RESTRICTED  
  
WT/BFA/W/ 446/Rev.1  
15 June 2018 
(18-3695) Page: 1/2 
Committee on Budget, Finance and Administration   
 
  
AGREEMENT ON ECONOMI C AND TECHNICAL COOP ERATION  
BETWEEN THE GOVERNME NT OF THE PEOPLE'S R EPUBLIC OF CHINA  
AND THE WORLD  TRADE ORGANIZATION   
Revision  
1.  The People's Republic of China has pledged USD 8 million in extra-budgetary  contribution  
(hereafter: the contribution ) with a view to further strengthening WTO related international 
development cooperation with developing countries, particularly the Least Deve loped Countries, 
in areas of shared int erest for research and research  related technical assistance, capacity 
building and expert missions.  The purpose of this contribution  is to help developing countries, 
particu larly LDCs, better integrate in to the multi lateral trading system and enhance their 
capability to benefit from the development of global value chains, and promote the achievement 
of the United Nations 2030 Agenda for Sustainable Development.  
2.  The contribution  consists of funds  from China's South -South Cooperation Assistan ce Fund 
(SSCAF)  and is made available to the WTO , by the Government of China,  to support the research 
and research  related projects  based on the priorities of the WTO  as identified by the S ecretariat 
and/or  in consultations  between the Secretariat and  Members.  Upon careful review, the 
Secretariat concluded the contribution would be consistent with the WTO's policies, aims and 
activities and was therefore recommended to the Director General for acceptance.  A dedicated 
Trust F und would be established for this voluntary contribution.  
3.  China has, in recent years, become a consistent contributor to the extra -budgetary funded 
activities of the WTO and this commitment is a continuation of that trend. This contribution  will 
be an extension of the existing  "China  Programme1" with a focus on research and research 
related activities .  It shall be managed independently by the Secretariat. Similar terms to those 
used for existing China contributions  shall apply to the projects support ed by this contribution .  
4.  The pledge is a multi -year commitment with an initial end date of 31st December 2026.  This 
Fund is renewable and extendable based on agreement between the Parties  and the consent of 
the CBFA, as envisaged by Chapter VI of the WTO Financial Regulations . It is a nticipated that the 
funds could be  fully obligated to specific projects  over a 5- to 8-year period .  
5.  The WTO Secretariat  shall be responsible for initiating a nd propos ing specific projects  for 
implementation  in line with its existing  research objectives and priorities. Thus all projects will 
allow the WTO to advance res earch on topics of great importance to the multilateral trading 
system , and to draw on extern al resources it otherwise could not , to amplify any WTO resource 
commitments2. To give an idea , the kinds of projects the Secretariat  is currently considering 
include "Improving Access to Trade and Market Access Statistics and Developing Trade in Value 
Added Databases" in African Countries, "Databases of Serv ices Trade Regulation in Least 
Developed C ountries", "Building up the Capacity of LDCs on Rules of Origin for a Better and Fuller 
Utilization of Preferential Market Access Opportunities",  and "Improving Transparency of Import 
                                                
1 China's LDCs and Accessions Programme  includes activities like the WTO Accessions Internships, the 
Annual WTO Accessions Round Table Meeting, South -South Dialogue on LDCs and Development, LDC  Trade 
Policy Review Follow -ups and LDCs participation in WTO and WTO related meetings.  
2 All direct co sts will be borne by the Fund. WTO s taff members  will be engaged in the oversight and 
management of the projects and as such imply an indirect cost. Howe ver, it is expected that this will leverage 
the WTO resources in that most of the projects will be consistent with the work  WTO staff members might 
otherwise do. Typically, a single WTO staff member  would be assigned to oversee and coordinate a given 
project on a part time basis.  WT/BFA/W/446/Rev.1  
 
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  Licensing Procedures and Compliance: Capacity Bui lding for Developing and Least Developed 
Countries ."  
6.  The SS CAF will conduct  reviews of  proposed project s to ensure technical feasibility and  
conformity with the goal s and procedural requirement s of the SSCAF.  The stated mission and 
objectives of the SSCAF are to rally Chinese and inte rnational resources to advance  South -South 
Cooperation, facilitate the equitable participation of developing countries in global economic 
governance, assist developing countries to meet the goals articulated in the 2030 Sustainable 
Development Agenda, eliminate poverty and improve live lihood, achieve balanced economic, 
social and environmental outcomes and engender harmony between man, society and nature. 
The SSCAF  is governed by the following principles:  (I) Mutual respect, equality and reciprocity 
and win -win partnership  and (II) Open ness, diversity, results -driven innovation, efficiency and 
integrity.    
7.  Once review s are concluded , separate agreements addressing financial and technical 
implementation arrangements will be established for each project , which will conform to relevant 
procedures  followed by the Secretariat in administrating similar projects . The Secretariat will be  
solely responsible for the implementation of individual project s in accordance with  the terms 
stipulated  in the separate agreements  and consistent with WTO Financial Regulations and rules 
and other relevant policies .   
8.  The Secretariat will, like it does for projects funded from other extra -budgetary resources, 
provide regular summaries of projects undertaken with th ese resources  as part of its annual 
reporting . This reporting includes both financial and descriptive elements.  All reports and 
analys es generated from the projects will be publicly available.  
9.  This Trust Fund and the projects funded under it will be part of financial and performance 
audits periodica lly conducted by the WTO's External Auditors , in accordance with  the WTO 
Financial Regulations.  
10.  Currently, a project related to investment facilitation in least developed and developing 
countries  is being implemented.  
11.  In accordance with Chapter VI  of the Financial Regulations , the CBFA is invited to provide its 
consent with the proposed voluntary contribution  as accepting the funds implies an indirect cost 
to the WTO in the form of supervision of the project s and other aspects of project administra tion. 
 
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