October 23, 2009

EU statement in the fifth committe of the General Assembly on Item 134: Improving the financial situation of the United Nations. The statement was delivered by Mr Henric Råsbrant, First secretary with the Permanent Mission of Sweden.

Mr. Chairman,

I have the honour to speak on behalf of the European Union.

The Candidate Countries Turkey, Croatia* and the former Yugoslav Republic of Macedonia*, the Countries of the Stabilisation and Association Process and potential candidates Albania, Bosnia and Herzegovina, Montenegro and Serbia, and the EFTA country Iceland, member of the European Economic Area, as well the Republic of Moldova and Armenia align themselves with this statement.
Mr. Chairman,

At the outset, let me thank Ms. Angela Kane, Under-Secretary-General for Management, for her presentation of 16 October 2009, which provided us with useful information on the financial situation of the United Nations and on how Member States fulfil their obligations under the UN Charter to contribute to the financial expenses of the Organisation. The European Union wishes to reiterate that it is the responsibility of each  Member State to pay its assessed contributions in full, on time and without conditions. We would also like to underline that, on the part of the Organisation, effective and efficient use of resources is important today more than ever in the context of the world financial crisis.

Mr. Chairman,

Although the financial indicators for this year include some signs of improvement, the picture is mixed and there are reasons for concern.

We are pleased to see that as at 16 October 2009, 123 Member States had fully paid their regular budget assessments. However, we note that this is 10 lower than in the corresponding time in 2008. We are concerned about the outstanding assessed contributions, which on 13 October 2009 amounted to 830 million USD.

Turning to peacekeeping budgets, the European Union notes that the financial situation shows some improvement when compared to outstanding contributions in the same period last year. The amount of unpaid assessments, 2.1 billion USD, is still of great concern. We call on all Member States to pay their contributions in order to enable the Organisation to perform its challenging tasks and to implement its peacekeeping operation mandates.

The European Union wishes to reiterate that the balances of funds on the accounts of closed peacekeeping operations should be returned to Member States and that continued retention of contributions is not acceptable. The situation that active peacekeeping operations are financed to some extent from the accounts of closed peacekeeping operations due to unpaid assessments is not sustainable.

Mr. Chairman,

We note that the financial situation of the international tribunals has worsened slightly compared to last year. On 16 October 2009, 83 Member States had paid their assessments in full, which is 14 less than on 24 October 2008. With unpaid assessments of 63 million USD, both tribunals may face difficulties in the final phase of their work. Moreover, we do not want a similar situation as a few years ago, when cross-borrowing was needed from closed peacekeeping accounts due to the financial difficulties of the tribunals.

With regard to the Capital Master Plan, the European Union is a staunch supporter of this important project and we are pleased that this enormous undertaking is now underway. The outstanding amount, as at 13 October 2009, was 86 million USD. In order to ensure the timely implementation of the project, all Member States should pay their contributions. 

Mr. Chairman,

To conclude, the European Union believes that the Organisation can perform its increasing and challenging tasks only when Member States fulfil their financial responsibility to the Organisation. The significant level of outstanding assessments reminds us of the need to take this responsibility seriously. The European Union, which contributes nearly 40 per cent of all assessed contributions, will also continue to stress the importance of the most effective, efficient and transparent use of the resources of the Organisation. The European Union believes firmly that a fair and more balanced way to share the budgetary responsibilities of the United Nations is essential to the effective functioning of the Organisation.

I thank you, Mr. Chairman.

* Croatia and the former Yugoslav Republic of Macedonia continue to be part of the Stabilisation and Association Process.