Introduction

An often-heard complaint about the UN is that it does not deliver what it promises. The organization carries the promise of universal peace and security, but often fails to show up in crisis situations, or shows up too late, or does too little. One of the standard replies on the part of the organization is that it lacks the funds, and could do a lot more if only its member-states would pay their contributions, and would pay them in time and in good order. And that, in turn, signifies that, however esoteric the topic may seem, the financing of international organizations is of the utmost practical relevance. As Singer put it in the early 1960s: ‘Until the policy decisions of the various organs are translated into budget items, there is no visiting mission to encourage Togoland's movement toward eventual self-government, no cease-fire observer in the Middle East, no rehabilitation commission in South Korea, and no public administration advisor in Santiago.’

Member-states usually have an obligation to pay some form of fee or contribution; if they do not pay, they are in violation of the obligations assumed upon membership, and certain consequences can follow. In addition, there may be voluntary contributions. The financing of the EC, however, provides a special case, as the EC is the one organization which can boast its own resources.