Yearbook of the United Nations, 2002. Part 5, Institutional, administrative and budgetary questions. Chapter 2, United Nations financing and programming

Abstract

The overall financial situation of the United Nations during 2002 continued to show positive improvements, as reflected by higher aggregate cash balances, lower unpaid assessments and reduced debt owed by the Organization to Member States. Unpaid assessments were at their lowest in seven years at $1,684 million, compared with $2,106 million in 2001. Likewise, amounts due to Member States for troops and contingent-owned equipment were reduced to $703 million from $748 million at the end of 2001. The General Assembly adopted revised budget appropriations for the 2002-2003 biennium of $2,890,818,700, an upward adjustment of $191,550,900 to the original appropriation of $2,699,267,800. The Assembly also noted with concern the measures announced by the Secretary-General concerning budget constraints and support service reductions, especially of services provided to Member States. It invited the Secretary-General to prepare his proposed 20042005 programme budget on the basis of the preliminary estimate of $2,876 million, revised at 2002-2003 rates, as indicated in his programme budget outline for the 2004-2005 biennium. The Assembly endorsed the Secretary-General's proposals for improving the planning and budget system. The Committee on Contributions continued to review the methodology for preparing scales of assessments of Member States' contributions to the UN budget, including measures to encourage the timely payment of contributions, requests from Member States for exemptions under Article 19 of the Charter of the United Nations and assessment of new Member States, and requests for change of assessments. It also considered the Secretary-General's proposals for encouraging the payment of arrears of assessed contributions and for resolving the issue of the outstanding assessed contributions of the former Yugoslavia. The Assembly endorsed the Committee's recommendations concerning multi-year payment plans for eliminating arrears. The Assembly accepted the audited financial statements of the Board of Auditors on UN peacekeeping operations and the United Nations and its funds and programmes for the 2000-2001 biennium, adopted the proposed revisions to the UN Financial Regulations, to take effect from 1 January 2003, and adopted revisions to the 2002-2005 medium-term plan.