WORLD HEALTH ORGANIZATION FIFTY-FIFTH WORLD HEALTH ASSEMBLY Provisional agenda item 15.3 A55/INF.DOC./2 11 April 2002
Miscellaneous Income Report by the Secretariat
1. The purpose of this document is to inform the Health Assembly about the current projections for Miscellaneous Income available for financing of the regular budget for 2002-2003. 2. The Fifty-fourth World Health Assembly approved the use of up to US$ 52 153 017 from the Miscellaneous Income account to finance the regular budget for the financial period 2002-2003. This amount was made up of: • US$ 16 000 000 under resolution WHA54.20 to cover exchange rate hedging, financing of the Real Estate Fund, and the financial incentive scheme • US$ 36 153 017 under resolution WHA54.17 on “Assessment for the financial period 2002-2003” to complement the amounts payable as assessed contributions by certain Member States. 3. The available amount of Miscellaneous Income was at the time estimated at US$ 35 111 160, resulting in an estimated shortfall of US$ 17 041 857 (see Annex). 4. In order to reduce the shortfall, the Director-General appealed to Member States that would benefit from the use of Miscellaneous Income to complement the amounts payable as their assessed contributions for 2002-2003 as set out in resolution WHA54.17. Six Member States thus far have generously offered to do so, thereby reducing the total amount of Miscellaneous Income required by US$ 5 203 599. Other Member States have indicated that they are still considering responding to the Director-General’s appeal. Such support would further reduce the amount of Miscellaneous Income required to complement the amounts payable as assessed contributions for 2002-2003. 5. A review of the estimated Miscellaneous Income available for 2002-2003 has led to an amount of US$ 35 788 268 (see Annex), which is higher by US$ 677 108 than the original estimate of US$ 35 111 160. 6. As a result of both the reduction of US$ 5 203 599 in the amount necessary to supplement assessed contributions for 2002-2003, and the increase of US$ 677 108 in the revised estimate of Miscellaneous Income available for 2002-2003, the overall shortfall in Miscellaneous Income is now estimated at US$ 11 161 150 compared to the original estimate of US$ 17 041 857 (see Annex). 7. The Director-General will continue to keep under review the estimate of available Miscellaneous Income and of the shortfall. Attention will be given to any arrears payments that may
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be made by Member States during 2002. In accordance with Financial Regulation 7.3, arrears of assessed contributions shall be credited first to repay any internal borrowing outstanding, and secondly against any borrowing outstanding from the Working Capital Fund. Any amount of arrears not required to repay borrowings is to be credited to Miscellaneous Income in accordance with Financial Regulation 8.1(h). 8. In accordance with Financial Regulation 5.4, in the event that a shortfall in Miscellaneous Income for 2002-2003 still exists, the Director-General shall “review implementation plans for the regular budget in order to make any adjustments that may be necessary”.
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ANNEX ESTIMATED MISCELLANEOUS INCOME FOR 2002-2003
Revised estimate US$ Balance of Casual Income as at 31 December 2000 Net Casual Income realized in 2001 Savings on unliquidated obligations at 31 December 2001 available in 2002-2003 Interest earnings in 2002-2003 Sundry items Total income available Amount required Shortfall 6 111 160 15 927 108 6 000 000 7 250 000 500 000 35 788 268 46 949 418 11 161 150
Original estimate US$ 6 111 160 6 000 000 10 000 000 12 500 000 500 000 35 111 160 52 153 017 17 041 857
1. The amount of savings on unliquidated obligations has been reduced following implementation of the revised financial regulations and financial rules. It is expected that savings on unliquidated obligations will continue to be at a lower level than in previous bienniums. 2. The amount estimated for interest earning in 2002-2003 has been reduced in view of the significant decline in interest rates, principally those for United States dollars, in the past six months. 3. No arrears for contributions are included in estimated Miscellaneous Income, since the first call on such receipts is repayment of internal borrowing, followed by a replenishment of the Working Capital Fund up to its limit of US$ 31 000 000. Any further arrears of contributions received will be credited to Miscellaneous Income.
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