Submission of Japan's Second Proposal on the Methodology for the UN Scale of Assessments for the Next Three Year Term

November 8, 2006

  1. Following the resumption of negotiations on the methodology for the UN scale of assessments for the next three year term (2007-09) at the 5th Committee of the UN General Assembly (in charge of administrative and budgetary matters), the Government of Japan, on November 8 (Wed) (US Eastern time: 7), additionally submitted its second proposal.
  2. In the review process of the methodology for the UN scale of assessments, the Government of Japan intends to continue proactive participation in the negotiations on the scale to make it more equitable and fair, by reflecting the actual economic situation of each UN Member State and duly taking into account its status and responsibilities in the UN.
  3. Based on this principle, the Government of Japan submitted a proposal in March this year. Furthermore, taking into account the positions expressed by some countries during the negotiations and from the viewpoint of contributing proactively in the forthcoming intensive discussions, it has decided to newly submit an additional proposal while keeping the first one submitted in March.
  4. The 5th Committee of the UN General Assembly will discuss in depth the scale of assessments for the next three year term (2007-09) on the basis of Japan's two proposals together with other proposals and will determine it by the end of this year.
  5. Concrete contents of Japan's two proposals are as follows:
      Japanese Proposals Reference
    Current methodology for the scale of assessments
    Proposal II (submitted this time) Proposal I (submitted in March this year)
    Base period Same as right Average of three years and introduction of annual re-calculation Average of three and six years (3 years fixation)
    Maximum assessment rate (ceiling) Same as right Same as right 22%
    Minimum assessment rate (floor) Same as right Same as right 0.001%
    Floor for permanent members of the Security Council (No setting) 3% or 5 % (No setting)
    Ceiling for LDC Same as right Same as right 0.01%
    Debt-burden adjustment Same as right Same as right Deduction of 12.5% of the amount of each country's external debts from GNI
    Low per capita income adjustment Maximum discount of up to 60% to countries whose per capita income is below the world average and their GNI share exceed 1%. For others, up to 80% discount. Same as right Discount up to 80% to countries whose per capita income is below the world average

[Reference]

Projected 2007 rates of major countries on the basis of Japan's two proposals are below.

  Current rates in 2006 Projected 2007 rates
On the basis of the methodology in JapanIs proposals [Reference]
(on the basis of the current methodology)
Proposal II (submitted this time) Proposal I (submitted in March this year)
In case of 3% floor for permanent members of the Security Council In case of 5% floor for permanentmembers
USA 22.0% 22.0% 22.0% 22.0% 22.0%
Japan 19.5% 15.3% 15.3% 14.4% 16.6%
Germany 8.7% 8.3% 8.3% 7.9% 8.6%
UK 6.1% 6.5% 6.5% 6.2% 6.6%
France 6.0% 6.2% 6.2% 5.8% 6.3%
China 2.1% 3.9% 3.0% 5.0% 2.7%
Russia 1.1%* 1.0% 3.0% 5.0% 0.7%

* Russian current rate in 2006 is inclusive of a voluntary addition.

(END)


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