RESTRICTEDWORLD TRADE
ORGANIZATIONWT/BFA/W/55
18 January 2001
(01-0262)
Committee on Budget, Finance and Administration
APPOINTMENT OF WTO EXTERNAL AUDITOR
At its meeting of 25 May 2000 (WT/BFA/47), the Committee on Budget, Finance and
Administration recommended that the General Council extend the mandate of the Netherlands Courtof Audit for the audit of the 2000 and 2001 accounts.  It further “noted that sufficient time should be
given to the launching of the next call for tenders so that a smooth transition would be ensured.”
In this context, attached is a draft letter which is based on the letter sent at the time of the first
call for tenders.  The Secretariat would be grateful to know if a letter along these lines could be sentout so that the process could be started without delay.WT/BFA/W/55
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Sir,
Following the practice approved by the General Council of the World Trade Organization
(WTO), the WTO hereby issues a call for competitive tenders for the external auditing of the WTOaccounts and the WTO Pension Plan accounts beginning with the 2002 accounts.
The total budget of the WTO for 2001, approved by the Members, amounts to
CHF 134,083,610.  An evaluation of the scale and the scope of the audit to be performed on a yearly
basis may be made from the following 2000 documents, copies of which are enclosed herewith:
- Director-General's Budgetary and Financia l Report on the 1999 and Report of the
External Auditor thereon (document WT/BFA/W/42)
- Divisional Reporting on Objectives and Expenditures for 1999 (document
WT/BFA/W/43)
- Report on Extra-Budgetary Funds for 1999 (document WT/BFA/W/44)
- Budget Estimates 2001 (document WT/BFA/SPEC/49)- Report of the Committee on Budget, Finance and Administration (containing revised
estimates of expenditure for the financial year 2001) (document WT/BFA/51)
- Annual Report 1999 of the WTO Pension Plan
The WTO accounts are audited in accordance with the WTO Financial Regulations and Rules
(documents WT/L/156, WT/L/157).
In the light of the above, I am addressing myself, through you, to your authorities to ascertain
whether your National Audit Office would be in a position to consider appointment as External
Auditor of WTO with effect from the audit of the 2002 accounts.
In the affirmative case, I should be grateful if, in order to enable the WTO Committee on
Budget, Finance and Administration to examine the question and make an appropriate
recommendation to the General Council, you could provide the following information:
(a) estimate of the total fees attributable for the yearly audit of the WTO accounts
(including inter alia travel expenses, subsistence allowances, preparation and
presentation of external audit reports, certification of the accounts);
(b) description of any supplementary audit measures, not expressly set out in the
pertinent Regulations and Rules, which in the opinion of the External Auditor should
be carried out in the performance of his duties, together with an estimation of the
corresponding costs;  and
(c) minimum period for which an appointment as External Auditor to the WTO would be
accepted.
In studying these questions your National Audit Office should take into account that:
(a) the auditors performing the audit should be quite familiar with financial practices of
international organizations;
(b) the auditors should have an excellent know ledge of English which is mainly used for
the organization's daily financial transactions.  Knowledge of French and Spanish
would facilitate their task and would be cons idered as an additional asset in the final
selection of the auditors.…..WT/BFA/W/55
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(c) the auditors should be readily available for advice or consultation without a
consequent incidence of substantial expenses;
(d) until now the External Auditor has not limited himself to verifying the exactitude of
the accounts and their conformity to the relevant vouchers (certification) but has alsoexamined to what degree budgetary credits are committed and activities undertaken
with a regard for economy and efficiency (value-for-money).  His opinion in this
respect should be included in his report; and
(e) until now the External Auditors undertook their audit twice a year; firstly in March
after the closure of the accounts of the previous year and secondly during the second
part of the year when they undertake an interim audit of the current year.
I should be most grateful if you would assist the Members of the WTO in this matter.
Responses should be received not later than 31 March 2001.
Accept, Sir, the assurances of my highest consideration.
For the Director-General,
Jacques E. Chabert
Director
Finance and General Services Division