92/33.  United Nations Population Fund:  financial, budgetary and administrative matters

The Governing Council

   Having considered the annual financial review, 1991 (DP/1992/32) and the audit reports (DP/1992/33),

   Having taken into account the views and comments of members of the Governing Council on the documentation before it,

   Noting with appreciation the activities of the United Nations Population Fund in supporting developing countries in the formulation and implementation of population programmes,

   1.  Takes note of the annual financial review (DP/1992/32), the audit reports (DP/1992/33) and the interim report of the Board of Auditors on the United Nations Population Fund for the first year of the biennium 1990-1991 (A/46/5/Add.7);

   2.  Notes that the United Nations Population Fund's expenditure in 1991 exceeded its income and that the United Nations Population Fund's actual income in 1991 and currently projected income for 1992 fall considerably short of the United Nations Population Fund's original estimates; and urges the United Nations Population Fund to ensure that future estimates of its income are soundly based and reflect actual trends and that future expenditure plans accord with these estimates;

   3.  Takes note with concern of the continued increase in the proportion of the United Nations Population Fund's administrative expenditures in relation to the total programme expenditures and requests the Executive Director to propose steps to reduce the proportion of administrative expenditures and also, in this regard, to strengthen further the internal financial management and control of the United Nations Population Fund and to report on these activities to the Governing Council at its fortieth session (1993);

   4.  Further requests the United Nations Population Fund to keep Governing Council members informed of income and expenditure projections;

   5.  Confirms paragraph 19 of decision 91/36 of 21 June 1991, on the level of the operational reserve;

   6.  Approves the following new regulation of the United Nations Population Fund's Financial Regulations and Rules:

"Regulation 8.9:  Agreements shall be entered into between United Nations Population Fund and Executing Agencies which are organizations of the United Nations system, specifying the general terms and conditions which are to govern the United Nations Population Fund's assistance to projects for which those organizations have been designated as executing agencies";

   7.  Requests the Executive Director to submit to the Governing Council at its fortieth session proposed amendments to the financial regulations of the United Nations Population Fund which upon consideration by the Governing Council at that session would permit the Executive Director to enter into cost-sharing arrangements with recipient Governments on their request and/or with external donors;

8.  Notes the steps already taken by the Executive Director, within her competence, to implement previous recommendations of the Board of External Auditors in response to paragraphs 14 and 17 of General Assembly resolution 46/183 of 20 December 1991;

9.  Requests the Executive Director to take the additional steps required to implement the remaining recommendations of the Board of Auditors;

10. Urges the Executive Director to implement paragraph 13 of decision 91/36, on internal audit, without delay.

31st meeting

26/May/1992