FIFTH COMMITTEE RECOMMENDS WAIVER OF $95-MILLION CREDITS TO WRITE OFF SOUTH AFRICA'S APARTHEID-ERA DUES

12 December 1995

Press Release
GA/AB/3055

FIFTH COMMITTEE RECOMMENDS WAIVER OF $95-MILLION CREDITS TO WRITE OFF SOUTH AFRICA'S APARTHEID-ERA DUES

19951212 Hears Divergent Views on Efficiency Board; Considers Seabed Authority Funding and Ukraine's Peace-keeping Rates

Member States would waive their right to receive about $94.8 million out of a total of about $295.6 million in credits available to them from previous United Nations regular and peace-keeping budgets, if the General Assembly writes off South Africa's unpaid dues for the period between 30 September 1974 and 23 June 1994, according to a letter to the President of the Assembly approved this afternoon by the Fifth Committee (Administrative and Budgetary).

The waiver would be granted under the provisions of operative paragraphs that the Committee's letter recommended for addition to draft resolution A/50/L.44 on normalization of the situation concerning South Africa, to be considered by the Assembly plenary. The Committee's action was taken in response to a 4 December letter from the Assembly's President, transmitting the plenary's decision that, because of the political importance of the issue, the Committee should provide technical observations on the draft resolution by today, 12 December.

The agenda item's consideration was first requested in a letter from South Africa, whose arrears for 30 September 1974 to 23 June 1994, when the apartheid regime's representatives were excluded from taking part in the Assembly, are about $94.8 million.

Earlier, the representative of South Africa informed the Committee that his country would waive credits of $549,606 and $737,142 that it would be in position to receive from surpluses in the regular and peace-keeping budgets, respectively, for the period between 30 September 1974 and 23 June 1994.

Belgium's representative explained that the letter and its recommendations had emerged after informal consultations among Member States that had decided to write off South Africa's debt for the period it had not taken part in the Assembly. That would be in accordance with the principle of no taxation without representation.

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Mexico's representative said her delegation would not object to the letter if the Secretariat would publish a document with a breakdown of what each Member State would be waiving. It reserved its right to take a decision on the substantive matter as it had not yet received instructions on it.

Statements were also made by Kuwait and Spain on behalf of the European Union.

During discussions on the Efficiency Board, under the agenda item on the proposed 1996-1997 budget, opinions were divided on the creation of the Board.

The representative of India asked for more details on how much the Board would cost and which countries had been approached in the selection of the Board's Executive Director. The way the Board's formation had been handled made it look as though the Fifth Committee was dealing with the work of a private corporation instead of an international organization, Cuba's representative said. The Board would duplicate the functions of the Office of Internal Oversight, the Joint Inspection Unit (JIU), the Board of Auditors and the Committee for Programme and Coordination (CPC), something the Assembly should be careful about.

The Board's formation was a decision of the Secretary-General and not a "North-South question", Portugal's representative said. Expressing support for the Secretary-General's decision, Canada's representative said that Member States had been informed of the initiative years ago. The Secretary-General had acted within his authority, without infringing on that of Member States.

Joseph E. Connor, Under-Secretary-General for Administration and Management, said the Board would be an advisory body to the Secretary-General and would serve as a mechanism for better management of mandated programmes and cost-effectiveness.

The representatives of the Philippines, Uganda, China, Brazil, Egypt, Russian Federation, United Kingdom, Japan, Kenya, Algeria and Germany made statements on the question.

During discussions on financing for the International Seabed Authority, the Russian Federation's representative said that there should not be significant changes in its funding from the regular budget since its work remained the same. Without a growth in its workload, a growth in its budget was not justified.

The Philippines, on behalf of the "Group of 77" developing countries and China, said the recommendation by the Advisory Committee on Administrative and Budgetary Questions (ACABQ), to cut the Secretary-General's staffing proposals, was a cause for concern. The resources for 23 posts he had requested for a period had been based on the Authority's minimal needs.

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Indonesia, Jamaica, United States, Japan and Cuba also spoke.

The United Nations Controller, Yukio Takasu, introduced the Secretary- General's estimates for the Authority; C.S.M. Mselle, ACABQ Chairman, introduced its report.

On the question of being relocated from Group (b) to (c) for sharing out peace-keeping costs, Ukraine's representative said that Ukraine would not join consensus on some issues before the Committee unless a decision to consider its draft resolution was made.

Also this afternoon, the Committee discussed the organization of its work.

The Committee is scheduled to meet again at 3 p.m. on Thursday, 14 December to consider reports of the Oversight office and human resources management. It is also expected to consider estimates for the Commission of Inquiry for Rwanda, International Civilian Mission to Haiti (MICIVIH), the Mission to verify human rights in Guatemala, the conditions of service for officials of the International Civil Service Commission (ICSC) and the ACABQ Chairman, the admission of the World Tourism Organization to the United Nations Joint Staff Pension Fund and mock-up budget for peace-keeping missions.

Committee Work Programme The Fifth Committee (Administrative and Budgetary) met this afternoon to discuss the organization of its work and consider the question of normalizing the situation of South Africa's unpaid dues to the Organization and some aspects of the scales for dividing among Member States the Organization's costs for the regular and the peace-keeping budgets. It would also consider revised 1996 budget estimates for the International Seabed Authority, under the agenda item on the proposed 1996-1997 budget.

The Committee had before it a 4 December letter from the Assembly President to the Fifth Committee Chairmen (document A/C.5/50/1/Add.1), transmitting the plenary's decision that, because of the political importance of the agenda item on the normalization of the situation concerning South Africa, the Fifth Committee should provide the plenary with technical observations on a related draft resolution, A/50/L.44, by today, 12 December.

The item's inclusion was first requested in a letter from South Africa dated 15 September (document A/50/231 and Add.1). Under the terms of a draft resolution attached as an appendix to the letter, the Assembly would decide that owing to unique and exceptional circumstances, South Africa's unpaid assessments accruing up to 23 June 1994 for the regular and peace-keeping budgets would be considered no longer due and payable. [South Africa's arrears for 30 September 1974 to 23 June 1994, when the apartheid regime's representatives were excluded from taking part in the Assembly, are about $94.8 million.] (For background, see Press Release GA/AB/3053, of 6 December.)

The Committee also had before it a draft resolution on the scale of assessments (document A/C.5/50/L.8), sponsored by Iraq. By the provisions of the draft, the Assembly would decide, as a special and temporary arrangement, that Iraq's accumulated arrears had been due to conditions beyond its control and that it would be inappropriate to apply Article 19 of the Charter to Iraq until the sanctions imposed on it by the Security Council were fully or partially lifted.

Article 19 provides that a Member State should have no vote in the Assembly if its arrears to the United Nations regular budget reach or exceed the amount of contributions due from it for the preceding two full years.

By a draft decision relating to the financing of peace-keeping operations, submitted by Ukraine (document A/C.5/50/L.9), the Assembly would decide, as an ad hoc arrangement, to include Ukraine in the group of Member States set out in group 3 (c) for the purpose of apportioning peace-keeping costs and calculate its peace-keeping dues accordingly.

On 11 December 1973, the Assembly adopted resolution 3101 (XXVIII) which divided the United Nations membership into four groups for apportioning peace- keeping expenses. Those in Group (d) are economically less developed Member

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States that were specifically named and would pay 10 per cent of their regular budget assessment rates. Countries in Group (c) are economically less developed Member States which would pay 20 per cent. Group (b) contains specifically named economically developed States that are not permanent members of the Council and would pay 100 per cent. In Group (a) are the permanent Security Council members which would pay 100 per cent plus what is left unapportioned. The scheme continues to be applied, with changes to the composition of the four groups.

Ukraine will be assessed at the rate of 1.1400 per cent for the regular budget in 1996. If it is moved to Group (c), it will be assessed at about a fifth of that rate for peace-keeping operations.

The Secretary-General presents the Seabed Authority's draft budget for 1996 in revised estimates to the proposed 1996-1997 budget (document A/C.5/50/28). The Authority is the organization through which States parties to the United Nations Convention on the Law of the Sea shall organize and control the exploration for and exploitation of the international seabed Area's resources.

The General Assembly, he states, decided in July 1994 to fund the Authority's administrative costs until the end of the year following that in which the Agreement relating to the Implementation of Part XI -- the seabed mining regime -- of the Convention goes into effect. As the Agreement has not, the costs in 1996 will be borne by the United Nations.

In addition, the assumption of the Preparatory Commission for the International Seabed Authority and for the International Tribunal for the Law of the Sea that a Secretary-General of the Authority would be in a position to prepare the budget for 1996 has not been realized. The Council, the Authority's 36-member executive organ, responsible for proposing candidates for the position of the Authority's Secretary-General, has not yet been established. Therefore, a Secretary-General has not been elected. Once he assumes office, the Secretary-General of the Authority will draft the Authority's annual budget.

Since the Authority's Secretary-General could be elected at the earliest only at the next session of the Assembly of the Authority next March, that Assembly had asked the United Nations Secretary-General to submit a draft budget to the Assembly. It would cover the 1996 administrative costs, including those of convening and servicing the Authority's meetings. The Assembly of the Authority also authorized the United Nations Secretary-General to administer the Authority's interim secretariat until the Authority's own Secretary-General assumed duty.

According to the Secretary-General, total budget related to the Authority in 1996 is about $2.7 million, consisting of $1.3 million for conference servicing and about $1.3 million for secretariat costs. The staff

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resources for the period 1 January to 31 March 1996 are estimated at 14 posts (one at the Senior Officer level (P-5), two at the Associate Officer level (P- 2) and 11 local staff), the same number and level as those of the Kingston Office for the Law of the Sea. On the assumption that the Secretary-General of the Authority would be elected in March 1996, the staff for the period 1 April to 31 May 1996 are estimated at 16 posts (one Under-Secretary-General, two P-5 and 13 local staff). For the period after 31 May 1996, the budget estimates provide for 23 posts (one Under-Secretary-General, one at the Director level (D-2), two P-5, two P-2 and 17 local staff).

Conference servicing costs will be met from the resources for the Office of Conference and Support Services. However, additional appropriations of $561,900 would be needed for administrative costs since $776,000 had been proposed for the Authority in the proposed 1996-1997 United Nations budget, pending the submission of a budget of the Authority. The Secretary-General states that he will annually submit the Authority's budget and that such expenses should be treated outside the procedures related to the outline and to the contingency fund.

In its report on the Authority (A/50/7/Add.6), the Advisory Committee on Administrative and Budgetary Questions (ACABQ) recommends that an additional $532,200 be appropriated, after cutting $29,700 from the Secretary-General's proposal. The cuts emerge as the ACABQ approves 14 local staff for the Authority instead of the 17 the Secretary-General had proposed for the period after 31 May 1996.

Statements on South Africa

SEAN J. PIKE (South Africa), reiterating a statement his delegation had made at informal consultations, said South Africa would waive credits of $549,606 and $737,142 it would get from surpluses in the regular and peace- keeping budgets, respectively, for the period between 30 September 1974 and 23 June 1994. PETER MADDENS (Belgium), coordinator of informal consultations, said the draft resolution before the General Assembly would waive South Africa's dues for the period it had not taken part in the Assembly. That would be in accordance with the principle of no taxation without representation. The consultations had led to a draft letter that the Committee would have its Chairman transmit to the Assembly. The draft letter would propose some amendments to the draft text before the Assembly.

The proposed letter to the President of the Assembly would have some operative paragraphs added to draft resolution L.44 concerning dues from South Africa. It would be responding to one of 4 December from the Assembly President to the Fifth Committee Chairman, transmitting the plenary's decision that, because of the political importance of the issue, the Fifth Committee should provide the plenary with technical observations on the draft

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resolution.

By the proposed additional paragraphs, the Assembly would accept, due to exceptional and unique circumstances, South Africa's request not to pay its dues for the period between 30 September 1974 and 23 June 1994 and decide that the resultant burden be shared by Member States. It would also endorse and welcome South Africa's statement that it would waive credits of $549,606 and $737,142 it would get from surpluses in the regular and peace-keeping budgets, respectively, for the period 30 September 1974 and 23 June 1994.

By the provisions of the paragraphs, the Assembly would decide to reduce the credits to Member States by a total of $94.8 million and waive the $93.5 million share of credits among other Member States from a total of $295 million in the regular and peace-keeping budgets in order to account for the reduction that South Africa would be granted.

MARTA PENA (Mexico) said her delegation would not object to the letter if the Secretariat would publish a document with a breakdown of what Member States would be waiving if the text was adopted. Mexico reserved its right to take a decision on the substantive matter as it had not yet received instructions on it.

ZIYAD MONAYAIR (Kuwait) said he agreed with what had been said about the technical accounting on the matter. His delegation would join in co- sponsoring the draft text, which should not serve as a precedent.

ERICH VILCHEZ ASHER (Nicaragua), Committee Chairman, asked if the Committee would endorse the contents of the letter.

The Committee approved the letter.

The representative of Spain, speaking in explanation of position for the 15 member States of the European Union, said they would join in co-sponsoring the new draft text once the letter's proposals had been included.

Statements on Seabed Authority

YUKIO TAKASU, United Nations Controller, introduced the Secretary- General's report on the revised estimates for the International Seabed Authority for 1996.

C.S. M. MSELLE, ACABQ Chairman, introduced the report of the Advisory Committee on the Authority.

VLADIMIR KOUZNETSOV (Russian Federation) said the work of the Authority remained the same and therefore no significant changes should be made in its financing. The Authority's budget should be based on increases in its

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functions and workload. Without a growth in its workload, a growth in its budget was not justified. The lack of progress in the selection of its Council had impeded other progress. Therefore, the 1996 budget should be identical to that of 1995. In 1996, savings should be made by a decrease in the duration of its sessions. In addition, there should be no allocation for the Authority's secretariat until the Council was formed.

Duplication between the Authority's secretariat and the United Nations Secretariat should be eliminated in order to ensure appropriate savings, he continued. The ACABQ proposal on the posts for local staff should be supported. It was not useful to include general and temporary assistance staff, consultants and budgetary estimates for equipment at this stage. Questioning other aspects of the estimates, he said there was a lack of realistic prognosis on the volume of the Authority's work, leading to excessive predictions. The level of estimates should be kept at the 1995 level.

MARY JO ARAGON (Philippines), speaking on behalf of the "Group of 77" developing countries and China, said the Convention on the Law of the Sea had provided for the Authority to have its own budget and prior to that for its expenses to be provided for in the regular budget. Reviewing other provisions for the Authority's budget as stated in the relevant Assembly resolutions, she asked why the revised estimates for the Authority were limited to 1996. The resources for 23 staff members had been prepared on the basis of minimal requirements for the Authority. Hence, the ACABQ's recommendations for reductions was a cause for concern. There should be assurances that conference services would be provided in accordance with the Secretary- General's proposals. PRAYONO ATIYANTO (Indonesia) said he fully shared the view expressed by the Philippines on behalf of the Group of 77 and China. He drew the Committee's attention to paragraph 4, on administrative expenses, of the report. The United Nations regular budget should bear the Authority's costs for 1996.

SHEILA SEALY MONTEITH (Jamaica), speaking for the Caribbean Community (CARICOM), said the ACABQ's proposals had fallen short of the Secretary- General's. With the need for economy, the office of the Secretary-General of the Authority had not been provided with any professional post. The United Nations Secretary-General's proposal had spelt out the duties of the 17 local staff sought. The ACABQ recommendation to reduce them by three was a cause for concern. Jamaica would like to have those posts included in the proposed United Nations budget. It supported the views of the Philippines.

WILLIAM GRANT (United States) said that, in a tight budgetary situation, greater restraint should have been shown than what had been presented in the documents before the Committee. The appropriations should be limited to the $776,000 initially proposed. The preparatory phase should be based on

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reality. A large staff was not necessary for some of the functions to be undertaken. The preparation of the financial and staff regulations, for instance, were not urgent. The United States could not support the supplementary proposals. Those should be included in the ongoing discussions on the proposed programme budget for 1996 and 1997.

FUMIAKI TOYA (Japan) said he had learned that the duration of the sessions for 1996 would be four weeks, instead of five. Japan reserved its right to address the issue when the relevant section of the budget was discussed.

ANA SILVIA RODRIGUEZ ABASCAL (Cuba) said she supported the views of the Philippines and Jamaica. The Secretary-General's proposals were balanced and based on the Authority's needs. Non-growth should not be taken as a basis for determining the resources required. The budget should be based on needs and not on a feeling that the budget should not grow.

Mr. TAKASU, United Nations Controller, said the Assembly at its forty- eighth session had decided that the Authority's administrative expenses would be included in the regular budget until some necessary conditions were met. It was the Secretary-General of the Authority who would be preparing annual budgets and submitting them to the Authority's Assembly in due course. It had been anticipated that by October 1995, that would have been the practice. However, since the Assembly of the Authority could not elect a Council, much less a Secretary-General, it had then asked the United Nations Secretary- General to submit the Authority's budgetary requirements.

The previous allocation of $776,000 would not be adequate for 1996 as it had been meant to cover a period of three months only. It was unrealistic to prepare a budget based on that sum as 1996 had 12 months, not three. If the Council of the Authority elected a Secretary-General next spring, he would have to be provided with staff. Conference servicing would be provided by the United Nations Secretariat.

JOSEPH E. CONNOR, Under-Secretary-General for Administration and Management, referring to the establishment of an Efficiency Board and its operation methods, said it would be an advisory body to the Secretary-General and function as a mechanism to pursue one of five management objectives: better management of mandated programmes and cost effectiveness. The Secretary-General planned to expand efforts to simplify existing efficiency procedures, to reduce duplication in programme delivery, and to identify those programmes which were of questionable value to Member States.

The Board would review the Secretariat's programmes and identify areas where greater efficiency and cost savings could be made, and recommend corrective actions, he continued. It would also recommend areas for improvements in programmes which had the least effective outputs. The Board

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members would serve in their individual capacities.

Outlining the Board's structure and its work, he referred to a Secretariat document listing its membership. Member States would be informed of changes, if any. Minimal costs would be incurred for the Board's establishment, which included travel and a small honorarium for non-United Nations members to be covered within existing resources. The Board had yet to finalize its work programme. It would consider such issues as management of travel, the costs of the special commemorative meeting and matters related to peace-keeping missions. The Secretariat would finalize requests for voluntary contributions from Member States, such as the provision of experts.

Ms. ARAGON (Philippines) requested that Mr. Connor's statement be circulated to the Committee. More information should be provided on the costs of the Board to the regular budget, the budget section under which such costs would be applied, and on the relationship of the Board with intergovernmental bodies.

NESTAR ODAGA-JALAMAYO (Uganda) said he had previously expressed his reservations on the establishment of the Efficiency Board. The Secretary- General had enough resources in his office to carry out the activities outlined by Mr. Connor. Would a board be created each time the Secretary- General had to carry out an activity? he asked. If that were the case, in a few years there would be too many boards. Member States might need to question their efficiency. Boards which had questionable mandates might impinge on intergovernmental bodies with similar mandates. The costs for the Board were not reflected in the 1996-1997 proposed budget.

The circular mentioned by the Under-Secretary-General did not include a review of the Secretariat itself, he continued. Did that mean that the Secretariat was functioning so efficiently that it did not warrant a review? he asked. Recalling a number of other bodies such as the Board of Auditors, he wondered whether the Board would not duplicate the work of those bodies. The Secretary-General's proposed review should be approved first by the Assembly. Emphasis should be placed on the implementation of mandated programmes.

VIJAY GOKHALE (India) asked for a breakdown of what would be spent on the Board from the regular budget. The Under-Secretary-General should indicate whether there would be additional expenditure in addition to the members' honorariums and travel costs. How would the Executive Director be selected and paid? he asked. He questioned the propriety of having an Efficiency Board look into mandated programmes and then seek expertise from Member States. He wanted to know which Member States had been approached for experts and how the fact-finding studies would be funded.

The apparent overlap between the mandate of the Office of Internal

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Oversight Services (OIOS) and the Efficiency Board should be clarified, he continued. There should be a fuller reflection of the Board's expected costs.

JU KUILIN (China) expressed doubts about the Board's functioning. The Board was suppose to review programmes for their usefulness, a function which should be reserved for the General Assembly. The usefulness of each programme should be decided after thorough discussions by Member States. Programme evaluation would be difficult owing to differences in opinion. The Board's composition, too, was important. The impartiality of Board members would be questionable if they came from a limited number of countries. The Oversight Office had just been established, and the Secretary-General now wanted to set up an Efficiency Board. What would be the relationship between the Board and other bodies? he asked. He maintained his delegation's reservations on the establishment of the Board.

JOSE ANTONIO MARCONDES DE CARVALHO (Brazil) said the Secretary-General could undertake a review of the United Nations efficiency. It was not clear how long the Board would continue to exist. It seemed to be a permanent activity and should be so stated in the budget. Neither that activity nor the post of Executive Director of the Board could be found in the proposed budget. He looked forward to information on the origin and the amount of resources meant for the Board.

Ms. RODRIGUEZ ABASCAL (Cuba) said she shared most of the views expressed at the meeting. It looked as if the Fifth Committee was dealing with the work of a private corporation instead of an international organization. It was within the competence of Member States to review mandates it had given. Although the Committee had been told that the Board would have travel costs, such provisions were not in the proposed budget. There was duplication of functions between the Board and the oversight Office, the Joint Inspection Unit (JIU), the Board of Auditors and the Committee for Programme and Coordination (CPC). The Assembly should be careful about the proliferation of such bodies as that would run counter to the need for efficiency. The Committee should be informed of the Board's needs and how its Director would be selected.

SAM HANSON (Canada) said Member States had been informed of the initiative to establish the Board some years ago. Canada had applauded that initiative during the Assembly's recent general debate. The Secretary-General had acted within his authority to establish it and his action did not infringe on Member States' authority.

HISHAM ELZIMAITY (Egypt) said he agreed with the positions taken by all preceding delegations with the exception of Canada. The Administration should take account of the reservations Member States had expressed on the creation of the Board. The Board could duplicate the Assembly's prerogatives, according to the functions outlined by Mr. Connor. Many Member States were not able to participate in the Board's work since it catered for the

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participation of countries which had a particular competence. He asked if the Board would be a permanent body and when it would present its first report.

REGINA EMERSON (Portugal) said the establishment of the Board was a decision of the Secretary-General. It was not a North-South question. The Secretary-General was seeking ways to improve the Organization's work; he was entitled to improve its efficiency. There was no need to focus on the concerns about the contravention of the Assembly's prerogatives. Portugal would be supportive if more cost-effective programmes could be achieved. She asked which post would be that of the executive director's and for more information on the working group. It was important to note that the Secretary-General was seeking help because the Secretariat and the programme managers had not been able to do the required work. Noting that she was a lone voice with Canada, she stressed the need for a review of the efficiency of the Organization's programme delivery.

Mr. KOUZNETSOV (Russian Federation) said the establishment of the Board was part of the three-phased reform proposed by the Secretary-General. Many delegations had welcomed that initiative and the fact that the Secretariat had sought the services of persons with expertise in that area. The ACABQ had provided information on the Board. The Secretary-General, as the Organization's chief executive officer, was not violating existing procedures. It was his prerogative to carry out those functions as he saw fit. The Board would not be established at a cost to the Organization. He expressed the hope that the Secretary-General would adhere to the procedures for the work of the Board and that he would report to the Assembly accordingly. He welcomed the Board's establishment.

PATRICIA HOLLAND (United Kingdom), expressing support for the views of Canada, Portugal and the Russian Federation, said she welcomed the Board's establishment. She could not see why there was disapproval, and looked forward to the Board's report.

Mr. TOYA (Japan) said he supported the purpose for establishing the Board. However, transparency was important. The Secretariat should provide information on the Board's cost to Member States. There should be clarification on the voluntary contributions of Member States and on the selection process for the Board's membership. Selecting two of its members from officials of the Organization would not be appropriate as the Board would be discussing the Organization's programmes.

PHILIP OWADE (Kenya) expressed reservations on the Board's establishment. Although he recognized the Secretary-General's prerogative to take any measures to improve the Organization's efficiency and effectiveness, transparency was important. Duplication of activities with other bodies which were carrying out similar functions should be avoided. He also had reservations on the terms of reference which seemed to be too broad and to cut across the mandates of other bodies.

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Mr. JU (China) said he would ask an "innocent or naive question" and wondered which representative could tell him which topics fell under the Secretary-General's competence. As far as he knew, the Assembly was the highest authority in the United Nations and Member States had the right to express their doubts. The Secretariat should hold consultations with them, accordingly.

LARBI DJACTA (Algeria) said he was sceptical about the Board's viability and supported the views of the Philippines and those from developing countries.

KLAUS-DIETER STEIN (Germany) expressed support for the statements made by the representatives of Canada, Portugal, United Kingdom and Japan. The Board would be an internal management tool that could be set up to create a more efficient organization. Germany welcomed its establishment and would welcome timely reports on the results of its work.

Mr. CONNOR, Under-Secretary-General for Administration and Management, said the Board would be a cost-effective way to deliver programmes that Member States wanted. The Secretary-General had been open about the matter and had spoken about it in several forums and had even received responses from some heads of governments. The Board would focus on the Secretariat. Personnel and financial rules had grown and become complex and they should be examined to see how they could become more responsive to Member States' requirements.

Reports of the JIU and the oversight Office would be welcomed as inputs to the deliberations of the Board, he continued. The Board would not compete with the other bodies, but would ensure follow through. The Board would identify redundant or inefficient programmes for the consideration of the Committee. It was meant to provide focus for efforts to attain efficiency. The recruitment of the Executive Director had been discussed with some Member States, one of which, the United States, had responded. One person had been loaned to the Organization to help with the Board. Letters would be sent to other Member States to lend staff. Some of the needs of the Board could be met from redeployment. If that was not possible, Member States could donate cash or volunteer some human resources to ensure their participation in the efficiency review process.

Mr. GOKHALE (India) said he asked specifically about the Board's projected expenditure in the proposed budget, and wanted a detailed breakdown of expenditure to be considered in the context of the budget. It should indicate the man-hour costs of the Secretariat staff that would service the Board and the honoraria to be paid. A projection of the expenditure was needed since no voluntary contributions had been received so far. He asked which Member States had been approached in seeking an Executive Director; India had not been approached.

Mr. JALOMAYO (Uganda) said India's representative had raised the issue

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he had wanted to discuss. The United Nations had in place enough machinery to assist in efficiency. The office of the Secretary-General was already top- heavy. There were adequate resources to carry out intended activities. Some Member States which did not seem to be among the most favoured had learned about the Board only recently, while others had learned of it some time ago. The Secretariat could do what it wished but Member States would continue to express their views. That would hurt the conscience of those who had made the decision.

Mr. CARVALHO (Brazil) wanted more information on the costs of the Board. Brazil had not been approached on the hiring of the Executive Director. Information should be provided about the criteria used to approach some Member States on the matter.

Ms. RODRIGUEZ ABASCAL (Cuba) regretted the selectivity of the Secretariat regarding the letter sent to Member States about the choosing of the Executive Director. She asked for the criteria used to approach some States and not others, and whether discrimination was being introduced by the Secretariat.

Mr. DJACTA (Algeria) said Algeria had learned of the Board through an ambassador after the Secretary-General had set up the Board. He shared the concerns expressed by India, Brazil, Uganda and Cuba about the selective approach of the Secretariat.

Mr. EL ZIMAITY (Eygpt) said he was convinced that the reservations about the Board were doubts which would persist.

Mr. CONNOR, Under-Secretary-General for Administration and Management, responding to Member States, said there had been some misunderstanding. The Secretary-General was now in the middle of the process of approaching Member States with regard to their potential contribution to the Board. The focus on personnel matters by the Board would be a major undertaking. Therefore, he looked to Member States that had recently reviewed personnel rules for assistance. They included Australia, New Zealand and Germany. Others would be approached.

Already efficiency gains had produced $35 million and had resulted in benefits to Member States, he continued. Critical attention to detail was very much a part of management. It was important to find more savings for the Organization in a consistent and cost-effective manner. Information in response to questions posed by the representative of India would be provided.

Mr. GOKHALE (India) asked about the Board's costs for the informal consultations on the proposed budget. The issue was not a North-South one; efficiency and effectiveness was being made to look like a prerogative of the North. Some countries of the South had demonstrated efficiency and effectiveness and their potential contribution to the Board should be taken

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into account.

Statements on Peace-keeping Assessment

IGOR GOUMENNY (Ukraine) said Ukraine's presence in Group (b) was still unresolved. His country's indebtedness was problematic and that situation could not continue. Expressing the hope that the item would be considered soon, he noted that it had been replaced by another item. The transfer to Group (c) was an acute political question which required political action. Following consultation with his capital it was decided that if the Committee Bureau ignored Ukraine's concerns, it would not join in the consensus on a number of other agenda items such as the budget or the resolution on Haiti.

AMMAR AMARI (Tunisia), Acting Chairman, said there would be informal consultations on the matter.

Mr. GOUMENNY (Ukraine) repeated that he would not join the consensus on a number of resolutions if the issue of Ukraine was not discussed.

Mr. AMARI (Tunisia), Acting Chairman, said a decision would be taken after consultation among Committee Bureau members.

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