2008/26
Revision of the financial regulations of UNDP and UNFPA

The Executive Board


Recognizing that the number and gravity of attacks and threats against United Nations personnel have increased substantially over the past several years, and

Acknowledging that United Nations organizations should be able to respond to such incidences in a timely and appropriate manner,

With regard to UNDP,

1.     Takes note of the report on the revision of the financial regulations of UNDP (DP/2008/41) and the corresponding report by the Advisory Committee on Administrative and Budgetary Questions (DP/2008/42);

2.     Decides that financial regulation 23.01, contained in document DP/2008/41, should read as follows:

"(a) The Administrator may make such ex gratia payments, not exceeding $75,000 per year, as he or she deems necessary in the interest of UNDP. A statement of such payments should be included in the audited financial statements, except as set forth in paragraph (b) below:

(b) In the case of an emergency where, at the discretion of the Administrator, immediate ex gratia payments are necessary for humanitarian reasons (in instances such as injury or death suffered in connection with UNDP activities), the Administrator may make such payments in accordance with paragraph (a) above, except that such payments shall be without limitation as to the amount. The Administrator shall immediately inform the Executive Board when any single situation results in payments totalling in excess of $50,000."

3.     Takes note of the corresponding change in financial rule 123.01.

With regard to UNFPA,

4.     Takes note of the report on the revision of the financial regulations of UNFPA (DP/FPA/2008/15 and DP/FPA/2008/15/Corr.1) and the corresponding report by the Advisory Committee on Administrative and Budgetary Questions (DP/FPA/2008/16);

5.     Notes that UNFPA has disbursed $47,609 in ex gratia payments in 2008, and that this amount will be reflected in the UNFPA financial statements for the biennium 2008-2009;

6.     Recognizes that the above payment exceeded the limit of $25,000 imposed under financial regulation 14.5 for ex gratia payments;

7.     Approves, on an ex post facto basis, the amount paid in excess of the above limit, in view of humanitarian and moral considerations;

8.     Decides that financial regulation 14.5, contained in document DP/FPA/2008/15, should read as follows:

"(a) The Executive Director may make such ex gratia payments, not exceeding $75,000 per year, as he or she deems necessary in the interest of UNFPA. A statement of such payments should be included in the audited financial statements, except as set forth in paragraph (b) below:

(b) In the case of an emergency where, at the discretion of the Executive Director, immediate ex gratia payments are necessary for humanitarian reasons (in instances such as injury or death suffered in connection with UNFPA activities), the Executive Director may make such payments in accordance with paragraph (a) above, except that such payments shall be without limitation as to the amount. The Executive Director shall immediately inform the Executive Board when any single situation results in payments totalling in excess of $50,000."

9.     Takes note of the corresponding change in financial rule 114.9.

11 September 2008