GENERAL AGREEMENT PC/6 
L/7577 
ON TARIFFS AND TRADE 13 December 1994 
Limited Distribution 
WORLD TRADE ORGANIZATION 
(94-2760) 
REPORT OF THE COMMITTEE ON BUDGET. FINANCE 
AND ADMINISTRATION 
Adopted at the Implementation Conference by the Preparatory Committee for the WTO 
on 8 December 1994 and subsequently the CONTRACTING PARTIES to GATT 1947 
on 9 December 1994 at their 50th Session 
CONTENTS 
Page 
INTRODUCTION 1 
A. GATT SECRETARIAT 
I. BUDGET ESTIMATES FOR 1995 3 
II. REVISED INCOME BUDGET ESTIMATES FOR 1995 4 
III. CONCLUSION 4 
DRAFT RESOLUTION ON THE REVISED EXPENDITURE OF THE 
CONTRACTING/MEMBERS PARTIES IN 1995 AND THE WAYS 
AND MEANS TO MEET SUCH EXPENDITURE 5 
SCHEDULE I REVISED ESTIMATES OF EXPENDITURE 
FOR THE FINANCIAL YEAR 1995 6 
SCHEDULE II - REVISED SCALE OF CONTRIBUTIONS 
FOR 1995 7 
SCHEDULE III - REVISED ESTIMATES OF 
MISCELLANEOUS INCOME FOR 1995 10 
ANNEX I : PROCEDURES FOR THE WTO BUDGET, FINANCE 
AND ADMINISTRATION COMMITTEE AND THE GATT 1947 
BUDGET, FINANCE AND ADMINISTRATION COMMITTEE 11 
B. INTERNATIONAL TRADE CENTRE UNCTAD/GATT 
I. SECOND PERFORMANCE REPORT FOR THE BIENNIUM 1992-1993 13 
II. BUDGET FOR THE BIENNIUM 1994-1995 13 
C. ACCESSION OF SLOVENIA 14 PC/6 
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Page 2 
INTRODUCTION 
Hungary 
India 
Israel 
Italy 
Jamaica 
Japan 
Korea, Rep. of 
Malaysia 
Netherlands Nigeria 
Singapore 
Spain 
Switzerland 
United Kingdom 
United States 
Venezuela 
Zaire 1. The Committee on Budget, Finance and Administration met at the Centre William Rappard, 
Geneva, on 24 and 31 October and 8 and 16 November 1994. 
2. The Committee was chaired by Mr. P. Gosselin of Canada and the membership was as 
follows: 
Australia 
Brazil 
Canada 
Chile 
Colombia 
Finland 
France 
Germany, Fed. Rep. 
Hong Kong 
3. (a) As members of the Working Group to consider the 1995 proposals, Argentina, 
Bangladesh, Belgium, Denmark, European Commission, Egypt, Mauritius, Mexico, Sweden, 
Tanzania, Thailand and Turkey were invited to attend the meetings. 
(b) Belgium, Denmark, Egypt, European Commission, Mauritius, Tanzania and Turkey 
attended as Observers. 
(c) The meeting of 31 October 1994 was also attended by members of the Secretariat of 
the International Trade Centre (UNCTAD/GATT). 
4. Attention was drawn to document L/5964/Rev.8 outlining the terms of reference and the 
membership of the Committee. 
5. The Agenda in document GATT/AIR/3640 was adopted, with the addition of three items 
under Other Business, (i) Measures to Deal with Arrears, (ii) Proposal for Merging GATT and WTO 
Budget Process, and (iii) Assessment on Slovenia. 
6. This report deals exclusively with issues related to the 1995 budget, including ^procedures 
for the GATT and WTO Budget Process, the International Trade Centre UNCTAD/GATT and the 
accession of Slovenia. A subsequent report will deal with the other outstanding points. PC/6 
L/7577 
Page 3 
A. GATT SECRETARIAT 
I. BUDGET ESTIMATES FOR 1995 (L/7550) 
7. The Secretariat presented the budget estimates for 1995 (L/7550) and explained that, in view 
of the move into the World Trade Organization, the presentation had been changed from the past 
arrangement whereby the estimates were split between the GATT Regular, Uruguay Round and 
TPRM headings. The estimates for 1995 were presented under two major headings: (i) the Core 
Budget and (ii) Extraordinary Provisions. Initial assessments of contributions would be made only 
on the Core Budget. The items under the Extraordinary Provisions would be subject to further 
discussion in the light of, inter alia, the results of the management review. They were nevertheless 
included in the proposal document in order to provide an indication of the total order of funds that 
might be required from contracting parties/members in respect of Secretariat expenditure in 1995. 
8. The Core Budget estimates amounted to Sw F 108,955,500, which was 18.8 per cent over 
the 1994 Net Budget of Sw F 91,681,000. Of this amount, Sw F 7,577,000 (8.2 per cent) related 
to statutory and unavoidable increases and Sw F 9,697,500 (10.6 per cent) covered other increases 
for 1995. 
9. After discussion, the Committee agreed that the estimate for the Standing Appellate Body 
should be under the Core Budget rather than the Extraordinary Provisions, given the commitment to 
establish this body on the establishment of the World Trade Organization. Pending a final decision 
on the composition of the Standing Appellate Body in the Sub-Committee on Institutional, Procedural 
and Legal Matters of the Preparatory Committee for the World Trade Organization, it was agreed that 
the Core Budget should include a provisional estimate of Sw F 1,700,000 which could be revised if 
necessary. 
10. The Committee examined the Core Budget proposals on a section by section basis and 
requested further information, particularly with regard to missions, overtime, public information 
activities, electronic data processing and the reproduction of documents. The Committee heard 
detailed explanations from the Director of the Information and Media Relations Division and the 
Director of the Statistics and Information Systems Division with regard to the proposals relating to 
their divisions. In addition, the Secretariat prepared various supplementary information papers. 
11. After further discussions, the Secretariat revised the Core Budget estimates and the Committee 
agreed to an amount of Sw F 103,689,500 to which Sw F 1,700,000 should be added for the Standing 
Appellate Body, totalling Sw F 105,389,500. 
12. It was agreed that acceptance of the 1995 budget estimates as contained in Schedule I would 
not prejudice the current negotiations on the WTO Headquarters Agreement. 
13. In the context of the acceptance of the 1995 budget estimates, the Committee agreed on 
procedures for the WTO Budget, Finance and Administration Committee and the GATT 1947 Budget, 
Finance and Administration Committee as contained in Annex I. PC/6 
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Page 4 
II. REVISED INCOME BUDGET ESTIMATES FOR 1995 
14. The Committee agreed that the budget for 1995 be financed as follows: 
SwF 
a. Revised contributions on contracting parties/members 104,400,000 
b. Revised estimates of miscellaneous income 989.500 
105.389.500 
III. CONCLUSION 
15. The Committee submits to the CONTRACTING PARTIES and to the Preparatory Committee 
for the World Trade Organization, for consideration and approval the following draft resolution on 
the expenditure of the CONTRACTING PARTIES and the Members of the World Trade Organization 
and the ways and means to meet such expenditure, as well as the Recommendation contained in 
paragraph 6 of Annex I. PC/6 
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Page 5 
RESOLUTION ON THE REVISED EXPENDITURE OF THE 
CONTRACTING PARTIES/MEMBERS IN 1995 AND THE WAYS AND MEANS 
TO MEET SUCH EXPENDITURE 
Adopted on 8 December 1994 by the Preparatory Committee for the WTO 
and on 9 December 1994 by the CONTRACTING PARTIES 
The CONTRACTING PARTIES, 
and 
The Preparatory Committee for the World Trade Organization, 
HAVING CONSIDERED 
the estimates of expenditure of the CONTRACTING PARTIES/MEMBERS for 1995 
amounting to Sw F 105,389,500 as set forth in schedules annexed to this Resolution, 
RESOLVE that 
1. The financing of the amount of Sw F 105,389,500 referred to above shall be as follows: 
(a) by contributions from contracting parties/members in the amount of 
104,400,000 Swiss francs; 
(b) by miscellaneous income estimated at 989,500 Swiss francs. 
2. The 1947 GATT CONTRACTING PARTIES and the WTO shall receive a report on the 
status of budgetary expenditure during the financial year 1995. 
3. The contributions of the contracting parties/members shall be assessed in accordance with the 
attached scale of contributions. Contributions from contracting parties/members in respect 
of the 1995 budget are considered as due and payable in full as at 1 January 1995. PC/6 
L/7577 
Page 6 
SCHEDULE I 
REVISED ESTIMATES OF EXPENDITURE FOR THE FINANCIAL YEAR 1995 
(in Swiss Francs) 
PART 
A. Professional 
B. General Service 
C. Administrative 
Costs 
D. Other Costs 
TOTAL SECTION 
1) Work/Years 
Salary 
Pensions 
Other Common Staff Costs 
2) Temporary Assistance 
3) Work/Years 
Salary 
Pensions 
Other Common Staff Costs 
4) Temporary Assistance 
5) Communications 
Telecommunications 
Postal Charges 
6) Building Facilities 
Rental 
Utilities 
Maintenance and Insurance 
7) Permanent Equipment 
8) Expendable Equipment 
9) Contractual Services 
Reproduction 
Office Automation /Informatics 
Other 
10) Staff Overhead Costs 
Training 
Insurance 
UN and Other Bodies 
Miscellaneous 
11) Missions 
Official 
Technical Co-operation 
12) Trade Policy Training Courses 
13) Grants to ITC 
14) Various 
Hospitality 
Panels 
Library 
Publications 
Public Information Activities 
External Auditors 
Ministerial Meeting 
Other 
15) Unforeseen Expenditure 
16) Restitution of Previous Year's Deficit 
17) CWR South Wing 
SUB-TOTAL 
Standing Appellate Body ORIGINAL CORE 
BUDGET ESTIMATES 
1995 (U7550) 
27,468,000 
4,213,000 
3,425,000 
6,587,500 
21,989,000 
5,100,000 
2,821,000 
2,547,000 
838,000 
667,000 
423,000 
1,325,000 
612,000 
2,262,500 
1,108,000 
1,799,000 
1,789,000 
330,000 
417,000 
584,500 
499,000 
53,000 
1,008,000 
732,000 
1,456,000 
14,660,000 
229,000 
300,000 
478,000 
875,000 
708,000 
23,000 
0 
15,000 
500,000 
0 
1,114,000 
108,955,500 
1,150,000 
110,105,500 (DECREASES) 
0 
0 
0 
(940,000) 
0 
0 
0 
(240,000) 
0 
0 
0 
0 
0 
102,000 
52,000 
(1,207,000) 
0 
(50,000) 
(180,000) 
0 
0 
0 
(112,000) 
(88,000) 
(200,000) 
(1,232,000) 
0 
0 
(50,000) 
(155,000) 
(308,000) 
0 
0 
0 
(200,000) 
0 
(458,000) 
(5,266,000) 
550,000 
(4,716,000) REVISED 
ESTIMATES 
27,468,000 
4,213,000 
3,425,000 
5,647,500 
21,989,000 
5,100,000 
2,821,000 
2,307,000 
838,000 
667,000 
423,000 
1,325,000 
612,000 
2,364,500 
1,160,000 
592,000 
1,789,000 
280,000 
237,000 
584,500 
499,000 
53,000 
896,000 
644,000 
1,256,000 
13,428,000 
229,000 
300,000 
428,000 
720,000 
400,000 
23,000 
0 
15,000 
300,000 
0 
656,000 
103,689,500 
1,700,000 
105,389,500 PC/6 
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Page 7 
SCHEDULE II 
REVISED SCALE OF CONTRIBUTIONS FOR 1995 
(Minimum contribution of 0.03%) 
CONTRACTING PARTIES/ 
MEMBERS 
Angola 
Antigua and Barbuda 
Argentina 
Australia 
Austria 
Bahrain 
Bangladesh 
Barbados 
Belgium 
Belize 
Benin 
Bolivia 
Botswana 
Brazil 
Brunei Darussalam 
Burkina Faso 
Burundi 
Cameroon 
Canada 
Central African Republic 
Chad 
Chile 
Colombia 
Congo 
Costa Rica 
Côte d' Ivoire 
Cuba 
Cyprus 
Czech Republic 
Denmark 
Dominica 
Dominican Republic 
Egypt 
El Salvador 
European Communities 
Fiji 
Finland 
France 
Gabon 
Gambia 
Germany 
Ghana 1994 
CONTRIBUTION 
SwF 
74,320 
27,870 
306,570 
1,198,410 
1,337,760 
102,190 
74,320 
27,870 
3,177,180 
27,870 
27,870 
27,870 
55,740 
798,940 
46,450 
27,870 
27,870 
46,450 
3,650,970 
27,870 
27,870 
250,830 
176,510 
37,160 
55,740 . 
74,320 
157,930 
55,740 
241,540 
1,021,900 
27,870 
37,160 
157,930 
27,870 
27,870 
687,460 
6,670,220 
37,160 
27,870 
11,482,440 
27,870 1995 
CONTRIBUTION 
% 
0.07 
0.03 
0.32 
1.29 
1.40 
0.11 
0.09 
0.03 
3.31 
0.03 
0.03 
0.03 
0.05 
0.89 
0.05 
0.03 
0.03 
0.05 
3.97 
0.03 
0.03 
0.29 
0.19 
0.03 
0.06 
0.08 
0.16 
0.06 
0.30 
1.06 
0.03 
0.04 
0.17 
0.03 
0.03 
0.65 
6.78 
0.04 
0.03 
11.48 
0.03 SwF 
73,080 
31,320 
334,080 
1,346,760 
1,461,600 
114,840 
93,960 
31,320 
3,455,640 
31,320 
31,320 
31,320 
52,200 
929,160 
52,200 
31,320 
31,320 
52,200 
4,144,680 
31,320 
31,320 
302,760 
198,360 
31,320 
62,640 
83,520 
167,040 
62,640 
313,200 
1,106,640 
31,320 
41,760 
177,480 
31,320 
31,320 
678,600 
7,078,320 
41,760 
31,320 
11,985,120 
31,320 INTEREST 
EARNED1 
SwF 
-
-
-
(17,894) 
(17,204) 
-
-
(119) 
(36,040) 
-
(19) 
-
-
(1,395) 
-
-
-
-
(55,599) 
-
-
(4) 
(2,429) 
-
-
-
-
(580) 
(2,883) 
(14,176) 
-
-
(773) 
(46) 
-
(9,522) 
(82,744) 
-
-
(112,806) 
-1995 NET 
CONTRIBUTION 
SwF 
73,080 
31,320 
334,080 
1,328,866 
1,444,396 
114,840 
93,960 
31,201 
3,419,600 
31,320 
31,301 
31,320 
52,200 
927,765 
52,200 
31,320 
31,320 
52,200 
4,089,081 
31,320 
31,320 
302,756 
195,931 
31,320 
62,640 
83,520 
167,040 
62,060 
310,317 
1,092,464 
31,320 
41,760 
176,707 
31,274 
31,320 
669,078 
6,995,576 
41,760 
31,320 
11,872,314 
31,320 PC/6 
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Page 8 
CONTRACTING PARTIES/ 
MEMBERS 
Greece 
Grenada 
Guatemala 
Guinea-Bissau 
Guyana 
Haiti 
Honduras 
Hong Kong 
Hungary 
Iceland 
India 
Indonesia 
Ireland 
Israel 
Italy 
Jamaica 
Japan 
Kenya 
Korea, Republic of 
Kuwait 
Lesotho 
Liechtenstein 
Luxembourg 
Macao 
Madagascar 
Malawi 
Malaysia 
Maldives 
Mali 
Malta 
Mauritania 
Mauritius 
Mexico 
Morocco 
Mozambique 
Myanmar, Union of 
Namibia 
Netherlands 
New Zealand 
Nicaragua 
Niger 
Nigeria 
Norway 
Pakistan 
Paraguay 
Peru 
Philippines 
Poland 1994 
CONTRIBUTION 
SwF 
436,630 
27,870 
46,450 
27,870 
27,870 
27,870 
20,234 
2,889,190 
287,990 
46,450 
585,270 
761,780 
668,880 
408,760 
5,109,500 
37,160 
7,859,340 
46,450 
2,127,410 
148,640 
27,870 
21,151 
278,700 
46,450 
27,870 
27,870 
1,003,320 
27,870 
27,870 
46,450 
27,870 
37,160 
947,580 
157,930 
27,870 
27,870 
27,870 
3,818,190 
269,410 
27,870 
27,870 
287,990 
863,970 
213,670 
27,412 
111,480 
325,150 
390,180 1995 
CONTRIBUTION 
% 
0.45 
0.03 
0.05 
003 
0.03 
0.03 
0.03 
3.56 
0.31 
0.05 
0.62 
0.82 
0.70 
0.50 
5.33 
0.04 
8.61 
0.04 
2.38 
0.18 
0.03 
0.03 
0.29 
0.05 
0.03 
0.03 
1.22 
0.03 
0.03 
0.05 
0.03 
0.04 
1.10 
016 
0.03 
0.03 
0.04 
3.94 
0.28 
0.03 
0.03 
0.30 
0.88 
0.24 
0.03 
0.12 
0.38 
0.46 SwF 
469,800 
31,320 
52,200 
31,320 
31,320 
31,320 
31,320 
3,716,640 
323,640 
52,200 
647,280 
856,080 
730,800 
522,000 
5,564,520 
41,760 
8,988,840 
41,760 
2,484,720 
187,920 
31,320 
31,320 
302,760 
52,200 
31,320 
31,320 
1,273,680 
31,320 
31,320 
52,200 
31,320 
41,760 
1,148,400 
167,040 
31,320 
31,320 
41,760 
4,113,360 
292,320 
31,320 
31,320 
313,200 
918,720 
250,560 
31,320 
125,280 
396,720 
480,240 INTEREST 
EARNED' 
SwF 
(3,419) 
-
-
-
(407) 
-
-
(37,654) 
(4,067) 
(658) 
(3,509) 
(10,246) 
(9,430) 
(1,968) 
(55,410) 
-
(68,417) 
-
(13,094) 
-
(161) 
-
(3,784) 
(600) 
-
(81) 
(4,696) 
(234) 
-
(548) 
-
(494) 
(4,308) 
(158) 
-
(312) 
(64) 
(48,299) 
(4,050) 
-
-
-
(12,823) 
(245) 
-
(1,362) 
(1,733) 
(5,616) 1995 NET 
CONTRIBUTION 
SwF 
466,381 
31,320 
52,200 
31,320 
30,913 
31,320 
31,320 
3,678,986 
319,573 
51,542 
643,771 
845,834 
721,370 
520,032 
5,509,110 
41,760 
8,920,423 
41,760 
2,471,626 
187,920 
31,159 
31,320 
298,976 
51,600 
31,320 
31,239 
1,268,984 
31,086 
31,320 
51,652 
31,320 
41,266 
1,144,092 
166,882 
31,320 
31,008 
41,696 
4,065,061 
288,270 
31,320 
31,320 
313,200 
905,897 
250,315 
31,320 
123,918 
394,987 
474,624 PC/6 
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Page 9 
CONTRACTING PARTIES/ 
MEMBERS 
Portugal 
Qatar 
Romania 
Rwanda 
St. Kitts & Nevis 
Saint Lucia 
St Vincent & the Grenadines 
Senegal 
Sierra Leone 
Singapore 
Slovak Republic 
Slovenia 
South Africa 
Spain 
Sri Lanka 
Surmame 
Swaziland 
Sweden 
Switzerland 
Tanzania 
Thailand 
Togo 
Trinidad and Tobago 
Tunisia 
Turkey 
Uganda 
United Arab Emirates 
United Kingdom of Great 
Britain & Northern Ireland 
United States of America 
Uruguay 
Venezuela 
Zaire 
Zambia 
Zimbabwe 1994 
CONTRIBUTION 
SwF 
631,720 
74,320 
167,220 
27,870 
27,870 
27,870 
27,870 
27,870 
27,870 
1,198,410 
120,770 
538,820 
2,192,440 
74,320 
27,870 
27,870 
1,542,140 
1,855,429 
27,870 
929,000 
27,870 
46,450 
139,350 
510,950 
27,870 
445,920 
5,806,250 
13,554,110 
46,450 
371,600 
27,870 
27,870 
46.450 
93,802,326 1995 
CONTRIBUTION 
% 
0.65 
0.07 
0.16 
0.03 
0.03 
0.03 
0.03 
0.03 
0.03 
1.38 
0.13 
0.14 
0.52 
2.30 
0.09 
0.03 
0.03 
1.51 
1.80 
0.03 
1.10 
0.03 
0.05 
0.15 
0.53 
0.03 
0.57 
5.93 
14.93 
0.05 
0.39 
0.03 
0.03 
0.05 
100.00 SwF 
678,600 
73,080 
167,040 
31,320 
31,320 
31,320 
31,320 
31,320 
31,320 
1,440,720 
135,720 
146,160 
542,880 
2,401,200 
93,960 
31,320 
31,320 
1,576,440 
1,879,200 
31,320 
1,148,400 
31,320 
52,200 
156,600 
553,320 
31,320 
595,080 
6,190,920 
15,586,920 
52,200 
407,160 
31,320 
31,320 
52,200 
104,400,000 INTEREST 
EARNED1 
SwF 
(1,424) 
-
(15) 
-
-
-
-
-
-
(10,405) 
(1,213) 
-
(6,558) 
(19,772) 
(151) 
-
(216) 
(22,056) 
(26,911) 
(68) 
(10,031) 
-
-
(1,355) 
-
-
-
(68,889) 
(29,433) 
-
-
-
-
(639) 
(851,216) 1995 NET 
CONTRIBUTION 
SwF 
677,176 
73,080 
167,025 
31,320 
31,320 
31,320 
31,320 
31,320 
31,320 
1,430,315 
134,507 
146,160 
536,322 
2,381,428 
93,809 
31,320 
31,104 
1,554,384 
1,852,289 
31,252 
1,138,369 
31,320 
52,200 
155,245 
553,320 
31,320 
595,080 
6,122,031 
15,557,487 
52,200 
407,160 
31,320 
31,320 
51.561 
103,548,784 
Yugoslavia 
11nterest earned in 1993 under the Early Payment Encouragement Scheme (L/6384) and to 
be deducted from 1995 contribution. PC/6 
L/7577 
Page 10 
SCHEDULE III 
REVISED ESTIMATES OF MISCELLANEOUS INCOME FOR 1995 
(in Swiss francs) 
Sale of publications 
Profit or (loss) on exchange 
Savings on previous year's outstanding obligation 
Refund of staff costs for staff employed at Centre William 
Rappard on behalf of UNHCR 
Overhead on Trust Funds 
Rental of meeting rooms and office space at Centre 
William Rappard to others 
Contributions of Observers 
Other: 
- Interest on Current Account 
- Various 
TOTAL 500,000 
47,000 
95,000 
. 
20,500 
22,000 
150,000 
75,000 
80,000 
989,500 PC/6 
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Page 11 
ANNEX I 
Procedures for the WTO Budget. Finance and Administration Committee 
and the GATT 1947 Budget. Finance and Administration Committee 
Background 
1. By agreement in the Preparatory Committee Sub-Committee on Budget, Finance and 
Administration, the 1995 Estimates for the WTO are being considered by a Working Group based 
on the GATT Budget, Finance and Administration Committee, which will make recommendations to 
the Preparatory Committee via the Sub-Committee on Budget, Finance and Administration, and to 
the Contracting Parties. The Preparatory Committee, on behalf of the WTO, will take decisions on 
the budget, in particular on the assessment of contributions. 
2. The 1995 Estimates are being considered on the premise that the WTO Secretariat will service 
all agreements, including the Tokyo Round Agreements, and thus support both WTO Members and 
GATT 1947 Contracting Parties, and that the cost of the Secretariat will be apportioned between 
Members and Contracting Parties without regard for individual status in respect of the various 
agreements. It has been agreed that, for 1995, assessments will follow the existing GATT 
arrangements. 
3. It will be necessary for the 1994 Session of the CONTRACTING PARTIES formally to agree 
that the WTO Secretariat should also service its agreements and that contributions may be assessed 
as in paragraph 2 above on Contracting Parties not also WTO Members. 
4. As in 1995 (and beyond) there will be participants who fall into different categories (WTO 
Member only; GATT 1947 Contracting Party only; both WTO Member and GATT 1947 
Contracting Party), it is necessary to consider the administrative arrangements for handling issues 
within the terms of reference of the WTO Committee on Budget, Finance and Administration, 
which are: 
(i) to examine any questions arising in connection with the audited accounts, proposals 
for the budgets of the WTO and [of the International Trade Centre UNCTAD/WTO, 
and]* the financing thereof; 
(ii) to study any financial and administrative questions which may be referred to it by the 
Ministerial Conference or the General Council, or submitted to it by the Director-
General, and undertake such other studies as may be assigned to it by the Ministerial 
Conference or the General Council; 
and, within the terms of reference of the GATT 1947 Committee on Budget, Finance and 
Administration, which are: 
(i) to examine any question arising in connection with the audited accounts, proposals 
for the budgets of the GATT and of the International Trade Centre UNCTAD/GATT, 
and the financing thereof; 
(ii) to study any financial and administrative question which may be referred to it by the 
Council or submitted to it by the Director-General, and undertake such other studies 
as may be assigned to it by the Council. 
*The final terms of reference are still to be determined. PC/6 
L/7577 
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Considerations 
5. For some signatories to the Final Act there are procedural problems which prevent ratification 
by 1 January 1995, but many are likely to become Members during the year. It is also relevant that 
the Final Act remains open for acceptance for a period of two years following its entry into force. 
As the WTO Secretariat will provide a service not only to Members but also to GATT 1947 
Contracting Parties, who will both be contributing to the budget on the same basis, it is important that 
the latter have the right to participate in the budget process. As it is a common budget and as there 
is to be no identification of separate costs for particular agreements, this participation should be 
unrestricted. 
Recommendation 
Adopted on 8 December 1994 by the Preparatory Committee for the WTO and on 
9 December 1994 by the CONTRACTING PARTIES. 
6. Therefore, given that: 
the WTO Secretariat will service all agreements, through a single budget; 
there is to be a common assessment system with a single payment from each Member 
or GATT 1947 Contracting Party; 
there are practical problems for some participants in achieving ratification of the 
WTO by 1 January 1995; 
the Final Act will remain open for acceptance for a period of two years following its 
entry into force; 
that at different times during this period of two years some participants will change 
their status in respect of the WTO and GATT 1947; 
it is recommended that, during the period in which the Final Act is open for acceptance: 
the WTO Committee on Budget. Finance and Administration and the GATT 1947 
Committee on Budget. Finance and Administration will meet in joint session with the 
same Chairman and a common agenda: 
members of both the GATT 1947 Committee and the WTO Committee may 
participate fully on all agenda items: 
until agreed otherwise, it shall be understood that matters relating to the ITC are dealt 
with on the understanding that thev do not preempt the final position of the WTO in 
respect of the ITC: 
this arrangement shall be reconsidered before the end of the period during which the 
Final Act is open for acceptance. PC/6 
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B. INTERNATIONAL TRADE CENTRE UNCTAD/GATT 
I. SECOND PERFORMANCE REPORT FOR THE BIENNIUM 1992-1993 
(ITC/BUD/16/Rev 1) 
16. The Executive Director of the ITC introduced document ITC/BUD/16/Rev 1 concerning the 
Second Performance Report on the Regular Programme Budget for the Biennium 1992-1993 and 
explained that it took into account the actual expenditures incurred during the first twenty-two months 
of the biennium and indicated an estimate of expenditures for the remaining two months of 1993. The 
document was presented to, and approved by, the Fifth Committee at the 48th Session of the General 
Assembly in December 1993. 
17. The report reflected a net total decrease of the ITC 1992-1993 biennium budget of some 
US$ 1.4 million, the revised appropriation which is used for the preparation of the financial 
statements. These statements for the biennium as at 31 December 1993 showed a balance available 
of US$ 197,048, representing an additional reduction in the contribution by ITC's parent bodies for 
this period. The report of the Board of Auditors, which is normally presented with the financial 
statements, will be presented to the Committee in due course. 
18. The Committee took note of the report. 
II. PROPOSED PROGRAMME BUDGET FOR THE BIENNIUM 1994-1995 
19. The Executive Director of the ITC recalled that the Committee had reviewed in October 1993 
the ITC's initial estimates for the 1994-1995 biennium. He explained that the proposed budget was 
a maintenance budget, reflecting a zero real growth. It called for US$40,574,100 of which 
US$ 609,700 would be met from miscellaneous income. The United Nations General Assembly had 
approved its share for the biennium, including a provisional amount for 1995, subject to the 
confirmation of the GATT of its contribution for 1995. 
20. In accordance with the initial estimates for the 1994-1995 biennium, the GATT share of 
expenditures for 1995 amounted to US$ 10,208,500, miscellaneous income having been estimated 
at US$ 304,800. The Executive Director said that, as is customary, the inflation and exchange rates 
applicable to the ITC budget would be reviewed when preparing the First Performance Report. 
21. The Committee recommends to the CONTRACTING PARTIES and to the Preparatory 
Committee of the World Trade Organization that the GATT share of the expenditure for the 
International Trade Centre UNCTAD/GATT for the second year of the biennium 1994-1995 be 
approved in the amount of US$ 10.208,500, miscellaneous income being estimated at US$ 304.800. 
The total amount to be provided to the Centre from the 1995 GATT/WTO budget represents 
Sw F 13.428.000. The contribution will be paid in Swiss francs in twelve equal monthly instalments. 
22. This recommendation was adopted by the Preparatory Committee for the WTO on 
8 December 1994 and by the CONTRACTING PARTIES on 9 December 1994. PC/6 
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C. ACCESSION OF SLOVENIA 
23. Consequent to the accession of the Government of Slovenia to the GATT(document L/7555), 
the Committee recommends that a pro rata contribution to the 1994 budget amounting to Sw F 23,670 
be assessed on this Government. This assessment, calculated as from 30 October 1994. is based on 
an annual contribution of 0.15 per cent, taking into account the foreign trade figures of Slovenia for 
the years 1991-1993. Further, on the basis of the level of the Working Capital Fund of 
Sw F 6.161.324 on 30 October 1994. the Committee recommends to assess an amount of 
Sw F 30.807 on the Government of Slovenia as an advance to the Fund. 
24. This recommendation was adopted by the CONTRACTING PARTIES on 9 December 1994. 