UNIT 13 THE STRUCTURE OF THE MINISTRY OF FOREIGN AFFAIRS: DIRECTORATE GENERAL FOR ADMINISTRATIVE AND FINANCIAL ISSUES, DOCUMENTATION AND ARCHIVES
1. What do you know about the functions of the Directorate General
for Administrative and Fi nancial Issues, Documentation and Archives?
What matters does the Directorate General for Administrative and Financial
Issues, Documentation and Archives deal with? What subdivisions
does it consist of? What are the functions of the General Secretariat,
Department for Currency and Finance, Department for History
and Archives and Department for Development and Support of
Diplomatic Service? Who ar ranges information exchange within the
Ministry’s sys tem and ensures its efficiency? Who develops the rules
of work with docu ments? Who controls the elec tronic system of documents
circulation? Who takes care of incoming correspondence and its
distribution? Who receives and for wards documents from the Ministry?
How many persons does the staff of the General Secretariat consist
of? How many employees of the Ministry report to them? Who is
responsible for plan ning proceeds and expenditures of the Ministry?
Who channels the finances to the MFA central office? Who channels the
finances to the Ukrainian diplomatic and consular missions abroad?
Who takes care of the Ministry’s book-keeping and accounting? Who
is responsible for the logistical support of the Ministry? Who takes care
of the material and technical ba sis of the Ministry? Who is responsible
for keeping Archives of the Ministry?
2. You are going to read a text about the Directorate General for Administrative
and Fi nancial Issues, Documentation and Archives. Which
of the following concepts can you expect in the text? Why or why not? information plan ning General Sec retariat systematization rules of work
algorithm financing elec tronic system history monitoring
analysis responsible incoming correspondence main tenance registration
currency accounting logistical support docu ments submission
control accumulate documents circulation archives competence
finance contemporary material and technical ba sis administering employees
processing archival units stock of personal files efficiency subordinated
exchange Main Stock stock of documentary photos distribution expenditures
execution unique diplomatic mis sions central office book-keeping
for warding legal acts stock of international treaties proceeds archival stocks
staff catalogue consular mis sions participation depositary
gifts originals Book of Honorary Guests copies official guest
3. You are going to read four passages about the Directorate General
for Administrative and Fi nancial Issues, Documentation and Archives
(DGAFIDA). For questions 1–20 choose from texts A – D. The texts may
be chosen more than once. When more than one answer is required, they
may be given in any order. There is an example at the beginning (0).
Which of DGAFIDA A. General Sec retariat
Departments: B. Department for Currency and Finance
C. Department for Development and Support
of Diplomatic Service
D. Department for History and Archives
A B C D
is one of the oldest sub divisions of the Ministry 0 •
provides the logistical support of the Ministry’s central
office and Ukrainian diplomatic and consular mis sions
abroad
has almost seven employees of the the central office and
Ukrainian diplomatic missions abroad subordinated to
each of the staff of the subdivision
has over half a million documents 3
ar ranges information exchange within the Ministry’s system
and ensures its efficiency
takes care of the stock of personal files of the Ministry’s
staff
provides financing for the MFA central office, diplomatic
and consular missions abroad and participation in international
organizations functions as a depositary of international treaties and
agreements of Ukraine
deals with systematization and main tenance of rules of
work with docu ments
is responsible for keeping the stock of international
treaties registered with the UN
is responsible for book-keeping and accounting 10
is charged with keeping the documents of the UN bodies
and specialized agencies
takes care of the control and monitoring of docu ments
execution
keeps originals and copies of docu ments relating to
the most important events in for eign political life of
Ukraine is charged with plan ning proceeds and expenditures of
the Ministry takes care of the documents and materials of liquidated
international orga nizations is responsible for the cre ation, maintenance, analysis
and administering of elec tronic system of documents
circulation was started on the basis of two other structures created
before the end of WW II
is charged with receiving and for warding documents
from the Ministry
18
takes care of the entire material and technical ba sis of
the Ministry
19
deals with processing and registration of incoming
correspondence and its distribution and submission for
execution according to the competence of subdivisions
20
has the Book of Honorary Guests 21
A The General Secretariat is one of the oldest sub divisions of the
Ministry. Its main function is to ar range information exchange
within the Ministry’s sys tem and to ensure its efficiency. Other
tasks of no less importance performed by the General Secretariat include
systematization and main tenance of rules and “algorithms” of work with
docu ments, control and monitoring of their execution; cre ation, maintenance,
analysis and administering of elec tronic system of documents circulation;
processing and registration of incoming correspondence and its
distribution and submission for execution according to the competence of
subdivisions; receiving and for warding documents from the Ministry. Staff
of the General Secretariat consists of more than 30 persons to whom about
200 employees of the Ministry, working in the document and information
exchange sphere at the central office and Ukrainian diplomatic missions
abroad, are subordinated.
B The Financial Department is responsible for plan ning proceeds
and expenditures of the Ministry of Foreign Affairs. Through this
Department financing is provided for activities of the central office
of the MFA, Ukrainian diplomatic and consular missions abroad and participation
of our state in activities of interna tional organizations. The Department
is also charged with book-keeping and accounting.
C The Department for Development and Sup port of Diplomatic
Service is responsible for logistical support of activities of the
Ministry’s central office and Ukrainian diplomatic and consular
mis sions abroad. The whole material and technical ba sis of the Ministry is
administered by this subdivision.
D The Department for History and Archives has passed several
stages in its formation. Since the creation of the Ministry in 1944,
all docu ments and materials were accumulated at the Politi cal
Division of the Ministry of Foreign Affairs of the Ukrainian SSR (1944–
1951). Later on, in 1951 the Archive of the Ministry of Foreign Affairs of
Ukraine was created on its basis. That Archive became a basis of the contemporary
Department for History and Archives, which started its work in
1993. Archives comprise 56 archival stocks. The total number of archival
units amounts to approximately 500 thou sand copies. Documents reflecting
history of Ukrai nian foreign policy activities are kept here, as well as those documents, which came out in the process of functioning of the Ministry
(since 1944) and diplo matic and consular missions (since 1992). These documents
belong to the so-called Main Stock. There also exist such stocks as a
stock of personal files of the Ministry’s staff, stock of documentary photos
and stock of international treaties registered with the UN. Documents of the
UN bodies and specialized agencies are also kept here, as well as unique
documents and materials of liquidated international orga nizations. In accordance
with relevant legal acts of Ukraine, the Department for History
and Archives acts as a depositary of international treaties and agreements
of Ukraine. In June 2002, the electronic catalogue contained 2855 registered
treaties. The Museum of History of the Ministry of Foreign Affairs
was opened on 21 December 2001.The Museum’s exhibition tells about
traditions and history of establishment of Ukrainian diplomatic ser vice. Its
considerable part is composed of gifts pre sented to the Ministry’s leadership
during foreign vis its and during stay of foreign guests in Ukraine. The
Museum keeps originals and copies of docu ments relating to the most important
events in for eign political life of Ukraine. Despite its young age,
the Museum already has its own traditions. As a rule, each official guest of
the MFA attends the Museum and leaves his/her impres sions in the Book of
Honorary Guests.
4. Go back to exercises 1 and 2. Can you answer the questions now?
5. Find in the text the words meaning:
1. Департамент адміністративно-фінансових питань, документації та
архіву; 2. Загальний секретаріат; 3. Валютно-фінансове управління;
4. Управління розвитку та забезпечення дипломатичної служби; 5. Іс-
торико-архівне управління; 6. об’єднувати підрозділи; 7. відповідати за
забезпечення умов діяльності дипломатичної служби України; 8. осно-
вна функція; 9. організація інформаційних обмінів у системі Міністер-
ства; 10. уніфікація та оптимізація інформаційних обмінів; 11. зведення
та підтримання правил і алгоритмів роботи з документами; 12. конт роль
та моніторинг опрацювання документів; 13. створення, підтримка, ана-
ліз та адміністрування системи електронного документообігу; 14. об-
робка, реєстрація вхідної кореспонденції та її розподіл і передача на ви-
конання згідно з компетенцією підрозділів; 15. організація, прийом та
відправлення документів з Міністерства; 16. тридцять співробітників,
яким організаційно-методично підпорядковується близько 200 співробітників МЗС; 17. працювати у сфері документування та забезпечення
інформаційних обмінів; 18. центральний апарат; 19. закордонні дипло-
матичні установи; 20. планування доходів та видатків структури Мініс-
терства закордонних справ; 21. здійснювати фінансування діяльності;
22. консульські установи; 23. участь в діяльності міжнародних органі-
зацій; 24. ведення бухгалтерського обліку та звітності; 25. об’єднан-
ня; 26. Управління дипломатичних установ; 27. Управління справами;
28. матеріально-технічне забезпечення діяльності; 29. матеріально-тех-
нічна база зовнішньополітичної служби; 30. Накопичувати документи
та матеріали; 31. Політвідділ Міністерства закордонних справ УРСР;
32. створювати на його базі; 33. Архів Міністерства закордонних справ
УРСР; 34. ставати основою; 35. архівний фонд; 36. загальна кількість;
37. одиниця зберігання; 38. примірник; 39. висвітлювати історію зо-
внішньополітичної діяльності України; 40. Основний фонд; 41. фонд
особових справ працівників Міністерства; 42. фонд фотодокументів;
43. фонд міжнародних договорів, зареєстрованих в ООН; 44. докумен-
ти органів та спеціалізованих установ ООН; 45. унікальний за змістом;
46. документи та матеріали ліквідованих міжнародних організацій;
47. Згідно з відповідними нормативно-правовими актами; 48. здій-
снювати функції дипозитарію міжнародних договорів та угод України;
49. станом на червень; 50. електронний варіант каталогу; 51. реєстру-
вати; 52.опікуватися; 53. експозиція музею; 54. становлення диплома-
тичної служби України; 55. оригінали і копії документів; 56. найголо-
вніші події з зовнішньополітичного життя України; 57. офіційні гості;
58. Книга почесних гостей.
6. Fill in the blanks in the sentences below with the English equivalents
of the words and word-combinations from exercise 5.
1. The Directorate General for __________ and Fi nancial Issues, Documentation
and __________ comprises those subdivisions of the Ministry, which
are __________ for creating conditions for activities and func tioning of
Ukrainian __________ service. 2. The Directorate __________ consists of
the General __________, Department for __________ and Finance, Department
for __________ and Archives and Department for Development and
__________ of Diplomatic Service. 3. The __________ Secretariat is one
of the oldest __________ of the Ministry. 4. The __________ of the General
Secretariat is to ar range information __________ within the Ministry’s
sys tem and to ensure its __________. 5. The General Secretariat conducts systematization and __________ of rules and “algorithms” of ________
__ with docu ments, control and __________ of their execution; cre ation,
maintenance, __________ and administering of elec tronic system of documents
__________; processing and registration of __________ correspondence
and its distribution and __________ for execution according to the
__________ of subdivisions; receiving and __________ documents from
the Ministry. 6. The __________ of the General Secretariat consists of more
than 30 persons to whom about 200 __________ of the Ministry, working
in the document and information __________ sphere at the __________ office
and Ukrainian diplomatic __________ abroad, are __________. 7. The
__________ Department is responsible for plan ning __________ and expenditures
of the Ministry. 8. The Financial __________ provides _______
___ for the MFA central office, Ukrainian diplomatic and consular missions
abroad and for the participation in interna tional organizations. 9. The Financial
Department also deals with __________ and accounting. 10. The Department
for __________ and Sup port of Diplomatic Service is responsible
for __________ support of the Ministry’s central __________ and Ukrainian
diplomatic and __________ mis sions abroad. 11. The Department for
DEvelopment and Sup port of __________ Service administers the material
and __________ ba sis of the Ministry. 12. The Department for History and
__________ has passed several stages in its __________. 13. Since 1944, all
docu ments and materials were __________ at the Politi cal __________ of
the Ministry. 14.Later the Archive of the Ministry of Foreign __________ of
Ukraine was created on its basis. 15. The Archive became a __________ of
the contemporary Department for __________ and Archives. 16. Archives
comprise 56 __________ stocks. 17. The total __________ of archival ____
______ amounts to approximately 500 thou sand __________. 18. The documents
reflecting history of Ukrai nian foreign policy belong to the so-called
Main __________. 19. There are also such stocks as a stock of personal
__________ of the Ministry’s staff, a __________ of documentary photos
and a stock of __________ treaties registered with the UN. 20. Documents
of the UN __________ and specialized __________ are also kept here, as
well as __________ documents and materials of __________ international
orga nizations. 21. In accordance with __________ legal acts of Ukraine, the
Department for History and Archives acts as a __________ of international
treaties and __________ of Ukraine. 22. In 2002, the electronic ________
__ contained 2855 __________ treaties. 23. The Museum of History of the
Ministry of Foreign Affairs is an __________ which tells about traditions and history of __________ of Ukrainian diplomatic ser vice. 24. The _____
_____ of History keeps originals and __________ of docu ments relating to
the most important __________ in for eign political life of Ukraine. 25. Most
__________ guests attend the Museum of History and record their impressions
in the Book of __________ Guests.
7.Work in pairs. Reproduce the texts about the Directorate General for
Administrative and Fi nancial Issues, Documentation and Archives to
your partner. Use the headlines below as the backbone for your story.
1. General Sec retariat
2. Department for Currency and Finance
3. Department for Development and Support of Diplomatic Service
4. Department for History and Archives
8. Read the text (adapted from the article by Valery LYTVYTSKY in
The Day of January 20, 2004) and answer the following question: Which
factors are the most influential ones to produce currency and financial
problems in Ukraine and endanger its international trade?
Price of the Exchange Rate
The precipitous decline of the almighty dollar on international markets and a
stronger euro call into question the NBU policy of supporting the dollar. As
we know, in Ukraine the dollar remains stable no matter what.
In responding to such criticism, one should above all stress that the Ukrainian
currency is tied to the dollar. And by supporting the dollar, the NBU
is maintaining the stability of the hryvnia, since it is one way or another
devaluating together with the dollar against the euro. Yet because the dollar
seems stronger in Ukraine, the hryvnia is not devaluating relative to the
euro too rapidly (as of today, the hryvnia lost 20.4 % of its face value against
the euro). On the face of it, this means that Ukrainian exports to Europe are
stimulated by the hryvnia-to-euro exchange rate. But, unfortunately, they
are still limited by quotas and tariff barriers, and this year additional limitations
are on their way in connection with EU enlargement. Thus our exporters
will not be able to make full use of the devaluation of the hryvnia against
the euro. On the other hand, devaluation of the nation’s currency carries the risk of European imports going up in price, including the so-called investment
imports (accounting for nearly 40 % of European exports to Ukraine
and consisting of machinery, equipment, and vehicles; Europe also accounts
for nearly 60 % of all machinery and equipment imported into Ukraine),
which can in turn cause both declining imports in this sector and an export
of inflation. And this trend is already becoming more discernible, although
the exchange rate is not yet a determinant in this process. Suffice it to say
that in January-November of 2003 machinery imports to Ukraine declined
by almost $100 million from the previous year. Thus, one should not overestimate
the positive influence of the declining hryvnia.
Simultaneously, many of the world’s leading financial analysts believe that
a weaker dollar and stronger euro could boost American exports and will
in the short term buoy up the US economy and strengthen the dollar. For
Ukraine this will mean revaluation of the hryvnia relative to the euro. This
will make imports from Europe cheaper but will somewhat depress exports
to the EU. Under such conditions Ukraine will have only one option: to
step up its anti-inflation measures to reach the European inflation rate of
1.5–2 %. We have the major preconditions for this, since the dynamics of
the prices of non-food items is already at this level (1.5 %) in Ukraine. This
will promote the real devaluation of the hryvnia-to-euro exchange rate without
further reducing the face value of our currency relative to the euro.
Thus, all currency and financial problems stem from the inflation rate. Thankfully,
in the last months of 2003 after the price surges in November, when
annual inflation peaked at 1.9 %, inflation reduced to the January level
(1.5 %). The annual inflation rate last year was 8.2 %, thus exceeding government
forecasts (7.2 %). The man in the street, in particular the pensioner
whose income increased by a mere 4 % as a result of the pension reform,
feels legitimate concern over such price dynamics. But for the economy in
general, whose growth exceeded the preliminary forecasts almost twofold,
such an inflation rate is a quite moderate price for the upturn.
What should be done to prevent excessive inflation this year? Some believe
that a major step that would become a strong signal for the economy is to
preserve the NBU bank rate of 7 %, the lowest since independence. It is
very important not to stop abruptly the growth of the money supply in the
first months of the year, which are the most dangerous in terms of inflation,
especially after the NBU had to increase the money supply in December. It
is also important to regulate the work of the State Treasury to prevent un167
controllable growth of loans to refinance commercial banks and effectively
counter inflation. In the first quarter the hryvnia exchange rate will face a
few options, but in any case we must control inflation by means of reducing
money emissions and even drawing extra cash out of circulation. Will we
succeed? This will depend on many factors, in particular on the preservation
of the current rates of industrial output and a positive foreign trade balance,
which in turn depends on the situation in the global economy.
9. Read the text (adapted from the article by Yaroslav ZHALILO in The
Day of February 3, 2004) and answer the following question: What may
be the consequences of Ukraine’s WTO membership? Classify them
into positive and negative and draw your own conclusions.
Pyrrhic Victory
In a new wave of debate on the consequences of Ukraine’s WTO membership
of late the emphasis has been traditionally on how this membership
will affect the Ukrainian economy. Analyses, however, are reduced to the
expected consumer advantages, picturing an unprecedented assortment of
superior quality and inexpensive goods emerging on the Ukrainian markets
due to international competition.
However, the situation is not as it meets the eye. The said advantages primarily
depend on the prospects of the consumers’ buying power — in other
words, their incomes. This approach allows us to see the direct dependence
of the WTO effect on changes in the overall economic situation. The latter
will be affected via two main channels. First, it is safe to predict a decrease
in the level of domestic market tariff protection, as basic rates will be tied
in the course of bilateral talks with Ukraine’s trade partners. While tariffs
will generally be reduced somewhat, the decrease in tariff protection will
be significant in a number of commodity groups. This, in turn, will intensify
competition in the pertinent industries. Meat, meat byproducts, sugar, food,
pulp and paper, footwear, furniture, and other rates will see an accelerated
decrease. Second, the regulatory environment will change in keeping with
WTO requirements. In particular, sectoral tax concessions and credit subsidies
will be annulled, the system of state procurements will be altered, and
so on. As a result, the tax burden on a number of industries will substantially
increase and there will be additional sales problems.
These factors will add considerably to the competitive requirements on
Ukrainian enterprises. Those failing to observe them will find themselves in
adverse economic conditions and some will even have to close. Of course,
there will be many such enterprises. Assuming even that it will be possible
to revive some mismanaged businesses (through bankruptcy proceedings),
medium-term prospects indicate a decrease in the employment rate and in
the per capita gross income, which will be socially paenful. The situation
will be aggravated by the multisectoral structure of a number of Ukrainian
regions adding to the interregional disproportion and giving an impetus to
economic decline in depressive areas. The latter may have a cumulative
negative social effect, imposing an extra burden on the local and central
budgets responsible for the social maintenance of those territories.
To counteract these negative social effects, Ukraine will have to provide
additional job placements and require higher labor productivity from competitive
enterprises. This, in turn, will call for actual structural adjustments
in the economy and investment-oriented growth, something that actually
has nothing to do with WTO and which Ukraine’s membership will by no
means bring closer. Even competitive companies, sensing an increase in the
competition, will have to rationalize their expenditures. In view of today’s
considerable nidden unemployment, it is easy to predict that such rationalization
will entail redundancy manpower reductions, freezing or even lowering
net remunerations.
Ukraine’s WTO membership will have interesting consequences also in the
shadow sector of the economy. Measures being taken to prepare Ukraine for
WTO have a tangible positive potential (thus, combating contraband will
make it possible to raise the actual level of consumer market tariff protection
even as the nominal value of declining imports). However, in the
social context, especially until shadow transactions are crowded out by the
growing legitimate economy, such measures will mean income losses for
persons operating in the shadow (various estimates point to three million
Ukrainians involved in or with the shadow economy). Such losses may have
a noticeable effect on the buying power of numerically significant groups
of the population at the level of actual gross consumer demand. Therefore,
the much-advertised consumer advantage [of Ukraine’s WTO membership]
will show its reverse side, namely, unemployment growth and a slower per
capita income growth.
In other words, an increase in the assortment of superior quality and inexpensive
goods remains to be seen. Considerable transaction costs on the domestic market, Ukraine’s international image lacking in attractiveness,
tangible transportation costs (especially with regard to food deliveries), etc.,
will complicate commodity imports. And so domestic products becoming
more expensive after nullifying [tax] concessions and enhancing fiscal control
may get noticeably ahead of the competition growth due to imports
where conditions will be liberalized. As a result, domestic market prices
will go up while the population’s buying power will go down accordingly,
provoking inflation.
However, it is hard to deny the obvious fact that Ukraine’s WTO membership
is an objective necessity on its road to integration into the world economic
community. Yet this does not mean that one should ignore another fact; in
the course of this process Ukraine might have to pay a dear social price for
all that time wasted going through the motions of economic reform and
accumulating tangible structural distinctions from not only leading world
economies, but also those of its closest neighbors. Ukraine needs a purposeful
economic policy allowing for the peculiarities of its transition economy
and being capable of adjusting itself to the WTO membership requirements,
so as to make the best possible use of its positive potential, while reducing
to a minimum the negative economic and social consequences. This policy
must envisage an upgrading of the domestic market protection system and
supporting domestic businesses in keeping with WTO requirements. To do
so, Ukraine has to master the whole assortment of WTO protective measures
and bureaucratic casuistry. Otherwise all advantages of Ukraine’s simplified
access to markets in other countries will be reduced to nothing.
It is important to support export-oriented businesses and upgrade the structure
of exports. The experience of Central and Eastern European countries
shows that WTO membership did not become a factor increasing their
exports and improving their balance of payments. On the contrary, intensified
imports added a noticeable amount of red ink to the foreign trade
balance. Therefore, target-oriented measures must be taken to stimulate
such export businesses, raising their technical level, and stimulating their
competitiveness. The more so that Ukrainian exports are in the lead in the
GDP structure. While upgrading their structure, it is necessary to increase
the specific weight of high VAT level products. The regional leveling-out
policy deserves special notice, particularly with an eye to special economic
zones and priority development territories.
Nor should one overlook the need to take direct measures to make up for
the negative social effects. Social policy should focus on preparations for a
tangible increase in the unemployment rate, so as to provide employment
for people losing their jobs owing to redundancy. During this period the
job market should be shaped with an eye to future demand. In particular,
a system of social works financed by local budgets and aimed at developing
local social amenities and production infrastructures will have to be
developed. An increase in the mobility of manpower may become a necessity
(a painful one, owing to the specifics of our national mentality). In fact,
people have long been leaving depressed areas, but the process must be
civilized. Small business and individual entrepreneurship are meant to be
the main social way out of the situation.
Perhaps the above measures will fail to make up for all the negative social
consequences of Ukraine’s WTO membership, but they will at least allow us
to maintain social optimism, which is badly needed in order to make effective
use of the opportunities resulting from this membership.
10. Write a 300-word essay on the Directorate General for Administrative
and Fi nancial Issues, Documentation and Archives and the functions
of its subdivisions.