UNICEF Integrated Budget Informal Briefing to the Executive Board

Transcription

1 UNICEF Integrated Budget Informal Briefing to the Executive Board 22 August 2017

2 Funding Streams REVENUE REGULAR RESOURCES (Un-earmarked) OTHER RESOURCES (Earmarked) OTHER RESOURCES (Regular) OTHER RESOURCES (Emergency) 2

3 There has been growth in revenue over with revenue to date 21% above the MTR planned figure. Resource Mobilization A detailed analysis of public and private sector resource mobilization activities has identified areas for additional growth. 3

4 Rationale for Increased Resources The increased focus on resource mobilization is a reflection of: 1. Ambition of the 2030 agenda 2. Growing demand from host governments to collaborate on interventions at scale that can deliver the transformative change envisioned in the SDGs 3. Need to respond to continued frequency and complexity of humanitarian crises 4. Requirement to meet demands for effective programming responses in support of national priorities, ensuring no child is left behind 4

5 Revenue Trend (in millions of US dollars) 6,500 6,000 5,500 5,000 4,500 4,000 3,500 3,000 2,500 2,000 1,500 1, , ,977 1,187 1, ,762 2,781 1,725 Indian Ocean tsunami 3,013 1,907 3,390 3,256 2,305 2,190 Global Food Price crisis 3,682 3,711 2,717 2,633 2,657 Haiti earthquake 1,056 1,106 1,085 1, ,078 3,945 4,853 3,588 5,169 1,288 1,265 1,326 5,010 3,843 3,836 Humanitarian programmes in Syria, Africa, Iraq, Nepal, Yemen 1,174 4,884 3,571 5,033 5,235 3,721 3,830 5,566 4,049 5,868 4,230 6,145 4,404 1,312 1,312 1,405 1,517 1,638 1, Regular resources Other resources Total Contributions 5

6 US$ Million Projected Revenue by Stream ,145 5,566 5,868 5,235 1,638 1,742 1,517 1,405 1,480 1,500 1,522 1,572 2,350 2,549 2,708 2, Plan 2019 Plan 2020 Plan 2021 Plan ORR ORE RR RR total: $ 6,302 M OR total: $ 16,512 M Overall total: $ 22,814 M Compared with the MTR, total income grows by 21%. While all revenue streams reflect growth, Regular Resources increase at the fastest pace (+24%) between 2018 and 2021 driven by increases from the private sector.

7 US$ Million Revenue Comparison to , ,281 5,633 18,786 5,100 6, ,648 13,686 16, Plan MTR OR RR 7

8 Revenue by Source UNICEF is voluntarily funded with two main sources of revenue: Government Government (two-thirds) and Private Sector(one-third) Private 34% 43% 18% 39% RR ORR ORE Public 66% As a result of sustained investment, the Private Sector will contribute 57% of the Organizations RR revenue for Private Sector 5% 44% 51% RR ORR ORE 8 UNICEF for every child

9 Growth in revenue will be driven by: an increase in the recruitment and retention of monthly pledge donors Resource Mobilization enhanced focus on Legacy, Corporate and Foundation fundraising opportunities Streamlining and strengthening government advocacy This will be underpinned by UNICEF s ability to demonstrate results and value for money 9

10 Projected Revenue by Funding Source Governments Interorg. Private Sector 5,868 6,145 5,235 5,566 1,952 2,173 2,336 1, ,891 3,022 3,102 3, Plan 2019 Plan 2020 Plan 2021 Plan Governments total: $ 12,221 M Inter-org total: $ 2,362 M Private Sector total: $ 8,231 M Overall $ 22,814 M Targeted investment in resource mobilization activities will result in a revenue growth from all sources. Risk mitigation measures include: 1) monitoring and reporting to the Board via Annual financial updates for Country Programme approval 2) the annual submission and approval of the Private Fundraising Financial plan.

11 Integrated Resource Plan Mid-Term Review (MTR) Proposed Plan Approved (E/ICEF/2016/AB/L.2/Rev.1) Regular resources Other Resources Total resources Regular resources Other Resources Total resources Cost Cost Prog Recovery Prog Recovery 1. Resources available $m % $m $m $m % $m % $m $m $m % Opening balance , , , ,798.2 Income Contributions 4, , , , , ,314.4 Other income and reimbursements Total Income 5, , , , , ,814.4 Tax reimbursement adjustment (76.6) - - (76.6) (80.0) - - (80.0) Trust fund receipts Total available 5, , , , , , Use of resources A. Programmes 3, % 13, , % 4, % 15, , % Country Programmes 3, % 12, , % 4, % 15, , % Global Programme % % % , % B. Special Purpose % % % , % B.1 PFP, direct / investment costs % % % % B.2 Other % % % % C. Institutional Budget 1, % , % 1, % , , % Integrated Budget (A + B + C) 5, % 13, , % 6, % 16, , , % Closing balance of resources ,

12 Integrated Resources and Results Framework (Harmonized Funds and Programmes Classification) Table 2: Integrated results and resources framework, Goals Functional Cluster Regular Resources Other Resources Cost Programme Recovery Total Resources $m $m $m $m Programmes Goal Area 1 - Every child survives and thrives Goal Area 2 - Every child learns Goal Area 3 - Every child is protected from violence and exploitation Goal Area 4 - Every child survives in a safe and clean environment Goal Area 5 - Every child has an equitable chance in life Organizational effectiveness and efficiency 1 Higher quality programmes through results-based management Technical Excellence In Policy And Programmes Technical Excellence In Procurement And Management Of Supplies Technical Excellence In Humanitarian Action Improved management of financial and human resources in pursuit of results Leadership And Corporate Direction Corporate Oversight And Assurance Corporate Financial, Information, Communication & Technology And Staff And Premises Security Corporate External Relations And Partnerships, Communication And Resource Mobilization Corporate Human Resources Management Field/Country Office Oversight, Management And Operations Support Coordination of the United Nations Development System United Nations coherence and cluster coordination Special purpose Special Purpose, Capital Investment Private Sector Fundraising Other, inlciudng procurement services Total Resources

13 IRRF - indicative total resources by Goal Area GOAL AREA 5: EVERY CHILD HAS AN EQUITABLE CHANCE IN LIFE RR: $374 OR: $1,369 GOAL AREA 4: EVERY CHILD LIVES IN A SAFE AND CLEAN ENVIRONMENT RR: $846 OR: $3,088 $1, % GOAL AREA 1: EVERY CHILD SURVIVES AND THRIVES 3, % $8, % RR: $1,744 OR: $6,367 GOAL AREA 3: EVERY CHILD IS PROTECTED FROM VIOLENCE AND EXPLOITATION 13 RR: $523 OR: $1,910 2, % $4, % US$ MILLIONS GOAL AREA 2: EVERY CHILD LEARNS RR: $872 OR: $3,183

14 The Use of RR ( actuals) RR expenditures by Budget Category 75% of RR spent on Programmes 71% on country programmes 4% on the Global & Regional Programmes 17% of total RR spent on Institutional Budget 9% on development effectiveness 7% on management 1 % on UNDC and Special purpose RR expenditures by Location 82% of RR spent by field offices (COs and ROs) 18% by HQ offices (NY, Copenhagen, Brussels, Florence, Geneva, Tokyo, Budapest) 14 8% invested in private sector fund raising

15 US$ Million Indicative Integrated Budget by Component 16,372 19,247 COUNTRY PROGRAMMES 2,095 2, ,030 1, GRP SPECIAL PURPOSE INST. BUDGET MTR Compared with the MTR, Investment in Country Programmes grows by 18%. When compared with the MTR, the institutional budget decreases from 10.5% to 10.2% of the total integrated budget. This ratio was 11.9% in the approved plan. Special purpose increase reflects investment in resource mobilization. 15

16 Integrated Budget by Key Cost Category % 0.2% 5.5% Development Activities (Programme and Development Effectiveness) UN Development Coordination Management Activities 16 Special Purpose 87.6%

17 17 Organizational Effectiveness & Efficiency

18 Integrated Budget by Location % 2.9% Country Regional Headquaters 85.4% 18

19 PROGRAMME / IB EXPENDITURE TREND* (in millions of US dollars) 6,000 5,000 4,325 4,546 4,655 4,482 4,830 4,989 5,144 5,315 4,000 3,000 3,292 3,649 Programmes, 2021 Growth since 2012: 59% Programme Expenditure 2,000 Institutional Budget, 2021 Growth since 2012: 34% Institutional Expenditure 1, * from all funding sources

20 Cost recovery UNICEF continues to apply the Board-approved cost recovery rates and methodology. The effective rate of recovery is projected to increase to 7.3% for the period , compared with the actual effective rate of 6.5 % for the period As per Board Decision 2017/7, UNICEF will continue to work with UNDP, UNFPA and UN Women and continue the consultations with Member States with regard to possible changes to the cost-recovery policy. 20

21 ACABQ Feedback Recognizes inherent uncertainty of resource projections and requests an update at Mid-term review (MTR). Encourages UNICEF to regularly review the status in emergency locations to determine the need for senior level posts and provide regular updates. Notes progress on the reduced use of non-staff personnel and requests an update at the MTR. Welcomes travel monitoring measures and eventual reduction in travel expenditure. Looks forward to further updates on Cost Recovery methodology. 21

22 Timeline June 2017 Submission to ACABQ July 2017 ACABQ Session August 2017 Exec. Board Informal Sept Exec. Board Approval 22

23 Thank you Questions & Answers 23