Finland to donate four million euros to the UN Central Emergency Response Fund
Press release 55/2006
9 March, 2006
Finland will support the reformed UN Central Emergency Response Fund, CERF, with four million euros in order to speed up the emergency response in the initial phases of humanitarian crises. The CERF fund will not replace the general UN emergency appeals, but it will complement them.
The UN aims at transforming the fund, reformed last year, into a central international and multilateral funding instrument, which also aims at better meeting the constantly growing demand for humanitarian assistance. Finland considers own financial contribution to CERF important, since quick response in the initial phases of crises can save human lives. Through the fund, it is possible to provide assistance even before the donator countries have had time to make any funding decisions. The upgraded fund will start its operation in New York on 9 March.
In order to improve the predictability and response speed of humanitarian assistance, the 60th Session of the UN General Assembly decided in December 2005 to reform and expand the CERF, which was previously known by the name Central Emergency Revolving Fund. Within three years, the goal is to expand the new CERF into a fund of 500 million US dollars, of which 450 million US dollars could be allocated as direct grants to UN agencies, programmes and funds in order to relieve suddenly emerging or deteriorating emergencies. The remaining 50 million US dollars will still be granted as loans. The old CERF fund, amounting to 50 million US dollars, granted only loans to UN agencies, programmes and funds. It turned out that the system lacked sufficient flexibility.
The expanded CERF has three objectives: to promote early, life-saving response to crises; to make it easier to respond to urgent and real emergency needs; and to strengthen humanitarian relief activities in case of so-called neglected crises. Two thirds of the grant funds are intended for providing prompt response to crises, and one third for under-funded humanitarian emergencies.
The fund can allocate 30 million US dollars for a certain emergency. The decisions about giving grants are made by UN Under-Secretary-General for Humanitarian Affairs and Emergency Relief Coordinator Jan Egeland. Afterwards, the coordinator will ask for feedback from an Advisory Group, which will assess the decisions made and guide the future operations of the fund.
Finland's contribution of four million euros – approximately 4.9 million US dollars – to CERF is included in the appropriations for humanitarian assistance, for which Finland has budgeted the total of 52.5 million euros this year. CERF currently has the total of 200 million US dollars in pledges.
Additional information: Director Ulla-Maija Finskas, Unit for Humanitarian Assistance, tel. +358 9 1605 6225.