of the baseline. She noted that these costs would be WT/BFA/215  
 
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  reassessed and reflected in the Organization's next biennium budget for 2026 -2027. With respect 
to the question about the cost of consultants and short -term contracts,  DDG Ellard observed that 
while short -term contracts cost less than fixed -term ones in budgetary terms, staffing in such a 
manner is not a sustainable strategy in the long term. Therefore, the Secretariat established the 
Short -Term Needs Committee, made up  of the four DDGs and the Chief of Staff. She highlighted 
that the Committee has slashed the spending on short term contracts by a quarter since 2022, and 
that the Secretariat has committed to cut the actual expenditure by a half as part of the budget 
proposal. She also agreed with the Member's point about the importance of the risk management 
function and pointed that it is part of the 15 pressing needs identified in the budget proposal.  
9.49.  With respect to the Member's comment in para. 9.30.   about identifying needs that cannot be 
funded, DDG Ellard agreed that it is a very good point. She observed that the Secretariat is trying 
to do everything Members ask it to do, an d that it is very difficult to say "No" to Members' requests. 
She noted that staff is being pushed to deal with all the demands and recalled that 75% of the 
Organization's expenses relate to staffing, leaving little room for other cuts.  
9.50.  With respect to Mem ber's comments in para. 9.36.  , DDG Ellard acknowledged the receipt of 
the Member's written questions and said that many of them have been addressed at technical 
sessions. She also said that she recognized the hardship that many developing countries are facing, 
noting at the same time that she believes that the Secretariat helps Members do their work and 
adds value, so Members should be interested in having a capab le Secretariat.  
9.51.  Finally, DDG Ellard thanked the Member whose views are reflected in para. 9.37.  and 
expressed hope that it was now clear that the Secretariat is s eeking to fund just 630 posts of the 
total allocation of 645.5.  
9.52.  A Member whose views are reflected in para. 9.36.  took the floor to clarify its question about 
the number of posts kept vacant. The Member noted that confusion remains about the 15 new posts 
and suggested that the Secretariat consolidate the remaining questions that have not been 
addressed and answer them in writing.  
9.53.  In response to the Member's query a bout the 15 new posts, DDG Ellard referred Members to 
Table 15 in document WT/BFA/W/643.  
9.54.  A Member took the floor and said that having listened to the discussion, he was wondering 
what the way forward is. He noted that the current budget request was differe nt from previous ones 
in that an increase was requested for the first time since 2011. The Member underscored the 
importance of avoiding uncertainty before the last General Council meeting in December and being 
able to keep the Organization's lights on in January 2024. The Member cautioned other Members 
about asking endless questions just for the sake of asking. He proposed putting a deadline on asking 
questions to discipline the process and help avoid uncertainty. He also suggested encouraging 
Ambassadors to come to the last CBFA meeting of the year in which the budget proposal will be 
discussed.  
9.55.  The Chair recalled that the deadline for making the recommendation to the General Council 
will be in November because the last meeting of the General Council will take place in December. 
She also recalled that a technical session will take place on 2 October, which will be devoted to 
technical assistance and trust fund matters. She also said she would meet informally with delegations 
to discuss the way forward.  
9.56.  The Committee took note of the discussions.  
10  2022 ANNUAL REPORT ON DIVERSITY IN THE WTO SECRETARIAT – WT/BFA/ W/648  
10.1.  An official of the Secretariat presented  the key elements of the 2022 Annual Report on 
Diversity in the Secretariat , noting that all the data in it pertains to the year 2022 . She outlined that 
the report  provides detailed data on the composition of the WTO workforce by membership and 
gender, as well as the evolution of staff diversity by Member  and regions since 1995 . The report also 
contains  information on staff recruitment and gender balance, including statistics on applications 
received, candidates interviewed and number of appointments.  The representative emphasized that  
issues of  diversity , inclusion , and gender  are being actively address ed through  workshops and WT/BFA/215  
 
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  campaign s and  that at the end of December 2022, the Director -General launched a new WTO 
framework on gender equality . She drew the Members ' attention to the fact that although the WTO 
has relatively low turno ver, averag ing 4.4% over the years , it has crept up recently  to 5.1% , with 
the rate being the highest among  professional staff . 
10.2.  She also walked Members through the detailed data and charts in the report.  
10.3.  A Member expressed appreciation for  all the activities undertaken to improve equity, inclusion , 
and diversity, particularly in terms of gender equality . He congratulated the Secretariat on very good 
trends , while noting there is room for improvement , at the level of directors . He suggested that the 
Secretariat could consider also looking at  diversity in educational backgrounds , in particular,  in terms 
of universities at which staff undertook their studies . 
10.4.  Another Member also recognized t he efforts and progress  made  on diversity  and inclusio n. 
However, she observed that considering that the  number  of the developing Members and the 
population s of developing Members, there is significant room for more progress . 
10.5.  The official of the Secretariat thanked Members for both the kind words and  useful c omments. 
She said she thought the idea to look  at the universities in which  staff members  studie d was good. 
She noted that the HR is  always looking for opportunities to use data to help underpin its efforts, for 
example , providing directors with dashboards  where they can see data  on diversity factors within 
their divisions.  She noted that when the new  diversity office r comes on board,  there will be  more 
capacity for analysis.  
10.6.  A Member asked  what was meant by diversity of university studies and what implications it 
might have for recruitment.  
10.7.  The official of the Secretariat mentioned that the data might show that a disproportionate 
share of candidates come from just a few universities in whic h case it might be useful to find creative 
ways to broaden the recruitment efforts to reach more potential candidates.  
10.8.  The Committee took note of the report and the comments made.  
11  STATUS REPORT  ON THE WTO SECRETARIAT TRANSFORMATION EXERC ISE – 
WT/BFA/W/649  
11.1.  Deputy Director -General Angela Ellard provided an update on the transformation exercise 
reflected in paras. 11.2.  -11.9.   below.  
11.2.  I am pleased to provide you with an update on the progress of the Secretariat's transformation 
exercise. The most recent written update on the status of the transformation work, as of 
6 September,  can be found in document WT/BFA/W/649, which was provided to you along with the 
other documents for this meeting.  
11.3.  Progress continues across the spectrum of transformation initiatives, although momentum did 
slow over the summer period. Regarding the new Re cognition and Rewards Programme, staff and 
managers will soon be invited to nominate candidates for the 2023 DG Awards for innovation and 
teamwork and for the new Excellence in Management Awards. On internal mobility, we are beginning 
to plan for another r ound of temporary secondments of junior staff to different divisions within the 
Secretariat, in accordance with a requirement under our existing policy.  
11.4.  Work is advanced on a revised promotions policy and progressing well on a new recruitment 
policy.  
11.5.  As the Director of HR explained to you in the Technical Session held on 11 September, good 
progress is being made by the external consultants working to develop a new competency framework 
and a skills mapping exercise. The outcomes of this work will feed into t he implementation of reforms 
in several areas, including recruitment, mobility, promotions, and career pathways.  
11.6.  On risk management, the selection process for the new Chief Risk and Compliance Officer is 
well advanced, and we aim to make an offer to the su ccessful candidate in the coming weeks.  WT/BFA/215  
 
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  11.7.  We continue to make steady progress on digital transformation. Our Director of ITSD hosted 
a well -attended Public Forum session on this subject. We are continuing to expand the use of 
e.agenda to more committees, and  we are developing pilot projects and guidelines around 
generative AI. We will soon be rolling out a new e.delegates platform. We are finalizing governance 
arrangements to adapt the sequencing, scope, and prioritization of initiatives as circumstances and 
available budget evolve. Delivering on this part of the transformation will continue to depend on 
obtaining sufficient budget. Already this year, key projects such as the intelligent search and the 
single notifications portal have had to be delayed or redu ced in scope, and some initiatives have had 
to be shelved for now.  
11.8.  Lastly, the development of the Secretariat's Strategy through 2030 is underway, anchored in 
the elements of the Secretariat strategy house that was shared with Members on 10 July. As the DG  
explained to Members at the 20 July Informal HoDs meeting, this new phase of work will involve 
elaborating in more detail the content of the five strategic pillars and two enablers through the 
development of a set of specific strategic initiatives for eac h. These will then be translated into 
concrete, time -bound plans. Specific targets and metrics for measuring success will be developed. 
Mechanisms will also be developed to ensure coordination as well as the alignment of Secretariat 
planning and operations  with the overall strategy. This phase will require involvement and active 
participation across the Secretariat and will also benefit from regular engagement with Members. 
The current focus is engagement with Directors and senior management, and this will be followed 
by wider outreach to staff. The CBFA will be kept informed about progress and opportunities for 
Members to provide input. The strategy will be delivered in 2024.  
11.9.  Thank you for your continuing interest in and support for our transformation work.  As usual, 
I will provide my speaking notes to you in writing after this meeting. The transformation work will 
remain on the agenda for discussion at our meetings, and I will provide additional updates if needed.  
11.10.   With respect to Director recruitment, DDG E llard recalled that as a result of Willy Alfaro's 
appointment as Director of Vision & Strategy, a Director vacancy had opened in the Trade Policies 
Review Division, which was advertised internally. She informed Members that the selection process 
had been c ompleted and that Mr Alexander Keck had been appointed by the Director -General as the 
new Director.  
11.11.   Prior to his appointment, Mr Keck served as Chief of the Global Economic Analysis Section 
at the Economic Research and Statistics Division, and he has been with the WTO Secretariat for 
almost 25 years. He also worked in the Trade and Environment Division and Office of a Deputy 
Director -General, as well as on development -related issues. He has been the G20 Sous -Sherpa for 
the WTO since 2014. In addition, Mr Ke ck has been a visiting professor at the University of Geneva 
for over ten years and, prior to joining the WTO, had worked at UNIDO, the German Federal Ministry 
of the Environment, and the European Parliament. Mr Keck was educated at the universities of 
Bayreuth, Cambridge, Heidelberg, and New York, and holds a PhD in economics as well as master's 
degrees in environment and development, economics and financial management.  
11.12.   DDG Ellard also recalled that a selection process is ongoing for the position of Develo pment 
Division Director position, which has been advertised externally and internally. Moreover, she said 
the Secretariat is reviewing the job requirements for the Director of Administration and General 
Services Division, and preparing to launch a selectio n process.  
11.13.   The Chair opened the floor for questions and comments. No questions were asked.  
11.14.   The Committee took note of the updates.  
11.15.   The next CBFA meeting will take place on 17 Octo ber. 
 
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