STATEMENT ON BEHALF OF THE GROUP OF 77 AND CHINA BY MR WALEED AL-SHAHARI OF THE PERMANENT MISSION OF YEMEN TO THE UNITED NATIONS ON AGENDA ITEM 134: IMPROVING THE FINANCIAL SITUATION OF THE UNITED NATIONS, AT THE SECOND PART OF THE RESUMED SIXTY-FOURTH SESSION OF THE FIFTH COMMITTEE OF THE GENERAL ASSEMBLY (New York, 13 May 2010)

Mr. Chairman,

1. I have the honour to speak on behalf of the Group of 77 and China on agenda item 134, on improving the financial situation of the United Nations.

2. I would first like to thank Ms Angela Kane, the Under-Secretary-General for Management, for her presentation last week on the financial situation of the Organization.

3. The Group notes that the financial situation of the United Nations has seen some improvement, with a decrease in the levels of unpaid assessments this past year. We would like to express our appreciation to the Member States who have paid all their assessed contributions to the Organization. We hope that others can also follow their example.

4. However, as of 30 April 2010, there remains a shortfall of US$1.061 billion and US$1.24 billion of assessed payments to the United Nations' Regular and Peacekeeping Budgets respectively. While the Group can certainly sympathize with many Member States, particularly those in the developing world that have been hit hard by the global financial crisis or by natural disasters, it is unfortunate that about half of the outstanding payments, for the Regular and Peacekeeping budgets, as well as those for the international tribunals and the Capital Master Plan, are owed by one single country. This strikes at the heart of efforts being undertaken by Member States and the Secretariat to enhance the effectiveness and efficiency of the United Nations. We are concerned that this situation may undermine the ability of the Organization to fully carry out all its mandates.

5. The Group has constantly stated that the full, timely and non-conditional payment of assessed contributions by Member States to the various budgets of the Organization is a Charter obligation, and it remains our strong position that all Member States, especially those that have the capacity to settle their arrears, should honour their financial commitments in a timely fashion. For that reason, the Group of 77 and China also rejects all unilateral coercive measures contrary to the international law, which obstruct and sometimes impede payments from members of our Group to the budgets of the Organization.

6. The Group of 77 and China also remains concerned that as of 30 April 2010, about US$750 million remain owed to troop and police-contributing countries. This is of particular concern since most troop-contributing countries are also developing countries and are not in position to sustain their troop commitments and maintain their equipment on their own for extended periods of time. Let us be mindful of the many sacrifices being asked of these committed men and women in the field, many of whom are from members of the Group. It is thus vital that we undertake measures to ensure that these debts are paid off to Member States in an expeditious manner, and as a matter of priority.

7. In addition, the Group of 77 and China would like to express its appreciation to the initiative undertaken by the Secretariat to create a portal for Member States to follow up on the status of their contributions to the various budgets of the United Nations. This option, if implemented properly, will facilitate our work on the issue. The Group would like to take this opportunity to express its gratitude to the assistance received to date from the Office of Contributions on this matter.

Mr. Chairman,

8. The Group of 77 and China firmly supports the efforts to strengthen the ability of the United Nations to fully implement its mandates. To this end, we would urge all Member States to meet their financial obligations to the Organization in full, on time, and without any precondition.

Thank you.