(Vienna, 31 May, 2017)

Mr Chairman,

The Chinese delegation welcomes you chairing this session and will continue to support and work closely with you and in full cooperation with all delegations in achieving a positive outcome of the session.

China thanks Executive Secretary Zerbo for his report. The Chinese delegation fully endorses the position and views in the statement just made by the representative of Iran on behalf of G77 and China. I’ll make the following comments in my national capacity.

Mr Chairman,

China takes note of the draft programme and budget for 2018-2019 presented to the PrepCom by the PTS and welcomes the measures taken by the PTS in maintaining the zero real growth of the budget, improving methods of fund allocation, improving budget utilization efficiency and assuring funds for priority projects. The PrepCom should prepare the programme and budget on the basis of the principle of openness, transparency and inclusiveness and in accordance with the actual needs as well as taking into integrated account of the financial situation of various countries. The legitimate concerns of member states, particularly the capacity building projects that gather wide interest of vast developing countries, should be well addressed. China, therefore, calls for a programme and budget that is more explicit and more straightforward in reflecting components on capacity building projects.

China appreciates the periodic report of the PTS in accordance with the PrepCome decision on the implementation of the OSI project of Equipment Storage and Maintenance Facility (ESMF). This is a major project of the PrepCom and we hope to hear further report from the PTS on the regular budgetary component of the fund allocation and use for the ESMF project to raise predictability and transparency of the budget preparation.

China takes note of the Midterm Strategy for the period of 2018-2021 presented by the PTS and believes that this Strategy will guide the work of the PTS and budget preparation. China encourages the PTS to fully listen to the views of State Signatories and observe the principles governing the testing and provisional operation in the process of developing this Strategy in order to come out with working goals that are in line with reality, quantifiable and highly operational. In view of the fact that the Midterm Strategy is an internal document of the PTS, which is not approved by the PrepCom, China supports the recommendation made by the Advisory Group at its 48 session and the idea of clarifying the status of this document in the programme and budget in an appropriate manner.

Mr Chairman,

China notes that the Office of the Auditor-General of Thailand is the only candidate agency that submitted the application for the External Auditor of the PrepCom by the deadline. China supports the Office of Auditor-General of Thailand in assuming the External Auditor as a professional agency from a developing country. We hope the PTS will proceed with the appointment of the external auditor in accordance with the relevant rules and procedures and seriously consider expanding the scope of audit from finance to management.

Thank you, Mr Chairman.

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