WORLD TRADE  
ORGANIZATION  WT/BFA/W/169 
16 September 2008 
 
 (08-4303) 
Committee on Budget, Finance and Administration  
  
 
 
DIRECTOR-GENERAL'S REPORT ON EXTRA-BUDGETARY FUNDS 
 
FOR 2007 
 
AND REPORT OF THE EXTERNAL AUDITOR THEREON 
 WT/BFA/W/169 
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  TABLE OF CONTENTS 
  Page
 
EXTRA-BUDGETARY FUNDS ENTRUSTED TO THE WTO ......................................................3  
Description and Activity in 2007............................................................................................... ............3  
TAPF1 and TAPF2 – Annual Public Forums 2006 and 2007 ............................................................3  
TDDA6 and TDDA7 – Doha Development Agenda Global Trust Fund...........................................3  
TDOCS – Preservation and Enhanced Dissemination of GATT and WTO Documents.................5  
TES06 – Spain – Global Trust Fund – Technical Assistance Activities in Favour of Latin 
American and Caribbean Countries ....................................................................................6  
TFR03 – France -  Sanitary and Phytosanitary (SPS) Related Activities.........................................6  
TIF01 – Integrated Framework – Outreach Activities.......................................................................6  
TIF02 – Integrated Framework – Pr ogramme Implementation Unit...............................................6  
TIF03 – Integrated Framework – Enhan ced Executive Secretariat Start-up..................................7  
TIMM1 – Internship Programme for Selected Members' Mission in Geneva.................................7  
TJIT2 – JITAP .................................................................................................................. .....................8  
TMI06 – Ministerial Conference – Particip ation of Least-Developed Countries ............................8  
TNL05 – Netherlands Trainee Programme.........................................................................................8  
TPS01 – Pre-Shipment Inspection – Review Alcatel / SGS................................................................9  
TTFHR – Trade Facilitation – Human Resources..............................................................................9  
TTFNA – Trade Facilitation Nati onal Needs Assessments ................................................................9  
TTRTA – Strategic Review of WTO-Provi ded Technical Assistance Activities............................10  
TUS03 – United States – Sanitary and Phytosanitary (SPS) Related Activities.............................10  
TWB01 – Standards and Trad e Development Facility.....................................................................10  
EPSF1 – Programme Support Fund ................................................................................................. .11 
ES963 – 1996 Surplus – Legal Expert Services .................................................................................12  
T0013 – Independent Entity – Pre-sh ipment Inspection – Deposits................................................12  
EXTRA-BUDGETARY FUNDS FINANCIAL STATEMENTS 
AS AT 31 DECEMBER 2007.................................................................................................13  
Statement 1 - Consolidated Assets a nd Liabilities as at 31 December 2007 ...................................14  
Statement 2 - Consolidated Income and Expenditure as at 31 December 2007 .............................15  
Statement 3 - Held to the Credit of  Donors as at 31 December 2007 ..............................................16  
EXTRA-BUDGETARY FUNDS - FINAN CIAL OVERVIEW – 2007...........................................17  
TABLE 1 - Financial  Situation  Overview  - 2007 .................................................................................18  
TABLE  2 - Voluntary Contributions Received in 2007......................................................................19  
TABLE 3 - Interest Earned in 2007.................................................................................................... ..20 
TABLE  4 - Overhead Fees in 2007  ......................................................................................................22  
TABLE  5 - Detail  of Balances  Held  to the Credit  of Donors...............................................................23  
REPORT OF THE EXTERNAL AUDITORS ON THE ACCOUNTS 
OF THE EXTRA-BUDGETARY FUNDS ...........................................................................25  
ANNEX - STATEMENT OF SIGNIFIC ANT ACCOUNTING POLICIES ..................................27 
  WT/BFA/W/169 
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  EXTRA-BUDGETARY FUNDS ENTRUSTED TO THE WTO 
 
Description and Activity in 2007  
  TAPF1 and TAPF2 – Annual Public Forums 2006 and 2007 
 
1. Since its inception in 2001, the WTO Public Forum is recognized as the most relevant 
international platform for in-depth dialogue and reflections on past, present and future developments 
and ideas that determine the shape and direction of the trading system.  It is WTO's biggest and most 
important outreach event, each year attracting more  than 1,000 participants from around the world, 
representing WTO Members and Observers, parlia mentarians, non-governmental organizations, 
academics, media and the business community.  
2. The 2007 Public Forum entitled "How Can the WTO Help Harness Globalization?" was held 
in Geneva on 4 and 5 October.  Approximately 1, 200 participants attended the event.  The Forum 
opened with a plenary session followed by panels organized by the WTO Secretariat, non-
governmental organizations,  business organizations , academics and intergovern mental organizations.  
Throughout the two days, a total of thirty-nine pane ls took place.  The plenary opening underscored a 
forceful defence of globalization and a strong em phasis on the importance of completing the Doha 
Round.  All of the panellists stressed the need to  successfully conclude the negotiations and, a number 
of them, the efforts of the WTO in becomi ng the strongest advocate for Aid for Trade. 
3. Funds in favour of Norway remaining in the trust fund, which was created for the 2006 Public 
Forum (TAPF1), were transferred to  the one for the 2007 event (TAPF2), with the donor's agreement.  
The European Communities also renewed its  contribution for this purpose in 2007. 
TDDA6 and TDDA7 – Doha Development Agenda Global Trust Fund 
 
4. Pursuant to the commitment contained in para graph 40 of the Doha Declaration, the Doha 
Development Agenda Global Trust Fund (DDAGTF) was established in December 2001 to finance 
technical assistance programmes and training activiti es 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 one single un-earmarked fund, so as to provide a 
solid and stable financial basis for the delivery of  a global programme.  As mandated by Members, the 
goals of the DDAGTF are to: enhance institutional a nd human capacity in beneficiary countries to 
address trade policy issues and concerns; help count ries mainstream trade into national development 
and poverty reduction policies; fac ilitate fuller participation of beneficiaries in the Multilateral 
Trading System; and encourage effectiv e participation in the negotiations. 
5. The technical assistance and training products ar e designed to ensure a realistic number of 
high quality activities, with expected durable eff ects.  The WTO undertakes activities, which have a 
comparative advantage and that fall within its ma ndate, hence WTO agreements and those areas that 
are directly part of the DDA negotiations.  It co-o perates and partners as much as possible with all 
relevant international bodies and agencies in order to deliver the TRTA in the most efficient ways, 
bearing in mind the specific competencies of each of the partner organizations. 
6. Technical assistance and training activities to be implemented under the DDAGTF are 
contained in annual technical assistance and training plans. 
7. These activities were organized under six main categories in the 2007 Technical Assistance 
and Training Plan (WT/COMTD/W/151) as follows: WT/BFA/W/169 
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  (a) General WTO-related technical assistance and training
 – training activities geared 
towards government officials with a broa d overall WTO responsibility and a general 
knowledge of the multilateral trading system.  The main purpose is to initiate officials 
to the rules and functioning of the WTO and/or to raise the general level of 
knowledge and provide opportunities for them to increase their skill. 
(b) Specialized and advanced technical assistance training  –  national/regional seminars  
and workshops as well as specialized c ourses geared towards the initiated and 
specialists/technicians.  The focus is on providing qualitative and in-depth training 
and enhancing skills that have a direct  practical value in implementing WTO 
agreements and enforcing rights and obligations. 
(c) 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 uni versity professors on WTO matters, support 
programs for doctoral students, programme for visiting academics, research collaboration and document dissemination for universities).  
(d) Support training and technical assistance facilities
 – a number of products and 
technical assistance facilities that are aimed at providing general and specific support to delegations and beneficiaries, both in the field and in Geneva. 
(e) E-learning.
 – the development of a comprehensive e-learning programme consisting 
of different types of IT-based techni cal assistance and training tools. 
(f) Other  – the human resources required to enable the Secretariat to implement the 
extra-budgetary activities under the DDAGTF, e.g. e-learning. 
8. The Committee on Budget, Finance and Admini stration recommended to the General Council 
a target amount of CHF 24 million for the DDAGTF in  2007, corresponding to the estimated costs of 
the activities contained in the Plan. 
9. The transfer of funds remaining from 2006 (CHF 7.5 million), as well as the voluntary 
contributions received in 2007 (CHF 18.7 million)  provided the Secretar iat with the necessary 
resources to implement the planned activities both at the national and regional levels.  Total 
expenditures amounted to CHF 18.7 million for the implementation of the main activities outlined below. 
10. Four regional trade policy courses were held in 2007.  They covered the African French- and 
English-speaking regions, Asia and the Pacific, the Caribbean and Latin America.  Organized in close 
partnership with local universities and academics from the region, each course ran over a three-month 
period and provided WTO-related capacity-building a nd training to officials from least-developed and 
other developing countries.   
 In addition, there were: 
 
- Eighteen regional and sub-regional short trade policy courses; 
- fifty-one topic-specific regional seminars (on Agriculture, Dispute Settlement, 
Government Procurement, Non-Agricu lture Market Access, Regional Trade 
Agreements, Rules, Sanitary and Pytosanita ry Measures, Services, Technical Barriers 
to Trade, Trade and Development, Trade and Environment, Trade Facilitation, Trade-
Related Aspects of Intellectual Property);  WT/BFA/W/169 
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  - twelve other specialized and advanced training activities; 
- three workshops for university professors;  and  
- seven Geneva-based topic-specific symposia.   
 Many of these activities were undertaken as part  of the partnership arrangements with other 
agencies and bodies that the WTO co-operates with. 
 
11. Activities dedicated to information tec hnology development in 2007 included the 
establishment or upgrading of 12 reference centers  and the free internet access and connectivity for 
least-developed countries. 
12. The e-learning programme, which began in 2005, was further developed in 2007.  In addition 
to the Introduction Courses, specialized courses on Technical Barriers to Trade, Agriculture, Trade 
Remedies, Sanitary and Phytosanitary Measures an d Trade-related Intellectual Property Rights were 
offered in English, French and Spanish. 
13. Five interns assuming the role of Regional Group Coordinators, other projects, in the form of 
support programmes for doctoral studies and research co llaboration with universities, as well as costs 
related to staff directly involved in the delivery of the technical assistance activities were also 
financed through the DDAGTF. 
14. The complete qualitative and quantitative overv iew of technical assistance and training 
activities undertaken in each year is presented by th e Secretariat to the Membership in the spring of 
the following year. 
TDOCS – Preservation and Enhanced Dissemination of GATT and WTO Documents  
 
15. The preservation of GATT documents in electr onic form began in 1988 and WTO documents 
were first posted on the Internet in 1996.  As a result of these efforts, certain GATT collections, 
including Uruguay Round documents and a number of other GATT documents, some dating back to 
1947, are accessible through Documents Online .  The quasi-totality of WTO documents are also 
available in Word format through the same application. 
16. While these initiatives represented a significant effort  on the part of the Secretariat to provide 
a useful service to the international community, the amount of work that remained to be completed for the effective preservation and dissemination of all existing GATT/WTO documents in electronic form was considerable.  To facilitate preservation and consultation, a large number of GATT documents 
still needed to be scanned, catalogued and verified for eventual inclusion in the permanent trilingual 
archive of the Secretariat. 
17. In 2007, a trust fund was created to pool res ources from donors to finance this project, which 
is of special relevance to the reference centers in developing and least-developed countries as they 
will be the main beneficiaries of the Documents Online  and a new service called Documents on Disc 
as a result of this initiative. 
18. In 2007, Spain and Italy provided funding for this  project.  The implementation is expected to 
start in early 2008. WT/BFA/W/169 
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  TES06 – Spain – Global Trust Fund – Technical Assistance Activities in Favour of Latin 
American and Caribbean Countries 
19. Since the creation of the DDAGTF, the annual voluntary contributions of Spain for selected 
activities implemented under the Global Trust Fund have  been established as separate trust funds.  In 
2007, with the agreement of the Donor, the remain ing funds were transferred to the DDAGTF to 
preserve the global nature of the programme.  Spai n's earmarking for Latin American and Caribbean 
countries is maintained under the Global Trust Fund. 
TFR03 – France -  Sanitary and Phyto sanitary (SPS) Related Activities  
 
20. Funds provided by France in 2005 are des tined for activities for capacity building and 
technical assistance to assist developing countries in trade and SPS measures.  To date, it has not been 
necessary to use the resources av ailable in this trust fund. 
TIF01 – Integrated Framework – Outreach Activities  
 
21. UNDP is the trustee of the Integrated Fram ework Trust Fund (IFTF) on behalf of the six 
Integrated Framework (IF) Agencies. (ITC, IM F, UNDP, UNCTAD, World Bank and WTO).  The 
WTO acts as the Secretariat to the Integrated Framework (IF). 
22. UNDP created a specific project, Integrated Framework Global Advocacy and Information 
Strategy, to allow the transfer of USD 100,000 from the IFTF in 2004.  
23. The project aims to enhance advocacy and pub lic awareness of the Integrated Framework 
initiative with activities focusing on the disseminati on and sharing of information, knowledge and 
lessons on trade mainstreaming experiences in partner LDCs.  The primary goal of the project is to 
generate a common and better unde rstanding of the IF's scope, process and methodology for trade 
mainstreaming into national development plans, incl uding poverty reduction strategies.  The project is 
also expected to help generate a better unders tanding of the development dimension of trade, 
especially with respect to the LDCs.  In this rega rd, the project will complement and reinforce least 
developed countries' own efforts to participate effectively in the global economy through solid 
partnership with development agencies, donors, a nd other stakeholders that will facilitate better 
informed global integration and cooperation. 
24. To date, it has not been necessary to use the r esources available in this trust fund.  Following 
the establishment of an Enhanced Integrated Framew ork Executive Secretariat at the end of 2007, it is 
expected that these funds will be used in 2008. 
TIF02 – Integrated Framework – Programme Implementation Unit 
 
25. Denmark, Switzerland and the United Kingdom provided the necessary resources for the 
establishment of the Integrated Framework Programme Implementation Unit (IF – PIU), thereby strengthening the Integrated Framework Secretariat.  The IF – PIU consists of a chief coordinator, a 
deputy coordinator and an administrative assistant,  whose salaries as well as other operating expenses 
are financed from this fund.  The incumbents of these posts took up their assignments during 2007. 
26. The IF – PIU is expected to be integrated into  the new structure of the Enhanced Integrated 
Framework Executive Secretariat in 2008.  WT/BFA/W/169 
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  TIF03 – Integrated Framework – Enhanced Executive Secretariat Start-up  
 
27. The adopted IF Task Force recommendations to  enhance the IF (WT/IFSC/W/15 and Corr.1) 
include a mandate to strengthen the existing IF Secr etariat by creating an IF Executive Secretariat led 
by an Executive Director.  The compilation of docum ents, which form the basis of the Enhanced IF, 
adopted by the IFWG and IFSC at their meeting on 1 May 2007 include, amongst others, the terms of 
reference of the IF Executive Secretariat and a j ob description for Executive Director of the Executive 
Secretariat.  They stipulate that the Executive Secr etariat shall be administratively housed in the WTO 
and that the modalities on providing WTO with the financial means to cover the costs of 
administratively housing the Executive Secretariat shall be put in place once the future Trust Fund 
Manager will be in place.  
28. Pending this, a temporary mechanism needed to  be put in place to allow funds to be 
channelled in a timely fashion from the existing IF Trust Fund to WTO to cover initial costs to start 
the set up of an operational Executive Secretariat as soon as possible. 
29. The temporary mechanism, i.e. the Start-up Pr oject, foresees the recrui tment of the Executive 
Director and a Grade 7 position as well as non-personnel items. 
30. In 2007, the first advance payment of UNDP's  contribution to the estimated budget was 
received.  At the end of 2007, the selection process for the Executive Director was underway. 
TIMM1 – Internship Programme for Selected Members' Mission in Geneva  
 
31. The purpose of this Programme is to create inte rnships for missions in Geneva aimed (a) to 
enhance their knowledge and unders tanding of the multilateral trading system and of trade policy in 
general;  (b) to strengthen the understanding of th e negotiation process at the WTO;  (c) and to 
support the mission in participating more actively in the daily activities at the WTO. 
32. The interns work in their own country Mission in  Geneva and not in the WTO Secretariat for 
a period of up to ten months and represent thei r respective country on selected WTO committees.  
This hands-on approach is expected to provide th em with stocktaking of the activities taking place at 
the WTO. 
33. The Programme is open to nationa ls of developing  and least-developed countries as well as 
economies in transition with a Geneva mission.  The required qualifications  include: (i) an 
appropriate economics, trade and/or law degree 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) operational 
familiarity with standard software packages.  Support function positions are not considered part of this 
programme. 
34. In 2007, contributions provided by Denmark a nd Ireland financed the cost of twenty-one 
internship contracts, of which, fifteen had started their assignments in 2006.  The contracts of five of 
them will run into 2008. 
35. The interns who were on board during 2007 were  from Benin, Kenya, Bangladesh, Nepal, 
Nicaragua, El Salvador (2), Lesotho (2), Ma li, Rwanda, Burundi, Cambodia, Guinea, Yemen, 
Mauritania, Nigeria, Mauritius, Mongolia, Bolivia and Uganda. WT/BFA/W/169 
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  TJIT2 – JITAP 
36. 2007 was the final year of implementation for phase II of the Joint Integrated Technical 
Assistance Programme (JITAP).  Therefore, activiti es centered on the consolidation of all initiatives 
undertaken under this phase of the programme for the period 2003-2006.  These included: 
assessments on the sustainability of Reference Centre s (RCs) and National Enquiry Points (NEPs) that 
were established in the countries; monitoring missi ons to all the JITAP countries; the provision of 
documentation related to Reference Centres and National Enquiry Points; as well as Focal Point 
support in the WTO. 
37. The JITAP II programme undertook Open Door weeks in all the JITAP countries, aimed at 
showcasing all the initiatives established by JI TAP under this phase.  The RCs and NEPs, 
established/strengthened under the leadership of WT O, were a major feature of the Open Doors. 
During the Open Door weeks, steps were agreed between the agencies and beneficiary countries on 
the sustenance of the JITAP initiatives, including the RCs and NEPs.   
38. Specific aspects undertaken in 2007 included the preparation of a final JITAP II report; and 
the development of a concept paper by the 3 agencies for a possible successor phase of the 
programme.  The end of programme reports were drawn up by each agency on the specific areas of 
their responsibility under JITAP, and then consolidated into a programme report. 
TMI06 – Ministerial Conference – Participation of Least-Developed Countries 
39. In order to facilitate the participation of least-developed countries at WTO Ministerial 
Conferences, trust funds are established to cover the travel costs of their delegates.  This fund was 
established for the 6
th Ministerial Conference held in Hong Kong, China from 13 to 
18 December 2005. 
40. Remaining balances in favour of the various don ors are carried forward to be used for the 
same purpose in the future. 
TNL05 – Netherlands Trainee Programme 
41. The Netherlands Trainee Programme was launche d on 1 April 2005 and will be completed by 
31 December 2008. 
42. This programme aims at capacity building to assist in the economic and social development 
of least-developed countries, low income countries and comparable poor and  vulnerable economies, with particular attention given to African countries,  in areas related to trade policy.  The Programme 
provides junior public officials with the opportunity to learn about matters dealt with in the WTO.  
Trainees work under the supervision of WTO staff members for a period of up to ten months.  
Selected candidates are assigned specific and well defined tasks.  They are also assigned tasks 
involving their own countries and including inter alia  national needs assessment for technical 
assistance requirements, assisting in the preparati on of Trade Policy Reviews, and providing support 
in the accession process. 
43. Three trainees who had started their assignmen t in 2006 completed their terms during 2007. 
Nine additional trainees joined the Programme during the course of the year bringing the total number 
of trainees who benefited from this Progr amme up to forty at the end of 2007. 
44. The trainees who were on board during 2007 were from Mali, Central Africa, Djibouti, 
Saint Lucia, Burkina Faso, Gambia, Madagasc ar, Guinea-Bissau, Yemen, Mali, Cambodia and 
Afghanistan.  WT/BFA/W/169 
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  TPS01 – Pre-shipment Inspection – Review Alcatel / SGS  
45. In 2005, the first pre-shipment inspection case w as brought to the Independent Entity.  Parties 
involved in the case were Alcatel and Société Générale de Surveillance SA.  The review was completed in 2005.  2006 saw the reopening of the same case for a second review, at the request of 
the parties.  The panel completed its review and submitted its report in 2006.  Funds remaining in 
favour of the parties were reimbursed and the fund was closed in 2007. 
TTFHR – Trade Facilitation – Human Resources  
46. The Trade Facilitation National Needs Assessme nts programme attracted the interest of 
several WTO Members and led to the decision to establish a trust fund dedicated to finance the 
technical assistance activities described therein. 
47. Due to the high level of interest of the recipients and the importance of conducting these 
activities for the trade facilitation negotiations, the Secretariat needed additional support staff for 
handling  administrative and logistical tasks, to en able  the delivery of the proposed activities within 
the allowed time frame and in the most efficient manner. 
48. The United Kingdom allocated part of its contribu tion this sub-project to cover the salary and 
salary-related costs of one short-term support staff at grade 7 for the duration of the project, i.e., 
2 years on a full-time basis. 
49. The incumbent of the post is expected  to start working in early 2008. 
TTFNA – Trade Facilitation Nati onal Needs Assessments  
 
50. The mandate for WTO negotiations on Trade Fac ilitation was adopted in July 2004.  Special 
and differential treatment and technical assistance and capacity building are integral parts of the 
negotiations and are linked to the final outcome.  The mandate encourages Members to assess their trade facilitation needs and priorities.  The importa nce of such assessments was also reiterated in the 
Hong Kong Ministerial Declaration.  Therefore,  the WTO Secretariat in cooperation with the 
Annex D organizations (IMF, OECD, UNCTAD, Wo rld Bank and WCO) is proposing a programme 
to provide technical assistance to  WTO Members and Observers, upon request, to conduct a national 
self assessment of their individual trade facilitation n eeds and priorities.  This programme is offered to 
all WTO Members and Observers that are deve loping countries, least-developed countries or 
countries that designate themselves as small,  low-income, or economies in transition. 
51. The individual assessments of trade facilitation needs and priorities of beneficiary countries 
are carried out in workshops that last for five working days and with the use of a special needs 
assessment guide that has been developed by th e World Bank with input from the other Annex D 
organizations.  
52. The long-term objective of the programme is to contribute to more effective participation of 
Members and Observers in the WTO trade facilitati on negotiations.  A needs assessment is expected 
to provide detailed information on technical a ssistance requirements of recipient countries and a 
valuable basis for the eventual implemen tation of any results of the negotiations. 
53. The programme implementation started in September 2007 and it  is to be reviewed within six 
months by the WTO Secretariat donors and recipients , and as necessary thereafter, in light of the 
status of the negotiations on Trade Facilitation and the results of the first national assessment 
workshops.  The planned duration of  the programme is two years to respond to approximately sixty WT/BFA/W/169 
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  requests.  However, the time necessary to impl ement the workshops will depend on the total number 
of requests for assistance received and on the amount  of in-kind and financial support provided. 
54. In 2007, nine national needs assessment wo rkshops were conducted in the following 
countries: Mexico, Bangladesh, Mauritius, Tanzan ia, Burundi, Paraguay, Uganda, Jordan and 
Honduras.  The workshop scheduled to be held in Pakistan was cancelled due to political unrest.  
Resources were pooled from the following eight dono rs: Chinese Taipei, Denmark, Ireland, Norway, 
Spain, Sweden, Switzerland and the United Kingdom. 
TTRTA – Strategic Review of WTO-Provided Technical Assistance Activities 
 
55. Donors to the various WTO technical assist ance and training activities emphasized the 
importance of getting independent views and reco mmendations,  which are usually not subject to 
ongoing internal evaluations, and pr ovided contributions for the Stra tegic Review of Trade Related 
Technical Assistance in 2005.  The consultancy firm, which was selected to conduct the Review, 
completed the work in 2006.  Funds remaining in  favour of the donors were either reimbursed or 
transferred to the DDAGTF with their agreement. 
TUS03 – United States – Sanitary and Phytosanitary (SPS) Related Activities 
 
56. Resources made available by the United States are to be used toward specific activities agreed 
upon with the donor. 
TWB01 – Standards and Trade Development Facility  
 57. The Standards and Trade Development Facility (S TDF) is a joint initiative of the Food and 
Agriculture Organization (FAO), The World Organiza tion for Animal Health (OIE), the World Bank, 
the World Health Organization (WHO) and the World Trade Organization (WTO).   
58. At the Doha Ministerial Conference held in Qa tar in November 2001, the Heads of the WTO, 
FAO, OIE, the World Bank and WHO committed their respective organizations to work together to 
strengthen the capacity of developing countries in meeting SPS standards.  The establishment of the 
Standards and Trade Development Facility (STD F) in September 2002 resulted from this joint 
commitment. 
59. The seed funding was provided by the World Bank.  The STDF attracted funds from the 
following donors: Australia, Canada, Denmark, Fr ance, Germany, Ireland, Italy, Netherlands, 
Norway, Sweden,  United Kingdom and United States. 
60. The STDF assists developing countries in complia nce with food safety, animal and plant 
health (sanitary and phytosanitary or SPS) measures in  international trade.  It has two main aims:  
(i) to assist developing countries enhance their expe rtise and capacity to analyze and to implement 
international SPS standards, so improving their human , animal and plant health situation, and thus 
ability to gain and maintain market access; and ( ii) to act as a vehicle for co-ordination among 
technical co-operation providers, the mobilization of  funds, exchange of expe rience and dissemination 
of best practice. 
61. The STDF is both a co-ordination and a fund ing mechanism.  It acts as a forum for 
co-ordination and information dissemination on S PS-related technical co-operation activities.  It 
provides funding for project development and for pr oject implementation.  Development grants turn 
good ideas into projects.  WT/BFA/W/169 
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  62. Implementation of a new five year Medium Term  Strategy for the STDF began in 2007.  The 
Medium Term Strategy sets out three main wo rk areas for the STDF: co-ordination, project 
development and project funding.  It places relativ ely more emphasis on the STDF developing into a 
center of good practice and coordination of SPS-rela ted technical assistance.  Operations in 2007 
reflected this change in emphasis. 
63. In relation to co-ordination in  2007, a programme of regional consultations was started to 
examine SPS capacity building needs and responses in three regions: Central America, the East 
African Community and a sub-group of ASEAN nati ons (Cambodia, Lao P.D.R., and Viet Nam).  The 
first stage of this programme was completed in 200 7 and the studies were presented at the Regional 
Review of Aid for Trade held in Peru, the Phili ppines and Tanzania in Se ptember 2007.  The second 
principle action in relation to co-ordination concer ned the continued tracking of flows of SPS-related 
technical assistance. 
64. On project development, the Medium Term Strategy placed importance on the use of project 
preparation grants (PPSs) to provide a basis for donor interventions and as a vehicle for mobilizing 
funds for projects developed by the STDF.  The Secret ariat started to participat e more actively in field 
missions to (a) improve the quality of PPGs and th e resultant projects, and (b) match outstanding 
requests for funding with available donor resources  in-country.  To stimulate the flow of PPGs, 
linkages with the Enhanced Integrated Fram ework are also being further strengthened. 
65. For project funding, the STDF relies on the servi ces of partner and obser ver organizations to 
implement and/or monitor projects.  To facilitate  this process, framework agreements have been 
agreed with FAO, the World Bank and ITC.     
EPSF1 – Programme Support Fund  
 
66. The Programme Support Fund (PSF) receives the 13 per cent overhead fees charged on direct 
costs in all the trust funds administered by the WTO.   According to its terms of reference, it should be 
used 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.  WTO shares part of the 
13 percent overhead fees charged to various trust funds that it manages with implementing partners. 
67. Ten per cent of the expenses in the PSF is statutorily credited back to the WTO regular budget 
as a token contribution in recognition of the fact that the Organization's resources are being used for the delivery of the technical assistance activ ities financed from the extra-budgetary funds. 
68. In 2007, expenses in the PSF corresponded mainly  to fixed and short-term contracts for 
professionals or support staff performing back -office duties relating to the delivery and the 
administration of technical assistance activities. 
69. The fixed and short-term contracts financed  from the PSF included the following positions: 
- Six support staff in the Budget and Contro l Section (Extra-Budgetary Funds Unit and 
Logistics Unit). 
- One support staff in Language Services and Documentation Division. 
- One support staff in the Medical Unit. 
- One support staff in the Human Resources Division. 
- 
Two support staff in the Informatics Division. 
- One support staff in the Finance Section. 
- One professional staff in Trade Policy Review Division. 
- One support staff in the Travel Unit. 
- Four support staff in the Institute for Training and Technical Cooperation. WT/BFA/W/169 
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  - Two professional staff in the Institute for Training and Technical Cooperation. 
- Three support staff in the Economic Research and Statistics Division. 
 
ES963 – 1996 Surplus – Legal Expert Services  
 70. Funds allocated from the 1996 WTO surplus to finance the costs related to providing legal 
advice and assistance in respect of dispute settle ment to developing country Members were fully 
expended and the fund was closed at the end of 2007. 
T0013 – Independent Entity – Pre-shipment Inspection – Deposits  
 71. Independent Entity (IE) is a mechanism for settling disputes between exporters and pre-
shipment inspection companies/ agencies, constituted by the WTO, International Chamber of 
Commerce (ICC) and International Federation of Inspection Agencies (IFIA) and established under 
Article 4 of the Agreement on Pre-shipment Inspection. 
72. Deposit payments from the following pre-shipme nt inspection companies have been received 
to cover the estimated costs of an independent re view in the event of a dispute as required by the 
terms of reference of the Agreement: Bureau Verit as International, Cotecna International Limited, 
Inspectorate Griffith Limited, Inchcape Testing Services International Limited. 
 WT/BFA/W/169 
Page 13 
 
 
   
    
 
    
 
    
 
  
EXTRA-BUDGETARY FUNDS 
 
FINANCIAL STATEMENTS 
 
AS AT 31 DECEMBER 2007 WT/BFA/W/169 
Page 14  
 
  STATEMENT 1 
Extra-Budgetary Funds 
Consolidated Assets and Liabilities 
As at 31 December 2007  
(in Swiss Francs) 
 
   
ASSETS  LIABILITIES  
    
Education Grant Advance 110,920.00 Reserve for 2007 obligations   
  outstanding as at 31 December 2007 2,848,874.18 
Travel Advance 2,552.40   
    
Advances to Implementing Partners 387,543.22 Held to the credit of donors 20,675,238.94 
  Table 5  
Miscellaneous Accounts R eceivable 194,722.68   
    
Publications Inventory 20,087.92   
    
Prepaid Expenditure 105,754.31   
    
WTO - General Fund 22,702,532.59   
    
TOTAL ASSETS 23,524,113.12 TOTAL LIABILITIES 23,524,113.12 
  WT/BFA/W/169 
 Page 15 
 
 
  STATEMENT 2 
Extra-Budgetary Funds 
Consolidated Income and Expenditure 
As at 31 December 2007  
(in Swiss Francs) 
 
    
EXPENDITURE   INCOME   
        
Fixed-term contracts - Salary 3,555,960.30 Contributions Current Year - Table 2 28,588,959.72 
Fixed-term contracts - Common staff costs 1,477,308.05     
Temporary assistance - Support Staff 1,718,848.94 Contribution Reimbursements (307,556.11) 
Temporary assistance - Translators 48,651.60     
Temporary assistance - Interpreters 143,246.52 Interest on Investments - Table 3 537,680.00 
Temporary assistance - Consultants 3,107,540.79     
Temporary assistance - Internships 1,150,506.50 Overheads - Table 4 2,904,285.37 
Temporary Assistance - Common Staff Costs 241,239.95     
Telecommunications 104,189.81 Overheads - Shared with Partners (440,127.58) 
Postal Charges 238,103.64     
Supplies - Office 27,518.82     
Supplies - Computing 167,979.11     
Supplies - Reproduction 33,119.34     
Supplies - Other 119,344.96     
Security Outsourcing 27,009.85     
Training - Staff 17,900.00     
Insurance 80,149.26     
Advertisement - Vacancies 40,683.29     
Rental Conference Room & Audio 277,716.51     
Air fares 6,351,236.18     
Subsistence 3,147,795.65     
Hotels 2,301,103.73     
Hospitality 9,711.70     
Publications 145,281.88     
Bank charges 16,683.12     
Meetings 230,525.98     
Other - Sponsoring 218,380.00     
Other - Miscellaneous 32,733.38     
Overheads - Charged 2,904,285.37     
Profit/Loss on exchange 6,660.72     
        
Total Expenses 27,941,414.95 Total Income 31,283,241.40 
Excess of Income over Expenditure for the year 3,341,826.45     
    
 WT/BFA/W/169 
Page 16  
 
  STATEMENT 3 
Extra-Budgetary Funds 
Held to the Credit of Donors 
as at 31 December 2007  
 (in Swiss Francs) 
 
 
  
    
    
Balance due to Donors as at 1 January 2007 17,333,412.49
Table 5   
    
Excess of income over expenditure for the year 3,341,826.45
    
    
TOTAL 20,675,238.94
  
 
  
 
  WT/BFA/W/169 
 Page 17 
 
 
  EXTRA-BUDGETARY FUNDS 
FINANCIAL OVERVIEW – 2007 
  
73. Table 1 synthesizes the financial situati on of all the extra-budgetary funds as at 
31 December 2007. 
74. The Secretariat prepares a detailed financial statement of accounts for each individual trust 
fund.  These reports are submitted to the donors and contain factual information including date, type, 
location, beneficiaries and subject of events with regard to the activities undertaken or under way with 
the financial support of the voluntary contributions. 
75. In 2007, total voluntary contributions received amounted to CHF 28,588,959.72 (Table 2).  
The total amount of interest earned was CHF  537,6 80 (Table 3).  Overheads charged at 13 per cent 
on the direct costs incurred in the trust f unds amounted to CHF 2,904,285.37, of which, 
CHF 440,127.58 was shared with other implementing partners, leaving net resources of CHF 2,464,157.79 in the Programme Support Fund (Table 4). 
76. Expenditures incurred in all the trust funds totalle d CHF 27, 941,414.95 (Table 1) for the year 
2007. 
77. As at 31 December 2007, balances held to the cred it of donors in all the funds entrusted to the 
WTO amounted to CHF 20,675,238.94 (Table 5). 
78. The following funds were closed at the end of  2007 and the remaining balances were either 
reimbursed or transferred to other funds: 
TAPF1 – Annual Public Forum 2006 
TDDA6  – 2006 Doha Developmen t Agenda Global Trust Fund 
TES06  –  Spain – GTF TPS01  –  Pre-shipment Inspection Review TTRTA  –  Strategic Review of TRTA 
 
79. Resources available in the following fund have been  fully used and closed at the end of 2007: 
ES963 – Legal Fund (from 1996 Surplus) 
  
  WT/BFA/W/169 
Page 18 TABLE 1 
 
Extra-Budgetary Funds – Financ ial Situation Overview - 2007 
 (in Swiss Francs) 
 
              
Fund 
Code Donors Fund Balance on
1 Jan 2007 Transfers 
Between 
Funds Contributions 
Received Interest Contributions 
Reimbursed Total Funds Expenditure Overhead 
Fees Total 
Expenditure Balance 31 
Dec 2007 Note 
                
TRUST FUNDS             
TAPF1 EC / Norway Annual Public Forum 2006 231,718.59 (183,713.07)     (48,005.52) -         -  (1) 
TAPF2 EC / Norway Annual Public Forum 2007   183,713.07 156,940.00 1,162.70   341,815.77 190,214.16 24,727.84   214,942.00 126, 873.77   
TDDA6 WTO Members DDAGTF - 2006 7,266,603.96 (7,266,603.96)    -   -   -   -  (1) 
TDDA7 WTO Members DDAGTF - 2007   7, 547,766.47  18, 701,870.90 21 2,821.39   26, 462,458.76 16, 534,551.03 2, 149,491.63  18,684,042 .66 7,778,416.10   
TDOCS Spain/Italy GATT and WTO Documents    476,560.00 8,886.86    485,446.86   -   -   485,446.86   
TES06 Spain GTF  224,767.56 (224,767.56)    -   -   -   -  (1) 
TFR03 France SPS Related Activities 79,102.16    2,761.51    81,863.67   -   -  81,863.67   
TIF01 UNDP IF - Outreach  Activities 128, 165.74    4,474.35   132,640.09   -   -  132,640.09   
TIF02 Denmark / Switzerland / UK IF - PIU 1,702,791.40   200,000.00  53,010.69   1,955,802.09  558,861.78  72,652.03   631,513.81  1,324,288.28   
TIF03 Integrated-Framework-UNDP IF Enhanced Secretariat Start-up     418,524.00  4,614.35   423,138.35 37,662.43 4,896.12   42,5 58.55  380,579.80   
TIMM1 Denmark / Ireland Internship Programme - Missions 705,560.00   200,520.00 9,387.24   915,467.24 496,003.20  64,480.42  560,483.62  354,983.62   
TJIT2 ITC JITAP II  91,465.11   485,216.25 14,182.90    590,864.26 187,149.33 24,329.41  211,478.74  379,385.52   
TMI06 WTO Members 6th Min. Conference, Hong Kong 958,183.38     29,687.17  (226,844.39) 761,026.16   -   -  761,026.16   
TNL05 Netherlands Trainee Programme 155,316.43   850,000.00 5,369.92    1,010,686.35 505,988.47  65,778.50   571,766.97 438,919 .38   
TPS01 Alcatel / SGS Pre-shipment Inspection-Review 16,290.74      (16,290.74) -   -   -  -  (1) 
TTFHR UK Trade Facilitation - Human Res.    59,925.00  527.30   60,452.30   -   -  60,452.30   
TTFNA WTO Members Trade Facilitation     1,831,797.63  12,597.95  - 1,844,395.58  213,550.27 27,761.54  241,311.81  1,603,083.77   
TTRTA WTO Members Strategic Review of TRTA 72,810.41 (56,394.95)   (16,415.46) -     -   -   -  (1) 
TUS03 United States  SPS Related Activities 4,541.31   12,200.00  584.45     17,325.76    -   -  17,325.76   
TWB01 WB and WTO Members  STDF on SPS 4,186,525.81  5,177,905.94  177,611.22    9,542,042.97 3,616,676.00 470,167.88  4,086,843 .88  5,455,199.09   
                        
TOTAL TRUST FUNDS   15,823,842.60  (0.00) 28,571,459.72   537,680.00  (307,556.11)  44,625,426.21 22,340,656.67  2,904,285.37 25,244,942.04 19,380,484.17   
            
OTHER EXTRA-BUDGETARY FUNDS          
EPSF1   Programme Support Fund 1,418,363.89 (440,127.58) 2,904,285.37      3,882,521.68  2,675,837.37   2,675,837.37 1,206,684.31  (2)(3) 
ES963   Legal Fund (from 1996 Surplus)  20,658.74        20,658.74 20,658.74  -   20,658.74  -  (1) 
T0013   IE - Preshipment Inspection  70,547.26   17,500.00      88,047.26  (23.20)  -   (23.20)  88,070.46   
TOTAL OTHER EXTRA-BUDGETARY FUNDS 1,509,569.89 (440,127.58) 2,921,785.37  -  -  3,991,227.68 2,696,472.91  -   2,696,472.91  1,294,754.77   
                         
GRAND TOTAL    17,333,412.49 (440,127.58) 31,493,245.09   537,680.00  (307,556.11)  48,616,653.89 25,037,129.58  2,904,285.37 27,941,414.95  20,675,238.94   
 
(1)  Funds closed in 2007.   (2)  PSF - Contributions received = resour ces derived from 13%  overheads charged. 
(3)  PSF - Transfers represent part of the 13% shared with implementing partners. 
 
  
  WT/BFA/W/169 
 Page 19 
 
 
  TABLE 2 
Extra-Budgetary Funds 
Voluntary Contributi ons Received in 2007  
 (in Swiss Francs ) 
 
Fund Donor CHF 
Annual Public Forum  European Commission   156,940.00 
DDAGTF Austria 320,780.00   
  Australia 735,875.00   
  Canada 415,000.00   
  Czech Republic 87,265.11   
  Germany 1,627,000.00   
  Denmark 758,026.50   
  Estonia 32,038.08   
  Spain 573,650.00   
  European Commission 1,669,450.00   
  Finland 619,500.00   
  Hong Kong 300,000.00   
  Ireland 1,000,700.00   
  Iceland 60,000.00   
  Italy 607,840.00   
  Japan 525,913.00   
  Korea 427,000.00   
  Liechtenstein 40,000.00   
  Luxembourg 722,250.00   
  Latvia 11,200.00   
  Netherlands 1,395,349.00   
  Norway 1,994,414.44   
  New Zealand 234,450.00   
  Romania 165,200.00   
  Sweden 2,852,720.17   
  Turkey 60,000.00   
  United States 1,123,663.60   
  Lithuania 220,000.00   
  Japan 122,586.00   
      18,701,870.90 
Preservation of GATT and WTO Documents  Spain 427,000.00   
  Italy 49,560.00   
      476,560.00 
Integrated Framework -PIU Switzerland   200,000.00 
Enhanced IF Executive Secretariat  UNDP   418,524.00 
Internship Programme Ireland   200,520.00 
JITAP II ITC   485,216.25 
Netherlands Trainee Programme Netherlands   850,000.00 
Trade Facilitation Human Resources   United Kingdom   59,925.00 
Trade Facilitation National Needs As sessments Switzerland 200,000.00   
  Denmark 442,266.00   
  Spain 154,782.24   
  Ireland 247,800.00   
  Norway 308,864.41   
  Sweden 356,159.98   
  Chinese Taipei 62,000.00   
  United Kingdom 59,925.00   
      1,831,797.63 
SPS Related Activities United States 12,200.00 12,200.00 
STDF on SPS Canada 415,000.00   
  Germany 247,350.00   
  Denmark 758,026.50   
  Ireland 334,200.00   
  Italy 328,700.00   
  Norway 205,909.61   
  Sweden 1,399,219.83   
  United Kingdom 1,187,500.00   
  United States 302,000.00   
      5,177,905.94 
      28,571,459.72 
Pre Shipment Inspection - Deposit Account  So ciéte Générale de Surveillance   17,500.00 
TOTAL     28,588,959.72 
 WT/BFA/W/169 
Page 20  
 
  TABLE 3 
Extra-Budgetary Funds 
Interest Earned in 2007  
 (in Swiss Francs) 
 
Fund Donor CHF 
Annual Public Forum  European Commission 131.80   
  Norway 1,030.90   
      1,162.70 
DDAGTF Austria 4,542.85   
  Australia 7,992.44   
  Canada 6,666.62   
  Switzerland 29.68   
  Czech Republic 811.09   
  Germany 25,703.09   
  Denmark 12,516.78   
  Estonia 36.79   
  Spain 6,927.77   
  European Commission 2,692.51   
  Finland 256.88   
  France 4,306.87   
  Hong Kong 2,621.88   
  Ireland 4,783.19   
  Iceland 819.81   
  Italy 2,833.40   
  Japan 8,467.15   
  Korea 4,103.75   
  Liechtenstein 442.72   
  Lithuania 1,761.31   
  Luxembourg 8,228.64   
  Latvia 2.86   
  Netherlands 21,445.50   
  Norway 27,380.41   
  New Zealand 1,631.63   
  Romania 68.50   
  Sweden 31,549.35   
  Turkey 409.55   
  Chinese Taïpei 842.10   
  United Kingdom 9,499.36   
  United States 13,446.91   
      212,821.39 
Preservation of GATT and WTO 
Documents  Spain 8,862.25   
  Italy 24.61   
      8,886.86 
SPS Related Activities  France 2,761.51 2,761.51 
Integrated Framework - Outreach  UNDP 4,474. 35 4,474.35 
Integrated Framework -PIU Switzerland 11,380.40   
  Denmark 17,190.31   
  United Kingdom 24,439.98   
      53,010.69 
(cont'd)  WT/BFA/W/169 
 Page 21 
 
 
   
Fund Donor CHF 
Enhanced IF Executive Secretariat  UNDP 4,614.35 4,614.35 
Internship Programme Denmark 4,829.40   
  Ireland 4,557.84   
      9,387.24 
JITAP II ITC 14,182.90 14,182.90 
LDCs Ministerial Conference Austria 770.51   
  Australia 289.44   
  Canada 3,166.92   
  Switzerland 339.12   
  Denmark 5,072.09   
  Ireland 1,711.47   
  Iceland 494.03   
  Japan 1,083.28   
  Luxembourg 186.88   
  Norway 1,983.73   
  Sweden 10,069.64   
  Chinese Taipei 808.60   
  United Kingdom 3,711.46   
      29,687.17 
Netherlands Trainee Programme Netherlands 5,369.92 5,369.92 
Trade Facilitation Human Resources  United Kingdom 527.30 527.30 
Trade Facilitation National Needs 
Assessments  Switzerland 560.61   
  Denmark 1,106.87   
  Spain 3,532.87   
  Ireland 198.46   
  Norway 340.12   
  Sweden 5,419.52   
  Chinese Taipei 1,067.56   
  United Kingdom 371.94   
      12,597.95 
SPS Related Activities United States 584.45 584.45 
STDF on SPS Australia 1,407.95   
  Canada 11,463.69   
  Germany 9,621.08   
  Denmark 46,992.03   
  France 744.67   
  Ireland 1,368.44   
  Italy 3,574.52   
  Netherlands 17,772.71   
  Norway 162.71   
  Sweden 29,587.30   
  United Kingdom 43,881.99   
  United States 7,975.47   
  World Bank 3,058.66   
      177,611.22 
TOTAL     537,680.00 WT/BFA/W/169 
Page 22  
 
  TABLE 4 
Extra-Budgetary Funds 
Overhead Fees in 2007 
 (in Swiss Francs) 
 
   
Fund CHF 
      
TAPF2  Annual Public Forum 2007 24,727.84 
TDDA7  Doha Development Agenda Global Trust Fund 2,149,491.63 
TIF02  Integrated Framework - Programme Implementation Unit 72,652.03 
TIF03 Integrated Framework - Enhanced Secretariat Start-up 4,896.12 
TIMM1 Internship Programme - Missions 64,480.42 
TJIT2 JITAP II 24,329.41 
TNL05 Netherlands Trainee Programme 65,778.50 
TTFNA Trade Facilitation National Needs Assessments 27,761.54 
TWB01 Standards and Trade Development Facility 470,167.88 
      
Total overheads charged to various trust fund 2,904,285.37 
      
Overheads shared with implemen ting partners -440,127.58 
      
Net resources - Programme Support Fund 2,464,157.79 
   
 
  WT/BFA/W/169 
 Page 23 
 
 
  TABLE 5 
Extra-Budgetary Funds 
Detail of Balances Held to the Credit of Donors 
As at 31 December 2007 
 (in Swiss Francs) 
 
    
Fund Donor CHF 
Programme Support Fund WTO Members 1,206,684.31 1,206,684.31 
Pre Shipment Inspection - Deposit Account  Bureau Veritas International Ltd. 17,664.52   
  Cotecna International Ltd. 17,570.98   
  Inspectorate Griffith  Ltd. 17,665.83   
  Inchcape Testing Services Int. Ltd 17,664.51   
  Société Général de Surveillance 
S.A. 17,504.62   
      88,070.46 
Annual Public Forum  European Commission 73,221.10   
  Norway 53,652.67   
      126,873.77 
DDAGTF Austria 142,264.72   
  Australia 275,754.25   
  Canada 208,482.25   
  Czech Republic 36,586.80   
  Germany 843,719.61   
  Denmark 352,076.54   
  Spain 380,929.81   
  Finland 192,715.85   
  France 116,688.94   
  Hong Kong 94,101.47   
  Ireland 398,953.54   
  Iceland 31,591.62   
  Italy 235,246.53   
  Japan 313,291.73   
  Korea 166,995.76   
  Lithuania 55,610.09   
  Luxembourg 240,219.81   
  Netherlands 624,907.52   
  Norway 886,655.67   
  New Zealand 79,857.15   
  Romania 51,390.89   
  Sweden 1,242,399.65   
  Chinese Taipei 22,815.60   
  United Kingdom 257,372.38   
  United States 527,787.92   
      7,778,416.10 
Preservation of GATT and WTO 
Documents  Spain 435,862.25   
  Italy 49,584.61   
      485,446.86 
SPS Related Activities  France 81,863.67 81,863.67 
Integrated Framework - Outreach Activ ities UNDP 132,640.09 132,640.09 
Integrated Framework -PIU Switzerland 359,764.00   
  Denmark 398,279.07   
  United Kingdom 566,245.21   
      1,324,288.28 
(cont'd)WT/BFA/W/169 
Page 24  
 
   
Fund Donor CHF 
Enhanced IF Executive Secretariat  UNDP 380,579.80 380,579.80 
Internship Programme Denmark 73,389.29   
  Ireland 281,594.33   
      354,983.62 
JITAP II ITC 379,385.52 379,385.52 
LDCs Ministerial Conference Austria 21,166.17   
  Australia 7,951.15   
  Canada 86,996.73   
  Switzerland 9,315.84   
  Denmark 139,332.57   
  Ireland 47,014.83   
  Iceland 13,571.15   
  Japan 29,758.10   
  Luxembourg 5,133.69   
  Sweden 276,617.62   
  Chinese Taipei 22,212.68   
  United Kingdom 101,955.63   
      761,026.16 
Netherlands Trainee Programme Netherlands 438,919.38 438,919.38 
Trade Facilitation Human Resources  United Kingdom 60,452.30 60,452.30 
Trade Facilitation National Needs 
Assessments  Switzerland 179,763.74   
  Denmark 397,397.91   
  Spain 91,839.18   
  Ireland 222,282.59   
  Norway 277,141.98   
  Sweden 324,085.99   
  Chinese Taipei 56,527.85   
  United Kingdom 54,044.53   
      1,603,083.77 
SPS Related Activities United States 17,325.76 17,325.76 
STDF on SPS Australia 31,600.10   
  Canada 307,496.37   
  Germany 290,938.30   
  Denmark 1,079,701.31   
  France 0.00   
  Ireland 192,432.71   
  Italy 240,451.10   
  Netherlands 398,891.71   
  Norway 118,172.78   
  Sweden 1,323,553.18   
  United Kingdom 1,147,204.37   
  United States 256,108.56   
  World Bank 68,648.60   
      5,455,199.09 
TOTAL     20,675,238.94 
    
 
  WT/BFA/W/169 
 Page 25 
 
 
  REPORT OF THE EXTERNAL AUDITORS ON THE ACCOUNTS OF  
THE EXTRA-BUDGETARY FUNDS 
  
80. The WTO Extra-Budgetary Funds are admini stered within the WTO accounting system 
but kept separately from the regular budgetary fu nds and identified as Company 3.  The donors 
receive individual year-end statements  for the relevant funds provided. 
81. The total assets and liabilities amount to CHF 23,524,113.12 and are disclosed in the 
Consolidated Assets and Liabilities as at 31 December 2007 (Statement 1). The main asset amount of CHF 22,702,532.59 relates to the WTO General Fund and is administered by WTO on 
behalf of the donors. The amount held to the credit of donors as at 31 December 2007 of 
CHF 20,675,238.94 contains the excess of income  over expenditure for 2007 amounting to 
CHF 3,341,826.45 and is disclosed in the cons olidated Income and Expenditure Statement 
(Statement 2). 
82. The total expenditures as at 31 December 2007 amount to CHF 27,941,414.95.  The 
expenditures are covered by voluntary contribut ions, interest earned and overhead fees of 
CHF 31,283,241.40. 
Overhead fees
 
 83. In document WT/BFA/21 the Committee on Budget, Finance and Administration 
recommends to the General Council that: 
• If WTO is the sole implementing organisation fo r a trust fund, a standard overhead rate of 
13 per cent on the trust fund expenditures will be charged. 
 
• If implementing partners are involved, WTO w ill charge a standard overhead  rate of 
13 per cent of the expenditures of the part of the trust fund that WTO itself implements.  The overhead cost for the remaining amount of the trust fund will be charged by the other 
implementing partner(s) at the rate that is normally applied in its/their accounting 
system(s) with regard to trust funds. 
 
84. The External Auditor noted that the overhead  fees charged on the trust fund expenditures 
are not always spread equally among the donors as for one specific donor a reduced percentage of 
overhead rate is applied.   
Donor balance less than CHF 20,000
 
 85. The External Auditor noted that for ongoing multi-donor funds, balances in favour of 
each donor are apportioned based on the funds contri buted by each donor.  The External Auditor 
was informed that funds are to be considered as fully used in cases where the remaining balance 
of a donor is less than CHF 20,000. In this case,  the remaining balance is apportioned amongst the 
other donors. 
86. The External Auditor recommends that this  actual practice should be properly approved 
and documented (e.g. in the Statement of Significan t Accounting Policies which is enclosed as an 
Annex to the DG`s Report on Extra Budgetary Funds).  WT/BFA/W/169 
Page 26  
 
  Follow-up on previous years recommendations
 
 
Implementation of International Public  Sector Accounting Standards (IPSAS)  
 87. The External Auditor has been informed that an IPSAS project has been initiated at WTO 
level.  The scope of this project will also include the accounting for Extra Budgetary Funds.  
External Strategic Review of WTO-provided TRTA activities
 
88. An external strategic review of WTO-provided trade-related technical assistance (TRTA) 
activities has been performed by a consortium and focused on the management and efficiency and 
relevance of TRTA activities.  A report (WT/ COMTD/W/152) has been submitted to a Steering 
Committee in 2006 and highlights a number of fi ndings, lessons learned and recommendations.   
89. The External Auditor noted that no action pl an has been establishe d to address the issues 
raised in the report. 
Unused air tickets  
90. The no-show of participants where air tickets  have been made available but not used 
results in irrecoverable costs which have to be born by the EBF (in 2006 one third of the purchase 
value of the unused flight tickets was not recoverable).  
91. The External Auditor recommended to disclo se the receivable and the irrecoverable 
amounts relating to unused air ticket in the Ex tra-Budgetary Fund`s financial statements.  
92. The External Auditor was inform ed that the Secretariat is in the process of establishing a 
procedure to disclose the cost of unused air tickets. 
Co-financed trainings  
93. In case trainings are organized by an inte rnational partner but co-financed by WTO 
payments are done based on statements of account s provided by the organizing partner.  The 
External Auditor recommended that supporting docum entations (e.g. copies of flight tickets) 
should be provided to evidence the accuracy of the costs charged to Extra-Budgetary Funds in 
order to be able to perform a proper control.  
94. The External Auditor was informed that during 2007 five co-financed training course 
were organised of which: 
• For one training course an on-site review of  one staff member from the Extra-Budgetary 
Funds Unit was performed;  and 
• for another  training course supporting documents have been provided. 
95. The External Auditor noted that pr ogress has been achieved during 2007.   
 
(signed) 
_________________________________________ 
 
Josef Moser 
 
President of the Austrian Court of Audit 
  WT/BFA/W/169 
 Page 27 
 
 
  ANNEX 
 
STATEMENT OF SIGNIFICAN T ACCOUNTING POLICIES 
  
1. Financial and accounting records of the trust f unds are maintained in conformity with the 
WTO Financial Rules and Regulations, as adopt ed by the General Council (WT/GC/M/82). 
2. The financial period consists of one calendar year. 
3. Expenditure is accounted for on accrual basis. 
4. The accounts are maintained in Swiss francs.   Wherever applicable, conversion of 
currencies are made in conformity with WTO practices. 
5. Gains or losses on exchange are added to or deducted from expenditures. 
6. A reserve is maintained for all outstanding ob ligations at the end of the financial year. 
7. Commitments are entered for the entire amount of outstanding obligations identified as 
such. 
8. Overhead fees equivalent to 13 per cent of the direct cost of the activity financed with the 
support of the Donor are charged to the trust funds  in accordance with the decision of the General 
Council reported in WT/GC/M/32. 
9. Interest earned on the Donor's contributi on is shown in the fi nancial reports and 
statements of accounts. 
 
 
    
 
  (signed) (signed)  
________________________   _______________________ 
 Pascal Lamy Robert Luther 
 Director-General Director 
  Administration and General Services Division   
__________