RESTRICTED  
  
WT/BFA/W/419  
 
12 June  2017 
(17-3119) Page: 1/81 
Committee on Budget, Finance and Administration    
 
   
 
 
 
 
 
 
 
 
 
 
 
 
WORLD TRADE ORGANIZA TION  
2016 FINANCIAL PERFO RMANCE REPORT  
 
 WT/BFA/W/419  
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  EXECUTIVE SUMMARY OF  2016  
1. As at the end of 2016, t he World Trade Organization (W TO) has 164 M embers. Afghanistan  
and Liberia  acceded to the WTO in 2016.  
2. The 2016  structure of the f inancial statements is based on  International Public Sector 
Accounting Standards (IPSAS). These Standards aim to improve the quality of general purpose 
financial reporting by public sector entities, leading to better informed assessments of the 
resourc e allocation decisions , thereby increasing transparency and accountability1. The adoption of 
IPSAS generated the disclosure of the WTO P ension Plan and After Service Health Insurance 
assets and liabilities . This has had a  considerabl e effect on  the financial s ituation of the WTO 
Secretariat. The WTO Pension Plan Liabilities and Pension Assets are expressed separately in order 
to better disclose information to Third P arties.  
3. The b udgetary  expenditure in 2016 amounted to CHF  196.1  million, compared to an 
approved  budget of CHF  197.2  million. The b udgetary savi ngs approximated CHF  1.1 million . 
4. This b udgetary result is however only an intermediate stage to assess ing the overall 
performance of the WTO. Due to the introduction of IPSAS, the financial result , not the b udgetary 
result , has to be considered to evaluate the yearly performance of the Secretariat.  
5. The 2016  Members' contributions amounted to CHF  195.6  million  and miscell aneous 
income was CHF  1.65 million. The miscellaneous income is in line with  the CHF  1.7 million initially 
budgeted. The provision  for contributions in arrears was  CHF 1 .4 million.  
6. For 2016, the financial result obtained according to IPSAS led to a deficit of CHF  28.2 
million, diverging from the positive budget result. The variance between the Budget Result and 
Financial Deficit derived from the negative impact of the actuarial cost of pension and ASHI 
benefits which is due to the reduction of the discount rate  for the calculation of actuarial costs.   
7. In addition  the discount rate used to calcul ate the return on WTOPP plan's assets 
significantly dropped (from 4% to 2,75%) and  negatively affected also the WTOPP's revenue that 
decreased by  about CHF  10 Million compared to the previous year . The discount rate reductions  
combined with  a budgetary re sult of only one million saving which did not mitigate the actuarial 
effects, determined the difference between the 2015 and 2016 deficit.  
8. The Doha Development Agenda Global Trust Fund (DDAGTF) along with several other Trust 
Funds financed technical assist ance programmes and training activ ities for Developing and Least 
Developed C ountries. For example in 201 6, under the framework of these Trust Funds, e -learning 
courses in thr ee languages were provided to 10,279 participants and  costs related to 18 interns 
from developing and Least Developed C ountries were covered . Additionally, over 100 general and 
specialized Technical A ssistance, training and capacity building activities were organized. The 
balance of  the DDAGTF amounted to CHF  16 million as at 31 Decembe r 2016 . 
                                                
1 Paraphrased from the IPSAS Board's aims and objectives.  WT/BFA/W/419  
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  TABLE OF CONTENTS  
EXECUTIVE SUMMARY OF  2016  ................................ ................................ ........................  2 
1  INTRODUCTION  ................................ ................................ ................................ ...........  8 
1.1  Budget  ................................ ................................ ................................ ........................  9 
1.2  Outstanding contributions  ................................ ................................ ..............................  9 
1.3  Budget Breakdown  ................................ ................................ ................................ ..... 10 
1.4  Building capacity  ................................ ................................ ................................ ........  11 
1.5  Budget and financial result  ................................ ................................ ..........................  12 
2  BUDGET PERFORMANCE  ................................ ................................ .............................  13 
2.1  2016 W TO Income  ................................ ................................ ................................ ...... 13 
2.2  2016 Consolidated WTO Budget Performance  ................................ ................................ . 14 
2.3  2016 WTO Secretariat Budget Performance  ................................ ................................ ... 15 
2.3.1   Part A - Staffing Resources  ................................ ................................ .......................  16 
2.3.2   Part B - Other Resources  ................................ ................................ ..........................  18 
2.3.3   Part C - Operating Funds and ITC  ................................ ................................ ..............  21 
2.3.4   Proposed Transfers Between Budgetary Sections  ................................ .........................  21 
2.4  2016 Appellate Body and its Secretariat's Budget Performance  ................................ .........  22 
2.5  Proposed Transfers Between Budgetary Sections  ................................ ............................  23 
2.6  Expenditure by Key Activities and Projects  ................................ ................................ ..... 24 
2.6.1   Dispu te Settlement  ................................ ................................ ................................ .. 24 
2.6.2   Information Technology  ................................ ................................ ............................  26 
2.6.3   Technical Assistance  ................................ ................................ ................................  27 
2.6.4   Security  ................................ ................................ ................................ ..................  27 
2.6.5   Building Maintenance  ................................ ................................ ...............................  28 
2.6.6   Documents Reproduction  ................................ ................................ ..........................  28 
2.6.7   Human Resources Training Programme  ................................ ................................ ...... 29 
2.6.8   Public Forum  ................................ ................................ ................................ ...........  29 
3  EXPENDITURE PER OUTPUT CHAPTER  ................................ ................................ ........  30 
3.1  Background  ................................ ................................ ................................ ...............  30 
3.2  2016 Expenditure by Output Chapter Compared to the Output Budget  ..............................  30 
3.2.1   Facilitating Negotiations ................................ ................................ ............................  30 
3.2.2   Administering Agreed WTO Rules  ................................ ................................ ...............  30 
3.2.3   Monitoring Trade Policies  ................................ ................................ ..........................  31 
3.2.4   Settling Disputes  ................................ ................................ ................................ ..... 31 
3.2.5   Capacity Building  ................................ ................................ ................................ ..... 31 
3.2.6   Assisti ng Accessions  ................................ ................................ ................................ . 31 
3.2.7   Conducting Research  ................................ ................................ ................................  31 
3.2.8   Reaching Out  ................................ ................................ ................................ ..........  31 
4  PERFORMANCE OF TRUST FUNDS  ................................ ................................ ...............  32 WT/BFA/W/419  
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  4.1  Doha Development Agenda Glob al Trust Fund  ................................ ................................  32 
4.2  Evaluation of Activities of WTO Trust Funds  ................................ ................................ ... 36 
4.3  The French Irish Internship Programme ................................ ................................ .........  36 
4.4  Netherlands Trainee Programme  ................................ ................................ ..................  37 
4.5  Trade Facilitation Agreement Facility  ................................ ................................ .............  38 
4.6  Ministerial Conference – Participation of LDCs  ................................ ................................  39 
4.7  Standards and Trade Development Facility  ................................ ................................ .... 39 
4.8  China LDCs and Accessions Programme  ................................ ................................ .........  40 
4.9  Enhanced Integrated Framework Executive Secretariat  ................................ ...................  40 
4.10  Independent Entity – Pre-Shipment Inspection – Deposits  ................................ .............  41 
4.11  Programme Support Fund  ................................ ................................ ..........................  41 
5  FINANCIAL STATEMENTS  ................................ ................................ ...........................  43 
5.1  Management letter of representation  ................................ ................................ ............  43 
5.2  Opinion of the external auditor  ................................ ................................ .....................  44 
BUNDESRECHNUNGSHOF -SUPREME AUDIT INSTITUTION OF GERMANY  .......................  44 
5.3  Financial Statements  ................................ ................................ ................................ ... 46 
5.4  Notes to the financial statements  ................................ ................................ .................  49 
5.4.1   Note 1 Accounting  policies  ................................ ................................ ........................  49 
5.4.2   Note 2 Financial risk policy  ................................ ................................ ........................  53 
5.4.3   Note 3 Relevant information on the financial statements  ................................ ...............  53 
5.4.4   Note 4 Cash and cash equivalents  ................................ ................................ ..............  54 
5.4.5   Note 5 Receivables from Members, Observers and Donors  ................................ ............  54 
5.4.6   Note 6 Inventories  ................................ ................................ ................................ ... 55 
5.4.7   Note 7 Other receivables  ................................ ................................ ..........................  55 
5.4.8   Note 8  Advances and Prepayments  ................................ ................................ ............  56 
5.4.9   Note 9 Property, Plant and Equipment  ................................ ................................ ........  56 
5.4.10   Note 10 Intangible Assets  ................................ ................................ .......................  57 
5.4.11   Note 11  Accounts payable  ................................ ................................ ....................  58 
5.4.12   Note 12  Assessed contributions paid in advance  ................................ ......................  58 
5.4.13   Note 13 Voluntary contributions refundable to donors  ................................ .................  58 
5.4.14   Note 14 Employee benefits  ................................ ................................ ......................  59 
5.4.15   Note 15 Loan and Grant  ................................ ................................ ..........................  63 
5.4.16   Note 16 Working Capital fund  ................................ ................................ ..................  63 
5.4.17   Note 17 Reserves  ................................ ................................ ................................ ... 64 
5.4.18   Note 18 Revenue  ................................ ................................ ................................ ... 64 
5.4.19  Note 19 Expenses  ................................ ................................ ................................ .. 65 
5.4.20   Note 20 Segment reporting  ................................ ................................ .....................  67 
5.4.21   Note 21 Reconciliation with Budget  ................................ ................................ ..........  68 
5.4.22   Note 22 Key management personnel  ................................ ................................ ........  69 
5.4.23   Note 23 Contingent assets and contingent liabilities  ................................ ...................  69 WT/BFA/W/419  
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  5.4.24   Note 24 Commitments  ................................ ................................ ............................  69 
5.4.25   Note 25 Events after the reporting date  ................................ ................................ .... 70 
5.5  Schedules  ................................ ................................ ................................ ..................  70 
5.5.1   Schedule A 2016 Statement of Contributions from Members 2016  ................................ . 70 
5.5.2   Schedule B Statement of Outstanding Contributions as at 31  December  2016 – 
Members  ................................ ................................ ................................ ..........................  74 
5.5.3   Schedule C Statement of Outstanding Contributions as 31  December  2016 – 
Observers  ................................ ................................ ................................ ........................  77 
5.5.4   Schedule D Voluntary contributions received in 2016  ................................ ...................  78 
5.5.5   Schedule E Balance du e to donors as 31  December  2016 ................................ ..............  79 
5.5.6   Schedule F World Trade Organization – Program Support Fund  ................................ ...... 80 
Figures  
Figure 1 Budget Evolution  (MCHF)  ................................ ................................ .........................  9 
Figure 2 Outstanding Contributions (MCHF)  ................................ ................................ ..........  10 
Figure 3 WTO 2016 Budget by part  ................................ ................................ .....................  10 
Figure 4 Key donors to Trust Funds since 2000  ................................ ................................ ..... 11 
Figure 5 Number of Trust Funds contributors  ................................ ................................ ........  12 
Figure 6 2016 Staffing Resources Expenditure (kCHF)  ................................ ...........................  16 
Figure 7 Comparison Budget/Expenditure for regular staff (kCHF)  ................................ ...........  16 
Figure 8 Di stribution of Temporary Assistance (kCHF)  ................................ ............................  17 
Figure 9 Comparison Budget/Expenditure for Temporary Assistance (kCHF)  .............................  17 
Figure 10  Comparison Budget/Expenditure for General Services (kCHF)  ................................ ... 18 
Figure 11 Comparison Budget/Expenditure for Travel and Hospitality (kCHF)  ............................  19 
Figure 12 Comparison Budget/Expenditure for Implementing Partners (kCHF)  ..........................  20 
Figure 13 Comparison Budget/Expenditure for Capital Expenditure (kCHF)  ...............................  20 
Figure 14 Comparison Budget/Expenditure for Financial Expenditure (kCHF)  ............................  20 
Figure 15 Comparison Budget/Expenditure for Operating Funds and ITC (kCHF)  .......................  21 
Figure 16 Expenditure by Key Activities and Projects (kCHF)  ................................ ..................  24 
Figure 17 Allocation of DDAGTF Resources 2016  ................................ ................................ ... 32 
Tables  
Table 1 WTO Income (kCHF)  ................................ ................................ ..............................  13 
Table 2 2016 Miscellaneous Income (kCHF)  ................................ ................................ ..........  13 
Table 3 2016 Consolidated WTO Budget Performance  ................................ ............................  14 
Table 4 2016 Consolidated Expenditure (kCHF)  ................................ ................................ ..... 14 
Table 5 2016 WTO Secretariat Budget Performance (kCHF)  ................................ ....................  15 
Table 6 Proposed Transfers between Sections of the 2016 WTO Budget (kCHF)  ........................  22 
Table 7 2016 Appellate Body and its Secretariat Budget Performance (kCHF)  ...........................  22 
Table 8 Appellatee Body Operating Fund Expenditure (kCHF)  ................................ .................  23 
Table 9 Proposed Transfers between Sections of the 2016 Appellate Body and its 
Secretariat Budget (kCHF)  ................................ ................................ ................................ . 23 
Table 10 Dispute Settlement Expenditure – Panels (kCHF)  ................................ .....................  24 WT/BFA/W/419  
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  Table 11 Dispute Settlement Expenditure – Appeals (kCHF)  ................................ ...................  25 
Table 12 Information Technology Expenditure (kCHF)  ................................ ............................  26 
Table 13 Technical Assistance Related Training Courses by Expenditure Line (kCHF)  .................  27 
Table 14 Security Expenditure (kCHF)  ................................ ................................ .................  27 
Table 15 Building Maintenance Expenditure (kCHF)  ................................ ...............................  28 
Table 16 Documents Reproduction and Distribution Expenditure (kCHF)  ................................ .. 28 
Table 17 Human Resources Training Expenditure (kCHF)  ................................ .......................  29 
Table 18 Public Forum Expenditure (kCHF)  ................................ ................................ ...........  29 
Table 19 2016 Expenditure by Output Chapter  ................................ ................................ ...... 30 
Table 20 Doha Development Agenda Global Trust Fund - Financial Report Summary  .................  32 
Table 21 Number of Participants of E -Learning Courses  ................................ .........................  36 
Table 22 The French Irish Internship Programme - Financial Report Summary  ..........................  37 
Table 23 Netherlands Trainee Programme – Financial Report Summary  ................................ ... 38 
Table 24 Trade Facilitation Agreement Facility – Financial Report Summary  ..............................  39 
Table 25 Ministerial Conference – Participation of Least Developed Countries – financial 
report summary  ................................ ................................ ................................ ................  39 
Table 26 Standards and Trade Development Facility – Financial R eport Summary  .....................  40 
Table 27 China LDCs and Accessions Programme – Financial Report Summary  .........................  40 
Table 28 Enhanced Integrated Framewo rk Executive Secretariat – Financial Report 
Summary  ................................ ................................ ................................ .........................  41 
Table 29 Independent Entity – Pre-Shipment Inspection – Deposits – Financial Report 
Summary  ................................ ................................ ................................ .........................  41 
Table 30 Programme Support Fund –Financial Report Summary ................................ ..............  42 
Table 31 Statement of Financial Position  ................................ ................................ ..............  46 
Table 32 Statement of Financial Performance  ................................ ................................ ....... 47 
Table 33 Statement of Changes in Net Assets/Equity  ................................ .............................  47 
Table 34 Cash Flow Statement  (Indirect method)  ................................ ................................ .. 48 
Table 35 Level of Provisions on Outstanding Contributions  ................................ .....................  50 
Table 36 Class of Assets  ................................ ................................ ................................ .... 51 
Table 37 Cash Situation  ................................ ................................ ................................ ..... 54 
Table 38 Receivables from Members and Observers  ................................ ..............................  54 
Table 39 Provision for Arrears from Members and Observers  ................................ ..................  54 
Table 40 Inventories per type  ................................ ................................ .............................  55 
Table 41 Inventories per storage  ................................ ................................ ........................  55 
Table 42 Inventory Adjustments and write offs  ................................ ................................ ..... 55 
Table 43 Other Receivables  ................................ ................................ ................................  55 
Table 44 Prepayments  ................................ ................................ ................................ ....... 56 
Table 45 Buildings  ................................ ................................ ................................ .............  56 
Table 46 Equipment  ................................ ................................ ................................ ..........  57 
Table 47 Intangible Assets  ................................ ................................ ................................ . 57 
Table 48 Payables  ................................ ................................ ................................ .............  58 WT/BFA/W/419  
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  Table 49 Contributions paid in Advance by Members and Obser vers ................................ ........  58 
Table 50 Voluntary contributions refundable to donors (including advances)  .............................  58 
Table 51 Employee Benefits  ................................ ................................ ...............................  59 
Table 52 Actuarial Assumptions to define benefit obligations  ................................ ..................  61 
Table 53 Actuarial Assumptions to define benefit costs  ................................ ..........................  61 
Table 54 Financial Assets – Pension  ................................ ................................ .....................  61 
Table 55 Defined benefit obligation - Pension  ................................ ................................ ....... 62 
Table 56 History of defined benefit obligations and experience gains and losses – Pension  .........  62 
Table 57 Defined benefit obligation - ASHI ................................ ................................ ...........  62 
Table 58 History of defined benefit obligations and experience gains and losses - ASHI .............  62 
Table 59 Working Capital Fund Statement  ................................ ................................ ............  64 
Table 60 Reserves  ................................ ................................ ................................ .............  64 
Table 61 Revenues from publications  ................................ ................................ ...................  65 
Table 62 Other Revenue  ................................ ................................ ................................ .... 65 
Table 63 Staff Expenditures including Trust Funds  ................................ ................................ . 66 
Table 64 Temporary Assistance including Trust Funds  ................................ ............................  66 
Table 65 Financial Performance by segments  ................................ ................................ ........  68 
Table 66 Reconciliation between budget result and financial result  ................................ ..........  69 
Table 67 Key management personnel  ................................ ................................ ..................  69 
Table 68 Contributions from Members in 2016  ................................ ................................ ...... 70 
Table 69 Contributions from Obse rvers in 2016  ................................ ................................ .... 73 
Table 70 Outstanding contributions as at 31  December  2016 – Members  ................................ . 74 
Table 71 Outstanding contributions as 31  December  2016 - Observers  ................................ .... 77 
Table 72 WTO Trust Funds - Voluntary contributions received in 2016 per donor and by 
fund ................................ ................................ ................................ ................................  78 
Table  73 WTO Trust funds - Balance due to donors as 31  December  2016 ................................  79 
Table 74 WTO Program support fund  ................................ ................................ ...................  80 
Table 75 WTO Program sup port fund actual expenditure and overheads  ................................ .. 80 
Table 76 Overheads shared with other Organizations  ................................ .............................  81 
 WT/BFA/W/419  
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  1  INTRODUCTION  
1.1.  Director -General submits the Financial Perfor mance R eport of the WTO for the financial 
reporting period spanning from 1  January  2016 through to 31  December  2016. The report is 
presented in Swiss Francs (CHF).  
1.2.  This Financial R eport comprises  three parts (Budget, Trust Funds and Financial Statements). 
The first part provides information on the expenditure for all the activities financed by the WTO 
regular budget. The second part provides information on the expenditure for all activities financed 
by Extra -Budgetary resources through  Trust Funds. The thir d part presents the consolidated 
(Regular and Extraordinary Funds) financial statements of the WTO Secretariat and includes the 
opinion of the External Auditor.  
1.3.  The WTO is the only International O rganization dealing with the global rules of trade between 
nations. Its main function is to ensur e that trade flows as smoothly and predictably as possible . 
The WTO's areas  of our activity are:  
a. Implementation and Monitoring of exi sting Trade Rules: various WTO B odies seek to 
ensure that WTO agreements are being pro perly implemented. All WTO Members 
undergo periodic scrutiny of their trade policies and practices.  
b. Trade Negotiations: changes to the rules of trade re quire the agreement of all WTO 
Members, who must reach consensus through negotiations.  
c. Dispute Settlemen t: WTO Members bring disputes to the WTO if they are of the view 
that their rights under trade agreements are being infringed. Settling disputes is the 
responsibility of the Dispute Settlement Body.  
d. Building Trade Capacity: the WTO aims to help developing countries build their trade 
capacity. A large number of training activities are organized , each year , for officials from 
developing countries. This is part of a wider Aid -for-Trade Initiative, which  also includes 
the Enhanced Integrated Framework (EIF) and  the Standards and Trade Development 
Facility (STDF).  
e. Outreach: the WTO maint ains regular dialogue with Non -Governmental Organizations, 
parliamentarians, other International O rganizations, the media and the general public on 
various aspects of the WTO with  the aim of enhancing cooperation and increasing 
awareness of WTO activities.  WT/BFA/W/419  
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  1.1  Budget  
1.4.   The 2016 Budget was approved by the General -Council (WT/GC/M/160), on recommendation 
of the Committee on Budget, Finance and Administration (WT/BFA/151) . It amounted to 
CHF 197.2  million and represented the first year of the Biennium 2016 -2017.  
Figure 1 Budget Evolution (MCHF)  
 
 
1.5.  The budget is financed from assessed contributions from Member s and miscellaneous income:  
a. The share to be contributed b y each Member is based on its international trade (imports 
plus exports) in relation to the international trade of all WTO Members . Assessed 
contributions represent 99 % of the funding of the budget.  
b. Miscellaneous income mainly comes from the sale of public ations;  royalties;  savings or 
refunds from the  previous year's obligations and expenses, rental of meeting rooms and 
office space ; contributions from O bservers ; and overhead fees collected for the 
management of Trust Funds.  
1.2  Outstanding contributions  
1.6.  The am ount of outstanding Members' contributions over the past 10 years has steadily 
decreased and reached its lowest level ever at the end of 2016 . This is mainly due to the fact tha t 
one of the t op five  Members contributed to a significantly higher amount in 2 016 than in previous 
years . However, with respect to the number of Members wit h outstanding contributions, 
67 Members have outstanding contributions at the end of December  2016, compared to 
56 Members in 2015 . 
1.7.  Members with arrears in contribut ions for at l east one full year  are subject to administrative 
measures . There are three categories of administrative measures , depending on the number of 
years of outstanding contributions . Members have the possibility to enter into a payment plan 
which suspends the Administrative Measures . Five Members were following payment plans at the 
end of 2016.  WT/BFA/W/419  
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  Figure 2 Outstanding Contributions (MCHF)  
 
1.3  Budget Breakdown  
1.8.  The WTO Budget is divided into three parts : Part A covers personnel -related c osts; pa rt B 
covers other costs;  and part C the Operating Funds and the WTO's contribution to the budget of 
the International Trade Centre (ITC).  
Figure 3 WTO 2016 Budget by part  
 
 
1.9.  The budget allocated to personnel -related expenditure (Pa rt A) represents around 75 % of the 
total budget allocated to the Secretariat . The personnel -related budget includes all expenditures 
linked to salaries of regular, fixed -term staff, temporary staff and consultants . Provisions for 
accrued benefits such as h ome leave, education grant, family allowances, separation grant and 
untaken annual leave have now been accounted for as IPSAS adjustment . 
1.10.   The budget under Part B represents 14 % of the total budget and mainly includes the 
expenditure for General Services; T ravel & Hospitality;  Capital and Financial Expenditure . Part C, 
which represents 11 % of the budget, includes the three Operating Funds and the WTO's 
contribution to the  International Trade Centre 's budget . WT/BFA/W/419  
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  1.4  Building capacity  
1.11.   The International Trade Centre ( ITC) is the joint technical co -operation agency of the 
United  Nations (UN) and the WTO for Trade Related Technical Assistance (TRTA) . Originally 
created by the General Agreement on Tariffs and Trade (GATT) in 1964, ITC has operated since 
1968 under the joi nt aegis of GATT/WTO and the UN, the latter acting through the United Nations 
Conference for Trade and Development (UNCTAD) . ITC is the focal point for technical assistance 
and cooperation activities in the trade promotion field, within the UN system of as sistance to 
developing countries, as affirmed by the Economic and Social Council in its resolution 1819 (LV) of 
9 August  1973.  
1.12.   In addition to its regular budget, the WTO obtains voluntary contributions for selected 
programmes that are managed through Trust Funds. In 201 6, the WTO incurred CHF 19.8  million 
of expenditure financed by trust funds . These programmes are essentially geared at supporting 
activities for technical cooperation and training meant to enable developing and least  developed 
countries to d raw greater benefit from the multilateral trading system.  
Figure 4 Key donors to Trust Funds since 2000  
Sweden
14%
Norway
11%
Netherlands
10%
Germany
8%
United States
6%Denmark
5%Australia
5%European Union
6%others
35%
 
 
1.13.   The core of the WTO trade -related activities are channelled through the Doha Development 
Agenda Global Trust Fund (DDAGTF) . The DDAGTF activities are carried out in conformity with the 
Biennial Technical Assistance and Training Plan (The Plan) . The Plan foresees mainly general and 
specialised trade -related seminars at the global and regional level, while also envisaging nationa l 
activities as requested by Members . Other activities such as e-learning and training courses;  
academic support for training and capacity building ; as well as trainee programmes are also 
conducted . The DDAGTF also includes some staff expenditure directly or indirectly related to the 
delivery of the technical assistance activities . The proportion of voluntary contributions to the 
DDAGTF has decreased in recent years with larger inflows , or late, going  into ear -marked funds.  WT/BFA/W/419  
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  Figure 5 Number of Trust Funds contributors  
6 627
2422 222324
19 19 19
14 141513 13120 00
0
38713
1015
12
151312
1217
13
2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016
DDAGTF contributors Other TFs contributors
 
1.5  Budget and financial result  
1.14.   The implementation of the International Public Sector Accounting Standards (IPSAS) in 2012 
introduced the separation between the budgetary result and a newly -introduced financial or 
accounti ng result . This financial result includes expenditure not previously budgeted and accounted 
for, relating to P ension and After Service Health Insurance liabilities and long -term employment 
benefits.  
1.15.   In 2016, the WTO budget resulted in budgetary savings of slightly more than 
CHF 1.1 million. H owever, due to the introduction of IPSAS, the budget result became only an 
intermediate element of the performance evaluation whilst the financial result assumed a key role 
in the assessment  of performance . 
1.16.   For 2016 the  final financial result obtained according to IPSAS amounts to a deficit of 
CHF 28.2 million  and shows an opposite scenario compared to the positive budget result.  
1.17.   The variance between the Budget Result and Financial Deficit derived from the negative 
impac t of the actuarial cost of pension and ASHI benefits which is due to the reduction of the 
discount rate for the calculation of actuarial costs.  
1.18.   In addition the discount rate used to calculate the return on WTOPP plan's assets 
significantly dropped (from 4 % to 2,75%) and negatively affected also the WTOPP's revenue tha t 
decreased by  about CHF  10 Million compared to the previous year . The discount rate reductions  
combined with  a budgetary result of only one million saving which did not mitigate the actuaria l 
effects, determined the difference between the 2015 and 2016 deficit.  WT/BFA/W/419  
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  2  BUDGET PERFORMANCE2 
2.1  2016 WTO Income  
Table 1 WTO Income (kCHF)  
 Budget  Receipts  Balance  
Contributions from WTO Members  195,500  195,538  38 
Miscellaneous Incom e 1,704  1,653  -51 
Total  197,204  197,191  -13 
 
2.1.  The total income of the WTO, excluding trust funds, amounted to CHF  197.2 million in 2016 . 
It is CHF 13,000 below the budgeted amount . This is composed of CHF  38,000 of additional 
contributions received due to  the accession of two new Members (Afghanistan and Liberia) and 
slightly lower receipts under miscellaneous income than projected, as detailed below:  
Table 2 2016 Miscellaneous Income (kCHF)  
 Budget  Receipts  Balance  
Contribution s of Observer Countries  650 594 -56 
Sale of Publications & Royalties  300 305 5 
Trust Fund - Participation to direct costs  180 181 1 
Refund of prior year's expenditure  200 238 38 
Rental of meeting rooms & office space  120 127 7 
Profit/Loss on foreign e xchange  0 -429 -429 
Interest on Investments  0 21 21 
Other  254 614 360 
Total  1,704  1,653 -51 
 
2.2.  Under Contributions of Observer Countries, the WTO received a slightly lower than expected 
amount, as two Observers (Afghanistan and Liberia) acceded to the WT O in July 2016. However, 
two additional  Governments (Somalia and Timor L este) became Observers in December  2016. 
2.3.  The r efund of prior year expenditure, which mainly included reimbursements from the 
insurance for the loss of earnings of staff on long term si ck leave for the years 2015 and before, 
was in line with the projection . Under Profit/Loss on foreign exchange, the WTO made a loss on 
foreign exchange due to the evolution of the USD . Furthermore, the WTO received a significantly 
higher amount than expect ed under other miscellaneous income . This amount included the 
reimbursement for staff on long -term sick leave from the insurance company for 2016 
(CHF 0.4 million ), the rental fees charged to the Enhanced Integrated Framework by the WTO 
(CHF159,000), a don ation of CHF  70,000 from the "Lo terie Romande " for the purchase and 
installation of a historic wooden ceiling in two meeting rooms, and the sale of a minibus 
(CHF 10,000).  
                                                
2 All balances are presented in thousands of Swiss francs, as a result small rounding differences may 
occur.  WT/BFA/W/419  
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  2.2  2016 Consolidated WTO Budget Performance  
Table 3 2016 Conso lidated WTO Budget Performance  
(WTO Secretariat and Appellate Body Secretariat) (kCHF)  
Part Section  Line Budget  Expenditure  Balance  
A Staffing Resources      
 1. Staff Expenditure     
  i) Staff Remuneration  90,482  83,237  7,246  
  ii) Staff Pension & Post -Employment 
Benefits  22,110  22,270  -160 
  iii) Staff Health & Invalidity Insurance  5,944  5,483  462 
  iv) Staff Family & International Benefits  11,069  12,519  -1,451  
  v) Other Staff Expenditure  1,810  5,060  -3,249  
 2. Temporary Assistance     
  i) Short -Term Staff  9,013  12,200  -3,186  
  ii) Consulting  6,770  5,405  1,365  
  iii) Panelists & Appellate Body Members 
Fees 1,506  1,547  -41 
A Staffing Resources Total  148,705  147,720  984 
B Other Resources      
 3. General Services     
  i) Telecommunication & Pos t 831 583 248 
  ii) Contractual Services & Maintenance  10,681  10,230  451 
  iii) Energy & Supplies  2,251  1,466  785 
  iv) Documentation & Publication  1,479  1,485  -6 
  v) Other / Miscellaneous  89 30 58 
 4. Travel & Hospitality     
  i) Travel  7,135  6,707  428 
  ii) Hospitality  216 155 60 
 5. Implementing Partners     
  i) Implementing Partners  213 310 -97 
 6. Capital Expenditure     
  i) Procurement of Fixed Assets  1,430  1,163  267 
  ii) Rental & Leasing of Equipment  920 488 431 
 7. Financial Expenditu re    
  i) Bank & Interest Charges  80 135 -55 
  ii) Building Loan Reimbursement  1,200  1,200  0 
B Other Resources Total  26,524  23,952  2,572  
C Operating Funds and ITC     
 8. Contributions to ITC & Special Reserves     
  i) Contribution to ITC  18,775  18,775 0 
  ii) Appellate Body Operating Fund  2,000  2,000  0 
  iii) Ministerial Conference Operating 
Fund 600 600 0 
  iv) Building Renovation Fund  600 3,100  -2,500  
C Operating Funds and ITC Total  21,975  24,475  -2,500  
Grand Total   197,204  196,148  1,056  
Table 4 2016 Consolidated Expenditure (kCHF)  
 Budget  Actual  Balance  
WTO Secretariat  189,713  189,119  594 
Appellate Body and its Secretariat  7,491  7,028  463 
Grand Total  197,204  196,148  1,056  
 WT/BFA/W/419  
- 15 - 
  2.3  2016 WTO Secretariat Budget Performance  
Table 5 2016 WTO Secretariat Budget Performance (kCHF)  
Part Section  Line Budget  Expenditure  Balance  
A Staffing Resources      
 1. Staff Expenditure     
  i) Staff Remuneration  87,221  80,676  6,545  
  ii) Staff Pension & 
Post-Employmen t Benefits  21,400  21,735  -336 
  iii) Staff Health & Invalidity 
Insurance  5,770  5,339  431 
  iv) Staff Family & International 
Benefits  10,773  12,233  -1,460  
  v) Other Staff Expenditure  1,767  4,992  -3,225  
 2. Temporary Assistance     
  i) Short -Term Staff  8,958  11,592  -2,634  
  ii) Consulting  6,745  5,400  1,344  
  iii) Panelists  715 794 -79 
A Staffing Resources Total  143,349  142,762  587 
B Other Resources      
 3. General Services     
  i) Telecommunication & Post  822 577 244 
  ii) Contractual Services & 
Maintenance  10,663  10,228  435 
  iii) Energy & Supplies  2,231  1,461  770 
  iv) Documentation & Publication  1,469  1,481  -12 
  v) Other / Miscellaneous  87 30 56 
 4. Travel & Hospitality     
  i) Travel  7,085  6,657  429 
  ii) Hospitality  215 151 63 
 5. Implementing Partners     
  i) Implementing Partners  213 310 -97 
 6. Capital Expenditure     
  i) Procurement of Fixed Assets  1,405  1,163  242 
  ii) Rental & Leasing of 
Equipment  920 488 431 
 7. Financial Expenditure     
  i) Bank & Interest Charges  80 135 -55 
  ii) Building Loan Reimbursement  1,200  1,200  0 
B Other Resources Total  26,388  23,882  2,507  
C Operating Funds and ITC      
 8. Contributions to ITC & Special Reserves     
  i) Contribution to ITC  18,775  18,775  0 
  iii) Ministerial Conference 
Operat ing Fund  600 600 0 
  iv) Building Renovation Fund  600 3,100  -2,500  
C Operating Funds and ITC Total  19,975  22,475  -2,500  
Grand Total   189,713  189,119  594 
 
 WT/BFA/W/419  
- 16 - 
  2.3.1   Part A - Staffing Resources  
2.4.  Part A comprises expenditure for regular staff such as salary; pensi on; health insurance; 
death and invalidity insurance;  staff benefits ; and expenditure related to removal, installation and 
separation of staff . Expenditure for short term staff, consultants and panellists  is also included 
under this Part.  
Figure 6 2016 Staffing Resources  Expenditure  (kCHF)  
 
2.3.1.2   Staff Expenditure  
Figure 7 Comparison Budget/Expenditure for regular staff (kCHF)  
 
2.5.  Under Staff Remuneration, the saving realised is mainly due to the high number of vac ant 
posts in the first semester of 2016 . These posts started to be gradually filled as from the last 
quarter of 2016.  WT/BFA/W/419  
- 17 - 
  2.6.  Under Staff Pension and Post -Employment Benefits, the overspending is due to obligatory 
compensation payments to the WTO Pension Plan for several voluntary separations . These 
voluntary separations were undertaken in order to liberate posts for the dispute settlement area.  
2.7.  The saving under Staff Remuneration also translates into savings under Health Insurance, as 
this item is closely linked t o salaries . This is partly compensated by a deficit under the Death & 
Invalidity insurance premium s. 
2.8.  Under Staff Family and International Benefits, the over -expenditure of CHF 1.5  million  is 
linked to the provision made for t he statutory adjustment of the dependen cy allowances in 
accordance with the reference rate, being th e Swiss Taxation Rate. This is partly offset by savings 
under Home Leave and Education Grant.  
2.9.  Under Other Staff Expenditure, the deficit is due to over -expenditure under Travel & Removal 
linked to separations and installations and the separation payments for voluntary separations . This 
is partly compensated by a saving under Installation Grant.  
2.3.1.3   Temporary Assistance Expenditure  
Figure 8 Distribution of Temporary Ass istance (kCHF)  
 
Figure 9 Comparison Budget/Expenditure for Temporary Assistance (kCHF)  
 WT/BFA/W/419  
- 18 - 
  2.10.   Under Temporary Assistance, the main part of the overspending is due to additional short 
term staff in the two dispute settlement divisions ( CHF 1.8  million ) as well as replacements for 
staff on leave without pay, on long -term sick leave and for vacant posts.  
2.11.   Under Translation and Interpretation, the saving realize d is split into a saving of 
CHF 1 million  under translation, and a saving on CHF 0.6 million  under interpretation, which were 
due to a better coordination of the individual interpreter teams and a slight reduction in workload 
in a non -ministerial year.  
2.12.   Under Consultants, the slight overspending is due to an overspending under IT consul tants 
and consultants working on  economic research projects, which is partly compensated by a saving 
under consultants working for the Human Resources Training Programme.  
2.13.   Under Panellist Fees, the overspending is due to the continuous increase in dispute 
settlement panels . Between 2015 and 2016, the expenditure for panellist fees has increased by 
56% due to workload and an adjustment in Panellist fees . Between 2013 and 2016, the 
expenditure for panellist fees has increased by 186 %. 
2.3.2   Part B - Other Resources  
2.14.   Part B comprises the expenditure for general services, travel and hospitality, activities 
jointly funded by the WTO and third parties as well as capital and financial expenditure.  
2.3.2.1   General Services  
Figure 10 Comparison Budget/Expend iture for General Services (kCHF)  
 
 
2.15.   The saving under Teleco mmunication and Post mainly consists of a saving under postal 
expenditure. This is the result of the concerted reduction of paper use by the WTO , wherein much 
fewer paper documents are sent to Mem bers, and additionally due to the negotiation of a new 
contract with the postal service provider in the first quarter of 2016.  WT/BFA/W/419  
- 19 - 
  2.16.   Under Contractual Services and Maintenance, the saving is mainly under Building 
Maintenance and maintenance for IT and documents reproduction equipment. This is partly offset 
by an over -expenditure on the outsourced IT Service Desk and the International Computing Centre 
(CHF 0.3 million).  
2.17.   Under Energy and Supplies, the saving mainly consists of a saving under supplies (CHF 0.5 
million) in the area of IT supplie s, documents reproduction supplies and office supplies, as well as 
electricity (CHF 0.3 million). The saving under electricity is due to the selection of a new electricity 
provider and the negotiation of more favourable rates f or the WTO.  
2.18.   Under Documentation and Publications a slight over -expenditure has been realised due to an 
overspending on library subscriptions . The library budget had been significantly cut during the last 
budget cycle in order to finance  the increase of the  ITC budget.  
2.19.   Under Other/Miscellaneous, the ex penditure under Membership Fees was lower than 
originally budgeted . 
2.3.2.2   Travel and Hospitality  
Figure 11 Comparison Budget/Expenditure for Travel and Hospitality (kCHF)  
 
2.20.   With respect to Tr avel, half of the savings are under technical assi stance related training 
courses . The other half of the savings pertains to the travel budgets of the Director General and 
the Deputy Director Generals, as well as several  divisions.  
2.21.   Under Insurance related to mission travel, a slight overspending was realized, due to the 
negotiation of a new contract for international SOS insurance  and is compensated for by a 
reduction in the WTO medical premiums (under Staff Health Insurance), which formerly included 
this p art of the SOS insurance.  
2.22.   The saving under Hospitality is due to a very strict management of the hospitality budget.  WT/BFA/W/419  
- 20 - 
  2.3.2.3   Implementing Partners  
Figure 12 Comparison Budget/Expenditure for Implementing Partners (kCHF)  
 
2.23.   Implementing Part ners include  events that are partially or fully funded by the WTO but 
executed by a third party organization, as well as the contributions to several networks such as 
the H uman Resources  Network, contributions to the Staff Assistance Fund and the  Internati onal 
Labour Organization ( ILO) Tribunal . The overspending is related to several  provision s for legal 
damages for pending cases at  the ILO Tribunal.  
2.3.2.4   Capital Expenditure  
Figure 13 Comparison Budget/Expenditure for Capital Expenditure  (kCHF)  
 
2.24.   The saving under Procurement of fixed assets is due to a saving under Computing Hardware 
(CHF 0.3  million ) and Security Equipment (CHF 90,000), which are partly offset by overspendings 
under Audio Visual Equipment (CHF 60,000) and Office Furnitur e & Equipment (CHF 60,000).  
2.25.   Under Rental and Leasing of Equipment, the saving of CHF 0.4  million  is a result of the 
streamlining measures and the re -negotiation of several rental agreements.  
2.3.2.5   Financial Expenditure  
Figure 14 Comparis on Budget/Expenditure for Financial Expenditure (kCHF)  
 
 
 
2.26.   The Financial Expenditure includes the reimbursement of the 50 -year interest -free loan for 
the new administrative building of the WTO, as well as bank and interest charges . Since the end of 
March  2015, the WTO's main banks are charging negative interest on the current account 
balances . Due to continued negotiations with the WTO main banks, the impact of the negative 
interest has been limited to CHF 134,000 for 2016.  WT/BFA/W/419  
- 21 - 
  2.3.3   Part C - Operating Funds and ITC  
2.27.   Part C is related to the contribution to the budget of International Trade Centre and the 
Operating F unds of the WTO.  
Figure 15 Comparison Budget/Expenditure for Operating Funds and ITC (kCHF)  
 
2.28.   The contribution  to the Internationa l Trade Centre  has been  fully paid and amounted to 
CHF 18.8 million.  
2.29.   The Ministerial Operating Fund (MOF), originally created in 1999, has been established to 
avoid budgetary fluctuations with respect to the expenditure for Ministerial Conferences, which in 
general take place every  two years. In a non -Ministerial year, the Ministerial Operating Fund is 
replenished to provide funds for the following Ministerial year. In 201 6, the provision of 
CHF 0.6 million was renewed and credited to the MOF.  
2.30.   The Building  Renovation Fund3 (BRF) was established at the end of 2015 in order to cover 
the foreseeable costs of medium and long -term building and infrastructure projects. The purpose 
of the Building  Renovation Fund is to finance the costs of extraordinary building a nd infrastructure 
maintenance of the single site, including the costs of improvements or enhancements to the site.  
Following the guidelines of the Building Renovation Fund, it was replenished with CHF 0.6 million 
at the beginning of 2016 and an additional CHF 2.5 million at the end of the year.  
2.3.4   Proposed T ransfers Between Budgetary S ections  
2.31.   In accordance with Financial Regulation 21 and Financial Rule 4.4, transfers between WTO 
budgetary sections are necessary in order to cover excess expenditure over approv ed 
appropriations by using savings  from other budgetary sections . Authority is sought to increase 
these appropriations accordingly, as follows:  
                                                
3 WT/BFA/W/359 Building Renovation Fund.  WT/BFA/W/419  
- 22 - 
  Table 6 Proposed Transfers between Sections of the 2016 WTO Budget (kCHF)  
Part Section  Budget  Expenditure  Balance  Proposed 
Transfers  Revised 
Appropri -
ations  Balance  
A Staffing Resources              
  1. Staff Expenditure  126,931  124,976 1,956  -1,369  125,563  587 
  2.Temporary Assistance  16,418  17,786  -1,369  1,369  17,786  0 
B Other Resources              
  3. General Services  15,271  13,778  1,493  -1,493  13,778  0 
  4. Travel & Hospitality  7,300  6,808  492 -492 6,808  0 
  5. Implementing 
Partners  213 310 -97 97 310 0 
  6. Capital Expenditure  2,325  1,652  673 -666 1,658  7 
  7. Financial Expendit ure 1,280  1,335  -55 55 1,335  0 
C Operating Funds and ITC              
  8. Contributions to ITC 
& Special Reserves  19,975  22,475  -2,500  2,500  22,475  0 
Grand Total   189,713  189,119  594 0 189,713  594 
 
2.4  2016 Appellate Body and its Secretariat 's Budget P erformance  
2.32.   The budget for the Appellate Body and its Secretariat is distinct from the budget of the WTO 
Secretariat . Expenditures incurred by the Appellate Body and its Secretariat are divided into 
permanent and variable costs linked to the number of disputes handled by the Appellate Body . 
Permanent costs of the Appellate Body and its Secretariat are financed through an annual budget 
allocation in accordance with the WTO Financial Regulations and Rules . The Appellate Body and its 
Secretariat's budget follow the  same structure as that of the WTO Secretariat.  
Table 7 2016 Appellate Body and its Secretariat Budget Performance (kCHF)  
Part Section  Line Budget  Expendi - 
ture Balance  
A Staffing Resources     
 1. Staff Expenditure     
  i) Staff Remuneration  3,261  2,560  701 
  ii) Staff Pension & Post -Employment Benefits  710 535 176 
  iii) Staff Health & Invalidity Insurance  174 144 30 
  iv) Staff Family & International Benefits  296 286 9 
  v) Other Staff Expenditure  43 67 -24 
 2. Temporary As sistance     
  i) Short -Term Staff  55 608 -553 
  ii) Consulting  25 5 20 
  iii) Appellate Body Members Fees  791 753 38 
A Staffing Resources Total  5,355  4,958  397 
B Other Resources     
 3. General Services     
  i) Telecommunication & Post  10 5 4 
  ii) Contractual Services & Maintenance  18 2 16 
  iii) Energy & Supplies  20 5 15 
  iv) Documentation & Publication  10 3 7 
  v) Other / Miscellaneous  2 0 2 
 4. Travel & Hospitality     
  i) Travel  50 50 0 
  ii) Hospitality  1 4 -3 
 6. Capital Expenditure     
  i) Procurement of Fixed Assets  25 0 25 
B Other Resources Total  136 70 65 
C Operating Funds and ITC     
 8. Contributions to ITC & Special Reserves     
  ii) Appellate Body Operating Fund  2,000  2,000  0 
C Operating Funds and ITC Total  2,000  2,000  0 
Grand Total   7,491  7,028  463 WT/BFA/W/419  
- 23 - 
  2.33.   The expenditure incurred by the Appellate Body and its Secretariat amounted to 
CHF 7 million in 2016 . It led to a slight budgetary saving of CHF 0.5  million.  
2.34.   The contribution to the Appellate Body Operating Fund (ABOF) which co vers the variable 
costs associated to appeals, mainly daily fees and travel costs of Appellate Body Members, 
amounted to CHF 2  million in 2016 and was directly allocated to the ABOF at the beginning of the 
year.  
2.35.    The detail of the expenditure incurred by the ABOF in 2016 is presented in the following 
table.  
Table 8 Appellate  Body Operating Fund E xpenditure (kCHF)  
Statement of Appellate Body Operating Fund Expenditure  kCHF  
Opening Balance as at 1  January  2016  1,309  
Contribution fr om the regular budget of the Appellate Body and its Secretariat  2,000  
Expenditure in 2016:   
Appellate Body Members daily fees  -918 
Appellate Body Members travel expenditure  -582 
Oral hearings  -96 
Postage  -5 
Total expenditure  -1,601  
Closing balance a s at 31  December  2016  1,708  
 
2.5  Proposed Transfers Between Budgetary S ections  
2.36.   In accordance with Financial Regulation 21 and Financial Rule 4.4, transfers between WTO 
budgetary sections are necessary in order to cover excess expenditure over approved 
appropr iations with savings  from other budgetary sections . Authority is sought to effect the 
following transfers : 
Table 9 Proposed Transfers between Sections of the 2016 Appellate Body and its 
Secretariat Budget (kCHF)  Part Section  Budget  Expen - 
diture  Balance  Proposed 
Transfers  Revised 
Appropria - 
tions  Balance  
A Staffing Resources        
 1. Staff Expenditure  4,484  3,592  892 -494 3,990  397 
 2. Temporary Assistance  871 1,366  -494 494 1,366  0 
A Staffing Resources Total  5,355  4,958  398 0 5,356 397 
B Other Resources        
 3. General Services  60 16 44 -3 56 40 
 4. Travel & Hospitality  51 54 -3 3 54 0 
 6. Capital Expenditure  25 0 25 0 25 25 
B Other Resources Tota l 136 70 66 0 135 65 
C Operating Funds and ITC        
 8. Contributions to ITC & 
Special Reserves  2,000  2,000  0 0 2,000  0 
C Operating Resources Total  2,000  2,000  0 0 2,000  0 
Grand Total  7,491  7,028  463 0 7,491  463 
 WT/BFA/W/419  
- 24 - 
  2.6  Expenditure by Key Activities and Projects  
Figure 16 Expenditure by Key Activit ies and P rojects (kCHF)  
1,526
2,856
7,920
4,548
4,073
3,540
1,524
1,375
3503,211
3,393
8,335
4,002
3,803
2,598
870
1,052
270Dispute Settlement
- Panels
Dispute Settlement
- Appeals
IT
Technical
Assistance
Activities
Security
Building
Maintenance
Documents
Reproduction
HR Training
Programme
Public Forum
Budget Expenditure
 
2.37.   The budget presented by key activity and projects represents 39 % of the total budget 
without the budget for regular salaries . The expenditure situation by key activity and projects is 
detailed below:  
2.6.1   Dispute Settlement  
 Table 10 Dispute Settlement Expenditure – Panels (kCHF)  
Part Section  Line Budget  Expenditure  Balance  
A Staffing Resources      
 2. Temporary Assistance  i) Short -Term Staff  71 1,678  -1,607  
  ii) Consulting  0 81 -81 
  iii) Panel ists 715 797 -82 
A Staffing Resources Total   786 2,556  -1,770  
B Other Resources      
 3. General Services  i) Telecommunication & Post  10 10 0 
 4. Travel & Hospitality  i) Travel  730 645 85 
B Other Resources Total   740 655 85 
Grand Total   1,526  3,211  -1,685  
 
2.38.   During the year  2016, the WTO received 16 new requests for consultations . Eight panels 
were established by the Dispute Settlement Body (DSB) during the course of the year . Nineteen 
panel proceedings were active on average each month, making 2016 the busiest year in dispu te 
settlement since the inception of the WTO . A total of eleven panel reports were circulated in  2016; 
ten of these concerned original disputes and one concerned a dispute about compliance . One 
arbitration decision on the reasonable period of implementatio n was also circulated.  
2.39.   Under s hort-term s taff, an overspending of CHF 1.7  million  was realized, which includes the 
expenditure for short term lawyers as well as other temporary staff hired to support the dispute 
settlement divisions . This figure is largely  due to the continuing increase in the number and 
complexity of disputes.  
2.40.   There was a slight over -expenditure on panellist fees of approximately 11 %. It should be 
noted that as of 1 January  2016, the Panel lists' remuneration scheme was modified . The 
expend iture under this category has been constantly rising since 2012, linked to a number of WT/BFA/W/419  
- 25 - 
  factors including the increasing number of dispute settlement panels, increases in the number of 
days claimed by panellists  and the modification of the Panellists'  remun eration scheme in 2016.  
2.41.   The saving of CHF 85,000 under Travel and Hospitality was mainly realized under travel 
expenditure for panellists . 
Table 11 Dispute Settlement Expenditure – Appeals (kCHF)  
Part Section  Line Budget  Expenditure  Balance  
A Staffing Resources      
 2. Temporary Assistance  i) Short -Term Staff  55 608 -553 
  ii) Consulting  0 0 0 
  iii) Appellate Body Members 
Fees 791 753 38 
A Staffing Resources Total  846 1,361  -515 
B Other Resources      
 3. General Services  i) Telecommunication & Post  10 5 4 
 4. Travel & Hospitality  i) Travel  0 24 -24 
  ii) Hospitality  0 2 -2 
B Other Resources Total  10 31 -22 
C Operating Funds and ITC      
 8. Contributions to ITC & 
Special Reserves  i) Appellate Body Operating 
Fund 2,000  2,000 0 
C Operating Funds and ITC Total  2,000  2,000  0 
Grand Total   2,856  3,393  -537 
 
2.42.   Dispute Settlement activity related to appeals remained on a very high level in 2016 . The 
Appellate Body circulated six reports concerning six matters . In addition, four ap peals initiated in 
2016 had not been completed by the end of the year and were carried forward to  2017. The 
Appellate Body Secretariat also assisted the Arbitrator in one arbitration under Article  21.3(c) of 
the D ispute Settlement Unit (DSU) . 
2.43.   At the same t ime, appeal records, including submissions and panel reports, are getting 
increasingly larger and more complex . As bigger and more complex appeals are absorbing more 
time of the existing staff, the shortage of staff to staff new appeals could create a bott leneck in the 
system if this trend continues.  
2.44.   Under dispute s ettlement expenditure related to appeals, the over -expenditure is, as under 
the panel stage, linked to the expenditure for the short -term lawyers and other short -term staff 
hired to work on appea ls. WT/BFA/W/419  
- 26 - 
  2.6.2   Information Technology  
Table 12 Information Technology Expenditure (kCHF)  
Part Section  Line Budget  Expenditure  Balance  
A Staffing Resources      
 2. Temporary 
Assistance  i) Short -Term Staff  40 266 -226 
  ii) Consulting  1,763  2,001  -239 
A Staffing Resources Total  1,803  2,268  -465 
B Other Resources      
 3. General Services  i) Telecommunication & Post  324 268 56 
  ii) Contractual Services & 
Maintenance  4,195  4,610  -415 
  iii) Energy & Supplies  270 124 146 
  v) Other / Misce llaneous  0 0 0 
 4. Travel & Hospitality  i) Travel  15 14 1 
  ii) Hospitality  1 0 0 
 6. Capital Expenditure  i) Procurement of Fixed Assets  1,180  913 267 
  ii) Rental & Leasing of 
Equipment  132 137 -5 
B Other Resources Total  6,117  6,067  50 
Grand Total   7,920  8,335  -415 
 
2.45.   During the year 2016, the IT Division had requested the allocation of additional funds in 
order to be able to deliver some projects that had been delayed. With this additional allocation, the 
IT expenditure resulted in the above overspen ding.  
2.46.   Around two thirds of the IT expenditure (CHF 6 million) relates to running the day to day 
business, keeping the IT services going. The two largest items are under contractual services and 
have increased since 2015. With respect to the expenditure of  the United Nations International 
Computing  Centre (UNICC) several services have been added in 2016, such as Email and a 
software distribution platform, which has increased the service cost by CHF 0.4 million . The 
outsourced IT Service Desk is the IT's  se cond largest vendor providing the IT service desk at the 
cost of CHF 1 million with a 10% increase versus last year as some features were added. Other 
major items in the contractual services included several maintenance contracts with software 
publishers, with consultancy companies for custom -built applications   and with several h ardware 
manufacturers . Fixed assets at KCHF 913 were much lower tha n last year ( CHF1.378 million ) when 
the IT department purchased hardware for two important projects. The telecom munication s costs 
remained stable.  
2.47.   The last third (CHF 2.3 million) of the IT expenditure relates to projects. In 2016, the IT 
division worked on forty-one projects , part of which  pertained to the collection and  dissemination 
of trade data (thirteen  projec ts and 30% of project costs) and the optimization of our internal 
processes ( ten projects and 30% of the costs). Two domains also retained a large portion of the IT 
Division 's effort: improving delivery of services to Members and public ; and risk reduction  
(replacement of obsolete platforms and information security improvements) both wit h around 
10 projects and 20% of the project costs each. This leaves improvements of the services offered 
by IT to the staff and bringing new collaborative and knowledge solu tions with a meagre three  
projects and 1% to 2% of the IT expenses.  WT/BFA/W/419  
- 27 - 
  2.6.3   Technical Assistance  
Table 13 Technical Assistance Related Training Courses by Expenditure Line (kCHF)  
Part Section  Line Budget  Expenditure  Balance  
A Staffing Res ources      
 2. Temporary 
Assistance  i) Short -Term Staff  6 0 6 
  ii) Consulting  313 219 94 
A Staffing Resources Total  319 219 101 
B Other Resources      
 3. General Services  i) Telecommunication & Post  67 2 65 
  iii) Energy & Supplies  20 3 17 
  iv) Do cumentation & Publication  31 7 23 
 4. Travel & 
Hospitality  i) Travel  4,061  3,747  314 
  ii) Hospitality  50 23 26 
B Other Resources Total  4,229  3,783  445 
Grand Total   4,548  4,002  546 
 
2.48.   The major part of the savings realised under technical assistance act ivities was due to the 
fact that two courses were cancelled, prudent management of the Consultants' budget, and due to 
savings realised under postal expenditure.  
2.6.4   Security  
Table 14 Security Expenditure (kCHF)  
Part Section  Line Budget  Expenditure  Balance  
B Other Resources      
 3. General Services  ii) Contractual Services & 
Maintenance  3,763  3,616  147 
  iii) Energy & Supplies  25 11 14 
 4. Travel & 
Hospitality  i) Travel  130 107 23 
 6. Capital 
Expenditure  i) Procurement of Fixed 
Assets 155 68 87 
B Other Resources Total   4,073  3,803  270 
Grand Total   4,073  3,803  270 
 
2.49.   The budget in the area of Security pertains to Part B (Other Resources) only. Between 2013 
and 2014, the budgetary envelope was reduced by CHF 400,000 following the esta blishment of the 
security perimeter in 2014 . The budget w as reduced by an additional CHF  230,000 in 2016 after 
the renegotiation  of the contract for the outsourced security provider . At the end of 2016, a saving 
of CHF 270,000 w as realised due to the effic ient management of the contract, as well as less 
purchases of security equipment than projected.  WT/BFA/W/419  
- 28 - 
  2.6.5   Building Maintenance  
Table 15 Building Maintenance Expenditure (kCHF)  
Part Section  Line Account  Budget  Expenditure  Balance  
B Other Re sources       
 3. General 
Services  ii) Contractual Services 
& Maintenance  Contractual Services  948 912 36 
   Building Maintenance  1,433  840 593 
       
  iii) Energy & Supplies  Electricity  595 337 258 
   Water  54 68 -14 
   Gas & Fuel  450 394 56 
   Supplies 60 47 13 
B Other Resources Total   3,540  2,598  942 
 
2.50.   Under the activity  Building Maintenance,  which also comprises of elements under Part B 
(Other Resources) a saving was realized mainly from the general maintenance of the building  
electricity. The s avings in electricity resulted from the appointment of a new Supplier which 
enabled negotiation of better terms.  A further saving has been achieved under Gas & Fuel, due to 
better management of the gas consumption.  
2.6.6   Documents Reproduction  
Table 16 Documents Reproduction and Distribution Expenditure (kCHF)  
Part Section  Line Budget  Expenditure  Balance  
A Staffing 
Resources  2. Temporary 
Assistance  i) Short -Term Staff  200 202 -2 
A Staffing Resources Total   200 202 -2 
B Other 
Resources  3. General Services  ii) Contractual Services & 
Maintenance  60 21 39 
  iii) Energy & Supplies  524 307 217 
 6. Capital 
Expenditure  ii) Rental & Leasing of 
Equipment  740 340 400 
B Other Resources Total   1,324  668 656 
Grand Total    1,524  870 654 
 
2.51.   Due to t he introduction of the streamlining measures in 2013, the budget of Documents 
Reproduction and Distribution has been reduced significantly over the last 4 years.  In 2013, the 
budget was reduced by CHF 300,000, and in 2016, it was aga in reduced by an additi onal 
CHF 371,000. In 2016, a complete review of the maintenance contracts related to documents 
reproduction equipment and a re -negotiation of the contract for paper supply resulted in further 
savings. In the area of leasing of equipment, the production equ ipment for the printing equipment 
in black and white has been reduced from 6 to 3 machines. O verall, the printing equipment for 
colour and black and white has been reduced from 8 to 4.  WT/BFA/W/419  
- 29 - 
  2.6.7   Human Resources Training Programme  
Table 17 Human Resources Training Expenditure (kCHF)  
Part Section  Line Budget  Expenditure  Balance  
A Staffing Resources      
 2. Temporary Assistance  ii) Consulting  1,075  786 289 
A Staffing Resources Total  1,075  786 289 
B Other Resources      
 3. General Services  iii) Energy & Supplies  0 2 -2 
  iv) Documentation & 
Publication  0 1 -1 
  v) Other / Miscellaneous  0 -2 2 
 4. Travel & Hospitality  i) Travel  220 223 -3 
  ii) Hospitality  80 43 37 
B Other Resources Total  300 266 34 
Grand Total   1,375  1,052  323 
 
2.52.   In 201 6, the HR Training P rogramme continued to place great emphasis on knowledge 
transfer across the Secretariat via peer coaching and learning networks . While previous networks 
focused mainly on developing people and performance management capabilities, the le arning 
networks established in 2016 also included a more technical focus – networks for Committee 
Secretaries, Junior Dispute Settlement lawyers and Research Economists.  
2.53.   Implementation of a revised programme for Technical Assistance facilitators, with its focus 
on training design and the use of highly interactive training methods, commenced in 2016 . This 
programme was offered to staff on a divisional rather than a cross -organizational basis . This 
divisional approach to training provided staff with the oppor tunity to discuss and redesign specific 
technical training initiatives currently on offer by the division to Members.  
2.54.   Almost 50 Interviewing skills training sessions were conducted for interview panel members . 
Emphasis was placed on not just determining th e technical competencies of potential candidates 
but also their behavioural competencies in areas such as people management skills ; the ability to 
work as a team ; and relationship management skills with stakeholders.  
2.55.   Focus continued to be given to executiv e coaching, leadership development and 
performance management to enhance the capability of all levels of management in the Secretariat . 
In addition, gender programmes which addressed leadership training and coaching for female 
staff, especially in the area  of career development, were offered for the first time in 2016.  
2.56.   The expenditure rate under the Human Resources Training Programme in 2016 was 77 % 
with a saving of CHF 0.3 million . The saving was mainly realised under consulting 
agencies/providers.  
2.6.8   Public Forum  
Table 18 Public Forum Expenditure (kCHF)  
Part Section  Line Budget  Expenditure  Balance  
A Staffing 
Resources  2. Temporary Assistance  i) Short -Term Staff  100 122 -22 
A Staffing Resources Total   100 122 -22 
B Other 
Resources  3. General Services  ii) Contractual Services & 
Maintenance  30 10 20 
  iii) Energy & Supplies  30 37 -7 
  iv) Documentation & 
Publication  60 62 -2 
 4. Travel & Hospitality  i) Travel  110 26 84 
  ii) Hospitality  20 14 6 
B Other Resources Total   250 148 102 
Grand Total   350 270 80 WT/BFA/W/419  
- 30 - 
  2.57.   The annual Public Forum is the WTO’s flagship event. It provides a unique platform for 
Heads of State, Senior Government Officials,  leading global businesspeople, academics and non -
governmental organization representative s to come  together and discuss major trade and 
development issues. The topic of the 2016 Public Forum was "'Inclusive Trade' – How a Wider 
Range of Individuals and Businesses Can Participate in the Trading System and How WTO Rules 
can Help to Ensure Everyone Benefi ts from Trade."   
2.58.   The 2016 event was particularly special, as it marked the 15 th anniversary of the Public 
Forum. It attracted more than 1,000 participants . 
2.59.   With respect to the expenditure of the Public Forum 2016, 77% of the budget was spent. 
The overspend ing on temporary assistance has been offset by the saving realised under the travel 
expenditure.  
3  EXPENDITURE PER OUTPUT CHAPTER  
3.1  Background  
3.1.  The Budget for the biennium 2016 -2017 was for the first time presented by Outputs, in 
addition to the traditional pre sentation of the budgeted expenditure by budget line.  Hence, the 
inclusion of the Expenditure by Output Chapter in this financial report.  
3.2.  The actual expenditure for 2016 is closely aligned to the budgeted amounts,  as reflected in 
Table 19 below:  
3.2  2016  Expen diture by Output Chapter C ompared to the Output Budget  
Table 19 2016 Expenditure by Output Chapter  
Output Chapter  Budget 
2016  % of 
Total  Expenditure 
2016  % of 
Total  Difference  
Budget - 
Expenditure  Difference  
Budget - 
Expenditure  
% 
1  Facilitating Negotiations  10,604  5% 7,706  4% 2,898  27% 
2  Administering Agreed WTO 
Rules  44,000  22% 43,001  22% 999 2% 
3  Monitoring Trade Policies  26,000  13% 31,559  16% -5,559  -21% 
4  Settling Disputes  34,000  17% 40,924  21% -6,924  -20% 
5  Capacity b uilding  42,000  21% 43,309  22% -1,309  -3% 
6  Assisting Accessions  9,000  5% 3,534  2% 5,466  61% 
7  Conducting Research  16,600  8% 11,201  6% 5,399  33% 
8  Reaching out  15,000  8% 14,915  8% 85 1% 
Grand Total  197,204  100%  196,148  100%  1,056    
 
3.2.1   Facilitating Ne gotiations  
3.3.  This Output Chapter includes various committees and negotiating groups related to the Doha 
Development Agenda (DDA) n egotiations such as the Trade Negotiations Committee and other 
negotiating group s. 
3.4.  At the end of 2016, the expenditure was 27% lower than projected which was mainly due to 
a lower level of activity under the negotiating bodies . 
3.2.2   Administering Agreed WTO Rules  
3.5.  This output chapter includes the Ministerial Conference, all Committees related to the 
General  Council and its bodies, Commit tees related to the Council for Trade in Goods and its 
bodies, Committees related to the Council for Trade in Services and its bodies, and the Council for 
Trade -Related Aspects of Intellectual Property . The realized expenditure in 2016 was in line with 
the projection.  WT/BFA/W/419  
- 31 - 
  3.2.3   Monitoring Trade Policies  
3.6.  This Output Chapter mainly comprises of all expenditure related to the WTO Trade Policy 
Review Body, Trade Policy Reviews and Trade Policy Monitoring . The expenditure for 2016 was 
21% higher than originally projected . This was due to the higher activity on one side and 
translation cost for Trade Policy Reviews for two  Members which recently acceded, as the main 
factor of the increase.  
3.2.4   Settling Disputes  
3.7.  This O utput Chapter includes the DSB, as well as pre -dispute activi ties, panels, appeals and 
arbitrations . The actual expenditure for 2016 is 20% higher than the projection . This represents 
the highest increase overall output chapters compared to the projection . This is mainly due to the 
increased activity in the dispute settlement area, and due to the high number of dispute 
settlement related reports that were translated in 2016.  
3.2.5   Capacity Building  
3.8.  This Output Chapter comprises all activity related to capacity building courses and training, 
other related activities ; the Ai d for Trade work programme ; and the contribution to the 
International Trade Centre (ITC) . The actual expenditure for 2016 was slightly higher than the 
projection because of an overall higher activity on technical assistance training activities.  
3.2.6   Assisting A ccessions  
3.9.  This Output Chapter includes all activities related to the support of accessions . The actual 
expenditure for 2016 was considerably lower than projected . This is partly due to a lower activity 
level on accessions and the fact that the translation cost in the previous year had been particularly 
high. 
3.2.7   Conducting Research  
3.10.   This Output Chapter relates to the WTO's publications such as the World Trade Report or the 
WTO Annual Report ; research reports and papers ; as well as the management of WTO 
publicati ons. The realised expenditure for 2016 is lower than projected . This is not due to the fact 
that the activity was on a lower level, but due to the fact that fewer documents were translated 
from English into the two other official languages.  
3.2.8   Reaching Out  
3.11.   This output chapter includes all outreach activities of the WTO, such as general press 
relations ; general outreach to Members and the private sector ; key events such as the Public 
Forum and the Open Day ; and work done with other international organizations . The actual 
expenditure for 2016 is in line with the projection.  WT/BFA/W/419  
- 32 - 
  4  PERFORMANCE OF TRUST FUNDS  
4.1.  This part describes the activities performed in 201 6 using extra -budgetary funds . The flagship 
of the WTO's Trust F unds is the Doha Development Agenda Global Trust Fund (DDAGTF) . While 
there are several smaller funds that address specific purposes, it is the policy of the WTO to 
encourage the consolidation of most trade -related technical assistance under  the DDAGTF . 
4.1  Doha Development Agenda Global Trust Fund  
Figure 17 Allocation of DDAGTF Resources 201 6 
General WTO -
Related T.A
33%
Specialized and 
Advanced T.A
30%Academic Support
7%Trainee Programmes 
and Internships
2%Staff Costs and Other 
Programmes
28%
 
Table 20 Doha Development Agenda Global Trust Fun d - Financial Report Summary  
Financial Report Summary ('000 CHF)  2016  2015  
Funds as at 1  January  16,934  16,522  
Contributions received  6,880  9,105 
Interest earned  -14 - 
Total funds  23,800  25,627  
Contracted commitments  -41 - 
Total expenditures  -7,773  -8,693  
Balance as at 31  December  15,986  16,934  
 
4.2.  The DDAGTF was established in December  2001 to finance technical  assistance programmes 
and training activities for developing and least -developed countries as well as economies in 
transition. One of the main purposes for creating a global fund was to consolidate the numerous 
extra-budgetary funds in a single un -earmark ed fund, so as to provide a stable financial basis for 
the delivery of the T echnical Assistance  plan adopted by Members. The activities supported by the 
DDAGTF are intended to: enhance institutional and human capacity in beneficiary countries; 
address trad e policy issues and concerns; facilitate fuller participation of beneficiaries in the Multi -
lateral Trading System; and encourage effective participation in the negotiations.  
4.3.  The WTO's technical assistance and training programme s are primarily geared towar ds 
Government officials from WTO Members and acceding countries that are directly responsible for 
WTO-related issues, including the implementation of the Agreements of the Multi -lateral Trading 
System and the D oha Development Agenda  negotiations. A seconda ry broader audience, including 
academics, civil society, parliamentarians and private sector representatives is targeted through 
the academic and outreach programmes.  
4.4.  Trade -related technical assistance and training activities (TRTA) are carried out in acco rdance 
with a Biennial Technical Assistance and Training Plan ("the TA Plan"), which derives funding from 
both the regular budget and the DDAGTF.  WT/BFA/W/419  
- 33 - 
  4.5.  The TA Plan identifies the objectives and types of activities to be delivered by the Secretariat 
for the perio d concerned. The TA Plan normally foresees a number of activities at the global and 
regional levels, to be delivered within a given year. The TA Plan also anticipates additional 
activities at the national level on the basis of specific requests by Members (potentially up to two 
activities per year per developin g country Member and three for Least Developed C ountries 
(LDCs) ). 
4.6.  The TA Plans are structured  around a progressive learning strategy designed in such a way as 
to: 
a. ensure that the beneficiaries are gra dually moving to higher levels of learning;  
b. contribute to sustainable human and institutional capacity -building;  
c. strengthen inter -linkages among programmes;  
d. build synergies across subject areas;  and 
e. assure coherence and cost -effectiveness in the delivery o f TRTA.  
4.7.  Increasingly, important elements of results based management (RBM) are being incorporated 
into the WTO's TA Plans as approved for the biennium 2014 -15 and for the 2016 -2017. 
4.8.  The WTO undertakes activities in which it has a comparative advantage and that fall within its 
mandate, i.e.  WTO Agreements and those areas that are directly part of the DDA negotiations. The 
WTO co -operates and forms partnerships when possible with relevant international bodies and 
agencies in order to deliver the TRTA efficien tly, bearing in mind the specific competencies of the 
partner organizations.  
4.9.  The TA products  can be grouped broadly in to five categories:  
a. E-learning/Self Training Courses  – Takes full advantage of information technology and 
the Internet as a complement as well as an alternative to traditional training 
programmes. These offerings consist of different types of IT -based technical assistance 
and training tools. This approach is focused particularly on introductory and intermediate 
level training for both genera lists and specialists. Efforts are currently under way to 
enhance existing e -learning options and expand options to provide higher level content.  
b. General WTO -related technical assistance and training  – Training activities for 
government officials with a br oad overall WTO responsibility and a general knowledge of 
the multilateral trading system. The main purpose is to initiate officials in the rules and 
functioning of the WTO and/or to raise the general level of knowledge and provide 
opportunities for them t o increase their skills.  
c. Specialized and advanced technical assistance training  – National/regional seminars and 
workshops as well as specialized courses for Specialists. The focus is on providing 
in-depth training and enhancing skills that have a direct practical value in implementing 
WTO Agreements.  
d. Academic support for training and capacity building  – Activities that focus on building 
partnerships with trade policy -related academic community members in Member 
countries (e.g. workshops for university pro fessors on WTO matters, support 
programmes for doctoral students, programme for visiting academics, research 
collaboration and document dissemination for universities).  
e. Trainee programmes and internships  – They provide an opportunity for junior officials t o 
get first hand exposure to the functioning of the multi -lateral trading system (MTS) 
and/or to provide support to the respective beneficiaries' regional secretariats.  
4.10.   In addition to the direct costs of the various training activities, some staff costs re lated to 
the delivery of the technical assistance activities are funded from the DDAGTF.  
4.11.   TRTA programmes implemented under the DDAGTF in 2016 were based on the Biennial 
Technical Assistance and Training Plan 2015 -2016. The Committee on Trade and Developmen t and 
the Committee on Budget, Finance and Administration jointly examined and endorsed the WT/BFA/W/419  
- 34 - 
  Technical Assistance and Training Plan 2015 -2016. Subsequent to the recommendation of the 
Committee on Budget, Finance and Administration, the General Council appro ved since 2014 a 
target amount of CHF  12 million  for the DDAGTF for each year of the biennium, corresponding to 
the estimated costs of the activities contained in the Plan. This represented a decrease from the 
prior years where the target amount was CHF 24  million in 2011, and  CHF 18  million in 2012 and 
2013.  
4.12.   Historically, actual expenditures from the DDAGTF have been around CHF  18 million. 
However, expenditure levels since 2011 fell considerably below this target.  The new target largely 
reflected the capa city of Members to participate in, and the WTO to implement, these types of 
activities.  
4.13.   The DDAGTF is a revolving fund, i.e. the remaining balance at the end of a year is carried 
forward t o the next year of the fund's operation and counts toward meeting th e periodic 
benchmarks set for contribution receipts as follows:  
a. 25% of the following year's target amount to be in the bank by 31  December;  
b. another 50% for an overall 75% by 31  March; and  
c. 100% by the end of June.  
4.14.   This approach is designed to allow smooth a nd effective implementation, through adequate 
and timely receipt of funds.  
4.15.   In 2016 , the actual level of the fund balance  started the year ahead of the targeted budget  
due to the carry forward of a s trong balance at the end of 2015.  
4.16.   The level of new contrib utions received in 2016 was ultimately 24% lower  than in the 
previous year and the number of donors was stable.  
4.17.   Main activities implemented in 2 016, many of which were undertaken in partnership with 
other agencies and  bodies, include:  
General WTO -related t echnical assistance and training  
a. Six two-month Regional Trade Policy Courses (RTPC) . They covered Africa (French and 
English -speaking), Central and Eastern Europe, Middle East, Asia/Pacific, the Caribbean 
and Latin America.  
b. Five Geneva -based topic -specific  symposia and two regional and sub -regional training 
courses of shorter duration.  
c. Two short trade policy courses for Uruguay and ALADI (Associacion Latino Americana de 
Integracion) . 
Specialized and advanced technical assistance training  
a. Thirty -two topic -specific regional seminars (on Agriculture, Government Procurement, 
Non-Agriculture Market Access, Rules, Sanitary and Phytosanitary Measures, Services, 
Trade and Environment, Trade and Development, Trade Facilitation and Trade -Related 
Aspects of Intellectua l Property).  
b. Six intensive courses on trade negotiation skills ( for the Latin American Countries, 
English -speaking African Countries, Central and Eastern Europe and Central Asia 
countries, Caribbean Countries, Asian and Pacific Economies, French -speaking A frican 
Countries)  
c. Four outreach activities  for parliamentarians and the civil society.  
d. The establishment or upgrading of Reference Centres in Bangladesh,  Benin,  Bhutan,  
Mozambique, Paraguay,  Tanzania and Zambia.  WT/BFA/W/419  
- 35 - 
  WTO Chairs Programme (Academic support ) 
a. One WTO Chairs Board Annual Meeti ng was held in Geneva, Switzerland.  
b. WTO Grants were made to seven new WTO Chairs for (Benin, Brazil, Indonesia, Oman,  
South Africa, Tunisia  and Turkey) . 
c. The support programme covered  three doctoral students, instead of five las t year.  
d. Fourteen Support missions were undertaken to WTO Chair holder institutions . 
Trainee programmes and internships  
a. Five Regional Coordinator Internships.(Tw o coordinators for Asian Group, a coordinator 
for th e African Group , LDC Group, Geneva Office) . 
E-Learning  
4.18.   There was  a 36% increase in  E-Learning participants  in 2016 .  The number of participan ts 
rose from 7,523 in 2015 to 10, 279 in 2016.  This was resource -intense and presented a 
substantial increase of the workload for the E -Learning Unit.   
4.19.   In 201 6, synergies developed in 2014 between E -Learning and the Netherlands Trainee 
Programme ( NTP) have been strengthened to the benefit of both programmes.  Ten interns 
worked as assistant tutors in the E -Learning Unit focussing on interacting with the partici pants and 
developing online discussions for the News Forum.  
4.20.   The catalogue of courses continues to be enriched with new training material to not only 
cover all main WTO subjects but also offer updated courses including new developments and to 
introduce new E-Learning methodologies.  Courses with the new E -Learning methodology facilitate 
active learning and allow for more interactivity and foster interaction of the participants not only 
with the learning material but also with other students and their trainer s.  All new E -Learning 
courses are developed with the new methodology; already existing courses are updated with the 
new methodology and revised course content . 
4.21.   The WTO E -Learning programme offered 70 online courses in Eng lish, French and Spanish. 
Also m any interactive activities were organized and offered to update participants on WTO 
concepts and trade -related issues.  The number of Chat Sessions inc reased from 56 to 84 in 2016 
(50% increase).  The number of online discussions launched in the News Forum w as very high 
(109). These were carried out in the three official languages. In addition to E -Lectures, the E -
Learning Unit is also developing the use of social media for updates on trade -related issues, 
interactivity and outreach.  As two trainers continue  to tutor a constantly increasing number of 
participants, interacting with learners as a group through interactive activities such as Chat 
Sessions is becoming more and more important to minimize individual tutoring.   
4.22.   The E -Learning Unit continued to faci litate the implementation of blended learning.  Tailored 
virtual classrooms were offered and hosted in the E -Campus website for face -to-face activities to 
assist in the smooth delivery of these activities in line with the paperless policy in the Secretaria t.   
4.23.   Four virtual classrooms were created in the E -Campus website with the following 
functionalities: i) access and download pedagogical materials for each module as well as 
documents and information on the WTO in general, and ii) complete weekly and final  evaluation 
forms.  
4.24.   Outreach is an important part of the E -Learning programme to ensure a wide geographical 
coverage and reach potential participants.  Outreach includes announcements of new courses and 
revisions, updates, events, etc. These  are important f or the connection with relevant participants 
explaining for example who can take the WTO E -Learning courses.   
4.25.   Excellent results in 2016 were achieved in the WTO E -Learning field and statistics hence 
confirm the trend toward quality training identified in E-Learning over the past years:  
a. The number of successful participants increased by 2 ,233 to 6 ,932, compared to 2015.  WT/BFA/W/419  
- 36 - 
  b. The success rate was up with 67% of participants successfully completing a course 
compared to 63% in 2015 and 61% in 2014.   
c. The share of s uccessful participants that obtained a certificate with distinction remained 
high at 31%, and their number rose by 1 ,461 participants compared to 2015.   
d. The average score in the course exams for successful participants was slightly higher 
than in 2015 , at 85%. The drop -out rate decreased to 15% compared to 17% in 2015.  
e. 57% out of the 10,279 participants were men (5,859 ); 43% were women (4 ,420).   
Table 21 Number of P articipants of E-Learning C ourse s 
Year Number of participants  
2011 2,890  
2012 3,023  
2013 5,645  
2014 7,590  
2015 7,523  
2016 10,279  
 
4.26.   Africa remains the region with the  highest number of participants, with those from 
French-speaking Africa represent ing 23% of all participants . Participation from Latin -America 
decrease d by 16% and represent ed 20%. Almost o ne third of all participants are from an LDC.  
60% of the participants followed courses in English, 22 % in French and 18 % in Spanish . 
4.2  Evaluation of Activities of WTO Trust Funds  
4.27.   The Institute for Training and Technical Cooperation (ITTC) coordinated with donors and 
beneficiaries on an external evaluation of the WTO's TA activities. A specific fund has been created 
for this purpose: the TEVAL . It cover s the expenses for external evaluation of all WTO trade -
related technic al assistance activities. Its budget for the financial year 2015 was C HF 215,000 and 
in 2016  it received additional contribution s approximating K CHF 241. The activities of the 
evaluation oc curred in 2016 and a final report was issued at the end of 2016 wit h an overall 
positive judgement on the TA activities. The costs for the 2016 evaluation a mounted to K CHF 294. 
4.28.   The objective of this evaluation was to independently assess the functioning of all WTO 
Trade -Related Technical Assistance : analysing WTO TRTA del ivery, best practises, and lessons 
learned , paying particular attention to progress towards the achievement of the targeted results 
outlined in the Technical Assistance (TA) biennial plans . The period under review was  2010-2015.  
4.3  The French Irish Internship  Programme  
4.29.   The French Irish Internship Programme aims  to: enhance the interns' knowledge and 
understanding of the multilateral trading system and of trade policy in general ; strengthen the 
understanding of the negotiation process at th e WTO ; and support Missions in participating more 
actively in the daily activities at the WTO.  
4.30.   The interns work in their own country 's Mission in Geneva for a period of up to ten months 
and represent their respective country on selected WTO Committees . This hands -on approach i s 
designed to provide them with exposure to the activities taking place at the WTO.  
4.31.   The programme is open to nationals of developing countries and LDCs as well as economies 
in transition . The required qualificati ons include : (i) a degree in economics, trad e and/or law at the 
post-graduate level ; (ii) mastery of one of the WTO working languages and preferably a good 
knowledge of another ; (iii) working experience in the national administration in the trade -related 
area; (iv) good drafting skills ; and (v) oper ational familiarity with standard software packages.  WT/BFA/W/419  
- 37 - 
  4.32.   Interns are selected by the ITTC and the Human Resources Division of the WTO together 
with the Mission concerned . Special consideration is given to those candidates who will be using 
their experience upo n returning to their country . LDCs countries wit h very few staff posted to 
Geneva Missions are given preference.  
4.33.   The beneficiary Mission establishes a general description of the assignment in advance . A 
more detailed programme of work for each intern is pr epared by the P ermanent Representative of 
the m ission in Geneva, after the candidate has been selected.  
4.34.   The general duties might include:  
a. assistance in collection, analysis, interpretation and organization of material of interest 
to the Mission;  
b. assistance  in the preparation for  meetings of WTO bodies, including attendance and 
follow -up of such meetings;  
c. assistance in the preparation of reports, documents and communications of economic 
and/or legal nature related to the WTO;  
d. assistance  in other tasks undert aken by the Mission.  
4.35.   The evaluation of the intern's work by the Mission takes place at mid -term and at the end of 
the assignment and is shared with the WTO . Further evaluation of the usefulness of this 
programme takes place one year after the end of the in ternship . 
4.36.   In 2016 , this fund financed the costs related to 18 interns from the following countries : 
Bangladesh, Botswana, Burkina Faso, Cambodia, Cameroon Haiti, Kyrgyz stan, Liberia, 
Madagascar, Mozambique, Myanmar, Pakistan, the Organization of Eastern Ca ribbean States 
(OECS ), Senegal , Sudan, Tajikistan and Uganda . 
Table 22 The French Irish Internship Programm e - Financial Report Summary  
Expressed in ('000 CHF)  2016  2015  
Funds as at 1  January  1,129  1,254  
Contributions received  814 809 
Interest earned  -1 - 
Total funds  1,942  2,063  
Total expenditures  -992 -934 
Balance as at 31  December  950 1,129  
 
4.4  Netherlands Trainee Programme  
4.37.   The Netherlands Trainee Programme was launched on 1  April 2005 and had to be completed 
by 31  Decembe r 2008. In November  2008, the Government of the Netherlands extended th is 
Programme for four more y ears, i.e. until the end of 2012 . In 2013 the WTO was given authority 
to continue to expend the remaining balance from the prior arrangement and a new multiy ear 
arrangement was signed to continue the programme from 2014 to 2017.  
4.38.   The objective of the Programme is to generate tangible, measurable and lasting capacity 
building in areas related to trade policy in least developed countries , low income countries and  
comparable poor and vulnerable economies with particular attention given to African countries to 
assist in their economic and social development.  
4.39.   The Programme provides junior public officials with the opportunity to learn about matters 
dealt with in the WTO. The target group of candidates for the Programme are junior professionals 
from trade and development -related ministries, private sector organizations, university graduates, 
participants in trade policy courses and other suitable candidates with adequa te knowledge of the 
WTO.  WT/BFA/W/419  
- 38 - 
  4.40.   Trainees spend a total period of up to ten months with the WTO an d are expected to 
complete well -defined tasks in that period which are relevant for the beneficiary country in terms 
of capacity building and/or in the on -going negot iations . Examples include:  
a. undertaking a n assessment of needs for identifying priorities for technical assistance and 
training, based on the guidelines established to that effect;  
b. contributing to the attainment of the Doha Round, e.g. tabling an initial or  improved 
offer in services;  
c. fulfilling outstanding notification obligations and assisting in the implementation of 
commitments for new, recently acceded Members;  
d. assisting acceding countries in this process;  
e. assisting in the preparation of trade policy re views;  
f. undertaking other tasks, which would contribute to a better and fuller participation of the 
beneficiary country in the Multilateral trading System (MTS);  
g. assisting WTO Divisions with  specific tasks.  
4.41.   The candidates are selected by the Secretariat, fr om applications and nominations proposed 
by the beneficiary countries.  
4.42.   Trainees work full -time at the WTO  Secretariat and carry out tasks and duties assigned to 
them but with no expecta tion of renewal or extension of the traineeship beyond ten months . 
Following the completion of their as signments, trainees are required  to provide an evaluation 
report with detailed information of the tasks accomplished and an assessment of their relevance 
for the candidate and the beneficiary country.  
4.43.   The total number of tra inees who have benefited from the Programme since its launch in 
April 2005 reached 161 at the end of 2016.  
4.44.   In 2016, this fund financed the costs related to one regional seminar about Clingendael 
Policy Trends and Trends in International Trade . This fund  financed also 17 interns from the 
following countries : Afghanistan, Azerbaijan, Belize, Bhutan, Burundi, Comoros Islands , Congo, 
Cote d'Ivoire,  Democratic Republic of  the Congo, Dominican R epublic, Georgia, Guinea, Mongolia, 
Nigeria, Tanzania, Togo and Yemen . 
Table 23 Netherlands Trainee Programme – Financial Report Summary  
Expressed in ('000 CHF)  2016  2015  
Funds as at 1  January  1,137  1,102  
Contributions received  - 875 
Interest earned  - - 
Total funds  1,137  1,977  
Total expenditure s -953 -840 
Balance as at 31  December  184 1,137  
 
4.5  Trade Facilitation Agreement Facility  
4.45.   At the end of December  2014 the two previous WTO Trade Facilitation Trust Fund (TTFN G) 
and Trade Facilitation National Need Assessments ( TTFNA ) programs were closed an d replaced by 
the Trade Facilitation Agreement Facility  (TTFAF) . 
4.46.   The purpose of the TTFAF is to help developing countries and LDCs to implement the Trade 
Facilitation  Agreement . 
4.47.   The objective  is to assist developing countries and LDCs to identify sources o f existing 
capacity building assistance, in order to implement the Trade Facilitation  Agreement , and provide 
funding to these countries should they be unable to access existing assistance . The facility will 
complement existing support efforts and enhance t heir effectiveness, and make support available 
in instances where potential recipients have earlier failed to secure assistance from other donors.  WT/BFA/W/419  
- 39 - 
  Table 24 Trade Facilitation Agreement Facility – Financial Report Summary  
Expressed i n ('000 CHF)  2016  2015  
Funds as at 1  January  4,121 1,304 
Contributions received  2,303 3,098 
Interest earned  -5 - 
Total funds  6,419 4,402 
Total expenditures  -457 -281 
Balance as at 31  December  5,962  4,121  
 
4.6  Ministerial Conference – Participation of LDCs  
4.48.   Since the first WTO Ministerial Conference held in Singapore in 1996, the WTO Secretariat 
has facilitated the participation of LDCs in the Min isterial Conferences, funded from  voluntary 
contributions pooled into a special extra -budgetary fund . Costs related to air travel, 
accommodation and per diem allowances of LDC delegations comprised of one Minister and two 
high level Officials are covered.  
Table 25 Ministerial Conference – Participation of Least  Developed Countries – financial 
report summary  
Expressed in  ('000 CHF)  2016  2015  
Funds as at 1 January  - - 
Contributions received  - 454 
Reimbursement received  from MC10  90 - 
Total funds  90 454 
Total expenditures  - -454 
Balance as at 31  December  90 - 
4.49.   At the en d of a given M inisterial Conference , the remaining balances in favour of the various 
donors are carried forward and added to the new contributions to be utilized for the same purpose 
in the subsequent Ministerial Conference unless the donor requests a reimbursem ent. At the end of 
2015, the funds were  fully utilized . However in 2016, WTO received a reimbursement for hotel 
expenditures of 90 kCHF . 
4.7  Standards and Trade Development Facility  
4.50.   The Standards and Trade Development Facility (STDF) is a  global partnership and Trust 
Fund, established by the Food and Agriculture Organization (FAO), the World Organization for 
Animal Health (OIE), the World Bank, the World Health Organization (WHO) and the WTO, that 
supports developing countries in building their capacity to implement in ternational Sanitary and 
Phytosanitary Standards  (SPS) , guidelines and recommendations as a mean to improve their 
human, animal and plant health status and ability to gain and maintain access to markets . Other 
organizations involved in SPS -related technica l cooperation, donors contributing to the STDF and 
developing country experts participate actively in its work .4 The STDF is managed by the WTO.  
4.51.   In line with STDF's medium -term strategy, various efforts were undertaken to promote 
collaboration among STDF p artners and further strengthen the STDF as a knowledge platform and 
reference point for the exchange of information . The Secretariat also participated in a number of 
conferences, training workshops and other information sessions to promote coherence and 
synergies in the design of SPS projects.  
4.52.   Throughout the year, a wide variety of proposals and ideas for projects were received and 
discuss ed with potential beneficiaries . Thirty -seven  applications for project preparation grants 
(PPGs) and nineteen  project ap plications were received . The STDF Working Group approved eleven 
PPGs and one project for funding . The total STDF contribution to these projects amounted to 
USD 805,340 . All projects were collaborative, innovative and/or regional in nature . More and 
                                                
4 Further information on the STDF and its activities, background documents, etc. is available on the 
STDF website ( http://www.standardsfacility.org/ ). WT/BFA/W/419  
- 40 - 
  recurr ent PPG applications could be expected if bilateral donors wou ld be able to increasingly co -
fund resultant projects.  
4.53.   Seven projects were completed and achieved good immediate results . The STDF continued 
to meet its target to dedicate at least 40 % of its pr oject resources to LDCs and other low income 
countries (OLICs) . Monitoring project implementation, however, remained challenging and 
resource -intensive.  
4.54.   Three projects and four PPG (project preparation grants) were app roved to be contracted 
within twelve  months.  
Table 26 Standards and Trade Development Facility – Financial Report Summary  
Expressed in ('000 CHF)  2016  2015  
Funds as at 1  January  8,632  8,607  
Contributions received  4,045  4,558  
Interest  -9 - 
Total funds  12,668  13,165  
Expenditures  -5,134  -4,534  
Balance as at 31  December  7,534  8,631  
Contracted commitments  -6,180  -6,506  
Balance as at 31  December with commitments  1,354 2,125  
 
4.8  China LDCs and Accessions Programme  
4.55.   In July  2011, China funded  the establishment of "China's  LDCs and Accessions Programme", 
to help strengthen LDC Members ' participation in the WTO activities and also to help acceding 
LDCs to impro ve their capacity for accession . 
4.56.   The fund received from China contribution s approximating  CHF 485,000 in 2015 and 20 16. 
4.57.   In accordance with Annex III of the related Memorandum of Understanding (MoU), six 
internship s were made available , in comparison to  seven in 2015 . Expenditures were CHF 310,000 
and the ending balance of  the fund as of 3 1 December  2016 was CHF 560,000. 
Table 27 China LDCs and Accessions Programme – Financial  Report  Summary  
Expressed in ('000 CHF)  2016  2015  
Funds as at 1  January  385 383 
Contributions received  485 485 
Interest  - - 
Total funds  870 868 
Total expenditures  -310 -483 
Balance as at 31  December  560 385 
 
4.9  Enhanced Integrated Framework Executive Secretariat  
4.58.   The Enhanced Integrated Framework (EIF) is an initiative to provide trade -related technical 
assistance to the worl d's poorest countries as a mean  of integrating t hem fully into the Multilateral 
Trading System . Its Executive Secretariat was established in 2008 and is housed at the WTO . The 
International Bank for Reconstruction and Development, the International Monetary Fund, the 
International Trade Commission, the United Nations Conference on Trade and Development, the 
United Nations Development Programme and the World Trade Organization (collectively "EIF   
4.59.   Agencies"), EIF Least -Developed Countries ("EIF LDCs") and all donors constitute the 
partners of the EIF . The EIF is regarded as one of the most successful initiatives under the overall 
umbrella of Aid for Trade.  
4.60.   Funding for the EIF is channelled through two sources : the multilateral EIF Trust Fund 
managed by the United Nations Office for Project Services (UNOPS) and bilateral/regional donor WT/BFA/W/419  
- 41 - 
  support made direct ly to the beneficiary countries . The EIF Trust Fund makes an annual allocation 
to the WTO to cover the operating expenditures of EIF Executive Secretariat . 
Table 28 Enhanced Integrated  Framework Executive Secretariat – Financial Report 
Summary  
Expressed in ('000 CHF)  2016  2015  
Funds as at 1  January  599 2,108  
IPSAS adjustments  - - 
Contributions received  4,269  2,726  
Interest  -2 - 
Total funds  4,866  4,834  
Contracted commitments  -115  
Total expenditures  -4,015  -4,235  
Balance as at 31  December  736 599 
 
4.10  Independent Entity – Pre-Shipment Inspection – Deposits  
4.61.   Independent Entity (IE) is a mechanism for settling disputes between exporters and 
pre-shipmen t inspection companies/agencies . It is constituted by the WTO, International Chamber 
of Commerce (ICC) and International Federation of Inspection Agencies (IFIA) and  is established 
under Article 4 of the Agreement on Pre -shipment Inspection.  
4.62.   Deposit payments from the following pre -shipment  inspection companies have been 
received to cover the estimated costs of an independent review in the event of a dispute as 
required by the terms of reference of the Agreement : Bureau Veritas International, Cotecna 
Inspection Limited, Inspectorate Griffith  Limited, Inchcape Testing Services International Limited.  
4.63.   The fund has never been drawn -down  since its establishment  in 1995 . 
Table 29 Independent Entity – Pre-Shipment Inspection – Deposits – Financial Report 
Summary  
Expressed in ('000 CHF)  2016 2015  
Funds as at 1  January  88 88 
Interest earned  - - 
Total funds  88 88 
Total expenditures  - - 
Balance as at 31  December  88 88 
4.11  Programme Support Fund  
4.64.   Prior to  1999, the 13 % overhead fees charged on direct costs incurred by Trust Funds 
administered by the WTO was being credited to the regular budget as miscellaneous income . Since 
1999, these overhead fees are channelled through a special fund, the Programme Support Fund 
(PSF) . According to its terms of reference, the funds should be use d to finance expenses of a 
general nature, i.e. not related to any specific technical assistance project, which support technical 
assistance activities of the WTO as a whole . This is due to the fact that  the WTO does not have the 
means to evaluate and unde rwrite the administrative support staff costs as direct charges to each 
extra-budgetary fund.  
4.65.   The WTO may allocate the 13 % overhead fees charged to various trust funds that it 
manages with implementing partners.   
4.66.   Overhead fees are collected and calculated as of the 31st December of each year as well as 
the amount to be shared with Partners.  WT/BFA/W/419  
- 42 - 
  4.67.   10% of the expenses in the PSF are  statutorily credited back to the WTO regular budget as 
a contribution in recognition of the fact that the Organization's resources are  being used for the 
delivery of the technical assistance activities financed from the Extra-Budgetary Funds.  
4.68.   In 2016, expenses in the PSF corresponded mainly to fixed -term and short -term contracts 
for professional or support staff performing back -office du ties relating to the delivery and the 
administration of technical assistance activities.  
Table 30 Programme Support Fund –Financial Report Summary  
Financial Report Summary ('000 CHF)  2016  2015  
Funds as at 1  January  914 978 
Overhea d fees collected  2,282  2,301  
Overheads – Shared with Partners  -204 -278 
Total funds  2,992  3,001  
Total expenditures  -1,996  -2,087  
Balance as at 31  December  996 914 
 
 
 WT/BFA/W/419  
- 43 - 
  5  FINANCIAL STATEMENTS  
5.1  Management letter of representation  
5.1.  The Management of the WTO  Secretariat is responsible for these financial statements, which 
have been prepared in accordance with the World Trade Organization 's (hereinafter "WTO")  
Financial Regulations , Financial Rules and International Pub lic Accounting Standards . The financial 
disclosures that form part of the financial statements and  are intended to fairly present the WTO's 
financial results in a manner that is complete and understandable.  
5.2.  The Management is responsible for establishing and maintaining adequate internal control s 
over financial reporting so as to provide reasonable assurance regarding the reliability of these 
financial statements for external purposes. This includes policies and procedures that 1) provide 
for the maintenance of records that accurately and fairly re flect the transactions of the WTO, 2) 
provide reasonable assurance that transactions are authorized and recorded in compliance with the 
WTO's Financial Regulations and Financial Rules and 3) provide reasonable assurance regarding 
the prevention or timely d etection of unauthorized acquisition, use or dispos al of the WTO's assets. 
However, due to the inherent limitations of internal control s, these controls may not prevent or 
detect all misstatements.  
5.3.  Based on the above, the Management has concluded that thes e financial statements fairly 
present the WTO's financial position and performance as at 31 December  2016. These s tatements 
have been audited by E xternal Auditors a ppointed by the General Council. The report of the 
External Auditors  is contained  in the fol lowing page s. 
 
 
 
 
 (signed)  (signed)  
__________________________________  
 __________________________________  
 
 
 
 Roberto Azevêdo  Francesco Perlini  
 Director -General  Head of Financial Reporting , Chartered Accountant  
  Administration and General  
  Services D ivision  WT/BFA/W/419  
- 44 - 
  5.2  Opinion of the external auditor  
BUNDESRECHNUNGSHOF -SUPREME AUDIT  
INSTITUTION OF GERMANY  
 
 June 2017 
 
 
To Mr  Roberto Azevêdo,  
Director -General of the World Trade Organization  
 
 
Dear Sir,  
 
I have the honour to transmit the financial statements of the World Trade Organization (WTO) for 
the finan cial year ended 3 1 December  2016, which were submitted to me in accordance with 
WTO´s Financial Regulations . I have audited these statements and have expressed my opinion 
thereon.  
 
Further, in accordance wit h the Organization´s Financial Rules and Regulations, I have the honour 
to present my report on the accounts of the WTO for  the year ended 3 1 December  2016. 
 
Please accept, Sir, the assurance of my highest consideration.  
 
Identification of the financial st atements  
 
I have audited the financial statements of the World Trade Organization (hereinafter “WTO”) for 
the financial year end ed 31 December 2016, comprising  
 the Statement of Financial Position,  
 the Statement of Financial Performance,  
 the Statement of  Cash Flow,  
 the Statement of the Changes in Net Assets,  
 supporting notes and annexes to the Financial Statements  
 
Basis of Opinion  
 
I conducted my audit in conformity with International Standards on Auditing (ISA) as adopted and 
expanded by the Internat ional Organization of Supreme Audit Institutions (INTOSAI) and issued as 
International Standards for Supreme Audit Institutions (ISSAIs). These standards require that I 
plan and perform the audit to obtain reasonable assurance about whether the financial s tatements 
are free from material misstatement.  
I am independent of the WTO in accordance with the ethical requirements that are relevant to my 
audit of the financial statements and I have fulfilled all other ethical responsibilities in accordance 
with the se requirements.  
I believe that the audit evidence I have obtained is sufficient and appropriate to provide a basis for 
my opinion.  
 
Responsibilities  of Management  
 
The management of WTO is responsible for the preparation and fair presentation of the fina ncial 
statements in accordance with IPSAS and for such internal control as management determines is 
necessary to enable the preparation of financial statements that are free from material 
misstatement, whether due to fraud or error.  
In preparing the finan cial statements, the management is responsible for assessing WTO’s ability 
to continue as a going concern, disclosing, as applicable, matters related to going  
concern and using the going concern basis of accounting unless management either intends to 
liquidate WTO or to cease operations, or has no realistic alternative but to do so.  
Those charged with governance are responsible for overseeing the WTO’s financial reporting 
process.  
 WT/BFA/W/419  
- 45 - 
  Auditor's responsibility  
 
My objectives are to obtain reasonable assurance  about whether the financial statements as a 
whole are free from material misstatements, whether due to fraud or error, and to issue an 
auditor’s report that includes my opinion. Reasonable assurance is a high level of assurance, but is 
not a guarantee tha t an audit conducted in accordance with ISAs will always detect a material 
misstatement when it exists. Misstatements can arise from fraud or error and are considered 
material if, individually or in the aggregate, they could reasonably be expected to influ ence the 
economic decisions of users taken on the basis of these financial statements.  
As part of an audit in accordance with ISAs, I exercise professional judgment and maintain 
professional skepticism throughout the audit.  
I also:  
 Identify and assess t he risks of material misstatement of the financial statements, whether 
due to fraud or error, design and perform audit procedures responsive to those risks, and 
obtain audit evidence that is sufficient and appropriate to provide a basis for our opinion. 
The risk of not detecting a material misstatement resulting from fraud is higher than for one 
resulting from error, as fraud may involve collusion, forgery, intentional omissions, 
misrepresentations, or the override of internal control.  
 Obtain an understand ing of internal control relevant to the audit in order to design audit 
procedures that are appropriate in the circumstances, but not for the purpose of expressing 
an opinion on the effectiveness of WTO’s internal control.  
 Evaluate the appropriateness of a ccounting policies used and the reasonableness of 
accounting estimates and related disclosures made by management.  
 Conclude on the appropriateness of management’s use of the going concern basis of 
accounting and, based on the audit evidence obtained, whet her a material uncertainty exists 
related to events or conditions that may cast significant doubt on the WTO’s ability to 
continue as a going concern. If me and my team conclude that a material uncertainty exists, 
we are required to draw attention in our a uditor’s report to the related disclosures in the 
financial statements or, if such disclosures are inadequate, to modify our opinion. Our 
conclusions are based on the audit evidence obtained up to the date of our auditor’s report. 
However, future events or  conditions may cause WTO to cease to continue as a going 
concern.  
 Evaluate the overall presentation, structure and content of the financial statements, 
including the disclosures, and whether the financial statements represent the underlying 
transactions and events in a manner that achieves fair presentation.  
 
My team communicated with those charged with governance regarding, among other matters, the 
planned scope and timing of the audit and significant audit findings, including any significant 
deficienci es in internal control that we identify during our audit . 
 
Audit Opinion  
 
As a result of my audit, I am of the opinion that the financial statements present fairly, in all 
material respects, the financial position as at 31 December 2016, that they have bee n prepared in 
accordance with International Public Sector Accounting Standards (IPSAS) and WTO´s stated 
accounting policies, and that the transactions have been in accordance with the Financial 
Regulations.  
I have placed an unqualified opinion on WTO’s fi nancial statements for 2016  
 
Report Reference  
 
I have also prepared a long -form report on the WTO’s financial statements.  
 
 
 
 
 
 Kay Scheller  
 President of the Bundesrechnungsh of 
 Supreme Audit Institution of Germany  
 External Auditor  WT/BFA/W/419  
- 46 - 
  5.3  Financial Statements  
Table 31 Statement of Financial Position  
Statement of Financial Position        
WORLD TRADE ORGANIZATION        
Expressed in '000 CHF  Note s 31/12/2016  31/12/2015  
ASSETS        
Current A ssets        
Cash and cash equivalents  4 132,862 120,620  
Receivables from Members  5 6,755  14,406  
Receivables from Observers  5 582 590 
Inventories  6 442 388 
Other receivables  7 2,789  5,595  
Advances and prepayments  8 5,381  5,288  
Total Current Assets    148,811  146,887  
        
Non -current assets        
Building  9 124,346  127,345  
Equipment  9 13,238  15,438  
Intangible assets  10 372 515 
Pension Plan Assets  14 535,529  496,266  
Total  Non-current A ssets    673,485  639,564  
        
Total A ssets    822,296  786,451  
        
LIABILITIES        
Current L iabilities        
Payables  11 2,754  6,554  
Accruals  11 5,099  2,771  
Assessed contributions received in advance  12 16,783  16,310  
Voluntary Contributions refundable to donors  13 34,502  35,670  
Short -term employee benefits  14 12,148  12,644  
Grant  15 - 135 
Total Current L iabilities    71,286  74,084  
        
Non-current L iabilities        
Loan  15 55,200  56,400  
Pension benefits  14 982,040  855,635  
After Service Health Insurance benefits  14 110,932  245,531  
Other Long -term employee benefits  14 7,708  9,262  
        
Total Non -current L iabilities    1,155,880  1,166,828  
Total L iabilities    1,227,166  1,240,912  
        
Net Assets/E quity    -404,870  -454,461  
        
NET ASSETS/EQUITY        
Working Capital Fund  16 10,886  10,778  
Actuarial gain/(loss)  14 325,764  248,246  
Accumulated surplus    -806,391  -778,032  
Provision for right of use – Centre William Rappard ( CWR) 9 59,192  59,798  
Reserves  17 12,179  8,149  
Extra Budget ary Fund Allocation  17 -6,500  -3,400  
        
Total Net Assets/E quity    -404,870  -454,461  
 WT/BFA/W/419  
- 47 - 
  Table 32 Statement of Financial Performance  
Statement of Financial Performance     
WORLD TRADE ORGANIZATION     
Expressed in '000 CHF  Notes  31/12/2016  31/12/2015  
    
 REVENUE     
Contributions assessed on Members  18 195,538  195,57 5 
Contributions of Observers  18 594 652 
Voluntary contributions on trust funds  18 19,786  20,517  
Revenue from publications  18 614 684 
Other revenue  18 1,135  2,767  
WTO Pension Plan revenues  18 9,556  19,178  
    
Total revenue   227,223  239,373  
    
EXPE NSES     
Staff Expenditure  19 -133,477  -134,668  
Actuarial cost for ASHI  19 -13,177  -14,755  
Actuarial cost for pension  19 -26,441  -18,846  
Temporary Assistance  19 -22,942  -20,622  
Supplies and other General Service Costs  19 -15,471  -16,328  
Travel & Hospi tality 19 -12,636  -12,832  
Implementing Partners  19 -4,572  -4,727  
Contribution to ITC  19 -18,775  -18,470  
Ministerial Conference Operating Fund (variation)  19 -532 600 
Appellate Body Operation Fund (variation)  19 -399 -289 
Depreciation  19 -5,653  6,340  
Provision for contribution in arrears  19 -1,373  902 
Depreciation of provision for right of use - CWR 19 606 -11,313  
Finance Costs  19 -174 -79 
Write off and Previous year adjustments  19 0 -1,155  
Loss on foreign exchange transactions  19 -449 283 
    
Total expenses   -255,465  -245,959  
    
Surplus/(deficit) for the period   -28,242  -6,586  
Table 33 Statement of Changes in Net Assets/Equity  
WORLD TRADE ORGANIZATION  
AS AT DECEMBER 31, 2016 (CHF)  
Expressed in '000 CHF  WCF Actuarial  
loss Ac. 
Surplus/ 
Deficit  right of 
use BRF  Reserv
es Total Net 
Assets/ 
Equity   
        
Balance at 31/12/2015  10,778  248,246  -778,032  59,798  -3,400  8,149  -454,461  
Increase in W orking 
Capital Fund (WCF)  108      108 
Actuarial loss   77,519      77,519  
Recognition right of 
surface     -606   -606 
Building renovation fund 
(BRF)  Budget allocation   
   -3,100   -3,100  
IPSAS opening balance    -118    -118 
Surplus/d eficit for the 
period   
 -28,242     -28,242  
Reserves       4,030  4,030  
Balance at 31/12/ 2016  10,886  325,765  -806,392  59,192  -6,500  12,17
9 -404,870  WT/BFA/W/419  
- 48 - 
  Table 34 Cash Flow Statement (Indirect method)  
WORLD TRADE ORGANIZATION    
AS AT DECEMBER 31, 2016 (CHF)    
Expressed in '000 CHF    
 2016  2015  
Cash Flows from Operating Activities    
Surplus/d eficit from ordinary activities  -28,242  -6,586  
Depreciation and amortisation  5,653  -6,340  
Right of use – CWR -606 11,313  
Provision for contribution s in arrears  1,373  -902 
(Increase) / decrease in receivables from Members and Obse rvers 6,286  -3,702  
(Increase) / d ecrease in inventories  -54 -26 
(Increase) / d ecrease in other receivables  2,806  -1,981  
(Increase) / d ecrease in pension assets  -39,263  -8,635  
(Increase) / d ecrease in advances and prepayments  -93 -52 
Increase / (d ecrea se) in payables  -3,800  3,049  
Increase / (d ecrease) in accruals  2,328  1,798  
Increase / (d ecrease) in contributions received in advance  473 2,423  
Increase / (d ecrease) in voluntary contributions refundable to donors  -1,168  3,093  
Increase / (d ecrease) in grant s -135 135 
Increase / (d ecrease) in employee benefits  -10,24 3 -452,513  
Increase/ (decrease) IPSAS opening b alance  -118 -740 
Actuarial gain / (l oss) 77,519  474,338  
Increase/(d ecrease) r eserves  4,030  3,828  
Increase/(d ecrease) extra budget a llocatio n -3,100  -3,400  
Net Cash Flows from Operating A ctivities  13,646  15,100  
   
Cash Flows from Investing A ctivities    
(Increase)/ d ecrease of property, plant and equipment  -456 -1,138  
(Increase)/ d ecrease intangible assets  143 43 
Net Cash Flows from I nves ting Activities  -313 -1,094  
   
Cash Flows from Financing A ctivities    
Increase / (decrease) of loans  -1,200  -1,200  
Increase / (decrease) in Working Capital Contributions  108 106 
Net Cash flows from Financing A ctivities  -1,092  -1,094  
   
Net increase /(decrease) in Cash and Cash E quivalents  12,242  12,912  
   
Cash and cash equivalents at beginning of period  120,620  107,708  
   
Cash and Cash Equivalents at end of P eriod  132,862  120,620  
 
 
 
 
 WT/BFA/W/419  
- 49 - 
  5.4   Notes to the financial statements  
5.4.1   Note 1 Accounting policie s 
5.4.1.1   Basis of preparation  
5.4.  The financial statements of the WTO have been prepared on the accrual basis of accounting 
in accordance with the International Public Sector Accounting Standards (IPSAS) . Where IPSAS are 
silent concerning any specific standard, the a ppropriate International Financial Reporting 
Standards (IFRS) are applied.  
5.4.1.2   Consolidation  
5.5.  The International Trade Centre UNCTAD/WTO (ITC) is the joint technical co -operation agency 
of the United Nations (UN) and the WTO for Trade Related Technical Assistanc e (TRTA) . Originally 
created by the General Agreement on Tariffs and Trade (GATT) in 1964, ITC has operated since 
1968 under the joint aegis of GATT and the UN, the latter acting through the United Nations 
Conference for Trade and Development (UNCTAD) . At that time , GATT and UNCTAD were both 
under the United Nation s system and thus reporting to the General Assembly . Under these 
conditions ITC was deemed  to be a jointly controlled e ntity as defined by IPSAS 6 and  8. 
5.6.  ITC is the focal point for technical assis tance and cooperation activities in the trade promotion 
field, within the UN system of assistance to developing countries, as affirmed by the Economic and 
Social Council in its resolution 1819 (LV) of 9  August  1973.  
5.4.1.3   Foreign currency  
5.7.  The functional and repo rting currency of the WTO is Swiss Francs (CHF) . Transactions 
denominated in foreign currencies (other than assessed contributions from Members and 
Observers), are converted into CHF using the official  United Nations exchange rate on  the date of 
the transa ction. For assessed contributions received in a currency other than CHF, they are 
converted and credited at the ban k rate of exchange applicable on  the value date . Monetary assets 
and liabilities in currencies other than CHF are converted  into CHF at the y ear-end United Nations 
exchange rate.  
5.8.  Foreign exchange gains and losses resulting from the settlement of foreign transactions are 
recognised in the statement of financial performance.  
5.4.1.4   Segment reporting  
5.9.  A segment is a distinguishable activity or group of ac tivities for which financial information is 
reported separately . WTO activities are classified into t wo segments : i) regular budget and  ii) Trust 
Funds.  
5.4.1.5   Use of estimates  
5.10.   The preparation of financial statements includes the use of accounting estimates as we ll as 
management assumptions and judgement . The areas where estimates are used include 
post-employment benefits obligations; provisions for litigation; accrued charges;  financial risks on 
inventories and accounts receivable;  expenses relating to the ITC; contributions to the 
International Computing Centre ; contingent assets and liabilities and the degree of impairment of 
fixed assets . Actual results could differ from these estimates . Changes in estimate s are reflected in 
the period in  which they become know n. 
5.4.1.6   Cash and cash equivalents  
5.11.   Cash and cash equivalents comprise cash in hand and cash accounts at banks . Cash and 
cash equivalents that can only be used for a specific purpose ( e.g. Working Capital Fund) are 
considered as restricted.  
5.12.   The Cash Flow S tatemen t is prepared using the indirect method.  WT/BFA/W/419  
- 50 - 
  5.4.1.7   Receivables  
5.13.   Receivables are recognised at nominal value less any allowances for estimated irrecoverable 
amounts . Discounting on receivables is not applied unless the effect is significant.  
5.14.   The methodology for  provis ion for assessed outstanding contributions from Members and 
Observers is based on the number of years of outstanding contributions and is in compliance  with 
the principles established by the General Council pertaining to  Administrative Measures.  
Table 35 Level of Provisions on Outstanding Contributions  
Members and Observers with outstanding 
contributions at year -end Level of the provision  
Greater than  3 years  100%  
Greater than 2 year s, but less than 3 years  75% 
Greater than  1 year  but less than 2 years  50% 
≤ 1 year  0% 
 
5.4.1.8   Advances and prepayments  
5.15.   Discounting on advances and prepayments is not applied unless the effect is significant.  
5.4.1.9   Inventories  
5.16.   Inventories include the value of publications and souvenirs held for sale and the ones 
distributed free of charge . The cost of acquired publications and souvenirs include s the purchase 
price as well as the transport costs . The cost of publications produced in -house includes the costs 
of supplies (paper), the cost of the rental of equipment (including maintenance and ink ) as well as 
the labour cost . For in-house publications sent to the WTO's  distributor storage place, the cost  also 
includes the transportation costs . The cost of inventories is assigned in line with the weighted 
average cost formula.  
5.17.   An annual physical inv entory is conducted for the stock of publications and souvenirs held 
in-house and at the distributor 's storage . At the end of each year, items that are either damaged 
or obsolete are written -off to reflect net realizable value.  
5.4.1.10   Property, plant and equipmen t 
5.18.   Property, plant and equipment are recognised at historical cost less any accumulated 
depreciation and impairment loss . The following thresholds are defined for the recognition of 
Property, plant and equipment:  
 Any asset with a value above CHF  5,000 is fu lly capitalized when acquired individually.  
 Any asset with a value above CHF 2,500 is fully capitalized when acquired as part of a lot 
with a total value above CHF 50,000.  
 Any asset, irrespective of its value, is fully capitalized when acquired as part of a lot with 
a total value above CHF 500,000 . Moreover any internally developed software is 
capitalized if the value exceeds CHF 500,000.  
5.19.   Property is recognised at cost . All classes of equipment have been recognised 
retrospectively, except for furniture . Only furniture and equipment acquired since 2007 has been 
accounted for in the opening balance . The Organization is using the transi tional provision (IPSAS 
17, par.  95) for this class of asset . The Organization has also not been able to recognise the costs 
directly attributable to a specific piece of equipment (such as consulting costs) if they were 
separately invoiced.  
5.20.   Contributions in kind relating to property, plant and equipment, such as the donated surface 
right to use the land (droit de superficie) on wh ich WTO headquarters stand, are recognised in the 
financial statements and disclosed in the notes.  WT/BFA/W/419  
- 51 - 
  5.21.   Depreciation is provided for property, plant and equipment using the straight line method, 
except for land which is not subject to depreciation . In the conte xt of the building project, 
buildings and  equipment are depreciated as of  1 January  2013. 
5.22.   The useful lives of major classes of assets have been estimated as follows:  
Table 36 Class of Assets  
Class  Estimated useful life (years)  
CWR Building  99 years  
Structural Components of the Building  50 years  
Building carpentry  25 years  
Waterproof  system , restoration, elevator  15 years  
Furniture  10 years  
Reproduction equipment  5 or 10 years  
Audio -visual equipment  10 years  
Computer equipment  4 years  
Security equipment  10 years  
Artwork  10 years  
Windows and Heating  25 years  
Vehicles  5 years  
 
5.23.   Damaged assets are impaired at year -end based on information received.  
5.24.   Heritage assets such as donated work s of art are not recognised in the financia l statements.  
5.4.1.11    Intangible Assets  
5.25.   Intangible assets are stated at historical cost less accumulated depreciation and impairment 
losses . Depreciation is provided over the estimated useful life (4 years) using the straight line 
method . Licence rights lasting o ne year are expensed during the year.  
5.26.   Maintenance and upgrade costs imposed by the software compan ies or other external 
factors are recognised as expenditure . The cost of software bought with hardware is included in 
the hardware cost.  
5.27.   Copyrights, preproduc tion costs for publications, WTO website costs and internal and 
external development costs for databases are not recognised as intangible assets.  
5.4.1.12   Employee benefits  
5.28.   WTO employee benefits are classified as follows:  
a. Short -term employee benefits are due to be settled within 12 months of the reporting 
date and are measured at their nominal values based on accrued entitlements at current 
rates of pay . They include first -time employment  benefits (installation grants);  regular 
monthly benefits (w ages, salaries, and  allowances);  compensated absences (paid  sick 
leave or maternity leave);  untaken annual leave and other short -term benefits for 
international staff (education grant, home leave).  
b. Post-employment benefits comprise the estimated actuarial liability of define d-benefit 
plans for retirement ; and the After  Service Health Insurance cover.  
5.29.   The actuarial liability is the present value of the defined benefit obligations (relating to 
pension and ASHI) at the reporting date . Similarly, the fair value of the WTO Pension  Plan is 
shown among the non -current assets of the Financial Statements . The assets of the Pension Plan 
shall be used totally and exclusively for the purposes outlined in  the Pension Plan's Regulations.  WT/BFA/W/419  
- 52 - 
  5.30.   The WTO Pension Plan is a separate entity with its ow n management, governance processes 
and reporting mechanisms to the General Council . It produces its own financial statements that 
are reported and approved by the General Council, independently from the financial statements of 
the WTO Secretariat.  
5.31.   The bene fit obligation is calculated annually by an independent actuary using the projected 
unit credit method . The actuarial gains or losses arising from experience adjustments and changes 
in actuarial assumptions are recognized immediately in net assets.  
5.32.   Post-employment benefits include removal indemnities for international staff and separation 
grants . They are calculated in -house and are discounted using the same rate as the one used for 
the valuation of the Pension P lan and ASHI.  
5.4.1.13   Provisions and contingent liabi lities  
5.33.   Provisions are made for future liabilities and charges where the WTO has a present legal or 
constructive obligation as a result of past events and it is probable that the WTO will be required to 
settle the obligation.  
5.34.   Other commitments, which do not  meet the recognition criteria for liabilities, are disclosed in 
the notes to the financial statements as contingent liabilities when their existence can be 
confirmed by the occurrence or non -occurrence of one or more uncertain future events which are 
not wholly within the control of the WTO.  
5.4.1.14   Tax 
5.35.   The WTO assets, income and other property are exempt from all direct taxation.  
5.4.1.15   Revenue recognition  
5.36.   Revenue from assessed contributions as well as voluntary contributions is recognised as 
non-exchan ge transactions a s per IPSAS 23:  
a. Assessed contributions are recognised as revenue at the beginning of the year to which 
they relate.  
b. Voluntary contributions received by  the WTO have conditions governing their use . At the 
reception of the funds, the WTO recognises an asset and a liability (voluntary 
contributions refundable to donors) . Revenue is recognised when carrying out the 
specified performance and  the condition al liability is therefore discharged . Voluntary 
contributions are therefore recognised up to the amount expen sed in the period.  
5.37.   Revenue from exchange transactions (mainly sale of publications, interest earned and rental 
of meeting rooms) is recognised when  goods or services are delivered.  
5.38.   In kind contributions of services are not recognised in the financial state ments.  
5.4.1.16   Expenses  
5.39.   Under accrual accounting, expenses are recognised at the time of delivery of goods or 
services by the supplier or service provider.  
5.40.   The WTO signs agreements with partners to implement trade -related technical assistance 
activities . Recogniti on is based on the delivery principle . Most of the projects relate to activities 
which last a maximum of two months . For multi -year projects, the recognition principle is based on 
the disbursement as disbursement is made upon validation of progress reports  and corresponds to 
the costs incurred by the beneficiary.  WT/BFA/W/419  
- 53 - 
  5.4.2   Note 2 Financial risk policy  
5.41.   The Organization is exposed to limited financial risks : 
a. Counterparty risk : 
 The preservation  of capital is the primary objective when investing funds . In order 
to limit counterparty risk, funds are deposited with at least two internationally 
recognized financial institutions with a rating equivalent to A - or better.  
b. Foreign currency exchange risk : 
 The exposure to the foreign exchange rate risk is reduced by maintaining most 
funds in CHF, the Organization's base currency . With respect to the holdings in 
foreign currency, t he risk mitigating factor is that the combined permissible 
maximum holding in foreign currency is 10 % of overall funds . 
c. Interest and market risks:  
 Interes t and market risks are also very limited as speculation on interest rates is 
strictly forbidden and cash balances retained by the Secretariat can only be invested 
through the following asset classes :  
Asset classes*  % to be held  
Cash and Cash equivalents,  minimum of  70% 
Bonds up to a maximum of  30% 
Equities  0% 
*  Investment in hedge funds, derivatives and  alternative asset classes is prohibited.  
 
d. Liquidity risk:  
 The level of funds available shall be maintained to meet the payment requirements 
of the WTO . The investment duration shall take into account the uncertain timing on 
the receipt of Members contributions and the cash -flow requirements . Borrowing 
cannot be contracted with banks.  
5.4.3   Note 3 Relevant information on  the financial statements  
5.4.3.1   Actuarial assu mptions  
5.42.   The valuation of the post -employment benefit obligations should reflect the term of the 
expected payment s under the WTOPP and ASHI liability . The volatile evolution of their actuarial 
valuations during the last few years and their significant impac t on the financial results of this 
Organization demands control measures of the actuarial practices and actuarial assumptions.  
5.43.   In the context of highly volatil e markets, the practice  of mark -to-market accounting for the 
discount rate could lead to a miscon ception of the value of the long term liabilities of  the WTOPP 
and ASHI liability  where actuarial gains or loss notably impact the overall related liabilities . For this 
reason the  method of calculation of the discount rate  applied to WTOPP  and ASHI  liability was 
reviewed in 2015  in order to reduce volatility . 
5.44.   The new method applied since the 2015 financial statements is in compliance with the 
reference interest rate for Swiss pension plans, which is determined by the Swiss Chamber of 
Pension Fund Experts (C SEP). This is calculated as : two thirds weight for  the average performance 
of a representative pension fund index over the last 20 years, and one third according to the yield 
on ten -year Federal bonds less a margin of 0.5 %. The result is  rounded down to th e nearest 
0.25% and should  never be below the return of 10 -year government bonds.  WT/BFA/W/419  
- 54 - 
  5.4.3.2   Persistence  of negative interest  
5.45.   In 2016 the Swiss National Bank (SNB) continued to implement its policy of negative 
interest  on deposits over a certain threshold . Due to thi s decision no  interest was available for 
distribution  to Members , as had been envisaged by  the early payment interest scheme.  
5.4.4   Note 4 Cash and cash equivalents  
Table 37 Cash Situation  
Cash and Cash E quivalent  
Expressed in '000 CHF  31/12/2016  31/12/2015  
Cash in hand  10  10 
Cash at bank by currency   132,852  120,610  
Total cash and cash equivalent  132,862  120,620  
CHF  122,910  115,076  
USD 8,334  4,425  
EUR 1,256 845 
GBP 352 264 
Cash in Hand CHF  10 10 
Total cash and cash equivalent  132,862  120,620  
 
5.46.   The bank balance in CHF includes restricted funds held by the Working Capital Fund for an 
amount of kCHF 10, 723. 
5.47.   Bank accounts are held with UBS, Crédit  Suisse and the Swiss Post Finance Bank . The WTO 
negotiates interest rates on bank ac count deposits with the banks in order to obtain competitive 
rates. However, the introduction of negative interest rates from the Swiss National Bank (SNB) has 
affected the WTO with  interest expense . 
5.4.5   Note 5 Receivables  from Members, Observers and Donors  
5.48.   Receivables from Members and Observers include receivable assessed contributions as well 
as receivable advances due to the Working Capital Fund . The details for contributions due from 
Members and Observers are presented in schedules  C and D, respectively.  
Table 38 Receivables from Members and Observers  
Expressed in '000 CHF  31/12/2016  31/12/2015  
Receivable Assessed Member Contributions  16,507  22,880  
Receivable Advances due to WCF  163 68 
Provision for Outstanding Contributions  -9,915  -8,542  
Total  6,755  14,406  
Receivable Assessed Contributions  from Observers  582 590 
Grand Total  7,337  14,99 6 
5.49.   A provision for outstanding contributions is calculated based on the aging of the 
contributions.  
Table 39 Provision f or Arrears from Members and Observers  
Expressed in '000 CHF  Provision for 
outstanding 
contributions at 
31 December  2015 Adjustment of 
the provision 
during 2016  Provision for 
outstanding 
contributions at 
31 December  2016 
Members  8,080  1,367  9,447  
Observer s  462   6   468  
Total  8,542  1,373  9,915  
 WT/BFA/W/419  
- 55 - 
  5.50.   As of 31/12/2016 , 5 members with outs tanding contributions of 2.6  MCHF are following the 
payment plan approved  by the General Council in 2012 and 2 members with outstanding 
contributions of 0.7 MCHF are not com pliant with the payment plan.  
5.4.6   Note 6 Inventories  
Table 40 Inventories per type  
Inventories  
Expressed in '000 CHF  31/12/2016  31/12/2015  
WTO publications and co -publications  314 305 
Non WTO publications  51 35 
Souvenirs  77 48 
Subto tal inventories (including adjustments and write offs)  442 388 
 
Table 41 Inventories per storage  
Inventories  
Expressed in '000 CHF  31/12/2016  31/12/2015  
External WTO Storage  126 128 
Internal WTO Storage  316 260 
Subtotal inventor ies (including adjustments and write offs)  442 388 
 
5.51.   Inventories consist of WTO publications, co -publications, other non -WTO publications and 
souvenirs held for sale and the ones distributed free of charge.  
Table 42 Inventory Adjust ments and write offs  
Expressed in '000 CHF  31/12/2016  31/12/2015  
Adjustments  - 4 
Write offs  -8 -33 
Total Adjustments and write offs  -8 -29 
 
5.52.   The adjustment corresponds to the reconciliation between the value of the inventory in the 
financial accounts an d the value of the actual physical inventory . The amount of adjustment is 
about 0.1% (CHF 478)  of the total inventory and well below  industry standards ranging around 5 % 
of discrepancy.  
5.53.   Write -offs relate to obsolete inventories . The write off policy was revised in 2011 . Obsolete 
publications are identified by making a title by title analysis based on statistics of the last three 
years sales and distributions.  
5.4.7   Note 7 Other receivables  
Table 43 Other Receivables  
Expressed in '000 CHF  31/12/2016  31/12/2015  
Recoverable United States of America  taxes  2,548  4,335  
Recoverable Swiss taxes  20 35 
Various other receivables  221 1,225  
Total other receivables  2,789  5,595  
 
5.54.   Generally. s taff members remunerated by the Organization are  exempted fr om income 
taxes . However, the United States of America  requires its citizens and residents to file and pay tax 
worldwide . When a staff member is obligated to pay income tax to the United States of America , 
the WTO provides advances for estimated tax paymen ts and reimbursements for actual tax 
payments and subsequently asks for a reimbursement from the United States of America  
Government in conformity with an Agreement between the WTO Secretariat and the United States 
of America , of 22 December  2000. WT/BFA/W/419  
- 56 - 
  5.55.   As an In ternational Organization, the WTO is exempted from Swiss taxes such as value 
added tax (VAT), federal stamp duty and tax on the interest earned on investments . Annually the 
WTO Secretariat files a tax reimbursement claim to the Swiss authorities.  
5.56.   The metho d of reimbursement applied by the United States of America  Government is 
different from the method applied by the WTO Secretariat . The latter has been validated by the 
Administrative Tribunal of the International Labour Organization . The difference in rei mbursement 
methods results in a  non-reimbursable  amount  of CHF 205,040  for 201 6. In 201 5 the amount was  
CHF 236,447 . The difference is due to the variation of the part of the non -WTO salary of the 
American staff, which fluctuates from year to year.  
5.57.   Other re ceivables include receivables from non -exchange transactions relating to taxes and 
receivables from exchange transactions under the line item "various other receivables".  
5.4.8   Note 8 Advances and Prepayments  
Table 44 Prepayments  
Expresse d in '000 CHF  31/12/2016  31/12/2015  
Staff advances for salary, travel and education grant  2,829  3,060  
Advances relating to Trust Fund activities  1,643  1,469  
Other advances  909 759 
Total Advances and Prepayments  5,381  5,288  
 
5.58.   Staff advances for educatio n grant s, salary and travel decreased by kCHF 230 , representing 
a total of kCHF 2, 829 in 201 6. The reduction between 2015 and 2016 i s mainly due to lower 
advances for education grants as the population of beneficiaries got reduced compared to the 
previous period . Advances for home leave remained stable as did salary advances.  
5.59.   Advances relating to Trust Funds activities include advances paid to hotels where the 
activities will be held as well as advances to implementing partners . This amount increased since 
2016 is a non -Ministerial Conference year thus allowing for TA activities to continue through 
November and December.  
5.60.   Other advances  correspond to payments made to suppliers, consultants and insurance . 
5.4.9   Note 9 Property, Plant and Equipment  
Table 45 Building s 
Expressed in '000 CHF  Building s 
Historical Cost valued as  at 31/12/2015  134,543  
Additions   -  
Historical Cost valued as  at 31/12/2016  134,543  
Accumulated depreciation 01/01/2016  7,199  
Depreciation  2,998 
Accumulated depreciati on at 31/12/2016  10,197  
Net carrying amount at 31/12/2016  124,34 6 
 
5.61.   On 7th August  2015 the infrastructure contract signed between WTO and the Swiss 
Authorities concerning the CWR building was registered at the " Registre foncier de Genève ". This 
registrati on defines a new process of depreciation for 99 years that begins with the date of 
registration.  
5.62.   The agreement imposed restrictions on the resale value of the CWR Building  and a provision 
for the right of use of the building is reported as part of  the equ ity of the WTO  and has 
appreciated accordingly using the same rate of the depreciation as that of the Building . 
5.63.   The CWR and the new administrative building  (Extra -muros) belong to the WTO . At the end 
of 2012, final reception for both the renovation work of  the CWR (financed by the Swiss WT/BFA/W/419  
- 57 - 
  authorities) and the construction wo rk of the new building was completed . No revaluation of the 
carrying amount occurred in 201 6. 
5.64.   The WTO has benefited from contributions in-kind relating to the use of different buildings:  
a. Free right to use the Salle William Rappard, where the General Council usually meets . 
This conference centre is owned by the Canton of Geneva and maintained  by the 
"Fondation des Immeubles pour les Organization Internationales " (FIPOI).  
b. Free right to use th e Villa Rappard and two small neighbouring villas . These villas are 
property of the Canton of Geneva . The WTO bears the maintenance costs.  
c. Free right to use an underground parking with 400  parking spaces , located in the 
neighbourhood . 
5.65.   As part of the buildi ng project, artwork and decoration were acquired and recognised at 
their purchase prices and are subject to depreciation.  
Table 46 Equipmen t 
Expressed in 
'000 CHF  Furniture  Audio 
visual 
equipment  Security 
equipment  Reproduction 
equipment  IT 
equipment  Vehicle  Total  
Cost at 
31/12/2015  9,289  7,700  3,070  1,638  3,350  242 25,289  
Additions (FA)  27 38 33 -  96 49 243 
Cost at 
31/12/2016  9,316  7,738  3,103  1,638  3,446  291 25,532  
Accumulated 
depreciation 
31/12/2015  2,636  1,979  1,426  1,362  2,322 128 9,853  
Depreciation  930 772 307 52 344 36 2,441  
Accumulated 
depreciation at 
31/12/2016  3,566  2,751  1,733  1,414  2,666  164 12,294  
Net carrying 
amount at 
31/12/2016  5,750  4,987  1,370  224 780 127 13,238  
 
5.4.10   Note 10 Intangible Assets  
Table 47 Intangible Assets  
Expressed in '000 CHF  Software 
acquired  Software 
internally 
developed  Total Intangible  
Cost at 31/12/2015   731   466   1,196  
Additions   71   -  71  
Cost at 31/12/2016   802   466   1,268  
Accumulated depreciation 1/1/201 6  286   396  682  
Depreciation   144   70  214  
Accumulated depreciation at 
31/12/201 6  430   466   896  
Net carrying amount at 31/12/201 6  372   -   372  
 
5.66.   The acquired software that is being depreciated pertains  to the purchase of two licences 
"powerc enter CPU"  related to the Oracle Business Suite for informatics . 
5.67.   No internally developed software was implemented and capitalized in 201 6. WT/BFA/W/419  
- 58 - 
  5.4.11   Note 11  Accounts payable  
Table 48 Payables  
Expressed in '000 CHF  30/12/2016  31/12/2015  
 Suppliers   2,399   5,892  
WTO staff, consultants and interns   351   649  
 Other payables   4   13  
Total payables   2,754   6,554  
 Accruals   5,099   2,771  
 Grand Total   7,853   9,325  
 
5.68.   Payables to suppliers and staff at year -end reflect amounts commi tted in 2016  for which 
settlement has been effected in 2016 . 
5.69.   Accruals represent the amount of goods received and services delivered during the period 
for which the invoices were not received at the reporting date.  The variance between 2015 and 
2016 is main ly due to a provision for dependency allowances and provisions for legal damages.  
5.4.12   Note 12  Assessed contributions paid in advance  
5.70.   Contributions  paid in advance by Members a nd Observers at 31  December  2015 consist of 
advance payments received and interest ea rned and due to Members.  
Table 49 Contributions paid in Advance by Members and Observers  
Expressed in '000 CHF  31/12/2016  31/12/2015  Reference  
Contributions paid in advance by Members and Observers  16,783  16,233  Schedule  
B and  C 
Interest earned through the Early Payment Encouragement 
Scheme  - 77  
Total contributions paid in advance by Members and 
Observers  16,783  16,310   
 
5.71.   The General Council implemented a system to encourage early payment of contributions . 
The annual interes t earned on the current year's contributions is refunded to Members on the basis 
of calculations that take into account the amount  and date of payment . The interest earned by a 
Member in a given year is deducted from the Member's contribution due two years  later. The 
interest earned by members in 2014 was  CHF 76,927 . In 2015 and 2016 , due to the establishment 
of negative interest rate by the Swiss National Bank, members gained no interests . On a contrary, 
negative interest  was covered by the WTO regular bud get and not charged to the members.  
5.4.13   Note 13 Voluntary contributions refundable to donors  
Table 50 Voluntary contributions refundable to donors (including advances)  
Expressed in '000 CHF  2016  2015  
Balance due to donors as of 1st  January  35,670  32,625  
Contributions paid in advance for the year's  activities  -1,387  -24 
Voluntar y contributions received for the current year  19,112  22,324  
Reimbursement during the year  - -125 
Contributions paid in advance for the following year's activ ities 1,112  1,387  
Receivables  -219 - 
Expenses incurred on Trust funds (note 20)  -19,786  -20,517  
Balance due to donors as of 31st  December + Contributions paid in advance 
for next year (Financial Position)  34,502  35,670  
Contributions paid in advance fo r the following year's activities  -1,112  -1,387  
Receivables  219 - 
Net Balance due to donors  (Schedule E)  33,609  34,283  
 
5.72.   In accordance with IPSAS 23, contributions from donors subject to condition s (i.e. use of 
funds exclusively for specific activities w ithin a project) have been classified under deferred WT/BFA/W/419  
- 59 - 
  revenue . Revenue is recognised up to the amount expensed in the period, corresponding to the 
completion of the specified performance.  
5.73.   In accordance with IPSAS , expenses are no longer recognised based  on commitments but  
rather  on accruals . Voluntary contributions refundable to donors include commitments made to 
third parties regarding trust fund activities.  
5.4.14   Note 14 Employee benefits  
Table 51 Employee Benefits  
Expressed in '000 CHF  31/12/2016  31/12/2015  
Short term benefits  Dependency allowance  50 50 
 Untaken annual leave  8,725  9,150  
 Education grant  1,268  1,395  
 Home leave  968 1,011  
 Separation grant  298 199 
 Provision for Bonus  839 839 
Subtotal   12,148  12,644  
Long-term b enefits  Removal indemnity  946 1,198  
 Separation grant  6,762  8,063  
 Post-employment benefits  ASHI  110,932  245,531  
 Pension  982,040  855,635  
Total   1,112,828  1,123,071  
 
5.74.   Employee benefits liabilities are determined by professional actuaries or calculat ed by the 
WTO based on personnel data and past payment experience.  
5.75.   Short -term employee benefits include dependency allowance s, untaken annual leave, 
education grant and home leave:  
a. The provision for dependency allowance s is established to cover financial s upport for the 
eligible dependants of staff . The dependency allowance s provision is determined in order 
to provide sufficient financial coverage to  unexpected  dependency cost s adjustments 
between the end of one financial year and the beginning of the follo wing one.  
b. The provision for untaken annual leave corresponds to the total leave balance due to 
regular and temporary staff at the end of the year . The maximum allowable accumulated 
annual leave is 60 days, which corresponds to a two -year entitlement that t he 
employees can carry forward . For prudence the provision  takes into account 90 days (60 
+30 days) as  employees , who carried forward 60 days on the 30st of April of a given 
year, are entitled on the 1st of May also to additional 30 days . Annual leave is a ccounted 
for using the FIFO method.  
c. The provision for education grant is established to cover the expenditure associated with 
the first four out of ten months of the school year corresponding to the closing period 
2016 (from September to December) that wil l only be settled at the end of the school 
year in the following S ummer.  
d. The provision for home leave is established to cover the amount due to eligible staf f 
members in a given year for their home leave . Staff members entitled to home leave 
may return to their home country every two years . The rules to calculate the home leave 
estimation for all the permanent international staff are:  
i. the date of the last Home Leave (HL) is considered as the year during which the 
home leave was taken.  
ii.  A staff member who ha s not taken HL for 2 years, i.e. since 2014, is entitled to 
100% rights.  WT/BFA/W/419  
- 60 - 
  iii. A staff member who has taken home leave in 2015 is entitled to half of the right at 
the end of 2016.  
iv.  A staff member who has taken home leave in 2016 has no entitlement at the end of 
2016.  
v.  The amount of the last home leave paid is the estimation for the cost of the home 
leave . However, an average home leave amount CHF 7,981.72 has been calculated 
for the people who assumed duty in 2015 or 2016 . No provision  has been made  for 
staff tha t entered before 2014 and never asked for home leave.  
5.76.   At the end of their employment contract, eligible staff members receive separation grant 
and international staff going back to their home countries are entitled to removal indemnity . The 
estimated amoun ts of the provision for separation and removal benefits is based on the following 
assumptions:  
a. An average unit cost of the removal/indemnity for the international staff  members , of 
CHF 11,843.82 . This average unit cost is based on data from  the past six ye ars.5 
b. 57.19 % of international staff has been returning to their home country (over the past 
fifteen years).  
c. A retirement age of 65 years . The retirement age has been modified from 62 to 65 years 
in 2015 in view of expected life expectancy . No changes in 20 16. 
d. The amount of the median salary and its estimated inflation growth are based on the 
weighted average median salary, which is calculated considering the number  of 
employees with different pay scales . There is no increment for the employees who are in 
the maximum grade . The estimated adjustment for the median salary comprises of the 
increment rate . Other assumptions such as the discount rate, working time and inflation 
rates are the same as the ones used for the actuarial valuation for pension and ASHI.  
5.77.   The rules to calculate the long term separation indemnity are:  
a. Local staff with more than 10 years of service (date of fixed term) without depend ents 
are entitled to one month of median salary, which in turns depends on the pay scale.  
b. Local staff with more than 10 years of service (date of fixed term) with depend ents are 
entitled to two months of the median salary, which in turns depends on the pay scale.  
c. International staff with more than 10 years of service, are entitled to two months of the 
median salary,  which in turn depends on the pay scale.  
d. International staff with less than 10 years of service, are not entitled to receive long 
term separation indemnity if they remain in Geneva after separating from the WTO.  
e. International staff returning to their home country with no depend ents are entitled to 
two months of the median salary, which in turn depends on the pay scale, regardless of 
time of service.  
f. International staff returning to their home country with depend ents are entitled to four 
months of median sal ary, which in turns depends on the pay scale, regardless of time of 
service . In this case separation indemnity is paid in two parts : 50% at the moment of 
separation and the other 50 % after the proof of relocation is provided.  
g. The total provision for separa tion indemnity amounted to 6,762  kCHF in 2016, which 
represented a decrease of 1,301  kCHF compared to the previous year . This is due to the 
fact that in 2016 a lower  discount rate of 2.25 %, which is provided by "Chambre Suisse  
des Experts en Caisses de P ensions", was applied.  
                                                
5 OFFICE (15)/76: In September  2015, the WTO policy on removal of personal effects and household 
goods adopted the option of choosing a lump -sum payment for removal costs. This policy is under  a trial period 
for evaluation and collection of data, during which staff members will have the choice between the lump sum 
or to request the WTO to organize the removal upon separation as in the previous years. Due to it being newly 
implemented , the effect of this change of policy is not yet reflected in the calculations of the removal cost.  WT/BFA/W/419  
- 61 - 
  Table 52 Actuarial Assumptions to define benefit obligations  
Actuarial Assumptions  Pension  ASHI  
Discount rate  2.25% 2.25% 
Medical inflation rate  - 3.10% 
Inflation   0.6%  - 
Rate of salary increase  0.6% for 7 y ears and 1.1% 
thereafter plus merit increase  - 
Rate of compensation increase  0.60% - 
Rate of pension increase  0.60% - 
 
Table 53 Actuarial Assumptions  to define benefit costs  
Actuarial Assumptions  Pension  ASHI  
Discount rate  2.75% 2.75% 
Medical inflation rate  - 3.10% 
Inflation  0.60% - 
Rate of salary increase  0.6% for 8 years and 1.1% 
thereafter plus merit increase  - 
Rate of compensation increase  0.60% - 
Rate of pension increase  0.60% - 
Expected long -term rate on return of pla n assets  2.75% - 
 
5.78.   The actuarial assumptions  shown in table 52  are used to calculate the liability for WTOPP 
and ASHI at the year end and are showing the current year market rates.  
5.79.   The actuarial assumptions shown in table 53 are instead used to calculate the service cost ,  
which refers to the present value of the projected retirement benefits earned by plan participants 
in the current period . The service cost is calculate d at the beginning of the year, using therefore 
previous year end market rates . 
Table 54 Financial Assets – Pension  
Expressed in '000 CHF  31/12/2016  31/12/2015  
Fair value of plan assets at beginning of year  496,266  487,631  
Expected return on plan assets  13,310  19,658  
Actuarial (loss)/gain on plan assets net of actual investment expenses  20,152  -20,246  
Employer contributions  19,110   19,338  
Employer receivable contributions  2,016   2,279  
Plan participants' contributions  9,555   9,703  
Benefits paid from the plan  -23,454  -19,737  
Expenses paid  -373 -388  
Premium paid 1  -1,053  -1,065  
Foreign currency exchange rate changes  - -907  
Fair value of plan assets at end of year  535,529   496,266  
1 Insurance of the Pension Plan against disabilities  WT/BFA/W/419  
- 62 - 
  Table 55 Defined benefit obligation - Pension 
Expressed in '000 CHF  31/12/2016  31/12/2015  
Benefit obligation at beginning of year   855,635   1,209,593  
Service cost  27,385   26,355  
Interest cost  23,936   13,293  
Plan participants' contributions  9,555   9,703  
Actuarial (gain)/loss  90,409   -382,507 
Expenses paid  -373 - 
Benefits paid  -23,454  -19,737  
Premium paid1  -1,053  -1,065  
Benefit obligation at end of year  982,040   855,635  
1 Insurance of the Pension Plan against disabilities  
 
Table 56 History of defined benefit obligations and experience gains and losses – 
Pension  
Expressed in '000 CHF  31/12/2016  31/12/2015  
Defined benefit obligation  982,040   855,635  
Fair value of plan assets  535,529   496,266  
(Surplus ) / Deficit  446,511   359,369  
Total actuarial gain/(losse s)  
(refer to tables 54 and 55 above  -70,257  362,261  
 
Table 57 Defined benefit obligation - ASHI  
Expressed in '000 CHF  31/12/ 2016 31/12/ 2015 
Benefit obligation at beginning of year   245,531   342,853  
Service cost  8,844   14,516  
Interest cost  6,959   3,906  
Actuarial (gain)/loss  -147,776  -112,077  
Benefits paid  -2,626  -3,667  
Benefit obligation at end of year  110,932   245,531  
 
Table 58 History of defined benefit obligations and experience gains and loss es - ASHI  
Expressed in '000 CHF  31/12/ 2016 31/12/ 2015 
Defined benefit obligation  110,932  245,531  
Fair value of plan assets  - - 
(Surplus ) / Deficit  110,932  245,531  
Total actuarial gain/(losses)  
(refer to table 57)  147,776  112,077  
5.80.   Pension and ASHI benefits are calculated by consulting actuaries . The WTO pension liability 
amounts to kCHF 982,040 . This liability is counterbalanced by the corresponding pension's net fair 
value asset of kCHF 535,529 . 
5.81.   As a result  the overall 201 6 pension net liability is  kCHF 446,511 showing an increase  of 
kCHF 87,142 from the previous year.  
5.82.   The 2016  liability for ASHI is kCHF 110,932 and d ecreased  by kCHF 134,599  compared to 
the previous year.  
5.83.   The pension liability increase is  due mainly to the decrease  of the actuarial rate from 2.75% 
in 2015  to 2.25% in 2016 . WT/BFA/W/419  
- 63 - 
  5.84.   The ASHI liability decrease is due to a different approach by the actuary with r egard the age 
factor assumption that affected both medical inflation and the contributions to the plan.  The 
results will be compared w ith actual experience of the plan as part of the full valuation schedule 
for next year.  
5.85.   The discount rate  is based  on the rate by the Swiss Chamber of Pension Fund Experts 
(CSEP) . The rate is therefore less volatile than the one used previously as it is co mposed by the 
following:  
a. two thirds according to the average performance of a representative pension fu nd index 
over the last 20 years.  
b. One third according to the yield on ten -year Federal bonds less a margin of 0.5 %; and  
c. The result is finally  rounded down  to the nearest 0.25% and would never be below the 
return of 10 -year G overnment bonds.  
5.86.   Actuarial gain or loss may result from increases or decreases in either the present value of a 
defined benefit obligation or the fair value of any related plan assets . Defining a discount rate with 
a reduced volatility across the years allows a better decision making process and facilitate s the 
identification of trends in benefits liabilities.  
5.87.   In addition to the discount rate variations other c auses of actuarial gains a nd losses include:  
a. Unexpectedly high or low rates of employee turnover, early retirement or mortality, 
increases in salaries, benefits (if the formal or constructive terms of a plan provide for 
inflationary benef it increases), or medical costs;  
b. The effect of  changes in estimates of future employee turnover, early retirement, or 
mortality, or of increases in salaries, benefits (if the formal or constructive terms of a 
plan provide for inflationary benefit increases), or medical costs ; and 
c. Differences between t he actual return on plan assets and the expected return on plan 
assets . 
5.88.   The methodology for determining the  discount rate  can cause  strong variatio n in terms of 
Pension and ASHI cost, liabilities and actuarial gain or loss . Even m inimal variation from one year 
to another has a significant impact on both  the financial position and financial performance of the 
WTO.  
5.4.15   Note 15 Loan  and Grant  
5.89.   The Organization received a CHF 60  million interest -free loan  from the Swiss Authorities for 
the building project (CHF 20  million for the transformation  of the South and North courtyards and 
CHF 40  million for the new administrative building).The duration of the loan is 50 years.  
5.4.16   Note 16 Working Capital fund  
5.90.   Governments  acceding to the WTO are obligated to  make an advance to t he Working Capital 
Fund (WCF) in accordance with the scale of contributions applicable to the budget for the year of 
their accession . The minimum advance to the Working Capital Fund amounts to 0.5 % of the 
principal of the Fund for countries or separate cus toms territories whose share of the total trade of 
Members is  0.5% or less . The interest earned on the advances made by Members accrues to the 
Organization . Liberia and Afghanistan acceded to the WTO in July 2016 as the 163rd and 164th 
Member s of WTO , resp ectively . WT/BFA/W/419  
- 64 - 
  Table 59 Working Capital Fund Statement  
Expressed in '000 CHF  31/12/2016  31/12/2015  
ASSETS    Cash and cash equivalents  10,723  10,710  
Receivables from Members  163  68  
Total A ssets  10,886  10,778  
   LIABILITIES AND C APITAL FUND    Advances made by Members  6,161  6,161  
Interests earned  4,725  4,617  
   Total Liabilities and Capital F und 10,886  10,778  
 
5.4.17   Note 17 Reserves  
Table 60 Reserves  
Expressed in 
'000 CHF   Ministerial 
Operating 
Fund   Doha D evelopment 
Agenda Global Trust 
Fund   Appellate 
Body 
Operating 
Fund   Building 
Renovation 
Fund    Total  
 Opening Balance 
as at 31/12/2015   -  1,000  1,309  5,840  8,149  
Replenishment of 
reserves  600  -  2,000  3,100  5,700  
Utilisation of 
reserves  -68  -  -1,601  - -1,669  
Balance as at  
31/12/2016  532  1,000  1,708  8,940  12,180  
 
5.91.   The WTO Reserve Funds amount to KCHF 12,180 : 
a. The Ministerial Operating Fund, was replenished with  the annual allocation of CHF 
600,000. kCHF 68 was  used to cover some p reparation costs for the 11th Ministerial 
Conference in Buenos Aires . 
b. The A ppellate Body O perating F und was replenished with an allocation of CHF 2  Million . 
Due to the increasing activity related to legal appeals, the Fund covered expenses 
approximating CHF 1.6 Million in 2016 . 
c. The Building Renovation Fund  was established in 2015 and was finance d in 2016 with an 
allocation of CHF 3. 1 million. N o expenditures had to be covered by this fund in the 
current year . The overall value of the fund is CHF8.9 Million.  
d. The Doha Development Agenda Global Trust fund was established in 2001 and the 
amount of CHF 1  million  allocated together with its establishment and beginning of 
operation was never used.  
5.4.18   Note 18 Revenue  
5.92.   Revenue from non -exchange transactions include s revenue from assessed contributions 
from Members and Observers and voluntary contributions.  
a. Assessed Contributions amount to kCHF 195, 575 and are presented in the budget 
performance section of the report and in detail in Annex A of the Financial Statements.  
b. Contribution of observers  show a decrease compared to the previous year as Liberia and 
Afghanistan  became the 163rd and 164th Member s of the WTO  during 2016 . 
c. Voluntary Contributions from Trust Funds are presented in detail in Annex E of the 
financial stateme nts. 
5.93.   Detail ed data concerning revenue from assessed contributions and their budgetary 
implementation are reported in the first chapter of the Financial Performance Report.  WT/BFA/W/419  
- 65 - 
  5.94.   The financial statements indi cate, in a separate line , revenue  deriving from consoli dation 
with the WTO pension plan amount ing to  kCHF 9,556. 
5.95.   Revenue from exchange transactions is included in the line "Revenue from publications" and 
"Other revenue".  
5.96.   Income from publications including  sales through the WTO bookshop and the WTO 
distributor as well as royalties , is summarized in the table below : 
Table 61 Revenues from publications  
Expressed in '000 CHF  31/12/2016  31/12/2015  
Publication s stocked p roduction  309  383  
Sales of WTO publications  177  155  
Sales of non-WTO publications  81  66  
Sales of s ouvenirs  32  32  
Other sales o f publications  15  49  
Total  614  685  
 
5.97.   Other r evenue  is summarized in the table below:  
Table 62 Other Revenue  
Expressed in '000 CHF  31/12/2016  31/12/2015  
Refund of  prior year's outstanding obligations  843  1,421  
Rental of meeting rooms and office spaces  127  108  
Miscellaneous  165  84  
Total Other Revenue  1,135  1,613  
 
5.98.   The refund of prior year obligation s include s earnings from CIGNA, the WTO healthcare 
provid er. 
5.99.   Rental of meeting rooms and office space include s revenues generated by the outsourcing of 
WTO meeting facilities to other entities.  
5.100.   Miscellaneous revenue include s the income portion of the grant received from FIPOI to 
repair the terrazzo in the Centre  William Rappard.  
5.4.19   Note 19 Expenses  
5.101.   The main category of expenses are summarized as follows:  
a. Staff expenditures include costs such as salaries, annual leave, pension, health insurance 
among others.  
b. Pension Actuarial Cost  increased  compared to last year  due to the effect of the interest 
costs. WT/BFA/W/419  
- 66 - 
  Table 63 Staff Expenditures including Trust Funds  
Line 2016  2015  Difference  
Staff / Salary  86,928  88,602  -1,674  
Staff / Annual leave  673 701 -28 
Variation Provision for Annual Leave  -426 -17 -409 
Staff / Overtime  103 154 -51 
Staff / Representation Allowance  176 176 0 
Staff / Pension  20,600  21,144  -544 
Staff / Retiree Health Insurance  2,626  2,445  181 
Staff / Health Insurance  5,272  4,913  359 
Death and Invalidity Insurance  548 534 14 
Staff/ Allowances for Dependencies  7,258  5,343  1,915  
Staff / Education Grant  4,210  4,179  31 
Variation Provision for Education Grant  -127 6 -133 
Staff / Home Leave  1,554  1,539  15 
Variation Provision for Home Leave  -44 112 -155 
Staff / Rental Subsidy  429 343 85 
Staff / Travel and Removal  621 463 158 
Variation Provision Travel & Removal  -253 -492 239 
Staff / Installation Grant & Medical Examinations  141 353 -212 
Staff / Separation Grant  1,256  1,007  249 
Variation Separation Grant  -1,300  -841 -459 
Staff / Negotiated Termination Indemnity  3,027  3,397  -370 
Staff / US Taxes  205 607 -402 
Subtotal  133,477  134,668  -1,191  
Staff / Pension Actuarial Cost  26,441  18,846  7,595  
Staff / Retiree Health Insurance Actuarial Cost  13,177  14,755  -1,578  
Grand Total  173,095  168,269  4,826  
 
c. Temporary A ssistance expenditures refer to costs related to external translation 
activities, and recruitment of consultants or staff with a short term contract . Costs for 
panellists  and appellate body member fees also fall in this category . The expenditure for  
Temporary Assistance i ncreased compared to  the previous year . 
Table 64 Temporary Assistance  including Trust Funds  
Expressed in '000  2016  2015  Difference  
Short -Term Staff / Salary  5,583  4,957  626 
Short -Term St aff / Pension  627 541 86 
Short -Term Staff / Health Insurance  244 208 36 
Short -Term Staff / Annual Leave  278 262 16 
Short -Term Staff / Overtime  12 14 -2 
Language and Translation costs  6,790  6,928  -138 
Consulting costs  4,390  2,928  1462 
Panelists & Appe llate Body Members Fees  2,562  2,441  121 
Interns  2,492  2,381  111 
Consolidation with Trust Funds  -36 -38 2 
Total  22,942  20,622  2,320  
5.102.   Other categories of expenditures reported in the financial performance statements are the 
following:  
a. Supplies and other g eneral service expenditures include general administration costs 
such as the cost of utilities , maintenance costs, and  publication costs . In addition  costs 
for the purchas e of supplies and small equipment and a write -off for obsolete 
publications are part of this category . WT/BFA/W/419  
- 67 - 
  b. Travel & Hospitality expenditure  represent s the costs relate d to travel on official mission; 
accommodation;  tickets for  staff;  panellists  and participants at trade related technical 
activities among others . Hospitality expenses are relate d to costs incurred by S enior 
Management for receptions; providing refreshments during official meeting s. A decrease 
of more than CHF 1  million  is to be noted compared to year 2015.  
c. Implementing partners' expenditures amount for 201 6 to CHF 4,5  million  and represent 
costs for activities  funded by WTO but executed by  third-party organization s. The costs 
for these act ivities remained stable compared to the previous year . 
d. Contribution to ITC includes the funds granted to ITC for its core activities . The 
Intern ational Trade Centre (ITC) regular budget is funded by WTO and UNCTAD in equal 
proportions (50 %). The budget of the ITC is set on a bi -annual basis as well as the WTO, 
therefore the funding engagements are foreseen for a total period of two years and can 
be reviewed during the ad interi m budget exercise:  
i. However, the ITC invoices the WTO based on a yearly contribution and submits a 
request for payment on a monthly basis whose total matches with the yearly 
contribution invoiced . Based on the budget agreement  for the biennium 2016 -2017 
the overall budget engagement of the WTO towards the ITC is about CHF 
37,5 million , but the ITC invoiced WTO for CHF 18,7 5 million  which corresponds to 
50% of the overall biennium contribution.  
e. The Ministerial  Conference of Oper ating Fund was used in 2016 to cover expenditures of 
68 kCHF related to the preparation of future Ministe rial conference in Buenos Aires, the 
net contribution of charged for 2016 is therefore 532 kCHF.  
f. As expenditures for CHF 1.6  million  for Appellate Body  legal activities  were covered by 
the dedicated fund, the contribution increase (net value) to the Appellate Body operating 
fund for 2016 is CHF 0.4  million . 
g. Depreciation include s the depreciation costs for the assets . Depreciation for the right of 
use CWR  refers to the amortisation of the liability related to the CWR following the 
concession of a right of use of CWR premises from the Geneva Local Authorities.  
h. Finance and foreign exchange costs refer mainly to interest paid to banks and expenses 
due to exch ange rate transactions among different currencies.  
5.4.20   Note 20 Segment reporting  
5.103.   Segment information is based on the two main sources of financing of the Organization . 
These segments are : i) the regular budget of the WTO, and ii) Trust Funds . Segment reporting  will 
only be presented for the Statement of Financial Performance.  
5.104.   The only in tra-fund transaction that occurred relate s to the reallocation of part of the 
expenses of the EPSF (Programme Support Fund)  to the regular budget . 
5.105.   Of the expenses in the EPSF , 10% is statutorily credited back to the WTO regular budget 
as a contribution in recognition of the fact that the Organization's resources are being used for the 
delivery of the technical assistance activities financed from the extra budgetary funds 
(corresp onding to the amount of KCHF 181). The counterpart of this amount is redistributed as 
follows:  
a. 80% of this contribution is allocated to the Supplies and other general services costs 
(corresponding to the amount of kCHF 145). 
b. 20% of this contribution is all ocated to Temporary A ssistance (corresponding to the 
amount of kCHF 36). WT/BFA/W/419  
- 68 - 
  Table 65 Financial Performance by segments  
 2016  
Expressed in '000 CHF  WTO 
Budget  Trust 
Funds  Inter -Fund 
Transactions  TOTAL 
WTO  
REVENUE      
Contribut ions assessed on Members  195,538  -   -  195,538  
Contributions assessed on  Observers  594 -   -  594 
Voluntary contributions on trust funds  -  19,786   -  19,786  
Revenue from publications  614  -   -  614 
Other revenue  1,316   -  -181 1,135  
WTOPP return on  plan's assets  9,556   -  - 9,556  
     
Total revenue  207,618  19,786  -181 227,223  
     
EXPENSES      
Staff Expenditure  -126,419  -7,058   -  -133,477  
Temporary Assistance  -20,166  -2,812  36 -22,942  
Supplies, write off and other general 
services costs  -15,146 -470 145 -15,471  
Travel & Hospitality  -7,512  -5,124   -  -12,636  
Implementing Partners  -310 -4,262   -  -4,572  
Contribution to ITC  -18,775   -   -  -18,775  
Ministerial Conference Operating Fund  -532  -   -  -532 
Appellate Body Operation Fund  -399  -   -  -399 
Depreciation  -5,653    -  -5,653  
Provision for contributions in arrears  -1,373   -   -  -1,373  
Depreciation of provision for right of use 
- CWR 606  -   -  606 
Finance costs  -134 -40  -  -174 
Loss/(Gain) on foreign exchange 
transactions  -429 -20  -  -449 
Actuarial Cost for ASHI  -13,177   -   -  -13,177  
Actuarial Cost for Pension  -26,441   -   -  -26,441  
Total expenses  -235,860  -19,786  181 -255,465  
     
Surplus/(deficit) for the period  -28,242   -   -  -28,242  
 
5.4.21   Note 21 Reconciliation with B udget  
5.106.   The WTO consolidated budget includes the budget for the WTO Secretariat and the budget 
for the Appellate Body and its Secretariat . The WTO financial statements also include the activity 
financed by the Trust Funds . The WTO Consolidated budget is appr oved on a modified cash basis 
(no capitalisation  of assets  and no recognition of long -term employee benefits) whereas the 
financial statements are issued on an accrual basis (IPSAS).  
5.107.   A statement of comparison of the original 201 6 budget and a ctual amounts is presented in 
the first narrative part of this report where material differences are explained . The following table 
reconciles the budgetary savings with the surplus account as required by the Financial Regulations 
and with the financial results as obtai ned from the implementation of IPSAS.  WT/BFA/W/419  
- 69 - 
  Table 66 Reconciliation between budget result and financial result  
Expressed in '000 CHF   
Budgetary saving s 31/12/2016  1,056  
  
Assessed contributions on new Members   38  
Miscellaneous incom e -51  
  
Surplu s 31/12/2016  1,043  
  
Loan reimbursement   1,200  
Sales of Assets   -  
Production stocked   309  
Building renovation Fund Allocation   3,100  
Acquisition of property, plant and equipment   304  
Depreciation and amortisation of property, p lant and equipment  -5,653  
Depreciation of provision for right of use - CWR  606  
Provision for contribution in arrears  -1,373  
Staff Provisions   2,149  
Pension benefits actuarial valuation (net value)  -16,885  
After service health insurance (ASHI) be nefits actuarial valuation  -13,177  
FIPOI contributions   135  
  
Financial resul t 31/12/2016  -28,242  
 
5.108.   The deficit for the year 201 6 amounts to kCHF 28,242 . This is the deficit calculated using 
the same methodology as in prior years and in compliance wit h the WTO Financial Regulation s. 
5.4.22   Note 22 Key management personnel  
5.109.   Key management personnel of the WTO are the Director -General and the four Deputy 
Director -Generals as they have the authority and responsibility for planning, directing and 
controlling the a ctivities of the WTO.  
5.110.   The aggregate remuneration paid to key management personnel includes net salaries, 
entitlements such as education grant, home leave and dependency allowances, employer pension 
and health insurance contributions.  
Table 67 Key management personnel  
Expressed in 
CHF Number 
of Staff  Net salaries and 
representation 
allowances  Other 
Entitlements  Pension and 
health plans  Total 
31/12/201 6 
Key 
management 
personnel  5 1,545,030  30,308  322,067  1,897,405  
 
5.4.23   Note 23 Contingen t assets and contingent liabilities  
5.111.   At the end of 201 6, the Organization held  bank guaranties  of kCHF 2,212 from Implenia 
related to the Building Project , kCHF 865 from HRS related to the Building Project  and kCHF 112 
for the welcome p avilion . 
5.4.24   Note 24 Comm itments  
5.112.   The commitments still open  as at 31st December  2016 are the following : 
a. Regular budget : kCHF 0,230. 
b. Trust Funds : kCHF 5,909 . WT/BFA/W/419  
- 70 - 
  5.4.25   Note 25 Events after the reporting date  
5.113.   No material events  that would have impacted these statements , favourable or 
unfavour able, were incurred between the reporting date and the date when the financial 
statements were authorised for issue.  
5.5  Schedules  
5.5.1   Schedule A 201 6 Statement  of Contributions from Member s 2016  
Table 68 Contributions from Members in 201 6 (in CHF)  
Members  Assessed  
Contributions  Interests 
earned in 2014 
paid in 2016  Net Assessed  
Contributions  
Afghanistan  24,231   - 24,231  
Albania  48,875   30  48,845  
Angola  504,390   198  504,192  
Antigua and Barbuda  29,325   -  29,325  
Argentina  805,4 60   -  805,460  
Armenia  33,235   6  33,229  
Australia  2,772,190   1,627  2,770,563  
Austria  2,046,885   984  2,045,901  
Bahrain, Kingdom of  170,085   98  169,987  
Bangladesh  287,385   128  287,257  
Barbados  29,325   12  29,313  
Belgium  3,884,585   2,155  3,882,430  
Belize  29,325   13  29,312  
Benin  29,325   -  29,325  
Bolivia, Plurinational State of  86,020   14  86,006  
Botswana  64,515   25  64,490  
Brazil  2,568,870   -  2,568,870  
Brunei Darussalam  72,335   30  72,305  
Bulgaria  318,665   209  318,456  
Burkina Faso  29,325   -  29,325  
Burundi  29,325   -  29,325  
Cabo Verde  29,325   -  29,325  
Cambodia  82,110   36  82,074  
Cameroon  70,380   -  70,380  
Canada  5,069,315   3,258  5,066,057  
Central African Republic  29,325   -  29,325  
Chad 48,875   -  48,875  
Chile 791,775   266  791,509  
China (People's Republic)  17,927,350   1,828  17,925,522  
Colombia  561,085   244  560,841  
Congo  89,930   2  89,928  
Costa Rica  132,940   95  132,845  
Côte d'Ivoire  101,660   -  101,660  
Croatia  240,465   17  240,448  
Cuba 148,580   29  148,551  
Cyprus  107,525   67  107,458  
Czech Republic  1,407,600   797  1,406,803  
Democratic Republic of the Congo  93,840   -  93,840  
Denmark  1,567,910   840  1,567,070  
Djibouti  29,325   -  29,325  
Dominica  29,325   -  29,325  
Dominican Republic  156,400   -  156,400  
Ecuador  234,600   7  234,593  WT/BFA/W/419  
- 71 - 
  Members  Assessed  
Contributions  Interests 
earned in 2014 
paid in 2016  Net Assessed  
Contributions  
Egypt  541,535   347  541,188  
El Salvador  76,245   -  76,245  
Estonia  175,950   116  175,834  
European Union   -   -   -  
Fiji 29,325   12  29,313  
Finland  983,365   555  982,810  
France  7,606,905   4,469  7,602,436  
Gabon  64,515   -  64,515  
The Gambia  29,325   -  29,325  
Georgia  62,560   33  62,527  
Germany  14,805,215  10,445  14,794,770  
Ghana  148,580   67  148,513  
Greece  692,070   179  691,891  
Grenada 29,325   -  29,325  
Guatemala  138,805   49  138,756  
Guinea  29,325   -  29,325  
Guinea -Bissau  29,325   -  29,325  
Guyana  29,325   18  29,307  
Haiti 29,325   16  29,309  
Honduras  78,200   37  78,163  
Hong Kong, China  5,126,010   3,072  5,122,938  
Hungary  1,067,430   696  1,066,734  
Iceland  60,605   33  60,572  
India 4,371,380   1,578  4,369,802  
Indonesia  1,788,825   853  1,787,972  
Ireland  1,955,000   1,271  1,953,729  
Israel  832,830   314  832,516  
Italy 5,677,320   2,958  5,674,362  
Jamaica 56,695   -  56,695  
Japan  8,476,880   3,266  8,473,614  
Jordan  164,220   79  164,141  
Kazakhstan  631,465   -  631,465  
Kenya  111,435   20  111,415  
Korea, Republic of  5,890,415   981  5,889,434  
Kuwait, the State of  682,295   -  682,295  
Kyrgyz  Republic  37,145   7  37,138  
Lao People's Democratic Republic  29,325   16  29,309  
Latvia  152,490   97  152,393  
Lesotho  29,325   -  29,325  
Liberia  13,739   13,739  
Liechtenstein  60,605   30  60,575  
Lithuania  301,070   10  301,060  
Luxembourg  789,820   292  789,528  
Macao, China  277,610   106  277,504  
Madagascar  31,280   7  31,273  
Malawi  29,325   -  29,325  
Malaysia   2,191,555   1,350   2,190,205  
Maldives  29,325   7  29,318  
Mali 31,280   12  31,268  
Malta   103,615   49   103,566  
Mauri tania 29,325   -  29,325  
Mauritius  60,605   36  60,569  
Mexico   3,436,890   1,447   3,435,443  
Moldova, Republic of  37,145   22  37,123  WT/BFA/W/419  
- 72 - 
  Members  Assessed  
Contributions  Interests 
earned in 2014 
paid in 2016  Net Assessed  
Contributions  
Mongolia  50,830   -  50,830  
Montenegro  29,325   19  29,306  
Morocco   355,810   200   355,610  
Mozambique  58,65 0   19  58,631  
Myanmar  82,110   33  82,077  
Namibia  56,695   26  56,669  
Nepal  39,100   23  39,077  
Netherlands   5,671,455   2,748   5,668,707  
New Zealand   443,785   279   443,506  
Nicaragua  48,875   25  48,850  
Niger  29,325   -  29,325  
Nigeria   752,675   -   752,675  
Norway   1,569,865   779   1,569,086  
Oman   377,315   93   377,222  
Pakistan   344,080   163   343,917  
Panama   236,555   82   236,473  
Papua New Guinea  54,740   29  54,711  
Paraguay   111,435   -   111,435  
Peru  412,505   71   412,434  
Philippines   652,970   381   652,589  
Poland   2,103,580   1,377   2,102,203  
Portugal   823,055   235   822,820  
Qatar   735,080   205   734,875  
Romania   660,790   315   660,475  
Russian Federation   4,379,200   2,359   4,376,841  
Rwanda  29,325   -  29,325  
Saint Kitts and Nevis  29,325   14  29,311  
Saint Lucia  29,325   10  29,315  
Saint Vincent and the Grenadines  29,325   -  29,325  
Samoa  29,325   -  29,325  
Saudi Arabia, Kingdom of   2,449,615   676   2,448,939  
Senegal  44,965   17  44,948  
Seychelles  29,325   -  29,325  
Sierra Leone  29,325   -  29,325  
Singapore  4,703,730   2,910  4,700,820  
Slovak Republic  778,090   478  777,612  
Slovenia  318,665   223  318,442  
Solomon Islands  29,325   15  29,310  
South Africa  1,069,385   585  1,068,800  
Spain  4,078,130   1,507  4,076,623  
Sri Lanka  52,490   56   152,434  
Suriname  29,325   -  29,325  
Swaziland  29,325   6  29,319  
Sweden  2,183,735   1,357  2,182,378  
Switzerland  3,460,350   1,746   3,458,604  
Chinese Taipei  2,991,150   1,696  2,989,454  
Tajikistan  29,325   11  29,314  
Tanzania  89,930   -  89,930  
Thailand  2,359,685   1,425  2,358,260  
The former Yugoslav Republic of Macedonia  52,785   -  52,785  
Togo 29,325   -  29,325  
Tonga  29,325   15  29,310  
Trinidad and Tobago  121,210   37  121,173  
Tunisia  226,780   27  226,753  WT/BFA/W/419  
- 73 - 
  Members  Assessed  
Contributions  Interests 
earned in 2014 
paid in 2016  Net Assessed  
Contributions  
Turkey  1,968,685   999  1,967,686  
Uganda  54,740   1  54,739  
Ukraine  782,000   260  781,740  
United Arab Emirates  2,699,855   163  2,699,692  
United Kingdom  7,446,595   4,635  7,441,960  
United  States of America  21,974,200   224  21,973,976  
Uruguay  117,300   24  117,276  
Vanuatu  29,325   -  29,325  
Venezuela, Bolivarian Republic of  711,620   -  711,620  
Viet Nam  1,024,420   382  1,024,038  
Yemen  101,660   -  101,660  
Zambia  78,200   -  78,200  
Zimbabwe  50,830   -  50,830  
TOTAL  195,537,970  76,927   195,461,043  
 
Table 69 Contributions from Observers in 201 6 – (in CHF)  
Observers  2016 Contribution  
Afghanistan1  16,792  
Algeria   29,325  
Andorra   29,325  
Azerbai jan  29,325  
Bahamas   29,325  
Belarus   29,325  
Bhutan   29,325  
Bosnia and Herzegovina   29,325  
Comoros   29,325  
Equatorial Guinea   29,325  
Ethiopia   29,325  
Holy See   29,325  
Iran  29,325  
Iraq  29,325  
Lebanese Republic   29,325  
Liberia1  15,586  
Libya  29,325  
Sao Tome and Principe3  -  
Serbia   29,325  
Somalia2  2,009  
Sudan   29,325  
Syrian Arab Republic   29,325  
Timor -Leste2  2,009  
Uzbekistan   29,325  
TOTAL   593,571  
1 Observer s that became Member in 2016 Contributions as Members o n a pro -rata basis from  the 
corresponding date of accession.  
2 Pro-rated contribution . 
3 Annual contribution suspended for Inactive Observer (Cat egory III of Administrative Measures ). 
 WT/BFA/W/419  
- 74 - 
  5.5.2   Schedule B  Statement of Outstanding C ontributions as  at 31 December  2016 – 
Members  
Table 70 Outstanding c ontributions as at 31 December  2016  – Member s – (in CHF)  
Members Contributions  Cat3 1974  
-2014  2015  2016  TOTAL  Advance  
Afghanistan   -  -  24,231  24,231  -  
Albania   -  -  -  -  -  
Angola   -  -  455,058  455,058  -  
Antigua and Barbuda   -   233   29,325   29,558  -  
Argentina   -  -  -  -  -  
Armenia   -  -  -  -  -  
Australia   -  -  -  -  -  
Austria   -  -  -  -  1,978,460  
Bahrain, Kingdom of   -  -  -  -  -  
Bangladesh   -  -  -  -  -  
Barbados  -  -  -  -  -  
Belgium   -  -  -  -  -  
Belize   -  -  -  -  -  
Benin   -   28,162   29,325   57,487  -  
Bolivia, Plurinational State of   -  -   86,006   86,006  -  
Botswana   -  -  -  -  -  
Brazil   -  -  -  -  -  
Brunei Darussalam   -  -  -  -  -  
Bulgaria   -  -  -  -  -  
Burkina Faso   -  -   21,697   21,697  -  
Burundi (2)   492,164   29,325   29,325   550,814  -  
Cabo Verde   -  -   29,050   29,050  -  
Cambodia   -  -   82,074   82,074  -  
Cameroon   I  18,852  72,335  70,380  161,567  -  
Canada  -  -  -  -  5,022,395  
Central African Republic   III  968,427  29,325  29,325  1,027,077  -  
Chad (2)  681,674  44,965  48,875  775,514  -  
Chile  -  -  -  -  -  
China (People's Republic)   -  -  -  -  -  
Colombia   -  -  265,594  265,594  -  
Congo  I  21,854  58,645  89,928  170,427  -  
Costa Rica   -  -  -  -  5,836  
Côte d'Ivoire2  249,902  101,660  101,660  453,222  -  
Croatia   -  -  -  -  -  
Cuba  -  -  -  -  37  
Cyprus   -  -  -  -  -  
Czech Republic   -  -  -  -  -  
Democratic Republic o f the 
Congo   -  -  93,840  93,840  -  
Denmark   -  -  -  -  -  
Djibouti   III  189,318  29,325  29,325  247,968  -  
Dominica   II  29,325  29,325  29,325  87,975  -  
Dominican Republic   I  1,425  142,715  156,400  300,540  -  
Ecuador   -  -  -  -  3  
Egypt  -  -  541,188  541,188  -  
El Salvador   -  8,878  76,245  85,123  -  
Estonia   -  -  -  -  -  
European Union1  -  -  -  -  -  
Fiji  -  -  -  -  -  
Finland   -  -  -  -  -  
France   -  -  -  -  -  WT/BFA/W/419  
- 75 - 
  Members Contributions  Cat3 1974  
-2014  2015  2016  TOTAL  Advance  
Gabon   -  -  7,897  7,897  -  
The Gambia2  171,049  29,325  29,325  229,699  -  
Georgia   -  -  -  -  64,515  
Germany   -  -  -  -  -  
Ghana   -  -  148,513  148,513  -  
Greece   -  -  -  -  -  
Grenada   -  -  29,325  29,325  -  
Guatemala   -  -  -  -  -  
Guinea   -  28,850  29,325  58,175  -  
Guinea -Bissau III   583,314  29,325  29,325  641,964  -  
Guyana   -  -  -  -   20,348  
Haiti  -  -  -  -  -  
Honduras   -  -   4,625   4,625  -  
Hong Kong, China   -  -  -  -  -  
Hungary   -  -  25  25  -  
Iceland   -  -  -  -  -  
India  -  -  -  -  -  
Indonesia   -  -  -  -  -  
Ireland   -  -  -  -   1,955,000  
Israel   -  -  -  -  -  
Italy  -  -  -  -  -  
Jamaica   -  -  -  -   29,724  
Japan   -  -  -  -  -  
Jordan   -  -  -  -  -  
Kazakhstan   -  -  -  -  -  
Kenya   -  -   532   532  -  
Korea, Republic of   -  -  -  -  -  
Kuwait, the State of   -  -  -  -  -  
Kyrgyz Republic   -  -  -  -   7,175  
Lao People's Democratic 
Republic   -  -  -  -   28,368  
Latvia   -  -  -  -  -  
Lesotho   -  -   29,325   29,325  -  
Liberia   -  -   13,739   13,739  -  
Liechtenstein   -  -  -  -  -  
Lithuania   -  -  -  -  -  
Luxembourg   -  -  -  -  -  
Macao, China   -  -  -  -  -  
Madagascar   -  -   2,480   2,480  -  
Malawi   -   18,078   29,325   47,403  -  
Malaysia   -  -  -  -  -  
Maldives   -  -  -  -  -  
Mali  -  -   31,012   31,012  -  
Malta   -  -  -  -   21,500  
Mauritania   III   794,636   29,325   29,325   853,286  -  
Mauritius   -  -  -  -  -  
Mexico   -  -  -  -  -  
Moldova, Republic of   -  -  -  -  -  
Mongolia   -  -   23,148   23,148  -  
Montenegro   -  -  -  -   29,325  
Morocco   -  -  -  -  -  
Mozambique   -  -   58,631   58,631  -  
Myanmar   -  -  -  -   5,262  
Namibia   -  -  -  -  -  
Nepal   -  -  -  -   140  WT/BFA/W/419  
- 76 - 
  Members Contributions  Cat3 1974  
-2014  2015  2016  TOTAL  Advance  
Netherlands   -  -  -  -  -  
New Zealand   -  -  -  -   451,605  
Nicaragua   -  -  -  -  -  
Niger   III   448,600   29,325   29,325   507,250  -  
Nigeria   -  -   146,481   146,481  -  
Norway   -  -  -  -  -  
Oman   -  -  -  -  -  
Pakistan   -  -  97  97  -  
Panama   -  -   14,146   14,146  -  
Papua New Guinea   -  -   54,711   54,711  -  
Paraguay   -   82,222    111,435   193,657  -  
Peru  -  -   61,174   61,174  -  
Philippines   -  -  -  -   13,787  
Poland   -  -  -  -  -  
Portugal   -  -  -  -  -  
Qatar   -  -  -  -  -  
Romania   -  -  -  -  -  
Russian Federation   -  -   566,475   566,475  -  
Rwanda   -  -   29,325   29,325  -  
Saint Kitts and Nevis   -  -   1,027   1,027  -  
Saint Lucia   -  -  -  -  -  
Saint Vincent and the 
Grenadines   -   16,065   29,325   45,390  -  
Samoa   -  -   29,310   29,310  -  
Saudi Arabia, Kingdom of   -  -  -  -  -  
Senegal   -   46,091   44,948   91,039  -  
Seychelles   -  -  -  -  -  
Sierra Leone2   551,546   29,325   29,325   610,196  -  
Singapore   -  -  -  -  4,723,280  
Slovak Republic   -  -  -  -  -  
Slovenia   -  -  -  -  -  
Solomon Islands   -  -   29,310   29,310  -  
South Africa   -  -  -  -  -  
Spain   -  -  -  -  -  
Sri Lanka   -  -  -  -  -  
Suriname   II   29,299   29,312   29,325   87,936  -  
Swaziland   -  -   29,319   29,319  -  
Sweden   -  -  -  -  -  
Switzerland   -  -  -  -  -  
Chinese Taipei   -  -  -  -  -  
Tajikistan   -  -  -  -  -  
Tanzania   -  -  5,415  5,415  -  
Thailand   -  -  -  -  2,367,505  
The former Yugoslav Republic of 
Macedonia   -  -  52,785  52,785  -  
Togo  -  -  20  20  -  
Tonga   -  -  -  -  29,310  
Trinidad and Tobago   -  -  -  -  -  
Tunisia   -  -  180  180  -  
Turkey   -  -  -  -  -  
Uganda   -  37,977  54,739  92,716  -  
Ukraine   -  -  -  -  -  
United Arab Emirates   -  -  -  -  -  
United Kingdom   -  -  -  -  -  
United States of America   -  -  3,296,040  3,296,040  -  WT/BFA/W/419  
- 77 - 
  Members Contributions  Cat3 1974  
-2014  2015  2016  TOTAL  Advance  
Uruguay   -  -  117,276  117,276  -  
Vanuatu   I  17,364  29,325  29,325  76,014  -  
Venezuela, Bolivarian Republic  of  II  814,253  735,039  711,620  2,260,912  -  
Viet Nam   -  -  -  -  -  
Yemen   I  53,653  97,750  101,660  253,063  -  
Zambia   -  1,052  78,200  79,252  -  
Zimbabwe   -  24  50,830  50,854  -  
GRAND TOTAL   6,116,655  1,843,303  8,547,201  16,507,159  16,753,575  
1 European Union  Member States pay contributions on an individual basis i.e. there is no global 
assessment of the EU's contributions.  
2 Member under payment scheme.  
3 There are 13 Members under administrative measures.  
 
5.5.3   Schedule C  Statement of Outstanding Contributions as 31  December  2016 – 
Observers  
Table 71 Outstanding contributions as 31  Dece mber  2016  - Observer s 
Observers Contributions (Swiss Francs)  Category  1974  
2014  2015  2016  TOTAL  Advance  
Afghanistan   -  36  16,792  16,828  -  
Algeria    -   -   -   -  -  
Andorra    -   -   -   -  -  
Azerbaijan    -   -   -   -  -  
Bahamas    -   -   -   -  -  
Belarus    -   -   -   -  -  
Bhutan    -   -   -   -  -  
Bosnia and Herzegovina    -   -   -   -  -  
Comoros    -   -   18,398   18,398  -  
Equatorial Guinea    -   -   -   -  -  
Ethiopia    -   -   -   -  -  
Holy See    -   -   -   -   29,325  
Iran   -   -   689   689  -  
Iraq   -   -   -   -  -  
Lebanese Republic    -   -   29,325   29,325  -  
Libya1 II  55,221   29,325   29,325   113,871  -  
Sao Tomé and Principe1 III  306,529   n/a   n/a   306,529  -  
Serbia    -   -   -   -  -  
Somalia     -   2,009   2,009  -  
Sudan1 I 4,598  29,325  29,325  63,248  -  
Syrian Arab Republic    -   -   -   -  -  
Timor -Leste    -  2,009  2,009  -  
Uzbekistan    -   -  29,325  29,325  -  
TOTAL    366,348  58,686  157,197  582,231  29,325   
1  There are three Observers under Admi nistrative M easures . 
   
  WT/BFA/W/419  
- 78 - 
 5.5.4   Schedule D Voluntary contributions received in 2016  
Table 72 WTO Trust Funds - Voluntar y contributions received in 2016  per donor and by fund  
Funds  
Doha Development 
Agenda Global Trust 
Fund  
Enhanced Integrated  
Framework – Executive 
Secretariat  
French Irish Mission 
Internship Programme  
Trade Facilitation 
Agreement Facility  
Standards and Trade 
Development Facility  
China LDCs and 
Accessions Programme  
Evaluation  of Trust Funds  
Data set on Trade in 
Services by Secto r and 
Mode of Supply  
TOTAL   
 
 
 
 
 
 
Donors  
Austria  109,000    109,500      218,500  
China (People's Republic)       485,000    485000  
Estonia  21,800         21,800  
European Union  1,294,800    217,600  507,771   21,520  107,980  2,149,671  
Finland     175,840      175,840  
France  433,200   649,800   54,350     1,137,350  
Germany  1,083,000     164,250     1,247,250  
Ireland    164,250   164,250     328,500  
Japan  218,634     50,113     268,747  
Korea,  (Republic of ) 347,200         347,200  
Liechtenstein  40,000         40,000  
Netherlands  490,000     875,000     1,365,000  
Norway  1,059,571    1,765,952  470,921   117,730   3,414,174  
Sweden  1,253,700     1,179,040   102,291   2,535,031  
Chinese Taipei      158,705     158,705  
United States of America  529,036     420,975     950,011  
UNOPS   4,269,428        4,269,428  
Total  6,879,941  4,269,428  814,050  2,268,892  4,045,375  485,000  241,541  107,980  19,112,207  
 
   
  WT/BFA/W/419  
- 79 - 
 5.5.5   Schedule E  Balance d ue to donors as 31  December  2016 
Table 73 WTO Trust funds - Balance due to donors as 31  December  2016 
Funds  
 
 
 
 
 
 
 
 
 
Donors  
Doha Development 
Agenda Global Trust 
Fund  
Enhanced Integrated 
Framework – Executive 
Secretariat  
French -Irish Mission 
Internship Programme  
Independen t Entities  
Program Support Fund  
Evaluation of Trust 
Funds  
Netherlands Trainee 
Program  
Trade Facilitation 
Agreement Facility  
 Standards and Trade 
Development Facility  
China LDCs and 
Accessions Programme  
Data set on Trade in 
Services by Sector and 
Mode of Su pply 
10th Ministerial 
Conference  
Total  
Australia  1,952,472  -        52,755    203,873  25,488      13,405  2,247,993  
Austria  336,549  -            779,974          1,116,523  
Canada  265,075  -              864,249      7,362  1,136,686  
China (People's Republic)    -                559,730      559,730  
Denmark  569,262  -              573,593        1,142,855  
European Union    -        55,161          107,963  17,268  180,392  
Finland  133,653  -        47,944    169,299  379,623      8,595  739,114  
France  1,055,584  -  727,83 7           56,119        1,839,540  
Germany  2,343,742  -              341,914        2,685,656  
Ireland  29,946  -  222,506          33,397  360,404      10,327  656,580  
Japan  590,383  -              140,894        731,278  
Korea (Republic of)  701,162  -                      701,162  
Liechtenstein  78,383  -                      78,383  
Luxembourg    -                      0 
Netherlands  718,588  -          183,311    1,396,660        2,298,559  
New Zealand    -            45,747          45,747  
Norway  3,165,257  -        55,158   4,309,398  740,516      11,489  8,281,818  
Sweden  2,023,527  -        47,919      2,010,389      11,411  4,093,247  
Switzerland  311,662  -              109,991      9,893  431,546  
Chinese Taipei  56,705  -            32,533  164,357        253,595  
United Kingdo m   -            346,180  29,756        375,935  
United States of America  1,694,690  -            41,776  341,115        2,077,580  
Organizations:   -                       0 
UNOPS   - 850,720                      850,720  
Others:   -  -                     0 
Bureau Veritas 
International   -  -   17,642                  17,642  
Cotecna International Ltd.   -  -   17,548                  17,548  
Inchape Testing Services 
International Ldt.   -  -   17,642                  17,642  
Inspectorate Griffith Ltd.   -  -   17,643                 17,643  
Société Général e de 
Surveillance     -   17,482                  17,482  
WTO Members     -     996,324                996,324  
Total  16,026,640  850,720  950,343  87,957  996,324  258,937  183,311  5,962,177  7,535,068  559,730  107,963  89,750  33,608,920  WT/BFA/W/419  
- 80 - 
  5.5.6   Schedule F  World Trade Organization – Program Support Fund  
Table 74 WTO Program support fund  
 2016  2015  
Opening Balance  913,671  977,613  
Income of the year  2,282,226  2,300,815  
Retrocession to other organizations  -203,904  -278,207  
Total income  2,991,993  3,000,221  
Salary costs  1,786,268  1,866,368  
Share of certain secretariat cost and other costs  209,401  220,182  
Total costs  1,995,669  2,086,550  
Closing balance  996,324  913,671  
 
Table 75 WTO P rogram support fund actual expenditure and overheads  
Funds  Actual expenditure  Overheads  
CHF 
13% of actual 
expenses  
 2016  2015  2016  2015  
Doha Development Agenda Global Trust Fund  6,879,174  7,693,152  894,293  1,000,110  
Enhanced Integrated Framew ork - Executive 
Secretariat  3,553,152  3,747,717  461,910  487,203  
Mission Internship Programme  877,498  826,429  114,075  107,436  
10th Ministerial Conference - LDCs -79,426  453,624  -10,325  0 
Netherlands Trainee Programme  843,471  743,022  109,651  96,593  
Trade  Facilitation Agreement Facility  404,418  248,861  52,574  32,352  
Trade Facilitation - National Needs Assessments      
Trade Facilitation - LDCs     
Standards and Trade Development Facility  4,543,202  4,012,046  590,616  521,566  
China LDCs and Accesions Progr amme  274,147  427,353  35,639  55,556  
Evaluation of WTO Trust Fund Activities  259,950   33,794   
Total  17,555,586  18,152,204  2,282,227  2,300,816  
 WT/BFA/W/419  
- 81 - 
  Table 76 Overheads shared with other Organizations  
Overheads shared with other organiz ations  Retrocession amount  
 2016  2015  
STDF - ITC - 47,561  
STDF - FAO 117,724  3,937  
STDF - IICA 24,724  34,861  
STDF - OIRSA  - 6,782  
STDF - UNDP  10,766  - 
STDF – CAB International  - 22,032  
STDF - FEEDLATINA  9,036  8,189  
STDF - COMESA  12,050  - 
STDF - ISS 3,760  9,499  
STDF - Pan-American Health Association  1,370  3,638  
STDF - UNIDO   - 111,686  
STDF - DAWR  9,930  - 
STDF - OIRSA  8,036  - 
TIFES - UNDP  - 23,211  
TIFES - UNWTO  - - 
DDAGTF - Pacific Island Forum Secretariat  - -275 
DDAGTF - UNESCAP  519 7,086  
DDAGTF - FORSEC  - - 
DDAGTF - OCTA  - - 
DDAGTF - PIFS 4,004  - 
TCLAP - UNESCAP  1,985  - 
Total Retrocession (B)  203,904  278,207  
Income of the year (A)  2,282,226  2,300,815  
Net Income (A -B)  
2,078,322  2,022,608  
Programme Support Fund (Overhead charges - Retrocession)1 
1 Net. 
 
 
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