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Calculating Financial Contributions

At each biennial meeting the Commission the Commission adopts a budget for the next two year period. This budget contains a figure for the total annual income due from the member governments.  Three factors are considered when calculating the contribution from each member government; size of delegation, whaling activity and capacity to pay. 

First shares are allocated to each government, with more shares allocated to those who send larger delegations to IWC Commission meetings, and to those undertaking whaling activity.  A first stage financial contribution is then calculated for each government.

This figure is then modified by placing each government into one of four capacity to pay groups.  These groups are defined by thresholds for Gross National Income and Gross National Income per capita.  The lowest capacity to pay countries are allocated to Group One and the highest to Group Four.  An exception is made for very small countries who are placed in Group Two.

The thresholds for both GNI thresholds are adjusted each year to account for global inflation, and the allocation of individual governments into the capacity to pay groups is also updated using data from the World Bank.

Once capacity to pay groups are determined, the contributions due from the lowest capacity to pay countries are reduced by 62.5% and the contributions due from the next lowest capacity to pay countries are reduced by 32.5%.

This procedure results in a cash shortfall which is redistributed as follows:

Whaling countries         10%

Group 3 countries         30%

Group 4 countries         60%

The cash shortfall is added to the first stage financial contributions already calculated for governments undertaking whaling and for those in capacity to pay groups 3 and 4.

To see the latest calculation and the contributions sought from individual countries click here.