Executive Director’s Report 2022
Since 2012, we have been deficit-spending with income on the foundation non-earmarked trust fund never meeting expenses. Although we narrowed the deficit gap through austerity measures and showed some marked improvement in 2019, we were not able to bridge the gap and by 2021, the foundation non-earmarked fund became insolvent. We started 2022 with a deficit of over USD 1.2 million but ended the year with a surplus of USD 5.9 million, the first surplus in 12 years. A combination of further austerity measures coupled with record contributions led to this positive position.
At the end of the third year of the 2020-2023 Strategic Plan, we have mobilised approximately USD 540 million to implement the Strategic Plan. This includes seven positions that were regularised by the General Assembly, the first time UN-Habitat was prioritised by the Secretary-General for additional regular budget in twenty years. We have also began to diversify our resources to include contributions from the private sector, foundations and philanthropy.
By being solutions-oriented, improving transparency and achieving greater efficiencies in project implementation, we have been able to improve our donor reporting and project completion rate. Whilst we have developed a
risk register as well as a monitoring mechanism to ensure all audit recommendations are implemented, there is still a lot of hard work ahead to close all audit recommendations.