DIRCO and ARF Performance Report at Quarter 3

1. DIRCO AND ARF PERFORMANCE AND FINANCIAL REPORTas at end of December 2015 (Quarter 3)Presentation to Portfolio Committee 17 FEBRUARY 2016

2. Table of Contents • DIRCO reports on: 1.1 Performance information Quarter 3 1.2 Financial report Quarter 3 2. ARF Quarter 3

3. Introduction • South Africa hosted FOCAC Summit from the 04 to 06 December 2015 with outcomes such as: Chinese investments of US$60 billion of which South Africa will receive US$10 billion for infrastructure, industrialisation and skills development • On 12 December 2015 the Parties to the United Nations Framework Convention on Climate Change (UNFCCC) unanimously adopted the Paris Agreement and a package of supporting decisions covering climate actions in the pre-and post 2020 periods. This is the successful conclusion of a four year negotiation process under the Durban Platform for Enhanced Action

4. Introduction • Concluded South Africa's term as G77 Chair with notable success in the following areas: • The adoption of the Paris Agreement at Paris Climate Change Conference (COP21/CMP11) in December 2015 • The adoption of the 2030 Agenda on Sustainable Development with a set of 17 Sustainable Development Goals (SDGs) and 169 associated targets • Changes in the international arena: • Rapid weakening of rand against major currencies • Slow down of growth of China and impact on the global economic outlook • Plummeting oil prices

5. Programme 1: Administration

6. Programme 1: Administration

7. Programme 1: Administration

8. Programme 2: International Relations

9. Programme 2: International Relations

10. Programme 2: International Relations

11. Programme 3: International Cooperation

12. Programme 3: International Cooperation

13. Programme 3.2:Continental Cooperation

14. Programme 3: South –South and North –South Cooperation

15. Programme 4: State Protocol services

16. MPATManagement Performance Assessment Tool

17. Areas assessed and Scoring Four Management Areas • Strategic Management • Governance and Accountability • Human Resources Management • Financial Management Scoring

18. Comparison

19. Key Performance Areas (KPAs)

20. Key Performance Areas

21. DIRCO Financial report: Quarter 3

22. Vote Expenditure per programme (R’000)

23. Vote Expenditure continued… • Total expenditure for the Department as at the end of the third quarter amounts to R4,520billion or 69.4% of the adjusted appropriation. • This expenditure is 1.0% higher than the projected expenditure for the period. • The higher than projected expenditure was mainly under Programmes 2, Programme 3 and Programme 4. In terms of economic classification, the high spending is visible mainly under compensation of employees and goods and services. • The details of the variances are discussed under each Programme.

24. Programme 1: Administration (R’000)

25. Programme 1 – Econ Classification (R’000)

26. Programme 1 continued…. • Total expenditure for the Programme as at the end of the third quarter amounts to R865.8 million or 62.7% of the programme’s total appropriation. This expenditure is 14.3% lower than what had been projected for the period. • Reasons for the low spending: • Foreign fixed assets management Dar es Salaam - the project is behind schedule due to delay in clearance of crucial material at port of entry.

27. Programme 2: International Relations (R’000)

28. Programme 2 – Econ Classification (R’000)

29. Programme 2 continued…. • Total expenditure for the Programme as at the end of the third quarter amounts to R 2,656 billion or 75.8% of the programme’s total appropriation. • This expenditure is 2.9% higher than projected expenditure for the period due to the depreciation of Rand against major foreign currencies.

30. Programme 3: International Cooperation (R’000)

31. Programme 3 – Econ Classification (R’000)

32. Programme 3 continued…. • Total expenditure for the Programme as at the end of the third quarter amounts to R396.8 million or 75.4% of the programme’s total appropriation. • This expenditure is 8.6% higher than projected expenditure for the period due to the depreciation of Rand against major foreign currencies.

33. Programme 4: State Protocol and Public Diplomacy (R’000)

34. Programme 4 continued…. • Total expenditure for the Programme as at the end of the third quarter amounts to R263.9 million or 72.6% of the programme’s total appropriation. • Expenditure for this programme is 43.5% higher than what had been projected for the period. • Higher than projected expenditure is attributable to the expenditure relating to the hosting of the African Union Summit and Forum on China-Africa Cooperation summit.

35. Programme 5: International Transfers (R’000)

36. Programme 5 continued…. • Total expenditure for the Programme as at the end of the third quarter amounts to R338.3 million or 46.1% of the Programme’s total appropriation. • The expenditure is line with the projections

37. Projected expenditure for the year (R’000)

38. 2015/16 Forex analysis as at 31 December 2015 (R’000)

39. African Renaissance Fund (ARF)

40. ARF Performance report - Quarter 3

41. ARF Performance report - Quarter 3

42. ARF Financial report – Quarter 3

43. ARF Financial report - Quarter 3 2015/16 Approved projects: (a) Technical support of the third General Elections of Burundi R38 031 000 (b) Timbuktu Manuscript R 7 201 000 (c) Cuban Medical Brigade in Sierra Leone R 3 985 000 (d) Transportation of Humanitarian Assistance to Madagascar R 195 000 (e) African Capacity Building Foundation R 1 609 000

44. Thank you