RESTRICTED  
  
WT/BFA/W/564  
 
6 July 2021  
(21-5359) Page: 1/3 
Committee on Budget, Finance and Administration  English  
 
 
PROPOSED CHANGES TO THE TEXT OF FINANCIAL REGULATION 19  
THAT WAS AGREED IN JUNE 2019  
BY INDIA  
In lieu of the changes proposed by India in November 2019 on the proposed amendments to FR 19, 
India would like to table this revised proposal  with a view to balancing the underlying objectives 
of enhancing transparency w.r.t. establishment and management of the Trust Funds and eliciting 
support of Members for the proposal. We hope that Members will appreciate the flexibility being 
shown by India with the new proposal and constructively engage to reach an agreement on the 
revised proposal.   
   WT/BFA/W/564  
 
- 2 -  
FINANCIAL 
REGULATION  PROPOSED REFORMULATION OF SELECTED REGULATIONS  
19 Voluntary contributions, gifts or donations from WTO Members and Observers may be accepted by the Director -General 
provided that the purposes for which the contributions are made are consistent with the policies, aims and activities of the 
WTO, and provided that the acceptance of such contributions which directly or indirectly * involve additional costs or financial 
liability for the WTO regular budget shall require the consent of the Committee. The Committee will be notified of all voluntary 
contributions that lead to the establishment of a new trust fund , at least 60 days before their establishment . Guidelines for 
such notification are laid out in Annex C.  
 
Voluntary contributions, gifts or donations from Non -Governmental Donors are subject to the additional guidelines laid out in 
Annex D.  
 
Monies accepted for purposes specified by the donor shall be treated as trust funds. A standard overhead fee of up to  13% 
may be charged on direct expenditure incurred by trust funds to reflect supporting services provided by the Secretariat. The 
standard overhead rate can be reduced when implementing partners are b eing used and when defined in the agreement 
signed with the donor. The Programme Support Fund collects the overhead fees from all trust funds and pays expenditure 
incurred to support the trust fund’s activities. The Programme Support Fund also releases a f ee representing 10% of its 
expenditure to the WTO Secretariat, that will record it as miscellaneous income.  
 
Monies accepted in respect of which no purpose is specified shall be treated as miscellaneous income and reported as “gifts” 
in the accounts of th e financial period.  
 
Monies received by a staff Member as honorarium in his/her official capacity shall be remitted to the Organization and be 
credited to the WTO Staff Assistance Fund.  
 
Unless otherwise provided, such voluntary contributions, gifts or d onations shall be administered in accordance with the 
present Financial Regulations.  
 
*Indirect costs and liability comprise utilization either in part or full, of Secretariat 's human, physical and technological 
assets created, serviced or paid out of the regular budget of the Secretariat.  
 WT/BFA/W/564  
 
- 3 - 
 
  ANNEX C  
WTO SECRETARIAT'S GUIDELINES FOR THE RECEIPT AND NOTIFICATION OF 
VOLUNTARY FUND CONTRIBUTIONS  FROM MEMBERS AND OBSERVERS  
• In keeping with a commitment to streamline the procedures for the notification, approval, 
implementation and reporting on voluntary fund contributions, the Director General has 
authori sed the following guidelines which are aimed at improving transparency and consistency 
in the handling of all voluntary funds. These procedures shall be applied in strict conformity with 
Financial Regulation 19.  
• In the case of formal pledges made for the f uture establishment of a fund or funds, these pledges 
will be notified to members for transparency purposes. Once an actual Fund is proposed in 
furtherance of the pledge, it will be notified as such, in accordance with the guidelines below.  
• All voluntary funds will be submitted to the Director General for his /her consideration and may 
be accepted where he /she determines that "...the purposes for which the contributions are made 
are consistent with the policies, aims and activities of the WTO".  
• In consideri ng the proffered voluntary contribution, the Director General will receive the 
Administration and General Services Division´s (AGSD) determination whether the contribution 
would involve direct or indirect costs or  financial liability for the WTO  regular budget , as defined 
under the Financial Regulation 19 . 
• When the Director General assesses the proffered funding positively, and upon receipt of the 
AGSD´s assessment, a notification will be transmitted promptly to the Committee on Budget 
Finance and  Administration (CBFA) for consideration  in the following manner :. 
• Where the voluntary fund involves no additional financial costs or  liability to the WTO 
regular budget,  the CBFA will be notified within 14 days of the Director General´s receipt 
of the ass essment  at least 60 days before the establishment of the Fund  and any Member 
so inclined can express its views.  
 
• Where the voluntary fund contribution involves direct or indirect financial costs or  liability  
to the WTO regular budget , the notification will be submitted for consideration and 
consent by the CBFA within 14 days of the Director General´s receipt of the assessment  
and the CBFA will give its views or consent within 60 days thereafter . 
 
• The Secretariat 's will give detailed notification to the CBFA of all trust funds arising under 
voluntary fund arrangements shall contain the following information and all the and will make 
available  supporting documentation thereof:  to members  where required.  
• The trust fund notification will outline:  
• The objectives of the trust fund;  
• The expected beneficiaries (if specified);  
• The implementation strategy;  
• The expected deliverables;  
• The amount of the funding dedicated to the trust fund;  
• The expected duration;  
• The implement ation partners identified; and 
• The Secretariat focal points for the trust fund ; and . 
• The Governing Body . 
 
 
 
__________