RESTRICTED  WORLD TRADE  
ORGANIZATION  WT/BFA/96 
1 June 2007 
 (07-2262) 
Committee on Budget, Finance and Administration  
  
 
REPORT OF THE MEETING HELD ON 3 MAY 2007 
  
1. The WTO Committee on Budget, Finance and Administration met on 3 May 2007 under the 
chairmanship of Mr. Tony Lynch from New Zealand.   The terms of reference and composition of the 
Committee are set out in document WT/L/44/Rev.1. The agenda contained in document 
WTO/AIR/3009 was adopted with two points under Other Business. 
I. STATUS OF EXTRA-BUDGETARY FUNDS: 
A. T
ECHNICAL ASSISTANCE ACTIVITY AS AT 30 APRIL 2007 
B. DOHA DEVELOPMENT AGENDA GLOBAL TRUST FUND (DDAGTF). 
2. A member of the Secretariat presented document CRP(07)06 and informed the Committee 
that, since the last progress report, contributions from Australia, Germany, Lithuania and Hong-Kong China and a pledge from Ireland had been received for the DDAGTF, but that additional contributions 
of CHF 5.4 million were still urgently needed to be  received by 30 June (100 per cent of the target 
amount, i.e. CHF 24 million, need to be received by 30 June in accordance with the period benchmarks approved by the General Council).  Ne vertheless, the immediate situation had improved 
marginally since the last report and commitments for activities through the end of July had been 
made.   
3. The Committee took note of the report. 
II. FUTURE BUILDING NEEDS OF THE WTO – PROGRESS REPORT 
4. Another Member of the Secretariat presented a brief progress report on the subject of the 
future building needs of the WTO.   With respect to the library,  the Secretariat informed the 
Committee that it had written to the Swiss authoritie s explaining that it was the understanding of the 
Secretariat that the cost of the alternations for th e IUHEI library would be financed in the same way 
as the other alterations made to the South Wing at the time of the handover of those premises to the 
WTO in 1995 and recalled that those earlier alterations  had been financed by the Swiss authorities.  
At the time of the meeting, the Secretariat was awa iting a reply from the Swiss authorities to its letter. 
5. The Secretariat also indicated that it had b een informed that the Montessori school would 
vacate its premises in the grounds of the Cent re William Rappard (CWR) in the summer of 2007, 
while the nursery school (Crèche des Nations) wa s expected to vacate its premises on the CWR 
grounds within the next three years. 
6. The Secretariat also explained that the handover of the IUHEI library premises would not 
fully resolve the immediate space problems of the WTO and that additional space was still required.  
It was recalled that the Director-General was of the view that the Rue Rothschild premises did not 
provide an adequate temporary solution.  In this  respect, it was outlined that the Secretariat had 
informed the Swiss authorities that  it expected the host government to continue to cover the cost of 
additional office space required beyond the date at wh ich the library premises were occupied by the 
WTO. WT/BFA/96 
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  7. With regard to the Avenue the France project , the Secretariat explained that the Swiss 
authorities had informally indicated that they would be  prepared to take over the project and rent part 
or all of the building to the WTO pending a long-term solution. However, since the building would not be completed before the end of 2009 at the ear liest, it did not offer a solution to the immediate 
housing needs of the WTO.  The Secretariat also recalled that the validity of the tenders for the 
construction of the building on the Avenue  de France would expire on 30 June 2007. 
8. The Secretariat further informed the Committee that  it had maintained regular contact with the 
Swiss authorities with respect to the examination of  possible options for meeting the long-term space 
needs of the WTO and that it was still hoped that  a comprehensive presentation of the options, 
including technical and financial details, woul d be submitted to the Committee and the General 
Council before the summer break. 
9. Members who spoke expressed their discomfort at not having received more detailed 
information and urged that they be informed as soon as possible about possible options and their financial aspects in order to be able to inform thei r authorities.  They were also concerned that, in 
view of the expiry date for the Avenue de Fran ce tenders, a decision by default might occur if 
Members were not presented with information on all options.  A Member also stressed the importance 
of the continued co-operation of Switzerland as a host country. 
10. The representative of the Host Country recalled that the matter was very complex and that a 
number of feasibility studies were on the way. He  further underscored the desire of the Swiss 
authorities to do their utmost in order to satisfy the future requirements fo r the office space of the 
WTO and to continue deepening discussions with th e Secretariat. He added that discussions were 
continuing in the Foreign Affairs Department a nd the cantonal authorities and that the Federal 
Council would also take up matter very soon.  Finally, he assured the Committee that his authorities would keep Members informed of any developments. 
11. The Committee took note of the report and the comments made by the Members. 
III. SECRETARIAT VERSION.3 – PROGRESS REPORT 
12. A member of the Secretariat provided the Comm ittee with an update on the proposed reforms 
and outlined that further details would be  given before the next CBFA meeting. 
13. Members were informed that the Secretariat was considering a new grading structure which 
would create a more easily understandable career  path for both support and professional staff, but 
without resulting in hidden pay increases or upward adjustment of the salary scale.  It was also 
explained that the Secretariat was considering a proposal for introducing secretariat-wide recruitment 
for many posts such as economists, legal affairs officers, administrative officers and secretaries which 
would allow greater internal mobility and training in  order to better devel op overall knowledge of the 
WTO system and hence increase the value of the organization.  With respect to Activity Based 
Budgeting (ABB), the Secretariat was developing a budget accounting system which would accurately 
track expenditures on each of the Secretariat's core functions.  It was hoped to  have an outline of ABB 
by early summer to present to the Committee in writi ng.  In response to a question, the Secretariat 
confirmed that ABB was not intended to replace other forms of information provided to the 
Committee, but was to enable a better dialogue on th e allocation of resources or to identify where 
there was a lack of resources. 
14. It was further outlined that the Secretaria t was also working on the areas of career 
development, training, mobility, the bonus system and personnel evaluations and that the new office 
of internal oversight would soon be established. 
15. The Committee took note of the information.  WT/BFA/96 
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  IV. OTHER BUSINESS 
16. The chairman of the CBFA informed the Memb ers that the WTO Staff Council had made a 
request to attend the meetings of the Committee as ob server.  It was further explained that, on rare 
occasions in the past, members of the Staff Council had been permitted to address the CBFA, but that 
it was the opinion of the Members of the Committee that the appropriate contacts and communication 
for the Staff Council should remain within the Ad ministration.  As there was no indication that 
Members of the Committee desired to change the curre nt practice,  the Chairman indicated that he 
would ask that the Administration convey this message to the Staff Council. 
17. Members were also informed that the Secretar iat had sent out letters to all Members with 
regard to the call for tenders for the External Aud itor of the WTO and that the date for the submission 
of tenders was 11 May. 
18. The Committee took note of the information. 
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