Administration
5
year saw us negotiate a foreign exchange hedging facility
with financial institutions and sign financial commodities
trading contracts, which allowed us to hedge via a
number of financial instruments (such as options or
swaps) under a mechanism through which we cap foreign
The TaiwanICDF’s revenues are derived predominantly
from interest accrued on the Fund, interest from lending
operations and funding for government-commissioned
projects. Interest accrued on the Fund and interest from
lending operations mainly support routine operations,
including technical assistance projects, humanitarian
assistance, scholarship programs and workshops. It
also supports the TaiwanICDF’s own administrative,
management and general expenses. MOFA provides the
majority share of funding for government-commissioned
projects to support the operation of overseas technical
and medical missions, and specially commissioned
projects.
In 2012, operating revenues and non-operating
income and gains amounted to NT$1.46 billion, of which
NT$1.16 billion was allocated for commissioned projects,
an increase of 0.36 percent from 2011. Revenue
generated through the use of the Fund was NT$300.32
million, a decrease of 41.34 percent from 2011, of which
interest on fund investments comprised the largest share
(51%), followed by revenues from lending and investment
operations (38%) and gains on sales of investment (cash
dividends) (2%), with other revenues representing the
remaining share (9%).
Expenditures for 2012 were NT$1.54 billion, of
which NT$1.16 billion was for commissioned projects.
Expenditures made through the use of the Fund were
currency positions. This reduced the risk associated with
fluctuations in exchange rates. Overall, yields on financial
investments, including exchange gains and losses and
other gains due to the recovery of bad debt, fell to 1.66
percent from 2.55 percent in the previous year.
NT$377.85 million, a decrease of 7.52 percent from
2011.
Expenditures exceeded revenue by NT$77.53 million
during 2012, representing a difference of NT$180.94
million from the NT$103.41 million excess of revenue
over expenditures in the previous year. This was mainly
due to the 2011 loan for the construction of the Menen
Hotel in Nauru being reclassified as a non-performing
loan/bad debt, as well as losses on foreign exchange
relative to the previous year.
Fund Utilization and Balance
As of December 31, 2012, the net balance of
the Fund was NT$15.83 billion (including founding and
donated funds of NT$12.47 billion, accumulated earnings
of NT$3.35 billion and unrealized gains on financial
instruments of NT$2.26 million). This represented a
decrease of 0.4 percent, or NT$62.79 million, from the
end of 2011.
As of December 31, 2012, total assets stood at
NT$15.98 billion, of which current assets comprised the
largest share (51.15%), followed by long-term loans and
investments (48.74%), fixed assets (0.1%) and other
assets (0.01%). The organization’s total liabilities were
NT$155.34 million and the total balance of all funds (the
Fund plus accumulated earnings) was NT$15.83 billion.
Accounting Management
60
62% Short-term Investments
28% Lending for Development Projects
10% Investments for Development
Projects
43% Time Deposits
28% Lending for Development Projects
16% Bonds
10% Investments for Development Projects
2% Bank Deposits/ Short-term Equities
1% Index Funds/ Equity Assets
Figure 11 Fund Utilization (2012)
Figure 12 Investment Management (2012)
