Madam. Chair,

1. I have the honour to deliver this statement on behalf of the Group of 77 and China.

2. The Group would likes to thank all briefers for introducing their respective reports, including the Chair of the Pension Board, the Chief Executive of Pension Administration, the Representative of the Secretary-General for Investments, and the Chair of the Advisory Committee on Administrative and Budgetary Questions. The Group also welcomes the leadership transitions within the Fund and assures the newly appointed officials of our readiness to collaborate closely to ensure that the Fund continues to deliver on its important mandate for the benefit of its participants, retirees and beneficiaries.

Madam Chair,

3. The Group notes with appreciation that, as at 31 December 2024, the total net assets of the Fund stood at $95.4 billion, representing an 8.1 per cent increase compared to the previous year. We also note that the Fund achieved a fifteen-year real rate of return of 4.9 per cent, exceeding its long-term target of 3.5 per cent. These results demonstrate prudent investment management and effective oversight, and we look forward to further information on the measures being taken to sustain long-term performance amid global financial uncertainty.

4. The Group welcomes the unqualified audit opinion issued by the Board of Auditors for the 2024 financial statements, confirming full compliance with IPSAS and the Fund's financial regulations. We commend the Fund for maintaining robust internal controls and for continuing to improve its risk-management and governance frameworks.

5. The Group notes that 74 per cent of previous audit recommendations have been fully implemented, with the remainder under implementation, and stresses the importance of ensuring the timely and full implementation of all outstanding recommendations.

6. The Group takes note of the continued improvements in service delivery, with 94 per cent of initial benefits processed within 15 business days, exceeding established benchmarks. We also welcome the progress in digital transformation, notably the expansion of digital Certificates of Entitlement and the automation of benefit verification systems.

Madam Chair,

7. On the 2026 proposed administrative budget of $166 million, the Group takes note of the ACABQ's recommendations aimed at enhancing efficiency and cost discipline. We reiterate that while budgetary prudence is essential, efficiency measures should not come at the expense of service quality. The Group supports efforts to strengthen internal capacity and reduce reliance on external consultants, and emphasizes the importance of ensuring adequate resources for audit, oversight and information technology modernization.

8. The Group takes note of the Board's recent reviews of its terms of reference, committee structures and rotation schedule for 2026-2031, and looks forward to continued updates on the implementation of these governance enhancements. We also underline the importance of ensuring equitable geographical representation and balance between men and women in all appointments and nominations within the Fund at all levels.

9. The Group further encourages the Fund to continue to assess the potential implications of the UN80 reform initiative on the Fund's membership and contribution base, and to report transparently to the General Assembly on any medium- and long-term impacts.

10. The Group acknowledges the efforts of the Office of Investment Management to diversify portfolios and improve risk management. We reaffirm the importance of adhering to the Fund's fiduciary principles, while encouraging the Fund to expand diversification of investments in developing countries and emerging markets in accordance with relevant General Assembly resolutions and we look forward to receiving updateed informations on the investments of the Fund by country and regions, as well as by types of assets.

11. In conclusion, Madam Chair, the Group reiterates its appreciation to the Pension Board, the Fund's management and staff for their continued dedication to safeguarding the financial sustainability and effective governance of the Fund. We assure you of the Group's readiness to engage constructively on this important agenda item.

I thank you.