G. Liquidity available cash versus liabilities

In UNHHSF, the ratio of current assets of 17.4 million to current liabilities of 12.0 million was 1.46 to 1.

Debt flows

(c) At 31 December 1997, the ratio of current assets to current liabilities was 1.46 1, below the recommended level of 2 1

Liability A liability is a present obligation of the organization arising from past events, the settlement of which is expected to result in an outflow of resources from the organization.

Cutting the burden of Africa's debt

In UNICEF, current assets of 716 million exceeded current liabilities of 528 million by 188 million, disclosing a liquidity ratio of 1.36 to 1.

In such a situation, the only option available for the Government was to seek debt restructuring to alleviate the debt burden or to have short term cash flow relief.

20. At 31 December 1997, the current assets of UNICEF, amounting to 716 million, exceeded current liabilities of 528 million by 188 million, disclosing a liquidity ratio of 1.36 1.

The Board s computation of the liquidity ratio of the greeting card and related operations at 30 April 1997 disclosed that its current assets were 4.3 times the current liabilities, thus showing a favourable position.

Negotiable instruments and other non payment obligations

The issues of debt, capital flows and investment remained crucial to the success of international initiatives and cooperation for growth and development.

Article 24 The Company shall present the ending balance, beginning balance and percentage increase or decrease of the following financial status indicators asset liability ratio, net asset liability ratio and liquidity ratio in tabular form.

Article 75 The Company shall present the ending balance, beginning balance (prior year) and percentage increase or decrease of the following financial status indicators in tabular form asset liability ratio, net asset liability ratio and liquidity ratio.

To address the debt burden problem, many African countries at first resorted to repeated debt rescheduling which focused on debt service flows, resulting in steadily increasing debt stocks and related service payments.

(1)the financial liabilities which are measured at their fair values and of which the variation is included in the current profits and losses, including transactional financial liabilities and the designated financial liabilities which are measured at their fair values and of which the variation is included in the current profits and losses and

24. External debt also constitutes an element of resource flow.

(c) Financial activities cover the traditional control areas concerned with budget, the flow of funds (revenues and expenditures), related assets and liabilities and financial information

Article 84 The Company shall analyze the quality and liquidity of its assets as well as its liability situation, and make a general disclosure thereof.

Liability

Liquid Liabilities

Liabilities

Equally worrying is Africa's unsustainable debt burden.

(13) As regards tradable financial liabilities, it is required to separately list the beginning of period and end of period fair value of offered tradable bonds, financial liabilities which are specified to be measured on fair value and whose fluctuations are included in the current profits and losses, derivative financial liabilities and other tradable financial liabilities.

Where the future cash flow or term of existence of a financial asset or financial liability cannot be predicted reliably, the contractual cash flow of the financial asset or financial liability for the whole term of the contract shall be taken into account.

Accordingly, the creditor community may consider the following measures to further relieve the debt burden of African countries

quot D. Debt and resource flows

Although this position showed an improvement of 7.9 per cent over the position at 31 December 1995, it is still below the generally accepted norm, which requires that current assets should exceed current liabilities by two times.

The recent advances in the international strategy to relieve the debt burden of highly indebted poor countries (HIPC) will have some effect, but more may need to be done, not only for the low income countries of Africa but also for its highly indebted middle income countries.

Article 45 The Company shall analyze the fluidity situation of assets and liabilities during the reporting period, including its major financing channels, short term and long term liability composition, measures taken for maintaining the fluidity level and corresponding management policies and financing ability, contingent issues and their impact on the financial status of the Company.

Total Liabilities

Liabilities 4,030.

The Panel was informed that the initiative had been designed to resolve the debt problems of heavily indebted poor countries by reducing the external debt burden to sustainable levels, so as to ensure that adjustment and reforms in those countries were not exposed to risks arising from indebtedness.

In recognition of the fact that many of the poorest developing countries continue to face unsustainable debt burdens, the Heavily Indebted Poor Countries Debt Initiative was launched in September 1996.

These flows, in turn, will depend inter alia on the effectiveness of measures taken by the international community to alleviate the external debt burden of heavily indebted African countries, which in SSA consists mainly of public and publicly guaranteed long term debt.

Article 27Where an enterprise (debtor) enters into an agreement with a creditor so as to substitute the existing financial liabilities by way of any new financial liability, and if the contractual stipulations regarding the new financial liability is substantially different from that regarding the existing financial liability, it shall terminate the recognition of the existing financial liability, and shall at the same time recognize the new financial liability.

21. Calls for a comprehensive and sustainable solution to the external debt problems of African countries, including cancellation or restructuring for heavily indebted African countries not part of the Heavily Indebted Poor Countries Initiative that have unsustainable debt burdens, and emphasizes the importance of debt sustainability

36. Africa s external debt burden is the highest among developing countries in terms of the ratio of external debt to GDP and its debt service ratio.

Article 57The financial liabilities refers to the following liabilities of an enterprise

Recent activities include the Regional Bureau for Africa s participation in the activities of Debt Relief International, an initiative funded by Austria, Denmark, Sweden and Switzerland to assist the HIPCs in preparing debt policies and strategies.

Liability Accounts

Liability accounts

Environmental Liabilities

Total expenditure

The accrued