Mr. Chairman,

1. I have the honour to speak on behalf of the Group of 77 and China on agenda item 129, in particular on the proposed programme budget outline for the biennium 2014-2015.

2. The Group of 77 and China wishes to thank the Assistant Secretary-General, Controller, Ms. María Eugenia Casar, and Mr. Collen Kelapile, the Chair of the Advisory Committee on Administrative and Budgetary Questions, for their introduction of the respective reports of the Secretary-General and the Advisory Committee.

Mr. Chairman,

3. The Group of 77 and China takes note of the submission of the proposed program budget outline for the biennium 2014-2015, which in accordance with the provisions of Annex I of the General Assembly resolution 41/213, provides Member States with a preliminary indication of the resources required in the coming biennium and, once adopted, will form the basis of the budget preparations of the Secretary-General. We believe that the proposed budget outline should have presented the fullest possible picture of the Organization's estimates of resources for the coming biennium.

4. We also note that the preliminary estimates of resources for the biennium 2014-2015 amount to 4,227.8 million USD, which before the inclusion of the special political missions, represent an increase of $158.5 million over the approved appropriations of $4,069.3 million for the biennium 2012-2013 relates primarily to the inclusion of the deferred post-related recosting for inflation and exchange rates for planning purposes. Despite the overall increase in the total budget, the Group expresses concern over the total net projected decrease growth in programme resources of 1.5 per cent or $61.1 million and the increase of 2.8 per cent or $30.2 million over the estimated biennial provision for the SPMs. Once again, as in previous budgets, compared to the current provisions, special political missions showing a significant increase compared to previous biennia.

5. We wish to stress that the estimates are indicative in nature and level of the proposed programme budget for the biennium 2014-2015 may be higher or lower than the preliminary estimates before us today. The Group reiterates the great importance of having adequate resources in order for the Secretariat to implement the Development Agenda as mandated by the General Assembly. We would be interested to know how much of the resource change in these areas is accounted for by technical delayed impact adjustments.

6. Turning to the level of the contingency fund, we agree with the proposal of the Secretary- General to maintain the level of the Contingency Fund at 0.75% of the preliminary estimates for the biennium 2014-2015.

Mr. Chairman,

7. The Group of 77 and China is deeply committed to the budgetary process established by Resolutions 41/213 and 42/211. These resolutions laid the technical and political foundations for the work we do, stipulating how the budget will be prepared and under what terms the Fifth Committee will negotiate it. We are therefore concerned that the Secretary-General's report contravenes the provisions of these resolutions.
        
Mr. Chairman,

8. The Group would like to emphasize that, in accordance, with the Charter, the General Assembly is the only body authorized to consider and approve the budget of the United Nations. The Group would also like to stress that, in accordance with the Charter, the staff of the Organization should be appointed by the Secretary-General under regulations established by the General Assembly. The Group would be guided in its approach to the elements under this agenda item by articles 17, 97, 100 and 101 of the Charter, Rule 153 of the Rules and Procedure of the General Assembly, and rule 5.9 of the Programme Planning, the Programme Aspects of the Budget, the Monitoring of Implementation and the Methods of Evaluation (PPBME).

9. We also would like to stress that the role of the Fifth Committee in budgetary and administrative matters should be respected. The Group, therefore, deems it necessary to remind other Main Committees of the General Assembly to desist from using the phrase "within existing resources" in their resolutions, as to do so would be in contradiction of rule 153 of the rules of procedure, as well as numerous General Assembly resolutions that have reaffirmed the role of the Fifth Committee. We trust that this will be conveyed in writing to other Main Committees as this Committee has done in the past.

Mr. Chairman,

10. The Group is deeply concerned to note the perennial imbalance between the assessed and voluntary contributions. This is particularly evident, for example, in section 24 on human rights. The Secretary-General's proposed resources for human rights for biennium 2012-2013 amounted to $147 million, whereas the extra-budgetary resources were double this amount, i.e., $257 million. Similarly, in the current biennium the staffing resources proposed 344 posts funded through regular budget, whereas 765 posts financed from extra-budgetary resources.
 
Mr. Chairman,

11. Priority-setting in the programmes and activities of the Organization is an intergovernmental activity. Too much reliance on extra-budgetary post and non-post resources has a detrimental effect on implementation of mandates approved by legislative bodies. Authority and flexibility granted to the Secretary General for deployment and redeployment of human and financial resources should not be used to undermine the priorities determined by the Member States.

12. Moreover, the voluntary contributions should be subject to the same level of intergovernmental scrutiny and oversight in order to enable the General Assembly to monitor and evaluate the outputs, impacts and improvements in programme delivery.

Mr. Chairman,

13. The Group would like to assure you of our willingness to engage constructively in the deliberations on this agenda item.

I thank you, Mr. Chairman.