RESTRICTED  WORLD TRADE  
ORGANIZATION  WT/BFA/101 
7 December 2007 
 (07-5444) 
Committee on Budget, Finance and Administration  
 
 
 
 
REPORT OF THE MEETINGS HELD ON  6, 13, 22, 28 NOVEMBER AND 
4 DECEMBER 2007 
  
1. The WTO Committee on Budget, Finance and Administration met on 6, 13, 22 and 
28 November and 4 December 2007 under the chairman ship of Mr. Tony Lynch of New Zealand.  
The terms of reference and composition of the Co mmittee are set out in document WT/L/44/Rev.1.  
The agenda contained in document WTO/AIR/3102 was adopted.  
I. FINANCIAL MATTERS 
A. D
IRECTOR -GENERAL 'S BUDGETARY AND FINANCIAL REPORT FOR 2006  AND REPORT OF THE 
EXTERNAL AUDITOR THEREON  
2. A member of the Secretariat presented document WT/BFA/W/157 and informed the 
Committee that the year 2006 had ended with an accumulated surplus of some CHF 7 million, compared to a deficit of CHF 0.3 million at the end of 2005.  This surplus was composed of a decrease of the provision for contributions in arre ars of CHF 3.4 million and a budgetary surplus 2006 
of CHF 3.9 million, which was reduced by the defi cit balance of CHF 0.3 million carried over from 
2006 and a write-off for irrecoverable publi cations invoices of CHF 0.02 million. 
3. Overall, income had exceeded expenditure in 2006 by CHF 3.9 million, comprising a 
budgetary saving of CHF 2.5 million and an excess  of income over the estimated miscellaneous 
income of CHF 1.4 million.  The above-men tioned budgetary saving included a saving of 
CHF 1.9 million under the WTO Secretariat resulting from (i) an over-spending in 'Temporary 
Assistance' of CHF 1.8 million, offset by an  under-spending under 'S taff Work Years' of 
CHF 2 million, which resulted in a saving on personne l-related costs of CHF 0.2 million;  (ii) a saving 
on administrative costs of CHF 0.582 million and;  ( iii) an additional saving on 'Part C – Other' of 
CHF 1.2 million.  The saving under the budget of th e Appellate Body amounted to CHF 0.6 million.  
Customary transfers between sections were requested to cover over-expenditure in certain sections by 
budgetary savings in others.  It was further explaine d that the closing balance of the Appellate Body 
Operating Fund (ABOF) amounted to CHF 0.5 m illion after recording expenditure for 2006 of 
CHF 1 million and interest earned of CHF 0.04 million. 
4. The Committee was further informed  that the report of the External Auditors had covered a 
number of issues, including the question of accounti ng practices for unused air-tickets for training 
programmes, procurement, overtime and International Public Sector  Accounting Standards (IPSAS).  
The audit report also included an up-date on prev ious audit items such as US taxes, the Cancun 
Ministerial Conference, After Service Health Bene fits, the WTO Pension Plan, Internal Oversight, 
WTO Publications Unit, outstanding contributi ons from Former Yugoslavia and the central IT-
database. WT/BFA/101 
Page 2  
 
  B. R
EPORT ON EXTRA -BUDGETARY FUNDS FOR 2006 
5. The report on Extra-Budgetary-Funds for 2006 (document WT/BFA/W/158) was also 
presented, providing detailed information on all extr a-budgetary funds in the WTO, both in aggregate 
and on a fund-by-fund basis. 
6. The Committee took note of the reports and recommends to the General Council the 
approval of  the transfers between budgetary sectio ns as outlined in paragraphs 41 and 47 of 
document WT/BFA/W/157.  The Committee furt her recommends that the General Council 
approve the audited accounts for 2006 and convey to  the external auditor their thanks for the 
valuable assistance provided in the audit of these accounts.  
C. USE OF 2006  SURPLUS  
7. The Committee recommends to the General Coun cil that the credit balance in the 2006 
Surplus Account amounting to CH F 6,996,223 be utilized as follows : 
(a) CHF 1,500,000 will be made available fr om the credit balance in the 2006 
Surplus Account to finance the restructurin g plan in 2008.  The plan is to be 
finalized by 1 July 2008 and implemen tation completed by 31 December 2008,  
after which any un-used funds will be returned to the WTO accounts;  and  
(b) CHF 5,496,223 will be used in accordance with Financial Regulation 26, 
paragraph 3, in application as income against the budget for 2008, thereby 
reducing Members' contributions.  
II. ACCESSION OF TONGA 
8. The Chairman introduced document WT/B FA/W/161 concerning the assessment of 
contribution on the Kingdom of Tonga. 
9. Consequent to the accession to the WTO of  the Kingdom of Tonga on 27 July 2007, the 
Committee decided to make the following recommendation to the General Council:  The Committee 
recommends to the General Council that a pro ra ta contribution to the 2007 budget amounting 
to CHF 11,720 be assessed on the Kingdom of To nga.  This assessment, calculated as from 
27 July 2007, is based on an annual contributio n of 0.015 per cent, taking into account the 
international trade figures (imports plus expo rts in goods, services and intellectual property 
rights) of Tonga for the years 2001-2002.  Furthermo re, on the basis of the level of the Working 
Capital Fund of CHF 9,426,205, the Committee re commends to the General Council to assess an 
amount of CHF 47,131 on the Government of the Kingdom of Tonga as an advance to the Fund.   WT/BFA/101 
 Page 3 
 
 
  III. DIRECTOR GENERAL'S  PROPOSALS FOR THE BIENNIUM 2008-2009 
10. The Director General addressed the Committee and pointed out that the budget proposals 
were quite conservative, with an  increase in resources of 1.92 per cent for 2008 and 2.95 per cent for 
2009.  He explained that the average annual increase had been 5.25 per cent since 1995. The 
5.44 per cent increase for the biennium 2008/2009 over the biennium 2006/2007 was rather low, in 
comparison to the average of 10.26 per cent over the last 12 years. 
11. The Director-General outlined four main items included in the budget proposal:  (i) two new 
posts for Dispute Settlement activity, which had in creased significantly both in terms of volume and 
complexity;  (ii) the up-grade of the informatics plat form in order to ensure that the Organization had 
the basic infrastructure to handle the expanding re quirements as well as to continue enhancing 
productivity throughout the WTO, sta ggered over two years;  (iii) the completion of the training and 
staff development programme started in the previous  biennium in order to provide adequate training 
resources to the staff;  and  (iv) additional measures in order to assure an adequate level of security for 
the WTO.  The Director-General also expressed his wi sh to reserve the possibility of using the process 
of revision to the second year of the biennium in order to take account of the developments which 
may emerge from the Doha Round.  
12. Several Members welcomed the proposal of the Director-General and appreciated the efforts 
made by the Secretariat resulting in a quite modest increase in resources. 
13. As requested, the Secretariat prepared a nd distributed documents CRP((07)21 'Training 
Biennium Budget 2008-2009' and CRP(07)25 'Coachi ng and Competencies', providing information on 
the different training programmes as well as the training strategy, which focussed primarily on 
(i) senior management development including the impl ementation of the competency framework;  (ii) 
collective development including the identification of specific targets by Division;  (iii) individual development in order to develop technical and managerial skills of staff and;  (iv) the 360
o assessment, 
providing feedback on the managerial capability of the WTO. 
14. Following further discussions, the Secretar iat provided documents CRP(07)26 'Training 
Budget for 2008, spread across 2008 and 2009' an d CRP(07)27 'Learning Activities and Feedback' 
including further details of the planned training programmes and the evaluation of past activities.  
Document CRP(07)26/Rev.1 then included a re-s pread of expenditure across 2008 and 2009 as well 
as a reduction of CHF 100,000 for the training activities planned for 2008. 
15. With respect to IT, a member of the Secretar iat presented document CRP(07)22 providing an 
overview of the new projects identified for 2008/200 9 as well as information on the migration to the 
new WTO IT environment.  With regard to the l ast main item of the budget proposals, the Secretariat 
submitted document CRP(07)24 'WTO Security En hancement Status as of November 2007' and a 
presentation of the security budget proposal 2008/2009 by budget line. 
16. Finally, a revised budget proposal was worked out by the Secretariat, including an increase of 
1.6 per cent for 2008 and 3.18 per cent in 2009, with reductions in both years with respect to the 
training programme and an adjustment of the reta iner and daily fees of the Appellate Body Members 
which was lower than originally proposed. 
17. Members accepted the revised 2008-2009 proposal . Generally, Members considered the 
budget to be moderate and welcomed the approach  that the Director-General had taken in his 
proposals. 
18. The Committee also welcomed the return of so me CHF 5.5 million to Members in application 
of Financial Regulation 26, para graph 3, which would have the effect of lowering Members' 
contributions to the 2008 budget. WT/BFA/101 
Page 4  
 
  B. B
UDGET ESTIMATES FOR 2008 
19. The Committee submits to the General Co uncil for consideration and approval the 
following draft resolution on the expenditure of  the World Trade Organization in 2008 and the 
ways and means to meet such expenditure . 
 
DRAFT RESOLUTION ON THE REVISED EXPENDITURE OF THE  
WORLD TRADE ORGANIZATION IN 2008  AND THE WAYS  
AND MEANS TO MEET SUCH EXPENDITURE  
  
The General Council, 
 HAVING CONSIDERED,   The Estimates of expenditure of the Secretar iat of the World Trade Organization for 2008 
(CHF 180,483,300) and for the Appellate Body a nd its Secretariat for 2008 (CHF 4,408,200) 
amounting to a total of CHF 184,891,500 as set fort h in the Schedules I-A, I-B and I-C annexed to 
this Resolution.  RESOLVE that,  
1. The financing of the amount of CHF 184,891,5 00 with regard to the Secretariat of the WTO 
and the Appellate Body and its Secretaria t referred to above shall be as follows: 
  (a) by contributions from Members, on the basis of a minimum contribution of 0.015 per 
cent, in the amount of CHF 177,900,000 (Schedule III);  and 
 
 (b) by miscellaneous income estima ted at CHF 1,495,277 (Schedule IV). 
  (c) by use of the surplus of 2006 amounting to CHF 6,996,223 reduced by CHF 1,500,000 
attributed to the Restructuring Operating Fund (ROF), resulting in a net amount of CHF 5,496,223 (Schedule III). 
 
2. The contributions of the Members shall be assessed in accordance with  the attached scale of 
contributions.  Contributions from Members in re spect of the 2008 budget are considered as due and 
payable in full as at 1 January 2008.  WT/BFA/101 
 Page 5 
 
 
  C. BUDGET ESTIMATES FOR 2009 
20. The Committee bearing in mind the guidelines on biennial budgeting 
(WT/BFA/W/105/Rev.1) approved by the Gene ral Council (WT/GC/M/82), including the 
reference to revisions to the second year of the biennium,1 recommends to the General Council 
for consideration and approval the following dra ft resolution on the expenditure of the World 
Trade Organization in 2009 and the ways and means to meet such expenditure . 
 
DRAFT RESOLUTION ON THE EXPENDITURE OF THE  
WORLD TRADE ORGANIZATION IN 2009  AND THE WAYS  
AND MEANS TO MEET SUCH EXPENDITURE  
 
 The General Council,  HAVING CONSIDERED, 
 
 The Estimates of expenditure of the Secretar iat of the World Trade Organization for 2009 
(CHF 185,242,500), and for the Appellate Body and its Secretariat for 2009 (CHF 5,537,500) amounting to a total of CHF 190,780,000 as set forth in the Schedules II–A, II–B and II-C annexed to 
this Resolution.  
RESOLVE that, 
 1. The financing of the amount of CHF 190,780,000 with regard to the Secretariat of the WTO and the Appellate Body and its Secretaria t referred to above shall be as follows: 
 
 (a) by contributions from Members, on the basis of a minimum contribution of 0.015 per 
cent, in the amount of CHF 189,300,000;  and 
  (b) by miscellaneous income estima ted at CHF 1,480,000 (Schedule IV). 
 2. The contributions of the Members shall be assessed in 2008 based on the up-dated trade 
statistics in 2007 as foreseen in Regulation 12.3(b) of  the revised Financial Regulations of the WTO, 
document WT/L/156/Rev.2.  Contributions fro m Members in respect of the 2009 budget are 
considered as due and payable in full as at 1 January 2009.  3. In accordance with Regulations 6 and 10 of the revised Financial Regulations of the WTO, 
any revision of 2009 budget estimates shall be  submitted in 2008 to the Committee on Budget, 
Finance and Administration for its examina tion and formulation of a recommendation for 
consideration by the General Council. 
 
                                                     
 
1 “…if it proves necessary due to unexpected changes in inflation rates and other elements (e.g. the 
levels of translation resources required to cope with a greater or lesser volume of documentation)  when the 
biennial budget was approved …, th e Committee would examine a Revision  to the second year  of the biennial 
budget prepared by the Director-Gener al, which could propose increases, decr eases or reallocations of resources 
for the second year, and make the appropriate recommendation to the General Council for approval. This 
flexibility might be particularly necessary in the first bi ennium.  This approach woul d also seem to provide the 
desired level of predictability while at the same time taking into account the considerations expressed by some 
Members...”  (WT/BFA/W/105/Rev.1). WT/BFA/101 
Page 6  
 
  SCHEDULE I – A 
 
2008  PROPOSED CONSOLIDATED  REVISED BUDGET FOR THE WTO SECRETARIAT AND THE 
APPELLATE BODY AND ITS SECRETARIAT 
(in Swiss francs)  
 
Part Section Line Original 
Proposal 
2008 Reductions 
2008 Revised 
Proposal 
2008 
A Sect  1 Work Years (a)Salary 85,239,100  0  85,239,100 
    (b)Pension 17,208,800  0  17,208,800 
    (c)Common Staff Costs 15,469,900  0  15,469,900 
    (d)Restructuring Plan 0  0  0 
  Sect  2 Temporary Assistance 14,963,000  0  14,963,000 
B Sect  3 Communications (a) Telecommunications 506,500  0  506,500 
    (b) Postal Charges 1,382,000  0  1,382,000 
  Sect  4 Building Facilities (a) Rental 340,000  0  340,000 
    (b) Utilities 1,771,000  0  1,771,000 
    (c) Maintenance and Insurance 1,694,000  0  1,694,000 
  Sect  5 Permanent Equipment   
  (a)Permanent Equipment 2,153,800 0 2,153,800
    (b)Permanent Equipment Lease 274,000  0  274,000 
  Sect  6 Expendable   1,327,000  0  1,327,000 
  Sect  7 Contractual Services   
  (a) Reproduction 1,425,000 0  1,425,000 
    (b) Office Automation 3,378,700  0  3,378,700 
    (c)Other 282,000  0  282,000 
    (d) Security Outsourcing 3,452,000  0  3,452,000 
C Sect  8 Staff Overheads (a) Training 1,875,000  (460,000) 1,415,000 
    (b) Insurance 2,502,500  0  2,502,500 
    (c) Joint Services 204,000  0  204,000 
    (d) Miscellaneous 32,000  0  32,000 
  Sect  9 Missions (a)Missions Official 1,533,000  0  1,533,000 
    (b)Missions Technical 1,406,000  0  1,406,000 
  Sect 10 Trade Policy Courses  3,823,600  0  3,823,600 
  Sect 11 Various (a) Representation and Hospitality 299,000  0  299,000 
    (b) Dispute Settlement Panels 1,247,000  0  1,247,000 
    (c) Experts 50,000  0  50,000 
    (d) Appellate Body Members 818,800  (65,300) 753,500 
    (e) Library 660,000  0  660,000 
    (f) Publications 880,000  0  880,000 
    (g) Public Information Activities 270,000  0  270,000 
    (h) External Auditors 40,000  0  40,000 
    (i) Ministerial Operating Fund 600,000  0  600,000 
    (j) ISO 57,000  0  57,000 
    (k) Other 80,000  0  80,000 
    (l) Appellate Body Operating Fund 600,000  (54,000) 546,000 
    (m) Security Enhancement 
Programme 330,000  0  330,000 
  Sect 12 Unforeseen   100,000  0  100,000 
D Sect 13 ITC   17,196,100  0  17,196,100 
Grand Total   185,470,800  (579,300) 184,891,500 
 
   WT/BFA/101 
 Page 7 
 
 
  SCHEDULE I – B 
 
2008  PROPOSED REVISED BUDGET FOR THE WTO SECRETARIAT  
(in Swiss francs) 
 
Part Section Line Original 
Proposal 
2008 Reductions 
2008 Revised 
Proposal 
2008 
A Sect  1 Work Years (a)Salary 83,208,100  0  83,208,100 
    (b)Pension 16,799,300  0  16,799,300 
    (c)Common Staff Costs 15,108,400  0  15,108,400 
    (d)Restructuring Plan 0  0  0 
  Sect  2 Temporary Assistance 14,897,400  0  14,897,400 
B Sect  3 Communications (a) Telecommunications 500,000  0  500,000 
    (b) Postal Charges 1,382,000  0  1,382,000 
  Sect  4 Building Facilities (a) Rental 340,000  0  340,000 
    (b) Utilities 1,758,000  0  1,758,000 
    (c) Maintenance and Insurance 1,639,000  0  1,639,000 
  Sect  5 Permanent Equipment   
  (a)Permanent Equipment 2,118,200  0  2,118,200 
    (b)Permanent Equipment Lease 274,000  0  274,000 
  Sect  6 Expendable   1,307,000  0  1,307,000 
  Sect  7 Contractual 
Services (a) Reproduction 1,410,000  0  1,410,000 
    (b) Office Automation 3,369,700  0  3,369,700 
    (c)Other 282,000  0  282,000 
    (d) Security Outsourcing 3,452,000  0  3,452,000 
C Sect  8 Staff Overheads (a) Training 1,850,000  (460,000) 1,390,000 
    (b) Insurance 2,490,500  0  2,490,500 
    (c) Joint Services 204,000  0  204,000 
    (d) Miscellaneous 30,000  0  30,000 
  Sect  9 Missions (a)Missions Official 1,496,000  0  1,496,000 
    (b)Missions Technical 1,406,000  0  1,406,000 
  Sect 10 Trade Policy Courses  3,823,600  0  3,823,600 
  Sect 11 Various (a) Representation and Hospitality 298,000  0  298,000 
    (b) Dispute Settlement Panels 1,247,000  0  1,247,000 
    (c) Experts 50,000  0  50,000 
    (e) Library 650,000  0  650,000 
    (f) Publications 880,000  0  880,000 
    (g) Public Information Activities 270,000  0  270,000 
    (h) External Auditors 40,000  0  40,000 
    (i) Ministerial Operating Fund 600,000  0  600,000 
    (j) ISO 57,000  0  57,000 
    (k) Other 80,000  0  80,000 
    (m) Security Enhancement 
Programme 330,000  0  330,000 
  Sect 12 Unforeseen   100,000  0  100,000 
D Sect 13 ITC   17,196,100  0  17,196,100 
Grand Total   180,943,300  (460,000) 180,483,300 
 
 
 
  WT/BFA/101 
Page 8  
 
  SCHEDULE I – C  
 
2008  PROPOSED REVISED BUDGET FOR THE APPELLATE BODY AND ITS SECRETARIAT  
(in Swiss francs) 
 
 
Part Section Line Original 
Proposal 
2008 Reductions 
2008 Revised 
Proposal 
2008 
A Sect  1 Work Years (a)Salary 2,031,000  0  2,031,000 
    (b)Pension 409,500  0  409,500 
    (c)Common Staff Costs 361,500  0  361,500 
  Sect  2 Temporary Assistance 65,600  0  65,600 
B Sect  3 Communications (a) Telecommunications 6,500  0  6,500 
  Sect  4 Building Facilities (b) Utilities 13,000  0  13,000 
    (c) Maintenance and Insurance 55,000  0  55,000 
  Sect  5 Permanent Equipment (a)Permanent Equipment 35,600  0  35,600 
  Sect  6 Expendable   20,000  0  20,000 
  Sect  7 Contractual Services (a) Reproduction 15,000  0  15,000 
    (b) Office Automation 9,000  0  9,000 
C Sect  8 Staff Overheads (a) Training 25,000  0  25,000 
    (b) Insurance 12,000  0  12,000 
    (d) Miscellaneous 2,000  0  2,000 
  Sect  9 Missions (a)Missions Official 37,000  0  37,000 
  Sect 11 Various (a) Representation and Hospitality 1,000  0  1,000 
    (d) Appellate Body Members 818,800  (65,300) 753,500 
    (e) Library 10,000  0  10,000 
    (l) Appellate Body Operating 
Fund 600,000  (54,000) 546,000 
Grand Total   4,527,500  (119,300) 4,408,200 
 
  WT/BFA/101 
 Page 9 
 
 
  SCHEDULE II - A  
 
2009  PROPOSED CONSOLIDATED  BUDGET FOR THE WTO SECRETARIAT AND THE APPELLATE 
BODY AND ITS SECRETARIAT 
(in Swiss francs) 
 
Part Section Line Original 
Proposal 
2009 Reductions 
2009 Revised 
Proposal 
2009 
A Sect  1 Work Years (a)Salary 88,503,500  0  88,503,500 
    (b)Pension 17,934,000  0  17,934,000 
    (c)Common Staff Costs 16,588,300  0  16,588,300 
    (d)Restructuring Plan 0  0  0 
  Sect  2 Temporary Assistance   
  (a)Temporary Assistance 13,928,300  0  13,928,300 
    (b)TA Common Staff Costs 464,800  0  464,800 
B Sect  3 Communications (a) Telecommunications 506,500  0  506,500 
    (b) Postal Charges 1,305,000  0  1,305,000 
  Sect  4 Building Facilities   
  (a) Rental 55,000  0  55,000 
    (b) Utilities 1,876,000  0  1,876,000 
    (c) Maintenance and Insurance 1,211,000  0  1,211,000 
  Sect  5 Permanent Equipment   
  (a)Permanent Equipment 1,266,000  0  1,266,000 
    (b)Permanent Equipment Lease 932,000  0  932,000 
  Sect  6 Expendable   1,305,000  0  1,305,000 
  Sect  7 Contractual Services   
  (a) Reproduction 1,425,000  0  1,425,000 
    (b) Office Automation 3,756,000  0  3,756,000 
    (c)Other 282,000  0  282,000 
    (d) Security Outsourcing 3,787,000  0  3,787,000 
C Sect  8 Staff Overheads (a) Training 1,875,000  (100,000) 1,775,000 
    (b) Insurance 2,622,500  0  2,622,500 
    (c) Joint Services 204,000  0  204,000 
    (d) Miscellaneous 32,000  0  32,000 
  Sect  9 Missions (a)Missions Official 1,533,000  0  1,533,000 
    (b)Missions Technical 1,406,000  0  1,406,000 
  Sect 10 Trade Policy Courses  3,823,600  0  3,823,600 
  Sect 11 Various (a) Representation and Hospitality 299,000  0  299,000 
    (b) Dispute Settlement Panels 1,247,000  0  1,247,000 
    (c) Experts 50,000  0  50,000 
    (d) Appellate Body Members 818,800  (29,100) 789,700 
    (e) Library 700,000  0  700,000 
    (f) Publications 790,000  0  790,000 
    (g) Public Information Activities 270,000  0  270,000 
    (h) External Auditors 40,000  0  40,000 
    (i) Ministerial Operating Fund 600,000  0  600,000 
    (j) ISO 57,000  0  57,000 
    (k) Other 80,000  0  80,000 
    (l) Appellate Body Operating Fund 1,600,000  (24,300) 1,575,700 
    (m) Security Enhancement 
Programme 330,000  0  330,000 
  Sect 12 Unforeseen   100,000  0  100,000 
D Sect 13 ITC   17,330,100  0  17,330,100 
Grand Total   190,933,400  (153,400) 190,780,000 
 
 WT/BFA/101 
Page 10  
 
  SCHEDULE II - B 
 
2009  PROPOSED REVISED BUDGET FOR  THE  WTO SECRETARIAT  
(in Swiss francs)  
 
Part Section Line Original 
Proposal 
2009 Reductions 
2009 Revised 
Proposal 
2009 
A Sect  1 Work Years (a)Salary 86,394,500  0  86,394,500 
    (b)Pension 17,506,500  0  17,506,500 
    (c)Common Staff Costs 16,199,800  0  16,199,800 
    (d)Restructuring Plan 0  0  0 
  Sect  2 Temporary 
Assistance    
  (a)Temporary Assistance 13,862,700  0  13,862,700 
    (b)TA Common Staff Costs 464,800  0  464,800 
B Sect  3 Communications (a) Telecommunications 500,000  0  500,000 
    (b) Postal Charges 1,305,000  0  1,305,000 
  Sect  4 Building 
Facilities (a) Rental 55,000  0  55,000 
    (b) Utilities 1,863,000  0  1,863,000 
    (c) Maintenance and Insurance 1,206,000  0  1,206,000 
  Sect  5 Permanent Equipment   
  (a)Permanent Equipment 1,241,000  0  1,241,000 
    (b)Permanent Equipment Lease 932,000  0  932,000 
  Sect  6 Expendable   1,285,000  0  1,285,000 
  Sect  7 Contractual Services.   
  (a) Reproduction 1,410,000  0  1,410,000 
    (b) Office Automation 3,746,000  0  3,746,000 
    (c)Other 282,000  0  282,000 
    (d) Security Outsourcing 3,787,000  0  3,787,000 
C Sect  8 Staff Overheads (a) Training 1,850,000  (100,000) 1,750,000 
    (b) Insurance 2,610,500  0  2,610,500 
    (c) Joint Services 204,000  0  204,000 
    (d) Miscellaneous 30,000  0  30,000 
  Sect  9 Missions (a)Missions Official 1,496,000  0  1,496,000 
    (b)Missions Technical 1,406,000  0  1,406,000 
  Sect 10 Trade Policy Courses  3,823,600  0  3,823,600 
  Sect 11 Various (a) Representation and Hospitality 298,000  0  298,000 
    (b) Dispute Settlement Panels 1,247,000  0  1,247,000 
    (c) Experts 50,000  0  50,000 
    (e) Library 690,000  0  690,000 
    (f) Publications 790,000  0  790,000 
    (g) Public Information Activities 270,000  0  270,000 
    (h) External Auditors 40,000  0  40,000 
    (i) Ministerial Operating Fund 600,000  0  600,000 
    (j) ISO 57,000  0  57,000 
    (k) Other 80,000  0  80,000 
    (m) Security Enhancement 
Programme 330,000  0  330,000 
  Sect 12 Unforeseen   100,000  0  100,000 
D Sect 13 ITC   17,330,100  0  17,330,100 
Grand Total   185,342,500  (100,000) 185,242,500 
 
  
  WT/BFA/101 
 Page 11 
 
 
  SCHEDULE II – C 
 
2009 PROPOSED REVISED BUDGET FOR THE APPELLATE BODY  AND ITS SECRETARIAT  
(in Swiss francs) 
 
 
Part Section Line Original 
Proposal 
2009 Reductions 
2009 Revised 
Proposal 
2009 
A Sect  1 Work Years (a)Salary 2,109,000  0  2,109,000 
    (b)Pension 427,500  0  427,500 
    (c)Common Staff Costs 388,500  0  388,500 
  Sect  2 Temporary Assistance (a)T emporary Assistance 65,600  0  65,600 
B Sect  3 Communications (a) Telecommunications 6,500  0  6,500 
  Sect  4 Building Facilities (b) Utilities 13,000  0  13,000 
    (c) Maintenance and Insurance 5,000  0  5,000 
  Sect  5 Permanent Equipment (a)Permanent Equipment 25,000  0  25,000 
  Sect  6 Expendable   20,000  0  20,000 
  Sect  7 Contractual Services (a) Reproduction 15,000  0  15,000 
    (b) Office Automation 10,000  0  10,000 
C Sect  8 Staff Overheads (a) Training 25,000  0  25,000 
    (b) Insurance 12,000  0  12,000 
    (d) Miscellaneous 2,000  0  2,000 
  Sect  9 Missions (a)Missions Official 37,000  0  37,000 
  Sect 11 Various (a) Representation and Hospitality 1,000  0  1,000 
    (d) Appellate Body Members 818,800  (29,100) 789,700 
    (e) Library 10,000  0  10,000 
    (l) Appellate Body Operating Fund 1,600,000  (24,300) 1,575,700 
Grand Total   5,590,900  (53,400) 5,537,500 
 
 
 
 WT/BFA/101 
Page 12  
 
  SCHEDULE III 
 
PROPOSED REVISED SCALE OF CONTRIBUTIONS FOR 2008  
(Minimum contribution of 0.015 per cent) 
 
2007 
Contribution  2008 Contribution Interest 
earned2 2008 net 
Contribution Member 
CHF CHF % CHF CHF 
Albania 34,295 37,359 0.0210 93 37,266
Angola  182,305 208,143 0.1170 524 207,619
Antigua and Barbuda  27,075 26,685 0.0150 111 26,574
Argentina 608,285 572,838 0.3220 0 572,838
Armenia 27,075 26,685 0.0150 86 26,599
Australia 2,019,795 2,028,060 1.1400 5,220 2,022,840
Austria 2,530,610 2,511,948 1.4120 10,079 2,501,869
Bahrain 142,595 142,320 0.0800 372 141,948
Bangladesh  187,720 181,458 0.1020 45 181,413
Barbados  30,685 30,243 0.0170 72 30,171
Belgium 4,757,980 4,685,886 2.6340 15,885 4,670,001
Belize  27,075 26,685 0.0150 0 26,685
Benin   27,075 26,685 0.0150 0 26,685
Bolivia 41,515 40,917 0.0230 0 40,917
Botswana  57,760 62,265 0.0350 156 62,109
Brazil  1,573,960 1,574,415 0.8850 6,413 1,568,002
Brunei Darussalam    74,005 71,160 0.0400 145 71,015
Bulgaria  216,600 231,270 0.1300 699 230,571
Burkina Faso  27,075 26,685 0.0150 0 26,685
Burundi 27,075 26,685 0.0150 0 26,685
Cambodia  63,175 58,707 0.0330 59 58,648
Cameroon  52,345 49,812 0.0280 0 49,812
Canada  6,638,790 6,272,754 3.5260 28,241 6,244,513
Central African Republic               27,075 26,685 0.0150 0 26,685
Chad    27,075 26,685 0.0150 0 26,685
Chile   534,280 553,269 0.3110 1,096 552,173
China, People's Republic of 8,528,625 9,496,302 5.3380 8,382 9,487,920
Colombia  346,560 343,347 0.1930 863 342,484
Congo   37,905 48,033 0.0270 0 48,033
Costa Rica           166,060 158,331 0.0890 38 158,293
Côte d'Ivoire        108,300 110,298 0.0620 0 110,298
Croatia 281,580 293,535 0.1650 856 292,679
Cuba    102,885 104,961 0.0590 317 104,644
                                                      
2 Interest earned in 2006 under the Early Payment Encouragement Scheme (L/6384) and to be deducted 
from the 2008 contributions.  WT/BFA/101 
 Page 13 
 
 
  2007 
Contribution  2008 Contribution Interest 
earned2 2008 net 
Contribution Member 
CHF CHF % CHF CHF 
Cyprus  122,740 120,972 0.0680 359 120,613
Czech Republic       1,104,660 1,174,140 0.6600 3,528 1,170,612
Democratic Republic of the 
Congo 27,075 26,685 0.0150 0 26,685
Denmark 1,759,875 1,752,315 0.9850 6,557 1,745,758
Djibouti  27,075 26,685 0.0150 0 26,685
Dominica  27,075 26,685 0.0150 0 26,685
Dominican Republic   196,745 177,900 0.1000 523 177,377
Ecuador 148,010 156,552 0.0880 590 155,962
Egypt   433,200 430,518 0.2420 60 430,458
El Salvador          106,495 101,403 0.0570 10 101,393
Estonia 135,375 144,099 0.0810 509 143,590
European Communities 0 0 0.0000 0 0
Fiji    27,075 26,685 0.0150 99 26,586
Finland 1,095,635 1,118,991 0.6290 4,446 1,114,545
Former Yugoslave Republic of 
Macedonia 43,320 42,696 0.0240 0 42,696
France  8,943,775 8,674,404 4.8760 30,139 8,644,265
Gabon   50,540 48,033 0.0270 0 48,033
Gambia  27,075 26,685 0.0150 0 26,685
Georgia 28,880 32,022 0.0180 50 31,972
Germany 15,871,365 15,765,498 8.8620 56,102 15,709,396
Ghana   70,395 71,160 0.0400 7 71,153
Greece  871,815 862,815 0.4850 2,330 860,485
Grenada 27,075 26,685 0.0150 0 26,685
Guatemala 115,520 112,077 0.0630 430 111,647
Guinea  27,075 26,685 0.0150 0 26,685
Guinea-Bissau        27,075 26,685 0.0150 0 26,685
Guyana  27,075 26,685 0.0150 64 26,621
Haiti   27,075 26,685 0.0150 35 26,650
Honduras  66,785 64,044 0.0360 4 64,040
Hong Kong, China     5,463,735 5,235,597 2.9430 22,503 5,213,094
Hungary 1,021,630 1,054,947 0.5930 3,682 1,051,265
Iceland 77,615 80,055 0.0450 87 79,968
India   1,498,150 1,328,913 0.7470 4,323 1,324,590
Indonesia 1,395,265 1,321,797 0.7430 2,590 1,319,207
Ireland 2,306,790 2,289,573 1.2870 9,071 2,280,502
Israel  956,650 898,395 0.5050 1,216 897,179
Italy   7,201,950 7,039,503 3.9570 24,554 7,014,949
Jamaica 88,445 81,834 0.0460 82 81,752
Japan   10,429,290 9,811,185 5.5150 31,788 9,779,397WT/BFA/101 
Page 14  
 
  2007 
Contribution  2008 Contribution Interest 
earned2 2008 net 
Contribution Member 
CHF CHF % CHF CHF 
Jordan  119,130 122,751 0.0690 346 122,405
Kenya   75,810 78,276 0.0440 217 78,059
Korea, Republic of   4,566,650 4,523,997 2.5430 28,626 4,495,371
Kuwait  382,660 421,623 0.2370 0 421,623
Kyrgyz Republic      27,075 26,685 0.0150 85 26,600
Latvia  102,885 110,298 0.0620 381 109,917
Lesotho 27,075 26,685 0.0150 99 26,586
Liechtenstein        43,320 44,475 0.0250 183 44,292
Lithuania 180,500 199,248 0.1120 439 198,809
Luxembourg           664,240 674,241 0.3790 2,566 671,675
Macao, China         129, 960 131,646 0.0740 433 131,213
Madagascar           27,075 26,685 0.0150 40 26,645
Malawi  27,075 26,685 0.0150 0 26,685
Malaysia  2,279,715 2,182,833 1.2270 7,327 2,175,506
Maldives  27,075 26,685 0.0150 56 26,629
Mali    27,075 26,685 0.0150 1 26,684
Malta   79,420 74,718 0.0420 323 74,395
Mauritania           27,075 26,685 0.0150 0 26,685
Mauritius 63,175 62,265 0.0350 264 62,001
Mexico  3,999,880 3,741,237 2.1030 13,036 3,728,201
Moldova 27,075 26,685 0.0150 99 26,586
Mongolia  27,075 26,685 0.0150 111 26,574
Morocco 288,800 289,977 0.1630 745 289,232
Mozambique           32,490 35,580 0.0200 96 35,484
Myanmar, Union of 55,955 49,812 0.0280 0 49,812
Namibia 37,905 33,801 0.0190 0 33,801
Nepal   30,685 28,464 0.0160 124 28,340
Netherlands          6,059,385 5,984,556 3.3640 22,592 5,961,964
New Zealand          453,055 455,424 0.2560 1,725 453,699
Nicaragua 37,905 37,359 0.0210 118 37,241
Niger   27,075 26,685 0.0150 0 26,685
Nigeria 400,710 482,109 0.2710 0 482,109
Norway  1,521,615 1,529,940 0.8600 5,684 1,524,256
Oman    216,600 217,038 0.1220 364 216,674
Pakistan  285,190 298,872 0.1680 507 298,365
Panama  169,670 161,889 0.0910 351 161,538
Papua New Guinea     41,515 44,475 0.0250 152 44,323
Paraguay  61,370 56,928 0.0320 0 56,928
Peru    220,210 225,933 0.1270 0 225,933
Philippines          866,400 829,014 0.4660 0 829,014 WT/BFA/101 
 Page 15 
 
 
  2007 
Contribution  2008 Contribution Interest 
earned2 2008 net 
Contribution Member 
CHF CHF % CHF CHF 
Poland  1,449,415 1,517,487 0.8530 5,386 1,512,101
Portugal  976,505 946,428 0.5320 2,807 943,621
Qatar   214,795 238,386 0.1340 339 238,047
Romania 422,370 469,656 0.2640 1,148 468,508
Rwanda  27,075 26,685 0.0150 0 26,685
Saint Lucia          27,075 26,685 0.0150 90 26,595
Saudi Arabia, Kingdom of 1,431,365 1,506,813 0.8470 3,772 1,503,041
Senegal 36,100 37,359 0.0210 0 37,359
Sierra Leone         27,075 26,685 0.0150 0 26,685
Singapore 3,790,500 3,808,839 2.1410 15,375 3,793,464
Slovak Republic      362,805 334,452 0.1880 1,399 333,053
Slovenia  301,435 309,546 0.1740 1,082 308,464
Solomon Islands      27,075 26,685 0.0150 99 26,586
South Africa         877,230 903,732 0.5080 2,527 901,205
Spain   4,629,825 4,646,748 2.6120 13,914 4,632,834
Sri Lanka 151,620 142,320 0.0800 162 142,158
St. Kitts and Nevis                    27,075 26,685 0.0150 68 26,617
St. Vincent and the Grenadines     27,075 26,685 0.0150 0 26,685
Suriname  27,075 26,685 0.0150 7 26,678
Swaziland 34,295 32,022 0.0180 108 31,914
Sweden  2,413,285 2,376,744 1.3360 9,228 2,367,516
Switzerland          2,537,830 2,522,622 1.4180 10,201 2,512,421
Chinese Taipei      3,489,065 3,285,813 1.8470 2,715 3,283,098
Tanzania  43,320 48,033 0.0270 90 47,943
Thailand  1,824,855 1,825,254 1.0260 7,300 1,817,954
Togo    27,075 26,685 0.0150 0 26,685
Tonga 0 26,685 0.0150 0 26,685
Trinidad and Tobago  90,250 92,508 0.0520 301 92,207
Tunisia 229,235 224,154 0.1260 707 223,447
Turkey  1,369,995 1,407,189 0.7910 5,109 1,402,080
Uganda  27,075 26,685 0.0150 73 26,612
United Arab Emirates 1,037,875 1,328,913 0.7470 3,478 1,325,435
United Kingdom  9,896,815 9,622,611 5.4090 40,798 9,581,813
United States  26,807,860 25,094,574 14.1060 7,285 25,087,289
Uruguay 70,395 67,602 0.0380 67 67,535
Venezuela  545,110 540,816 0.3040 0 540,816
Viet Nam 0 505,236 0.2840 0 505,236
Zambia  27,075 26,685 0.0150 111 26,574
Zimbabwe  46,930 35,580 0.0200 49 35,531
TOTAL 180,500,000 177,900,000 100.000 508,375 177,391,625WT/BFA/101 
Page 16  
 
   
SCHEDULE IV 
 
REVISED ESTIMATES OF MISCELLAN EOUS INCOME FOR 2008 AND 2009 
 
 
 
2006 2007 2008 2009 
Actual Budget Estimates Estimates Miscellaneous Income 
CHF CHF CHF CHF 
Sale of Publications/Souvenirs & Royalties 452,102 300,000 500,000 550,000
Profit or (loss) on exchange 144,881 0 0 0
Savings on previous year's outstanding 
obligations 171,382 120,000 120,000 120,000
Rental of meeting r ooms, office space and 
parking at Centre William Rappard to 
others 136,520 150,000 47,000 25,000
Contributions of Observer Countries 833,760 700,000 600,000 600,000
Interest on Current Account 125,488 40,000 80,000 60,000
Various 825,068 166,450 148,277 125,000
TOTAL 2,689,201 1,476,450 1,495,277 1,480,000
 
IV. PERFORMANCE AGAINST BUDGET AS AT 30 SEPTEMBER 2007 
21. A member of the Secretariat presented document CRP 07(19) and explained that an overall 
budgetary surplus of CHF 6.1 million, comprised of CHF 5.7 million for the WTO Secretariat and 
CHF 0.4 million for the Secretariat of the Appe llate Body, was expected for the end of 2007, 
corresponding to an overall implementation rate of  93.65 per cent.  It was further outlined that 
statutory elements accounted for 82 per cent of the overall budgetary surplus due to the fact that 
provision had been made for a 2 per cent increase in salaries and a 10 per cent increase in medical premiums for 2007, whereas the actual increases had b een 1.08 per cent and 1.4 per cent respectively.  
It was added that the 2007 revision had been only of a statutory nature and that appropriations for the 
above-mentioned items had been initially set in 2005 , but had subsequently e volved over the next 14 
months. 
V. ADMINISTRATIVE UP-DATES AND PROGRESS REPORTS AS AT 
31 OCTOBER 2007 
A. C
ASH SITUATION AND STATEMENT OF OUTSTANDING CONTRIBUTIONS  
B. CONTRIBUTIONS OF OBSERVER COUNTRIES TOWARDS THE COST OF SERVICES PROVIDED BY 
THE SECRETARIAT  
C. INSTALMENT PAYMENTS FOR CONTRIBUTIONS IN ARREARS (CONTRIBUTIONS FROM 1987  
AND EARLIER YEARS ) 
22. A member of the Secretariat presented the cash  situation, the statement of outstanding 
contributions from Members as at 31 October 2007 a nd a statement regarding the contributions of  WT/BFA/101 
 Page 17 
 
 
  Observer countries towards the cost of services provide d by the Secretariat.  As at the reporting date, 
the total of funds available stood at CHF 36 million.  Contributions received from Members amounted to CHF 133 million for the current year and CHF 14 million for prior years, while those from Observers amounted to CHF 0.469 million for the curr ent year and CHF 0.07 million for prior years.  
The Working Capital Fund stood at CHF 9.5 million at 31 October 2007.  The Secretariat pointed out 
that six Members (Chad, the Democratic Republic of the Congo, Djibouti, Guinea, Guinea-Bissau and 
Niger) still had outstanding contributions to the Working Capital Fund amounting to 
CHF 0.177 million as at 31 October 2007. 
23. With respect to instalment payments for cont ributions in arrears, the Secretariat presented 
document CRP(07)15 providing an overview of outstanding contributions from 1987 and earlier 
years.  Members were informed that the Dominican  Republic had started a payment plan over 5 years 
in June 2007 in order to pay back their pre-1987 a rrears. The Dominican Republic thereby agreed to 
instalments of CHF 75,000 per year in addition to their yearly contribution and should have liquidated 
its pre-1987 arrears by the year 2011.  Members welc omed this effort on the part of the Dominican 
Republic and hoped that other Members in similar s ituations would follow the lead of this Member. 
D. H
UMAN RESOURCES MATTERS  
24. A member of the Secretariat introduced document CRP(07)16 and informed the Committee 
that several workshops on "Effective Performance Conversations" for Direct ors, managers and non-
managers would be conducted in November/December and that  programmes to enhance the 
managerial capability of homogenous  management teams were currently being put in place.  In 
addition, training events such as personal effici ency programmes and courses on interpersonal skills 
had proven to be very successful. 
25. With respect to the E-recruitment system, it w as explained that the project would be delayed 
due to the refining of technical aspects relate d to translations into French and Spanish. 
26. Furthermore, an up-date on temporary assistance contracts funded from the regular budget as 
well as from extra-budgetary funds was provided. 
E. PENSION MATTERS  
27. A progress report (document CRP(07)17) was presented by a member of the Secretariat who 
informed the Members that the working group on the funding position of the Plan had recommended 
adjusting the valuation assumptions concerning real salary movements, life expectancy and Plan administration, which would have the consequence of  increasing the contribution rate from the current 
level of 22.5 per cent to 27.3 per cent.  As require d under Article 9 of the Plan Regulations, various 
courses of action that might include changes to c ontribution levels and/or benefits in order to 
implement those adjustments had been cons idered by the Management Board.   
28. Members were also informed that two managers  had been chosen (subject to the negotiation 
of satisfactory contracts) as possible replacements of the current manager of the Plan's global equity investments.  
29. Furthermore, it was pointed out that the Annual Report for 2006, including the report of the 
External Auditors, had been approved by the Ma nagement Board and would be submitted to the 
General Council in December 2007. 
30. The Committee took note of the various reports. WT/BFA/101 
Page 18  
 
  F. S
TATUS OF EXTRA -BUDGETARY ACTIVITIES : 
i) Technical Assistance Activity as at 31 October; 
ii) Doha Development Agenda Global Trust Fund. 
31. Another member of the Secretariat presen ted documents WT/BFA /SPEC/173 and CRP(07)18 
and informed the Committee that as at 31 October 2006, funds amounted to CHF 22.5 million, 
corresponding to 94 per cent of the target.  Additi onal contributions of CHF 3.1 million were expected 
before the end of the year, thereby allowing the target amount of CHF 24 million to be reached and 
exceeded by a small margin by the end of the year.  However, according to the terms of reference of 
the DDAGTF, 100 per cent of the annual target am ount would have needed to be received by 
30 June 2007.  This had already been the second tim e that the June target had been missed, thereby 
leading to disruptions in the implementation of the Plan.  Barring unforeseen developments, it seemed 
likely that the target of 25 per cent of the amount of the TA Plan for 2008 to be received by 31 December 2007 would also be missed. 
32. The Committee took note of the report. 
VI. POSSIBLE ADVERSE IMPACT OF MANAGEMENT DECISIONS ON THE 
ACTUARIAL BALANCE OF THE WTO PENSION PLAN 
33. The Committee was informed that the Pension Pl an's consulting actuary had confirmed that 
recourse by management to early retirement as a means of restructuring the Secretariat could increase the actuarial value of the liabilities of the Plan.  The Management Board had, therefore, concluded 
that the decision on such specific actions should ta ke into account all the financial consequences, 
including covering the resulting actuarial impact on the Plan, as was the case, for example, in the 
regulations of the CERN Pension Fund and the United Nations Joint Staff Pension Fund.  As a 
consequence, the Management Board had agreed to propose an amendment to Article 9 of the Plan 
Regulations ("Actuarial valuation of the Plan"), pr oviding for the definition of the potential additional 
liability the WTO might be asked to cover on the basi s of expert advice from the consulting actuary.   
34. The Committee decided to revert to th is issue at the beginning of 2008. 
VII. FUTURE BUILDING NEEDS OF THE WTO – PROGRESS REPORT 
35. The Swiss Ambassador addressed the Committ ee at its meeting of 22 November and 
presented a general account of actions undertaken a nd the inherent difficulties of the densification 
approach presented on 12 July 2007. As a conseque nce, the Swiss authorities would now prefer to 
construct a new building on the south car park, which would provide some 400 work spaces and 
meeting rooms.  Particular attention was also drawn to the high rental costs of the temporary office 
space at Serono needed during the renovation peri od and as a replacement for the rue Rothschild 
premises. The Secretariat was urged to decide upon th is issue quickly so that those premises could be 
occupied as soon as possible. 
36. The Swiss Ambassador further explained that not all aspects of the project could proceed 
simultaneously and that it would be necessary to wo rk in two phases, starting with the renovation, 
which would take 2 to 3 years, and then commenci ng with the new building, which would take 5 to 6 
years, after the necessary planning and permit stages had been completed. 
37. Several Members reiterated the need for a master  plan to be approved before proceeding with 
the next steps and also requested that the overall pl an include details with regard to a time frame, 
which would inevitably have an impact on cost, sc ope of renovation, plans for new conference rooms 
and financing of the Serono rental.  WT/BFA/101 
 Page 19 
 
 
  38. In reply, the Swiss Ambassador agreed to the necessity of having a master plan and pointed 
out that it would be helpful if the Members could provide clear direction on the many pending issues.  He informed the Committee that, apart from the CHF 60 million loan, an amount in the form of a grant of CHF 70 million would be made available by the Swiss Government to cover the cost of the 
renovation.  He added that this amount would also have to cover the rental of Serono, external 
security and other related works.  He also indicated  that the sum of CHF 5.5 million, corresponding to 
the preliminary work on the Avenue de France proj ect, would be absorbed by the Swiss Government. 
39. Several Members outlined that the amount of  CHF 60 million foreseen for the Avenue de 
France project was considered as a benchmark and not to be exceeded.  Furthermore, the same Members wanted to ensure that the CHF 5.5 m illion would not be considered as a liability to 
Members and would be covered by the host country.   Several other Members suggested the creation 
of a task force comprising members of the Secretar iat, the Host Country and Members in order to 
work in a constructive way on the project. 
40. The Chair subsequently presented documen t WT/BFA/W/165 which concerned a draft 
mandate for the Director-General in future discussi ons with the host country on the question of the 
future building needs of the WTO.  After minor  changes, the following recommendation was accepted 
by the Committee:  The Committee on Budget, Finance and Administration recommends to the 
General Council that the Director-General be au thorized to undertake negotiations with the 
host country authorities, in close consultation with the WTO Membership, with a view to 
reaching a mutually agreed solution to meet th e long-term housing needs of the Organization, 
based on a master plan providing for a single site for the WTO in its present location, including 
the renovation and extension of the Centre Willia m Rappard, including the construction of the 
necessary additional buildings and car park facilities, the strengthening of the security 
arrangements, and the provision of adequate  temporary premises during the renovation and 
construction work, and within the overall financia l limits to be borne by Members as set by the 
General Council in its decision of 29 July 2005 (WT/GC/M/97).  
VIII.  SECRETARIAT VERSION.3 – PROGRESS REPORT 
41. Members were informed that consideration of th is item would be deferred to the first quarter 
of 2008, as internal consu ltations were still ongoing. 
IX. CONDITIONS OF SERVICE FOR APPELLATE BODY MEMBERS 
42. A member of the Secretariat introduced document CRP(07)20 and explained that the current 
compensation of Appellate Body Members consiste d of a monthly retainer fee of CHF 7,780, 
accompanied by a daily fee of CHF 670 and a mo nthly allowance for administrative expenses of 
CHF 330.  The only adjustment that had been made  to the compensation package of Appellate Body 
Members in more than eleven year s had been an increase according to the movement of the consumer 
price index from 1995 to 2003, resulting in an adjustment of the retainer and daily fee of 11 per cent in 2005.  However, a comparison with the levels of  remuneration of judges at international courts and 
tribunals, as indicated in Annex 1 of CRP(07)20, show ed that these were higher than that of Appellate 
Body Members, and in some instances consider ably so. The Director General's budget proposals 
provided for a 20 per cent increase in both the monthl y retainer and the daily case fee, to bring these 
to CHF 9,336 and CHF 804, respectively.   
43. It was further added that this adjustment w ould be in line with salary increases of senior WTO 
Secretariat staff over the past decade and would he lp to narrow the gap between the compensation of 
Appellate Body Members and that of other tribunals.  In addition, it was pointed out that it might be 
useful to put in place a mechanism which would adjust remuneration on a more regular basis, perhaps according to the average increase for senior management in order to av oid the need in the future for 
significant "catch-up" increases. WT/BFA/101 
Page 20  
 
  44. Following discussions on this issue, it was decided to opt for a slightly lower increase in both 
the retainer and the daily fee, i.e. 10 per cent in crease as at 1.1.2008 and a further 5 per cent as at 
1.1.2009, with an adjustment mechanism based on the inflation of the year to that date, starting on 
1.1.2010.  It was also suggested that the Disput e Settlement Body as the relevant WTO Body might 
wish to consider reviewing the model of retainer fe e plus daily fees in order to determine whether the 
assumptions made when the Appellate Body was f ounded remained applicable in the light of 
experience over the twelve years of the Body's existence. 
45. Therefore, the Committee recommends to the Gen eral Council that the remuneration of 
Appellate Body Members (for retainer and daily fees) be increased by 10 per cent in 2008 and 
5 per cent in 2009.  The Committee further r ecommends that these elements be adjusted 
annually according to the Geneva Consumer Price index for the previous twelve months, as 
from 1 January 2010.   WT/BFA/101 
 Page 21 
 
 
  X. RECOMMENDATION/TARGET AMOUNT FOR THE DDAGTF IN 2008-2009 
46. A member of the Secretariat presented document WT/BFA/W/163 and informed the 
Committee that the Committee on Trade and Devel opment (CTD) had examined and endorsed the 
WTO Technical Assistance and Training Plan for the biennium 2008-2009 in its meeting on 14 November 2007, including a target amount of CH F 24 million for each year of the biennium.  It 
was pointed out that, as in previous years, the target amount had not changed. 
47. Therefore, the following recommendation was proposed for the CBFA's approval: 
Pursuant to paragraph 40
3 of the Ministerial Declaration adopted at the Fourth Session of the 
WTO Ministerial Conference, the Committee recommends to the General Council that:  
 
a) the target level of resources in the Doha  Development Agenda Global Trust Fund 
(DDAGTF) be set at CHF 24 million for each year of the biennium 2008 - 2009;  
 
b) the purpose of the DDAGTF be in 2008 and 2009 to finance the implementation of 
the WTO Technical Assistance and Training Plan, as authorised by the CTD;  
 
c) Members be reminded that, on 19- 20 December 2001, the General Council 
approved the following periodic benchm arks for contribution receipts: (i) by 
December of the year preceding the funds' revolving annual target period, 
25 per cent of the annual total should be in the bank;  (ii) by 31 March, another 
50 per cent for an overall 75 per cent of the total; (iii)  by 30 June, 100 per cent of 
the funds;  
 
d) in this context, Members be informed th at the projected year-end balance of the 
Fund is likely to be insufficient to cover the 25 per cent of the target amount; and  
 
e) Governments be urged to make financia l contributions in a manner which would 
preserve the global nature of the programme and facilitate the management and 
reporting with a view to greater tr ansparency (i.e. making un-earmarked 
contributions) and pledge multi-year cont ributions to create more predictability in 
terms of financing.  
XI. INTERNATIONAL TRADE CENTRE UNCTAD/WTO (ITC) 
A. PERFORMANCE AGAINST BUDGET AS AT 30 SEPTEMBER 2007 
48. The Executive Director of the ITC addressed the CBFA and thanked the Committee for the 
continuing support by the Organization in order to help ITC become a technically strong and highly 
reputed provider of trade related technical assist ance.  With respect to  the performance for the 
biennium 2006/2007 as at 30 September 2007 (docum ent ITC/BUD/55), the estimated expenditure 
amounted to CHF 67,4 million for the biennium, wh ich corresponded to an implementation rate of 
98.62 per cent, representing an overall budgetary saving of CHF 943,000. 
                                                      
3 "40. We agree that there is a need for technical  assistance to benefit from secure and predictable 
funding. We therefore instruct the Committee on Budget, Finance and Administration to develop a plan for 
adoption by the General Council in December 2001 that will ensure long-term fund ing for WTO technical 
assistance at an overall level no lower than that of the current year and commensurate with the activities 
outlined above." WT/BFA/101 
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  B. 
ITC BUDGET PROPOSALS FOR THE BIENNIUM 2008-2009 
49. Concerning the budget proposals for the bie nnium 2008-2009, the Executive Director 
informed the CBFA that although th e ITC would remain a small, lean  organization, it would need to 
be strengthened in some key areas to become a more results-based organization.  A large part of the resources would come from internal consolidation a nd redistribution of human resources, streamlining 
of administrative procedures, workflows and other a ppropriate means.  However, a small part would 
still need to come from an in crease in the ITC's biennial budget for 2008/2009 amounting to 
2 per cent over the 2006-2007 approved budget, or  CHF 69.7 million (share WTO: CHF 34.9 million  
before adjustment for projected miscellaneous income). 
50. The Executive Director further pointed out that the increase was mainly fo r staff costs for four 
new posts (one P-4 and three P-2) and one reclassifica tion of a P-2 to P-4 offset by the abolishment of 
three General Service posts.  Administrative and other costs remained essentially unchanged. 
51. Finally the Executive Director pointed out th at the ITC was currently faced with the 
unprecedented challenge of meeting high demand fo r ITC's assistance from its clients.  As an 
example, the technical assistance provided by the ITC over the period 2000-2006 had increased by 
118 per cent, whereas the budget for the same period  had increased only by 17.3 per cent over the 
same period.  Additionally, the ITC was expected to play a central role in delivering assistance under 
the Enhanced Integrated Framework and in Aid fo r Trade including their implementation at country 
level, which would keep the demand for ITC's assist ance in the near future at a substantially high 
level. 
52. Members welcomed the presentation by the IT C Executive Director, and after discussion 
accepted the 2008-2009 proposal as presented, without change. 
53. The Committee recommends to the General Council that the budget for 2008 of the 
International Trade Centre UNCTAD/WTO be approved in the amount of CHF 34,742,100.  
With miscellaneous income being estimated at CHF 350,000, the amount to be provided to the 
Centre in the 2008 budget of the WTO represents CHF 17,196,100.  
54. The Committee recommends to the General Council that the budget for 2009 of the 
International Trade Centre UNCTAD/WTO be approved in the amount of CHF 35,010,100.  
With miscellaneous income being estimated at CHF 350,000, the amount to be provided to the 
Centre in the 2009 budget of the WTO represents CHF 17,330,100.  
 
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