RESTRICTED  WORLD TRADE  
ORGANIZATION  WT/BFA/118 
8 October 2010 
 (10-5157) 
Committee on Budget, Finance and Administration  
  
 
REPORT OF THE MEETING HELD ON 5 OCTOBER 2010 
 
 1. The WTO Committee on Budget, Finance and Administration met on 5 October 2010 under 
the chairmanship of Mr. Pasi-Heikki Vaaranmaa (F inland).  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/3619 was adopted. 
I. ADMINISTRATIVE UP-DATES AND PROGRESS REPORTS AS AT 
30 SEPTEMBER 2010 
A. WTO
 BUDGET AND FINANCE REPORT (CRP(10)11) 
2. A member of the Secretariat presented the situation regarding Members' contributions as at 
30 September 2010 showing that CH F 148 million of the assessed CHF 188 million had been received 
and that 92 Members or 60 per cent of the Membersh ip had no outstanding balance.  The Secretariat 
will issue reminder letters shortly.  A provisional draft scale of contributions for 2011 was circulated 
by the Secretariat on 10 August 2010 (WT/BFA/W/208). 
3. Since the last meeting of the Committee, the number of Members subject to Administrative 
Measures has been reduced from 21 to 18.  The num ber of Inactive Members, currently amounting to 
13, is also expected to continue to decline.  In addition to the two Members proposing payment plans as a separate item of the meeting, the Secretariat has received payments and positive signals from the 
following four other Inactive Members:  D jibouti, Mauritania, Nicaragua and Niger. 
4. The cash situation showed that the WTO held  CHF 76 million on its bank accounts, including 
the Working Capital Fund and Extra-Budgetary Funds .  The cash situation can be considered as 
sound.  However, the interest rates on Swiss francs remained very low, currently peaking at 0.3 per 
cent.  The WTO continues to earn higher interest  by leaving the cash balances on its bank accounts 
than holding short-term investments. It was r ecalled that all interest earned by the WTO was 
distributed to Members, as part of the early payment encouragement scheme, and to trust and operating funds based on the amount of funds held duri ng the year.  From 2010, the interest earned on 
the current account would also be distributed  to Members, trust and operating funds. 
5. The budget performance as at 30 Septembe r 2010 remained on schedule with almost 
75 per cent of the budget expensed or committed.  A budget projection at year-end will be presented 
to Members as part of the mid-term budget review process to take place in the coming weeks.  
6. The 2009 accounts have been audited by the Exte rnal Auditor of the WTO.  A clean audit 
opinion has been received on these accounts.  A savi ng of some CHF 1.7 million has been achieved 
on budgetary expenditure in 2009.  The final Surp lus available at the end of 2009 amounted to 
CHF 1.0 million.  The 2009 financial performance report should be distributed shortly and presented 
at the next meeting of the Committee.  The Extern al Auditor, represented by the President of the 
French Cour des Comptes, is scheduled to presen t his report to the Committee on 6 December 2010.  WT/BFA/118 
Page 2  
 
  7. The Secretariat thanked Delegations who had contributed to the success of the WTO Open 
Day that had taken place on Sunday 19 September 2010.  More than 3,000 visitors had come to this 
event.  The various activities that had taken place during the day, especially the food stands operated by Members, had raised CHF 19,723 for the local charity " J'aime ma planète" . 
8. The Chair of the Working Group on Administ rative Measures updated the Committee on the 
progress achieved by the Working Group.  The Chai r informed the committee that the Working Group 
had met on 4 October and that he had updated the Wo rking Group on the consultations that he had 
held with selected Regional Coordinators and Ob servers.  The Secretariat provided the Working 
Group with a detailed overview of the situati on regarding Members subject to Administrative 
Measures.  The reduction in the number of Memb ers subject to Administrative Measures had been 
significant.  The Working Group continued its process of drafting a proposed revised set of 
Administrative Measures.  This proposal would be based on the existing measures and would also 
include Observers with long outstanding arrears in  contributions.  The Working Group was expected 
to complete its work by the end of the year.  
B. E
XTRA -BUDGETARY FUNDS REPORT (CRP(10)12) 
9. The Committee was informed that  a total of CHF 3.8 million of voluntary contributions had 
been received in the last three months.  Th e Doha Development Agenda Global Trust Fund 
(DDAGTF) had received CHF 2.2 million and the STDF CHF 1.3 million. The remaining 
CHF 0.3 million were received by the Internsh ip Programme – Selected Mission.  Recent donors 
included the European Union, Finland, Irela nd, Japan, Norway, Spain and the United States. 
10. Total funds available in the Doha Developm ent Agenda Global Trust Fund (DDAGTF) stood 
at CHF 24.5 million as at 30 Septembe r 2010.  Expenditure amounted to CHF 22.8 million, leaving an 
available balance of CHF 1.7 million.  These fi gures included commitments of CHF 10.3 million for 
33 activities planned from October to December, in cluding two Regional Trade Policy Courses to be 
held in Swaziland and Benin.  The United States indicated that a USD 1 million payment had just been made.  An amount of CHF 8 million should be av ailable by the end of the year in order to start 
the activities scheduled in 2011.  
C. B
UILDING PROJECT REPORT  
11. The Project Director recruited by the WTO to supervise the Building Project gave an update 
on the situation.  The renovation of the existing pa rt of the Centre William Rappard (CWR), under the 
responsibility of the FIPOI, remained on schedule.  The renovation of the link between the South and 
North wings of the building had started in July and should be completed in January 2011.  The 
renovation of the CWR should be completed by the summer of 2012.   
12. The work on the intra-muros project had star ted.  The demolition of the South Courtyard's 
former HEI library had been completed.  The ma sonry works for the erection of the new conference 
centre were due to start in a few days.  The structure of the new conference centre should be 
completed in May 2011.  The North Courtyard atrium should be completed by December 2011. 
13. The building permit request had been deposited for the new building, the extra muros project, 
in July 2010.  The governmental approval process fo r the release of the interest-free loan had been 
engaged and should be approved by the Swiss Par liament in December 2010.  The new building 
should be completed by the end of 2012.  WT/BFA/118 
 Page 3 
 
 
  II. SPONSORSHIP PROPOSAL (WT/BFA/W/210) 
14. The Secretariat presented a detailed proposal  inviting Members to participate through 
sponsorship in the different projects for the f itting up and equipping of the WTO's common facilities 
that are planned to be delivered as part of the building project.  The common facilities include the South Courtyard Conference Centre, the North Courtyard Atrium, the press centre, the North Wing 
meeting rooms, training rooms, the cafeteria and the library to be relocated in the new building.  The 
common areas available to Members and staff w ould be substantially improved.  The proposal 
contained a breakdown of the estimated costs for the different facilities.  
15.   Deputy Director-General Yerxa recalled that  the CHF 130 million financing of the building 
project had not provided for the funding of the furniture and equipment to be installed once the 
building work had been completed.  The preliminar y cost projection for equipping and furnishing all 
common areas was still in the range of CHF 16-18 million.  More precise estimates could be provided following tendering processes.  
16. The South Courtyard Conference Centre was currently a priority as it had to become 
operational in October 2011 before existing conference rooms in the North Wing could be renovated. 
The Secretariat was currently reviewing the results of a call for tender for this facility. A contract 
would need to be signed in the coming weeks in orde r for the Centre to be ready on time.  A Sponsor 
willing to undertake the procurement and installatio n of this facility would need to be identified 
rapidly.  Otherwise the alternative funding of this  project would need to be determined rapidly. 
Several options could be envisaged such as direct  financial sponsoring; the use of the Members' 
Transition Operating Fund or using budgetary savings as previously suggested by Members.  The 
Secretariat would revert to the Committee on this matter. 
17. Members sought further information on how thei r contributions would be recognized and if 
some mechanism would be foreseen to encourag e sponsorship from smaller economies.  Deputy 
Director-General Yerxa indicated that this was open for discussion with the Members and could be 
adjusted depending on specific requirements of Members. Members interested by sponsoring 
opportunities were invited to contact Deputy Director-General Yerxa. 
III. SUSPENSION OF ADMINISTRATIVE MEASURES FOR INACTIVE MEMBERS 
A. S
USPENSION OF ADMINISTRATIVE MEASURES FOR THE REPUBLIC OF THE GAMBIA 
(WT/BFA/W/211) 
18. The Committee was informed that the Repub lic of the Gambia had accepted a payment 
scheme to liquidate its outstanding contributions ov er a period of 10 years, starting in 2010.  The 
outstanding balance after the deduction due to the application of the specific payment mechanism for 
arrears prior to 1988 as at 31 March 2010 of CHF 726,724 would be cleared by following a ten-year payment scheme.  The Chair congratulated the Repub lic of the Gambia for their commitment to clear 
their outstanding contributions.  The Comm ittee approved the following recommendation: 
19. In accordance with the decision of the General Council of 15 May 2006, the Committee 
on Budget, Finance and Administration recomm ends that the General Council suspend the 
application of administrative measures for th e Republic of the Gambia, which agrees to, and 
undertakes to abide by, a schedule of instalment payments aimed at liquidating all arrears over 
a period of ten years starting on 1 January 2010.   The payments must be received no later than 
31 December of each year, failing which the administrative measures will be reinstated . WT/BFA/118 
Page 4  
 
  B. S
USPENSION OF ADMINISTRATIVE MEASURES FOR THE TOGOLESE REPUBLIC 
(WT/BFA/W/212) 
20. The Committee was also info rmed that the Togolese Republic had accepted a payment 
scheme to liquidate its outstanding contributions ov er a period of 5 years, starting in 2010.  The 
outstanding balance after the deduction due to the application of the specific payment mechanism for 
arrears prior to 1988 as at 31 July 2010 of CHF 461,693 would be cleared by following a five-year 
payment scheme.  The Chair congratulated the Togol ese Republic for their commitment to clear their 
outstanding contributions.  The Committee approved the following recommendation: 
21. In accordance with the decision of the General Council of 15 May 2006, the Committee 
on Budget, Finance and Administration recomm ends that the General Council suspend the 
application of administrative measures fo r the Togolese Republic, which agrees to, and 
undertakes to abide by, a schedule of instalment payments aimed at liquidating all arrears over 
a period of five years starting on 1 January 2010 .  The payments must be received no later than 
31 December of each year, failing which the administrative measures will be reinstated . 
IV. OTHER BUSINESS 
22. A Member enquired about the actions the Secr etariat was taking to reduce the amount of 
document distribution in paper.  This could facilita te the work of Members and also contribute to a 
Greener WTO Secretariat. More information was sought about the process to actualize the list of 
documents to be distributed in hard copy to Member s.  Some suggestions were raised such as making 
further use of the functionality in Documents On line to associate documents to meetings of 
Committees.  Expanding the use of electronic distribution of documents through emails was also 
suggested, as done currently by some divisions. 
23. The next meeting was scheduled for Tuesday 9 November 2010 at 3.00 PM. 
 
__________