A/RES/53/214 Page 2 III NET BUDGETING, INCLUDING ITS IMPACT ON THE FUNCTIONING OF THE ENTITIES CONCERNED Takes note of the report of the Secretary-General on net budgeting, including its impact on the functioning of the entities concerned,2 and endorses the observations made by the Chairman of the Advisory Committee on Administrative and Budgetary Questions before the Fifth Committee;3 IV FIRST PERFORMANCE REPORT Having considered the first performance report of the Secretary-General on the programme budget for the biennium 1998–19994 and the related report of the Advisory Committee on Administrative and Budgetary Questions,5 1. Reaffirms the budgetary process as approved in its resolution 41/213 of 19 December 1986 and as reaffirmed in subsequent resolutions; 2. Reaffirms also its resolution 52/220 of 22 December 1997; 3. Takes note of the first performance report of the Secretary-General on the programme budget for the biennium 1998–19994 and the related report of the Advisory Committee on Administrative and Budgetary Questions;5 4. Reaffirms the requirement of all Member States to fulfil their financial obligations as set out in the Charter of the United Nations promptly and in full and without imposing conditions; 5. Recognizes the detrimental effect of the withholding of assessed contributions on the administrative and financial functioning of the United Nations; 6. Approves a net decrease of 48,200,900 dollars in the appropriations approved for the biennium 1998–1999 and a net decrease of 4,552,500 dollars in the estimates of income for the biennium 1998–1999, to be apportioned among expenditure and income sections as indicated in the report of the Secretary-General; 7. Expresses concern about the fact that a number of sections of the programme budget continue to reflect high levels of vacancy, which could have an impact on the full implementation of the programmes and activities mandated by the General Assembly; 8. Reiterates that the vacancy rate is a tool for budgetary calculations and should not be used to achieve budgetary savings; 2 A/53/410. 3 See Official Records of the General Assembly, Fifty-third Session, Fifth Committee, 39th meeting (A/C.5/53/SR.39), and corrigendum. 4 A/53/693. 5 A/53/7/Add.8. For the final text, see Official Records of the General Assembly, Fifty-third Session, Supplement No. 7. /...