STATEMENT ON BEHALF OF THE GROUP OF 77 AND CHINA BY MR. MUHAMMAD YUSSUF, FIRST COUNSELOR OF THE TANZANIAN MISSION TO THE UNITED NATIONS, AT THE HIGH-LEVEL OPEN-ENDED WORKING GROUP ON THE FINANCIAL SITUATION OF THE UNITED NATIONS

16 June 1997

Mr. Chairman,

The Group of 77 and China regrets that the High-level Open-ended Working Group on the Financial Situation has not been able to make any progress in addressing the central issue for resolving the crisis of payment. In spite of commendable efforts made by the two Co-Vice-Chairmen to lead the Working Group in its search for providing a sound financial basis for the Organization, the absence of political will on part of some Member States has been an impediment to desirable progress. As always, the Group of 77 and China was and is still prepared to engage in a constructive dialogue. Unfortunately, certain Member States did not take this opportunity to evolve a process of serious negotiations.

With reference to paragraph 16 of document Future A/51/43, the Group of 77 and China reiterates that the question of improving the financial situation is not linked to the current methodology of the scales of assessments for regular budget and peacekeeping budgets. The present financial situation of the Organization is a crisis of payment of assessed contributions and not the scales. To improve the financial health of the Organization it is essential that all Member States fulfill their legal obligations under the Charter and pay their assessed contribution in full, on time, and without conditions. The G-77 and China, therefore, proposes deletion of the second part of paragraph 16 beginning "As regards..." until the end.

When the question of convening the High-level Open-ended Working Group on the Financial Situation was originally being considered, extensive consultations were held among the Member States on this issue. The G-77 and China, therefore, proposes to add "in consultation with Member States" at the end of the draft decision in paragraph 18 proposed by the Co-Vice-Chairmen after the phrase "at an appropriate time".

In paragraph 18, the Group of 77 and China further proposes that the phrase "takes note of the report" should be replaced with the phrase "noted the work". This would be in conformity with the decisions taken earlier by this Working Group.

The Group of 77 and China would like to avail itself of this opportunity to thank once again the two Co-Vice-Chairmen for their efforts. The Group of 77 and China would, of course, miss the dedication, diligence and the skillful manner in which Ambassador Annette des Iles guided the proceedings of this Working Group. We would like to wish her all success in her future assignments.

Thank you.