UN closer to ending impasse over reforms

June 28, 2006
Reuters
Original Source: http://today.reuters.co.uk/news/newsArticle.aspx?type=worldNews&storyID=2006-06-28T010839Z_01_N27298338_RTRUKOC_0_UK-UN-REFORM.xml&archived=False

UNITED NATIONS (Reuters) - Rich and poor nations moved closer on Tuesday towards ending an impasse over U.N. management reforms that threatened to leave the world body without a budget at the end of the month, diplomats said.
The main U.N. bloc of developing nations and envoys from wealthy countries reached an agreement in principle on a long-stalled resolution on development strategy that diplomats said would help consolidate support for the reforms.
The United States, Japan and other rich nations have sought to varying degrees to condition support for a U.N. budget for the second half of 2006 on approval of significant reforms.
Under pressure from the United States, U.N. members agreed in December to tie the budget for the rest of the year to management improvements.
The move was intended to pressure developing nations into approving the reforms. But it backfired, angering poor nations who accused wealthy countries of trying to secretly seize control of the world body from the full membership.
While wealthy nations' dues pay more than 80 percent of the U.N. budget, poor countries represent most of the world's population and hold the vast majority of the General Assembly's 191 seats.
Poor nations pointed to the development resolution -- intended to carry out anti-poverty strategies approved by a U.N. summit in September 2005 -- as proof that the wealthy countries did not have their interests at heart.
John Bolton, the U.S. ambassador to the United Nations, said in announcing broad agreement on the development resolution that poor countries viewed the step as a confidence-building measure. That's a step forward towards ending the budget impasse, he told reporters.
Diplomats said the draft resolution, once approved by the General Assembly, would empower the United Nations to track development aid and advance developing nations' quest for a stronger voice in World Bank and IMF policymaking. They said it would also reaffirm the importance of private-sector involvement in generating new investment, employment and financing for development.