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WT/BFA/176  
 
29 November  2018 
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Committee on Budget, Finance and Administration    
 
REPORT OF THE MEETIN G HELD ON 13 NOVEMBER  2018 
The Committee on Budget, Finance and Administration (CBFA) met on 13 November  2018 under 
the Chairmanship of Ambassador  Juan Esteban Aguirre Martínez ( Paraguay ). The Terms of 
Reference and composition of the Committee are set out in document WT/L/44/R ev.1. The Agenda 
is contained in document WTO/AIR/BFA/ 29. The agenda was formally adopted , after changing the 
order of the agenda  items by  bringing Agenda Item J (Q3 2018 Extra -budgetary Funds Report) 
and Agenda Item K (Number of Meetings of the WTO Regular and Negotiating Bodies and Number 
of Documents Circulated) up to be discussed just before Agenda Item G (2017 Annual Report on 
the Gradi ng Structure in the WTO Secretariat) .  
1  ITC MID -TERM REVIEW - BIENNI UM 2018 -2019 – JOB/B FA/32  
1.1.  The Director of the Division of Programme Support of the ITC presented the ITC Mid-Term 
Review for 2018-2019 to the Committee.  
1.2.  He highlight ed events that have bee n undertaken so far in 2018. These include the launch of 
the 4th SME Competitiveness Outlook; the ITC's participation in the WTO Public Forum; the World 
Trade Promotion Organization Conference that was held in Paris ; and the World Export 
Development Forum that was held in Lusaka. He mentioned that updates had been provided to 
stakeholders via the Consultative Committee , which  Donors and Beneficiaries attend . 
1.3.  On the financial performance of the ITC, he explained that the 2018 -2019 biennial budget 
approved by  the General Council in December 2017, had been reviewed from CHF 73.3 million to 
CHF 72.8 million  as a result of the UN recosting methodology. He noted that the Advisory 
Committee on Administrative and Budgetary Questions of the (ACABQ) and the 5th Committee of 
the United Nations had recommended the higher amount but the U N General Assembly had 
approved the lower amount. This represents  a reduction of CHF 145,100  in the WTO contribution 
to the ITC budget for each of the two years .  
1.4.  He informed the Commit tee that after the documentation for the CBFA meeting had already 
been dispatched, he had attended a meeting at the UN headquarters in New York during which 
there seemed to be an inclination that the original budget for 2018 -2019 would be revert ed to. 
Therefore, it was likely that the reduction of CHF 145,100 per year as presented in the Mid -Term 
Review would not be implemented.  
1.5.  He mentioned that on the approval of the UN General Assembly in December 2017, there has 
been a shift from the biennial budget cyc le to a regular annual budget cycle on a trial basis . 
Consequently , there was some uncertainty as to the mode of presentation of the 2020 -2021 
budget to the WTO. He indicated that a team of stakeholders is scheduled to map out the 
approach and the results of their consultations will be presented to the Committee.  
1.6.  A Member exp ressed appreciation for the Mid -Term Review and congratulated the ITC on the 
underlying results and impact of  its overall work . He noted  the ITC is key to the future of tr ade, 
notably through outreach to SMEs. He communicated that his delegation is ready to support this 
through bilateral structures , including national bodies . 
1.7.  Another Member asked for more information on the projects referred to within the report and 
their geographic spre ad. The official stated  that this would be provided in writing , as requested.  WT/BFA/176  
 
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  1.8.  A Member enquired about  the increase  the budget for Staff Costs  in the second year of the 
biennium. She contrasted this with the WTO staff costs which remained the same in each year of 
the biennium. Turning to  the statistics on Talent Management and Recruitment activities , the 
Member asked  how the  quoted average time to recruit Fixed Term Staff of 120 days and the 
reported Vacancy rate of 5%  were connected . The Member asked that the Committee be provided 
with information , when available,  on the progress/outcome of consultations with the UN and WTO 
on the new UN budget approach.  
1.9.  The Official of the ITC responded that the increase in Staff Costs was due to the annual step  
increment s for salaries  as well as variations in home leave schedules and numbers from one year 
to the next.  He clarified that the statistics on Talent Management were as at June 2018 and that 
the ITC was striving to reduce the vacancy rate to approximately 2 %. On t he budget cycle, the 
official said he would engage further with the  WTO Secretariat and aim to provide a joint update to 
the Committee within the first quarter of 2019.  
1.10.   A Member following up on his earlier request suggested that  details on projects should  also 
be presented in the first quarter of 2019.  
2   WTO MID -TERM REVIEW FOR THE BIENNIUM 2018 -2019 – WT/BFA/W/465  
2.1.  The Secretariat presented the Mid -Term Review for the 2018 -2019 biennium referring to the 
approval of the budget by the General Council in Nove mber 2017. The Secretariat indicated that 
based on projected expenditures to the end of 2018 no revisions had been made to the budget for 
2019. Therefore, the sum of CHF 197,203,900 , as approved in 2017 , was maintained for 2019 . 
This represents  the 9th year of Zero Nominal Growth in the consolidated budget of the WTO.  
2.2.  The Secretariat presented the projected budget performance to the year end ing 31st 
December  2018, based on the situation as at 31st August 2018. The overall expenditure rate of the 
Secretaria t and Appellate Body is projected to be 99.7%  of the budgeted amount . The 2019 scale 
of contributions , based on updated trade statistics , was specifically mentioned.  
2.3.  Another Member expressed  that his Ca pital remained attached to the Zero N ominal Growth 
principle  and supported strict budgeting. The Member expressed that his delegation paid great 
attention to the situation in the area of Dispute Settlement.  
2.4.  Responding to a question form a Member as to why the budget for Facilitating Negotiations 
was higher  in 2019, than in 2018, an Official of the Secretariat stated that the allocation to this 
Output Chapter was usually higher for the year when a Ministerial Conference is scheduled to take 
place.   
2.5.  Regarding  paragraph 2.19  of the document , two Member s reques ted the Secretariat to 
elaborate on the overspending projected for Implementing Partners and legal damages .  
2.6.  A Member asked for clarification of the  over-expenditure projected for US taxes and why the 
2019 budgeted still remained unchanged yet it was appar ent that the amount of actual negative 
interest was likely to remain high.   
2.7.  An Official of the Secretariat stated that Implementing Partners  included the WTO Essay 
Award, the ERSD project on the Global Trade Model, the contribution to the ILO and the ISO. She 
said that the contribution to the ISO had been reduced to CHF 15,000 from CHF 43,000 , over the 
years . 
2.8.  On the legal damages she mentioned that there were two pending cases at the ILO 
Administrative Tribunal and thus a provision was made in case the ruli ng resulted in a settlement 
being required from the WTO.   
2.9.  Pursuant to a question by a Member, the Official of the Secretariat stated that details of 
cases could not be shared given the fact that these cases were still sub judice.  
2.10.   A Member gave information regarding the element of  US taxes  and stated that, many years 
ago, an agreement was entered into by the WTO and the US Government that the latter should be WT/BFA/176  
 
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  billed for the taxes employees who are citizens of the US would have to pay on their income . This 
would ensure equity as the US Government requires its citizens , working for international 
organizations , to pay income tax.   
2.11.   On the negative interest rate charges, an  Official  of the Secretariat  said that these had, 
indeed, been significantly higher than the  budgeted amount . She highlighted that there had been 
no revision to the budget for the second year of the biennium because there is a possibility to  
transfer funds across line items. She indicated that the Secretariat was hopeful that an Investment 
Policy  for the Working Capital Fund would be approved  in early 2019 and  enable the mitigation of 
the impact of the negative interest rate . She informed the Committee that a better estimate would 
be provided for the next biennium.  
2.12.   The Committee endorsed the that the following recommendation be made to the General 
Council : 
2.13.   The Committee recommends that the General Council approve the Members' scale 
of Contributions for 2019 as presented in paragraph 7.1 and Table 9 of Document 
WT/BFA/W/465.  
3  DRAFT PROPOSAL FOR T HE ACCUMULATED BUDGETAR Y SURPLUS - 
WT/BFA/W/460 /REV.1  
3.1.  The Chairman thanked the Committee for the fruitful discussions that had recently taken 
place regarding this subject. He indicated that the essence of the recommendations had the 
support of the Committee.  
3.2.  The Chairman summarized the key elements that had been voiced by Members and 
addressed by the paper. These were:  
3.2.1 that the latest recommendation was indicative of the contributions that had come from 
Members during the past few months and the allocat ion to the Working Capital Fund was 
well-justified.  
3.2.2 The recommendation  provide s clarity regarding the role of the CBFA insofar as 
Financial Regulation 26(b) is concerned; and  
3.2.3 The recommendation ensure s that the portion of the Working Capital Fu nd resulting 
from the WTO Accumulated Budgetary Surplus is excluded from the automatic nature of 
replenishment foreseen in Article 27 , for any advances made in accordance w ith Financial 
Regulation 26(b).  
3.2.4 The Committee noted that placing the funds in the Working Capital Fund maintains the 
possibility of applying the funds to various ends following due authorization. These include 
the coverage of WTO expenditure in periods of fluctuating income and the tackling of the 
negative interest burden through th e investment of dedicated sums in bonds and equity.  
3.3.  The Chairman noted that the Investment Policy for the Management of the Working Capital 
Fund would be discussed further by the Committee in the new year.  
3.4.  A Member asked  about the reliance on  Financial Regulation 26(b) to transfer the Accumulated 
Budgetary Surplus . The Member also requested clarification  on the implementation of Financial 
Regulation 27 within the context. DDG Brauner explained the references to the above Financial 
Regulations in the reco mmendation strengthen  the role of the Committee  as any proposal to the 
General Council would have to first be considered by the Committee . 
3.5.  Another Member thanked the Secretariat for the document as a faithful reflection of the state 
of play. He reminded Me mbers of their past deliberations and varying stands on the allocation of 
the Accumulated Budgetary Surplus. In his view a  mutual desire existed to advance on the issue. 
He stated that his capital had recognized the need for compromise and supported the dr aft 
decision  with a view to facilitating consensus.    WT/BFA/176  
 
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  3.6.  The Member  insisted on the importance of the Accumulated Budgetary Surplus remaining 
under the control of Member s even after it had been  transferred to the Working Capital Fund. He 
also emphasized the exclusion of the funds transferred from being subject to automatic 
replenishment of the Working Capital Fund according to Financial Regulation 27. He explained that 
where the replenishment of  such funds was to be considered in future, this will require explicit 
authorization by Members. He expressed the continued support of his capital  to the WTO as an 
advocate of the multilateral rules -based trading system.  
3.7.  A member asked whether there was an y rationale for continuing to make reference to the  
Accumulated Budgetary Surplus after it has been transferred to the Working Capital Fund since 
from then on it would be part and parcel of the Working Capital Fund.  
3.8.  A Member thanked the Secretariat for th e recommendations on the allocation of the 
Accumulated Budgetary Surplus and the  planned efforts to  mitigat e negative interest charges. She 
indicated that it was additionally important to resolve the issue of addressing the long-term ASHI  
liabilities . 
3.9.  An Official of the Secretariat responded to the requested clarifications on a distinction for the 
sourcing of funds for the Working Capital Fund. She indicated that the origin of all funds in the 
Working Capital Fund was traceable and thus the express nature o f the recommendation to the 
effect that  the portion of the Working Capital Fund emanating from a transfer from the 
Accumulated Budgetary S urplus to not have to be automatically replenished by  Member s through 
the next budget . She illustrated the application  of Financial Regulation  27 by stating that if the 
current balance of approximately CHF 11 million in the Working Capital Fund were to be utilized 
this year , this may be recouped in the budget of the following year according to Regulation 26(b).  
This would  not necessarily be taxing to Members as CHF  11 million would not have a significant 
impact on individual Member contributions.  She said that, h owever, after the transfer of the 
Accumulated Budgetary Surplus to the Working Capital Fund, the balance of the Working Capital 
fund would be CHF 63 million. She said that if this amount were to be used as foreseen in Financial 
Regulation 26(b), the whole amount would have to be replenished by requesting Members to 
contribute a higher amount in the budget of the fo llowing year. The additional amount due from 
Members would be material and onerous in the short term.    
3.10.   A Member thanked the Secretariat for the explanation and indicated her Capital  supports  
the Recommendation.  
3.11.   A Member reiterated the need to discuss the  subject of ASHI in 2019 . 
3.12.   The Committee approved the recommendation that an Investment Policy be developed to 
govern the management of the Working Capital Fund and , at a later stage, submit it  to the 
General Council for its approval.  
3.13.   The Committee agreed to make the following recommendation to the General Council : 
3.14.   The Committee on Budget Finance and Administration (CBFA) recommends to the 
General Council that the WTO Accumulated Budgetary Surplus as at 31  December  2017, 
amounting to CHF  52.026 milli on, be transferred to the Working Capital Fund.  
3.15.   The CBFA further recommends that advances foreseen to be made by the Director -
General under Financial Regulation 26(b) will be considered by the CBFA, which will 
make a recommendation to the General Council f or its prior authorization.  
3.16.   With reference to Financial Regulation 27, the replenishment of sums taken from 
the amounts transferred from the WTO Accumulated Budgetary Surplus, and advanced 
to cover extraordinary expenditure, as per Financial Regulation 26 (b), will require a 
decision by the General Council on recommendation by the CBFA.  
 
 WT/BFA/176  
 
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  4  GATT ARCHIVE MATERIA LS PROPOSAL FOR PUBL IC ACCESS – WT/BFA/W /463  
4.1.  An Official from the Secretariat presented the background of historical records relating to the 
GATT datin g from the mid -1940 to the end of 1995.  She underlined that until the mid-sixties a 
GATT Central Filing System manage d all records produced internally or e xternally. After this date, 
most records were maintained within the WTO Divisions . She underlined tha t only correspondence 
continued to be centralized in the GATT Registry.  
4.2.  The Official listed examples of external and internal records . These include communications 
from contracting parties, bilateral exchanges among contracting parties for external collections , 
notes, memoranda  and mission reports for internal collections.  
4.3.  The Official then referred to a joint project between UNESCO and the In ternational Council on 
Archive s of International Organizations. She underlined that the guide of the Interna tional Council 
recommends that public access should be given afte r a maximum delay of 30 years. S he then 
concluded that many international organizations disclose their records after a period of 15, 20 or 
25 years.  
4.4.  The Official then indicated that no proce dures for public access to GATT records had yet been 
agreed  for the WTO, therefore GATT materials were not available outside the Secretariat. She 
added that some materials may be exempted from that rule and would remained classified                                                                                                 
and that eligibility for disclosure would follow the WTO confidentiality classification policy.   
4.5.  On the proposed disclosure process, the Official mentioned that the Records and Archiv es 
Management Section (RAMS) would identify materials that required  to be disclosed. Subsequently, 
RAMS would then organize yearly reviews, taking into account  confidentiality and privacy issues . 
She indicated that Members would be informed by receiving a disclosure circular. Members would 
have three months to seek the removal of any element from the disclosure list. The removed items 
would be labelled as confidential and would not be eligible for disclosure for a period of three 
years. Over th at period , items that had been removed would be included once a gain for Members' 
consideration. She then indicated that that procedure be repeated indefinitely until no Member 
objects to the disclosure of materials.  
4.6.  The Official of the Secretariat concluded that the updated disclosure circular would be posted 
on the Internet. In addition, she indicated that a request for consultation and enquiries could be 
addressed to the WTO RAMS.  
4.7.  Finally,  she informed  the Committee  that an exhibition of internal and external records dating 
from 1952 to 1961 can be visited, beside the cafeteria, until the end of November .  
4.8.  A Member thanked the Secretariat for the proposal and presentation indicating the 
endorsement of his Delegation. Refer ring to the indication that lists of the documents would  be 
provided on the I nternet , the Member asked if all the documents would  be made available digitally 
and what  criteria  would be used to determine privacy and confidentiality.  
4.9.  The Official of the Sec retariat indicated that not all documents will be available digitally and 
those not availed  online will be made available in paper format. She indicated that discussions  
were ongoing within various Divisions in the WTO to explore facilitating access to doc uments even 
more.  
4.10.   On the guidelines on confidentiality, the official explained the established practices used as 
the basis. She explained that medical, personnel, financial, dispute settlement and accession files 
were always maintained as internal document s.  
4.11.   Another  Member thanked the Secretariat for the proposal and expressed his Delegation's 
support of the transparency inherent in the proposed initiative. He enquired about the proportion 
of the documents which had been de -classified and converted to digital form. I n addition, the 
Member asked about the possibility of retrieving copies of the documents during the proposed 3 -
month review process for Members. He also asked if there were precedents to the exercise.  WT/BFA/176  
 
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  4.12.   In response to the questions, the Official of the Secre tariat sai d that there had been no 
precedents in the Organization on public access to archived materials. She confirmed that this has 
happened in other international organizations. She cited the negotiation with countries to have 
documents on the Derestric tion of Trade in Goods Negotiated as the closest exercise.  
4.13.   The official referred to the digitization of a large number of GATT records by Stanford  
University .  She mentioned that few of the documents were available on micro -film and indicated 
the difficul ty of specifying the actual percentage with precision.  
4.14.   On the Disclosure circular , she explained  they would include metadata, for example, date 
range, fonds, series and file or record description to  aid Members' decisions. She mentioned that 
the documents  would  be available for Member viewing in the Secretariat.  
4.15.   Another Member thanked the Secretariat for the proposal expressing his delegation's 
support. The Member enquired on whether classified documents were to be listed in the Disclosure 
Circular. The o fficial responded explaining that the Documents Online Section of the portal 
indicate d all meta -data, a lthough there may be reason to remove the classified documents from 
the list.  
4.16.   One Member thanked the Secretariat for the proposal and asked if Member s and the public 
would  be permitted to make copies of the documents when consulting and for disclosure. The 
Official of the Secretariat confirmed that Member s will be allowed  to make copies during the 
disclosure process as was the case with the bi -lateral nego tiation documents. In terms of the 
public making copies  she indicated that there could be some limitations, for instance voluminous 
material , could be excluded.  
4.17.   The Committee took note of the report and made the following recommendation.  
4.18.   The Committee  on Budget, Finance and Administration recommends to the General 
Council to agree the procedures for disclosure of GATT non -official materials . 
5  CONTRIBUTION TO REST ORATION WORKS ON THE  PEACE & JUSTICE SCU LPTURES AT 
THE ENTRANCE OF THE WTO - WT/BFA/W/464  
5.1.  An Official from the Secretariat informed  the Committee of plans to undertake restoration 
works on the Sculptures at the main entrance of the Centre William Rappard.  The sculptor of these 
pieces, entitled "Peace and Justice"  is a Swiss national named Luc Jag gi.  
5.2.  The Official of the Secretariat recalled that  a few years back the "Loterie Romande" had 
financed the historic ceiling in one of the meeting rooms in  the Centre William Rappard .  
5.3.  The Official  of the Secretariat  indicated that t he WTO Secretariat had approached the "Loterie 
Romande"  to seek donation to renovate both statues for an amount of CHF 10'760. She indicated 
that that amount would  cover cleaning, consolidating loose parts, repairing broken parts, and 
applying a protective covering .  
5.4.  The Officia l from the Secretariat then stated  that that request for donation would be 
considered by  an internal  Committee of the "Loterie Romande" in November 2018 , subsequent to 
which  they would inform the WTO Secretariat on the outcome .   
5.5.  A Member welcomed the idea  to renovate the two statues as they reflect core goals  of the 
WTO. He asked whether t his initiative was part of the 100th Anniversary of the ILO, considering 
that th e Centre William Rappar d was part of ILO in the past. The Official of the Secretariat 
responded that this was a  venture of the WTO Secretariat and also noted that the ILO had 
approached the WTO Secretariat to make arrangements to host one of their  100th anniversary 
celebratory events in the Centre William Rappard.  
5.6.  Given that the  Loterie Romande is a Non -Governmental Organization, the CBFA approve d the 
proposed donation and its intended use in accordance with Financial Regulation 19 and Annex C of 
the WTO Financial Regulations . WT/BFA/176  
 
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  6  LDC GRADUATION – EXTRA B UDGETARY SUPPORT FRO M THE E NHANCED INTEGRATED 
FRAMEWORK  (EIF) - WT/BFA/W/466  
6.1.  The Head of the LDC Unit in the Development Division of the Secretariat presented an 
information note on LDC graduation and a planned project to be outsourced to the WTO 
Secretariat, by the EIF. The project i s aimed at ways to address the trade -related implications of 
graduation from LDC status.  
6.2.  The Presenter noted that the EIF pays for direct costs such as rent for housing the EIF 
Secretariat and is also levied 13% of expenditure as Programme Support Costs. He continued that, 
given the fact that the WTO is a key stakeholder in the EIF the EIF Secretariat had requested the 
WTO Secretariat to approve a rate of 7%, instead of 13%, for Programme Support Costs for this     
LDC-focussed project.  
6.3.  A Member requested  clarification on the project.  
6.4.  The O fficial  of the Secretariat  explained that the process was being developed on how the 
countries change on graduation and how they participate as regular developing countries. He 
indicated that there were presently 12 LDCs  at different stages  towards graduation  and the 
intention was to hire consultants to identify the implications on how to better integrate them into 
the Multilateral Trading System.  
6.5.  The Member expressed the constant support of his delegation for countries in the LDC 
category.  
6.6.  The Committee took note of the report.  
7  Q3 2018 EXTRA -BUDGET ARY FUNDS REPORT - WT/BFA/W/461  
7.1.  An Official of the Secretariat presented the report of the extra budgetary funds for the third 
quarter. He thanked the following delegations for their contributions to the Global Trust Fund, 
since June 2018: France, the European Union and the United States  of America.  
7.2.  The Official of the Secretariat indicated that the report had been extended to include other 
information aside from the routine reporting of previous quarters. He drew attention to the gradual 
decline in revenue from 2013 which was not sustai nable for the Funds.  
7.3.  Another Official from the Secretariat explained that Technical Assistance Plans were key 
indicators and thus the quarterly report included details pertaining to these, as recommended 
through the recent external evaluation. He explaine d that the financial reporting was now 
structured around the four key Technical Assistance Indicators and the source of funds.  
7.4.  Several Members thanked the Secretariat for the report and acknowledged the Members that 
had contributed to the Trust Funds.  
7.5.  A Me mber highlighted the critical importance of notifications and Technical Assistance to 
countries in need of support in this regard.  
7.6.  One Member indicated his delegation's contribution of EUR 150,000 to STDF.  
7.7.  A Member thanked the Secretariat and the ITTC for  the Technical Assistance and capacity 
building provided to her country. She indicated that her delegation was the first Arab country to 
host training on Trade Policy and mentioned that they had a national who was selected through 
the Young Professionals P rogramme (YPP) of the WTO.  
7.8.  Supposing that technical assistance funds are allocated by region, the Member posed a 
question as to whether funds allocated to the Arab region could be used to undertake activities in 
her country, if other Members in the region were not able to host activities. She requested ITTC's 
assistance on the best way to enhance Notification Requirements highlighting a need to get over 
the language barrier.  WT/BFA/176  
 
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  7.9.  In response, an Official of the Secretariat indicated that the Technical Assistance  Plan is 
deliberated upon, in detail, during meetings of the Committee on Trade and Development (CTD). 
He noted that the CBFA concentrated only on financial aspects. He added that the budget is not 
managed by region and activities are demand -driven. The of ficial indicated that the ITTC acts on 
specific requests from Members at both individual and regional level.  
7.10.   A Member indicated her capital's plans to support the Global Trust Fund with the same 
amount as the previous year.  
7.11.    The Committee took note of the report.  
8  NUMBER OF MEETINGS O F WTO REGULAR AND NE GOTIATING BODIES AND  NUMBER 
OF DOCUMENTS CIRCULA TED – WT/BFA/W/462  
8.1.  The Chairman of the Committee recalled that a Member had requested the Secretariat to 
provide data related to meetings of regular and negotia ting bodies. The Chairman stated that the 
Secretariat had provided the information and highlighted that this was factual internal data which 
has no legal implications a nd was circulated for information purposes only. He noted that this was 
provided without  prejudice to Members' positions, rights and obligations in the WTO or to the 
mandates of the various bodies to which it refers. The Chairman further stated that the paper 
circulated was a basic compilation of what the Divisions had forwarded to the Coordi nator on the 
basis of their account of their various activities.   
8.2.  Several Members thanked the Secretariat for the document  and the statistics therein 
contained .  
8.3.  A Member noted that the information provided could be used to weigh the activities in terms 
of relevance, budgetary measures and towards the optimization of resource allocation.  
8.4.  A Member suggested that the legal basis of bodies could be specified , identifying which 
agreements they emanate from. He asked about the possibility of presenting informat ion on the 
duration of meetings. The Member suggested that the document classifications be prepared such 
that the documents submitted by Members are separately categorized. The Member reasoned that 
a compilation of the statistics incorporating the suggesti ons would help Mem bers identify the next 
steps . 
8.5.  Another Member suggested that the compilation could be used to attain budgetary and 
efficiency gains. He asked about the possibility of indicating resource allocation per item. He 
highlighted that this can in form the deployment of the resources of the Secretariat citing re -
allocations to Dispute Settlement in the previous year. The Member mentioned that the statistics 
touch on areas beyond the CBFA and suggested that the issues be addressed in the appropriate 
fora. 
8.6.  A Member thanked the Secretariat for the compilation and extended this to the Delegation 
which had requested the information. He indicated that the statistics can be used to rationalize the 
existing work of the WTO , for optimization. He expressed dou bt that the CBFA was the rightful 
body to discuss matters pertaining to  paragraph  29 of the Nairobi Declaration.   The Member 
indicated that his Delegation is interest ed in this. 
8.7.  A Member agreed with the previous delegations on the compilation as a basis to  inform 
possible policy implications especially in fora outside the CBFA. He stated that the statistics are a 
first stage for  assessing how to take  things further.  
8.8.  DDG Brauner responded by stating  that the data had been collected and presented without 
any interpretations. He indicated that requests for information on the duration of meetings could 
not be met because the duration of meetings was not recorded/documented .   
8.9.  The Committee took note of the report.  
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  9  2017 ANNUAL REPORT ON THE GRADING STRUCTUR E IN THE WTO SECRETAR IAT – 
WT/BFA/W/468  
9.1.  An Official of the Secretariat updated the Committee on the grading structure and promotions 
within the Secretariat as at December 2017. An overview of the grading structure, recruitment 
activities and promotions, in comparison to previous years, was presented.  
9.2.  The Official of the Secretariat highlighted a shift in the professional staff structure as the 
number of staff in professional positions has continued to exceed those in support positions. She 
indicated that rec ruitment activity in 2017 had remained stable.  
9.3.  She referred to the decline in the number of Grade 10 posts, and the goal to continue in this 
direction eventually reaching the target of 63 Grade 10s.  
9.4.  Several Members  thanked the Secretariat for the report a nd supported the efforts to improve 
the balance of grades between junior and senior professionals as well as drive gender diversity.  
9.5.  A Member commended the Secretariat on the gender equity of professional staff. He asked 
the Secretariat what could be iden tified as the greatest challenge or obstacle to continue the 
current trends.  
9.6.  An Official of the Secretariat responded by explaining the difficulty in continuing the trend 
due to the low turnover rate of the Organization. He compared the WTO turnover rate of 3.5% to 
the UN turnover rate of 8%. He also referred to the mandatory retirement age of 65 as another 
driver.  
9.7.  On gender balance, the Official of the Secretariat indicated that there was a strong presence 
of female candidates in lower professional grades , and weak presence for Grades 10 and upwards. 
He referred to the recent approach the Secretariat had used for vacancies for Director positions, 
including presenting vacancy notices to the Committee for its assistance in publicizing these job 
openings .  
9.8.  DDG Brauner added to the Official's response by referring to the statistics. He highlighted the 
decrease in Grade 10 staff from 118 to 89 over the last few years. DDG Brauner explained how the 
Secretariat needed to strike the right balance in continuing to d ecrease the number of Grade 10 
positions, while still providing opportunities for more females to be appointed to senior level 
positions.  
9.9.  A Member expressed the inclination of his Capital to the implemented competitive procedures 
for promotions. The Member  referred to a previous request for job profiles to be developed  as a 
useful management and evaluation tool. He referred to the reported use of a generic benchmarks 
and asked that these be shared. An Official of the Secretariat responded by noting a drive to 
resuscitate and compile the documents  to be shared with Members.  
9.10.   One Member inquired about staff funded from extra -budgetary funds and the types of 
mobility specified in the report (inter, intra, permanent, temporary). An Official of the Secretariat 
responded indicating that mobility is voluntary and can be permanent or temporary. The Official 
also expl ained that staff move from one D ivision to another laterally (within the same grade).  
9.11.   Another Member welcomed the progress with gender diversity, urging for more 
improvement at the top. She inquired on job security for staff hired from extra -budgetary funds. 
An Official of the Secretariat explained the employment terms for individuals whose positions are 
funded from extra -budgetary funds, further indicatin g that if sufficient funding were no longer 
available, these contracts would not be renewed.  
9.12.   A Member requested that details on the nationalities of staff be included in future versions 
of the report. An Official of the Secretariat referred to the Diversi ty Report which contains details 
on professional/support staff, including their nationalities.  
9.13.   The Committee took note of the report . WT/BFA/176  
 
- 10 - 
 
  10  ASHI UPDATE - WT/BFA /W/469  
10.1.   An Official from the Secretariat updated the Committee on ASHI.  He explained that the WTO 
Medic al Plan is not the typical kind of medical insurance involving the payment of premiums but a 
hybrid mechanism with cost -sharing.  
10.2.   He referred to previous proposals on building ASHI assets and the persistence of the issue 
as an item on the agenda.  
10.3.   He highl ighted an expectation of increasing costs driven by a greater growth rate of the 
retiree pool. He explained that costs were expected to increase over a 30 -year horizon then 
plateau on attainment of equilibrium. The official indicated that the present proje ction is lower 
than one presented 5 years ago. He cautioned reliance on the estimate as it is preliminary and the 
subject of many assumptions.   
10.4.   The Official of the Secretariat reminded the Committee that the Medical Plan is overseen by 
an advisory committ ee, the Medical  Insurance Management Committee (MIMC) . He highlighted the 
responsibilities  of the MIMC , such as reviewing the operations and financial status of the plan as 
well as monitoring, analysing and recommending premium levels  and allocation of sub sidies.   
10.5.   The Official underlined that , regarding  the ASHI Liability , the cost of  the Medical Plan and 
ASHI Liabilities would be principally driven by demographic factors. He then showed a graph with 
projection s to 2047, reflecting the insured population among active  staff members  and retirees . 
This showed that retirees  would have higher medical costs. He underlined that that the trend 
would continue in the future until an equilibrium is reached more than 30 years in the future.  
10.6.   The Official said that the MIMC , in conjunction with the consulting actuaries, were 
develop ing projections on how that liability would likely  evolve over the medium - to long -term. He 
added  that, at this stage, some preliminary estimates of the future liability were received from the  
actuaries , drawing attention  that these figures were still under review.  
10.7.   A Member thanked the Secretariat. Referring to the long -term outlook and current 
estimates for annual cashflows, the Member acknowledged the preliminary nature of the report 
and inv ited all Members to work towards a sustainable long -term solution to fund ASHI liabilities.  
10.8.   The Committee took note of the report.  
11  Q3 2018 BUDGET AND FINANCE REPORT – WT/BFA/W/467  
11.1.   An Official  of the Secretariat presented the budget and finance report for t he third quarter of 
2018. The receipts of contributions from Membe rs as at the end of September 2018 were  slightly 
higher than  the receipts as at the end of  September  2017. At the end of September 2018, 73% of 
the assessed amount of CHF 195 .5 million was  received. For the third quarter of 201 8, the receipts 
of contributions from Observers amounted to CHF 674,000  representing 57% of the assessed 
amount.  She concluded that 103 Members and 13 Observers do not have outstanding 
contributions.  
11.2.   The Official of t he Secretariat  informed the Committee that a s of end of October 2018, five 
Members we re subject to Category I of the Administrative Measures ; three Members were subject 
to Category  II: and seven  Members were subject to Category  III.  
11.3.   She continued that s ince September 2018, Burkina Faso, Senegal and Solomon  Islands 
came out of Category I whilst  Djibouti and the Gambia came out from Category III. 
11.4.   The Official of the Secretariat presented the Consolidated Statement of Expenditures as at 
30 September  2018. The rate of expenditure as at 30 September 2018 was on track, at  75%. 
11.5.   The Committee took note of the report.  
 
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