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IdentifierCreatedClassificationOrigin
06USUNNEWYORK1937 2006-10-10 23:01:00 UNCLASSIFIED USUN New York
Cable title:  

UN CAPITAL MASTER PLAN: JAPAN CANNOT PAY UNTIL

Tags:   AORC KUNR UNGA 
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VZCZCXYZ0006
PP RUEHWEB

DE RUCNDT #1937 2832301
ZNR UUUUU ZZH
P 102301Z OCT 06
FM USMISSION USUN NEW YORK
TO RUEHC/SECSTATE WASHDC PRIORITY 0405
INFO RUEHKO/AMEMBASSY TOKYO PRIORITY 8216
					  UNCLAS USUN NEW YORK 001937 

SIPDIS

SIPDIS

IO/MPR GEORGE ABRAHAMS AND LISA SPRATT

E.O. 12958: N/A
TAGS: AORC KUNR UNGA
SUBJECT: UN CAPITAL MASTER PLAN: JAPAN CANNOT PAY UNTIL
LATE 2007 AT THE EARLIEST

REF: USUN 1901



1. The Secretary-General's report on the Capital Master Plan
(CMP) is not yet final, but it is expected that the General
Assembly will be asked to approve a financing plan for the
CMP construction phase that includes direct assessments over
a five year period, with assessments beginning in January


2007. The construction phase, however, is not expected to
begin until late 2007. Without further information regarding
cash flow needs, it is unclear at this time whether a January
2007 assessment is necessary; USUN will seek further
information from the Secretariat. As reported reftel, USUN
has learned that due to the timing of the General Assembly's
decision on financing for the Capital Master Plan, Japan may
not be able to make its first payment for the construction
phase until at least late 2007. USUN is also trying to
ascertain whether other Member States (notably the EU and
CANZ) would be able to make payments in the timeframe being
requested, considering that a GA decision is not likely until
December 2006. Regardless, it is expected that there will be
debate in the Fifth Committee regarding the timing of
payments of the U.S. and Japan, as the two largest
contributors.



2. According to the Japanese Mission to the UN, the Japanese
Government is currently in the planning stage for its fiscal
year that begins April 1 and without a GA decision on
financing is hard-pressed to include funding for the CMP
construction phase in this budget. Therefore, it is likely
that most, if not all, of the funding for the first year of
payments would come from the supplemental budget to be
approved later in 2007. However, the Mission noted that
supplemental budgets are to fund only unpredictable items and
since the assessment would be known by the time the
supplemental budget process begins in February, this too may
not be possible, meaning that Japan may not make its first
payment for the CMP construction phase until spring 2008.
BOLTON