Madam Chair,

1. I have the honour to speak on behalf of the Group of 77 and China on agenda item 140, entitled "Scale of assessments for the apportionment of the expenses of the United Nations".

2. The Group of 77 and China thanks H.E. Bernardo Greiver, Chair of the Committee on Contributions, and Mr. Chandru Ramanathan, Assistant Secretary-General and Controller for introducing their respective reports.

3. The Group reaffirms its longstanding position that the Organisation must be given necessary financial resources to fully implement its mandates. It is incumbent on all Member States to fulfil our legal obligations to bear the expenses of the Organisation in accordance with the Charter of the United Nations, and pay our assessed contributions in full, on time, and without conditions. It is unacceptable for any member state to continuously demand more of the Organisation while unilaterally withholding contributions.

4. However, the Group also notes that there are special difficulties or external hinderances faced by some developing countries that temporarily prevent them from meeting their financial obligations. The difficulties of these countries should be acknowledged when considering their applications under Article 19. The Group therefore emphasizes the importance of dealing with the applications under Article 19 on an urgent basis.

5. On multi-year payment plans, the Group commends the efforts made by Member States who have honoured their commitments under those plans, despite the challenges they face. We reiterate that multi-year payment plans should remain voluntary. The Group encourages Member States with significant arrears to also consider multi-year payment plans in meeting their obligations to the Organisation.

6. We express our solidarity with the two countries, both members of the Group, that are currently prevented to vote at the General Assembly.

Madam Chair,

7. In successive Ministerial Declarations throughout the years, the Group of 77 and China has outlined our longstanding position on the scales of assessments.

8. First, the current methodology for the preparation of the scale of assessments reflects changes in the relative economic situations of Member States. We reaffirm the principle of "capacity to pay" as the fundamental criterion in the apportionment of the expenses of the United Nations. We note that under the current methodology, the collective assessment rate of developing countries has consistently and significantly increased over the past years, particularly since 2000 as per the reports of the Committee on Contributions. In the meantime, developed countries' scales of assessment continue to decrease, and the upcoming cycle is no different. That said, as responsible members of the United Nations, the Group of 77 and China has consistently fulfilled our financial responsibilities to the Organisation, and we once again reaffirm our commitment to do so.
 
9. We would, however, reject any changes to the elements of the current methodology and any other approaches for the preparation of the scale of assessments aimed at increasing the contributions of developing countries.

10. Second, The Group emphasizes that the core elements of the current methodology of the scale of assessments, such as base period, Gross National Income, conversion rates, low per capita income adjustment, gradient, floor, ceiling for Least Developed Countries, and debt stock adjustment must be kept intact and are not negotiable.

11. In this regard, we believe that the scale of assessment should be based on reliable, verifiable, and comparable data, supported by verified statistics that reflect Member States' capacity to pay. Accordingly, the application of exchange rates should be meticulously and impartially selected, particularly in cases of excessive fluctuations and distortions in the income of some Member States, to ensure the fairest and most accurate assessments.

12. Third, the Group reiterates that the current maximum assessment rate or ceiling was fixed as a political compromise. It is contrary to the principle of the capacity to pay, and is a fundamental source of distortion in the scale of assessments. The Group notes that the ceiling has benefited only one Member State. The Group also notes that the rationale for reducing the ceiling to 22% in 2000 was to facilitate the payment of arrears and thereby improve the financial situation of the United Nations. The Group recalls the severe liquidity crises over the past years, including the current one, and further recalls that these arrears were largely owed by a single Member State, the same which has consistently benefitted from the 22% ceiling. We urge the General Assembly to review this arrangement, in accordance with paragraph 2 of resolution 55/5 C. The Group will request detailed information on the history of payment of arrears, to determine whether this rationale has been met.

13. Fourth, the Group of 77 and China emphasizes that organisations which have an enhanced observer status at the United Nations giving them the rights and privileges usually only applied to observer states, such as the right to speak in the general debate of the General Assembly and the right of reply, should also have the same financial obligations to the United Nations as observer states. We urge the General Assembly to consider a decision on an assessment for such organisations.

14. In addition, the Group firmly rejects any attempt to unilaterally and persistently withhold contributions as a tool to pressure the United Nations. This is contrary to both the letter and spirit of the Charter, which upholds the principle of sovereign equality of all Member States.
  
Madam Chair,

15. To conclude, we reaffirm the unity and solidarity of all the Members of the Group on this agenda item.

**I thank you**