Distinguished delegates,

The Group of 77, which is composed of 133 developing countries, deems it necessary to make a statement on this issue, in view of the importance we attach to our interest in the ILO.

We support the decisions adopted by the Committee on Finance regarding the proposed budget for the biennium 2002-2003 and the scale of assessments for member States’ contributions to the ILO. We urge that in the implementation of the programme and budget adopted particular attention be given to the interests of developing countries.

We wish to put on record that the adoption of a new scale of assessments by the ILO can in no way constitute a precedent for the application of the same scale in other specialized agencies of the United Nations system, in accordance with paragraph 3, Section C, of UN General Assembly resolution 55/5.

We note that under the proposed scale of assessments adopted by the Committee on Finance the contributions of a group of developing countries are reduced. This reduction meets with our approval and support.

However, we note with concern the significant reduction in the contributions of some of the most important and major developed country contributions, coinciding with an increase in the contributions of a great many developing countries.

In our view, the developed countries and the developing countries have the same commitment to international cooperation and, in particular, to the proper functioning of the organizations of the United Nations system. However, it is unfair that the contributions of those countries that are truly able to contribute to the ILO should be reduced, while a group of developing countries – countries that are faced with growing unemployment problems, a security social deficit, a heavy foreign debt, disease, lack of financial resources for development, and technological disadvantages, and that lack financing to solve those problems – have to bear the costs entailed by the reduction in the contributions of some developed countries.

This situation requires careful analysis so that no developing country will be negatively affected. Any new debate on budgetary matters and the scale of assessments must ensure full participation by developing countries in the decision-making process.

Thank you.