STATEMENT ON BEHALF OF THE GROUP OF 77 AND CHINA BY H.E. MRS. CHULAMANEE CHARTSUWAN, AMBASSADOR AND DEPUTY PERMANENT REPRESENTATIVE, CHARGé D' AFFAIRES, A.I. OF THE KINGDOM OF THAILAND, ON AGENDA ITEM 136: IMPROVING THE FINANCIAL SITUATION OF THE UNITED NATIONS, AT THE SECOND RESUMED PART OF THE SEVENTIETH SESSION OF THE FIFTH COMMITTEE OF THE UNITED NATIONS GENERAL ASSEMBLY (New York, 11 May 2016)

Mr. Chairman,

1. I have the honour to speak on behalf of the Group of 77 and China on agenda item 136 : Improving the financial situation of the United Nations.

2. The Group wishes to thank Mr. Yukio Takasu, Under Secretary-General for Management for the presentation on the financial situation of the United Nations on 4 May 2016. The Group also wishes to express its appreciation to the Office of Contributions for the updated information on the assessments for Member States.

3. The presentation is a timely opportunity for Member States to reflect on the collective efforts to ensure the financial health of the Organisation, as well as to reaffirm our commitment to meeting our legal obligation in bearing the expenses of the Organisation. This reflection is even more significant as we are embarking on the important implementation of the major commitments Member States made during the course of last year, one that the Group attaches top priority being the implementation of the 2030 Agenda for Sustainable Development and the Addis Ababa Action Agenda.

Mr. Chairman,

4. In the statement made during the presentation, it was mentioned that the financial indicators are generally sound and positive with certain areas that need to be closely monitored in 2016 and that the unpaid assessments were lower for the regular budget and the tribunals than in October 2015. This is encouraging to the Group. However, the Group remains concerned over the increase of unpaid assessments for peacekeeping operations.

5. Despite some improvement, significant amounts are still owed to the Organisation and the United Nations is still far from fully operating on the basis of a clean book. However, the Group remains positive that this situation will improve as it is recognised that not all Member States have national financial cycles aligned with that of the United Nations.
 
6. The Group wishes to express its appreciation to all Member States who have made real efforts to reduce their outstanding contributions. We trust that these efforts will continue, taking into consideration the major undertakings and mandates for this particular Session.

7. The Group notes that the level of outstanding payments to Member States, as it relates to troop costs and contingent owned equipment, is slightly lower than the end of 2015. The Group is encouraged that the Organisation is making progress in addressing outstanding payments to Member States and appreciates the efforts made by the Secretariat in this regard.

8. Since many troop contributing countries are also developing countries, they are not in a position to sustain their troop commitments and maintain their equipment on their own for extended periods of time. This represents a major concern and priority for the Group and, in this regard, we wish to continue to see the improved timelines for this process. The Group strongly urges the Organisation to continue the efforts to significantly reduce the outstanding amount during the course of this year.

Mr. Chairman,

9. The Group reaffirms the legal obligations of Member States in accordance with the Charter of the United Nations. It is important that we ensure financial stability in order for the Organisation to function effectively and to be able to fully implement all its mandates and activities. In this regard, while recognising the need to extend sympathetic understanding to those temporarily unable to meet their financial obligations, as a consequence of genuine economic difficulties, the Group urges all Member States to pay their assessed contributions in full, on time and without conditions.

10. The Group remains concerned about policies of withholding financial obligations due to the United Nations to create linkages to the reform of the United Nations. Withholding funds for approved budgets creates artificial political leverage that undermines the established principles of governance of the United Nations on the basis of the sovereign equality of Member States.

11. The Group reiterates its need to receive reassurances from the Secretariat that the implementation of the programmes and activities of the United Nations that are funded from the regular budget will not be delayed or scaled down due to the non-payment of assessed contributions.

Mr. Chairman,

12. The Group of 77 and China will continue to constructively participate in the collective efforts towards resolving the persistent financial difficulties of this Organisation.

I thank you, Mr. Chairman.