1. Annual Report 2004/05 Presentation to the Portfolio Committee on Foreign Affairs Dr A Sooklal Acting Director-General Cape Town 9 November 2005

2. Foreign Policy Principles Human rights and democracy Justice and international law in international relations Peace and conflict resolution Africa in world affairs Economic development

3. Foreign Policy Guidelines Promotion of security and quality of life of all South Africans Working to safeguard South Africa’s territorial integrity and sovereignty Interact with partners as equals in Africa and pursue friendly relations with the world Honour UN obligations and responsibilities, and contribute to world peace Commitment to African Renaissance (AU / NEPAD) Economic development (Regional integration/development in SADC and SACU) Eradication of poverty  MDGs by 2015  Implementation of WTO Doha Development Agenda/FfD/WCAR/WSSD Peace making and conflict prevention Active commitment to international peace and security through  UN/NAM/AU/SADC/Commonwealth/other multilateral fora Multilateralism / rules-based international system Reform of UN and Bretton Woods Institutions WTO / rules-based international trading regime Combat racism, sexism, xenophobia and related intolerance Agenda of the South (South-South Cooperation/South-North partnerships) Sustainable people-centred development Alleviate plight of refugees Positive image of South Africa

4. Action on Key Strategic Priorities for 2004/05 Consolidation/Implementation of the African Agenda South-South Cooperation South-North Dialogue/Partnerships Multilateral Diplomacy Projecting Positive/Accurate Image of South Africa/Africa

5. Consolidation/Implementation of the African Agenda Establishment of AU Commission / Pan-African Parliament / PSC  Launch of the AU Peace and Security Council / SA elected to 3-year term  Inauguration of second session of the Pan-African Parliament  ECOSOCC’s statutes finalised / SA’s chapter launched  Operationalisation of AU organs  Preparations for SA APRM review NEPAD  As significant driver of NEPAD, work continued on implementation of NEPAD in priority sectors  National structures identified to champion, coordinate, popularise and implement NEPAD  Host to 3-year Review Multi-Stakeholder Dialogue SADC  SA in SADC Troika: restructuring largely completed / strengthening of governance/capacity to ensure successful implementation of Regional Indicative Strategic Development Plan (RISDP) Peace, Stability and Security  AS Chair of SADC Organ on Politics, Defence and Security: work on peacekeeping efforts / implementation of regional African Standby Force / early warning system  Peace processes and post-conflict reconstruction: Burundi; Côte d’Ivoire; DRC; and SA as Chair of AU Committee on Post-Conflict Reconstruction in Sudan  Strong strategic partnerships established with Burundi, DRC, Tanzania and Rwanda Full diplomatic recognition to Sahrawi Democratic Republic Strengthening of SA representation on the Continent -> New missions (Eritrea; Equatorial Guinea)

6. South-South Cooperation Second IBSA Ministerial Trilateral Forum in Cape Town / launch of IBSA Business Council / work on IBSA website AASROC II co-hosted with Indonesia in Durban / groundwork for Bandung Asia-Africa Summit / launch of New Africa-Asian Strategic Partnership (NAASP) Strengthening of bilateral relations with key countries of the South Ongoing free trade negotiations -> SACU/China, SACU/India, SACU/MERCOSUR Consolidation of SA relations with CARICOM African Diaspora solidarity initiative: first South Africa-African Union-Diaspora Conference (Senegal); hosting of African Diaspora Summit; South Africa/Caribbean Diaspora Conference (Jamaica) Continued engagement with G77+China / IOR-ARC Continued improvement of relations with MERCOSUR member countries in Latin America Strengthening of SA representation -> 3 new missions (Eritrea, Equatorial Guinea, Philippines)

7. South-North Dialogue/Partnerships Continued relations with main South-North dialogue partners: G8; EU; USA; Japan; WEF; Commonwealth; OECD  Participated in G8 Sea Island Summit; WEF/Davos and WEF Africa Summit/Maputo; London meetings of Commonwealth Executive Committee and Board of Governors  Multi-departmental engagement with OECD for more structured relationship Europe/EU  TDCA ratified and operationalised / EU/SACU free trade negotiations  Hosted 4th SA/Russia ITEC  Central/Eastern Europe: expanded relations in new markets/increased dialogue North America  Continued support to NEPAD; regional peace, security and stability initiatives; economic development and cooperation (US/SACU free trade negotiations; extension of AGOA to 2015)

8. Multilateral Diplomacy - Peace and Security Palestine-Israel conflict  Continued support and encouragement of peace initiatives  Continued engagement as member of NAM Committee on Palestine  Hosting of NAM Ministerial meeting on Palestine  Hosting of UN Africa meeting in Support of Inalienable Rights of the Palestinian People  High-level SA participation in ICJ proceedings on Separation Wall  Assistance to Palestinian national election process  Continued engagement of both Palestinians and Israelis at high government level Iraq  Agreement on Iraqi Ambassador to SA UN/Security Council reform  In-depth analyses of reports on UN reform  Common African Position on proposed reform (Ezulwini Consensus) Non-Aligned Movement  Hosted XIV NAM Ministerial Conference  Preparations for Havana Summit (September 2006) Combating international terrorism and implementation of UNSC resolutions  Ratification of nine UN conventions on terrorism Disarmament and non-proliferation  Continued preparations for NPT Review Conference  Continued engagement with IAEA on Iran Kimberley Process

9. Multilateral Diplomacy - Socio-economic Development/Cooperation Millennium Development Goals (MDGs)  Ongoing work to finalise SA country report to the UN, which will highlight extent to which MDGs have been achieved in SA WTO  Multilateral trade talks - Doha round Bretton Woods Institutions  Continued dialogue on progress on MDGs / effects of globalization / reform of institutions  South Africa as Chair of the World Bank Development Committee WSSD  Follow-up work  CSD 12/13 Beijing Declaration / Platform for Action  Progress reviewed at UN Conference on the Status of Women

10. Human Rights Involvement in the elaboration of human rights instruments:  Convention of the Rights and Dignity of Persons with Disabilities  Convention on Involuntary Disappearances  Optional Protocol to the International Covenant on Economic, Social and Cultural Rights Work undertaken on process to update and strengthen the International Convention on the Elimination of All Forms of Discrimination Human rights emphasis finds its expression through ongoing involvement in:  the promotion of democracy, good governance and the rule of law  the development of the agenda of the South  membership in democracy forums  close interaction with domestic stakeholders  ongoing involvement with the WCAR Durban Declaration and Programme of Action / Beijing Declaration and Programme of Action

11. Humanitarian Support Disaster management support was provided to:  Darfur  Madagascar  Mali  Caribbean: in the aftermath of Hurricane Ivan  Indonesia, Sri Lanka, the Maldives, Seychelles and Somalia: in the wake of the December tsunami Hosted the African Regional Consultation Conference on Disaster Reduction and coordinated SA participation in the World Conference on Disaster Reduction in Kobe/Japan Humanitarian assistance provided in terms of financial support to UN agencies involved with vulnerable groups in Africa as well as in respect of food security

12. Projecting Positive/Accurate Image of South Africa/Africa Protocol Ceremonial (Diplomatic Guesthouse; Presidential Guesthouse; Ceremonial) Assistance through JIA State Protocol lounge (major renovations completed) Diplomatic appointments and offices of several international entities established in SA Support to increased number of incoming and outgoing international visits Protocol support to second and third tiers of government Services to the diplomatic corps in South Africa Media research and support Management of the dfa’s official website and contribution to government’s Batho Pele Gateway Project Hosting of successful London Conference that launched global 10 Years of Freedom celebrations 2010 Fifa Soccer World Cup bid Support to SA participation at Athens Olympic Games Support to SA participation at 2005 World Expo AICHI, Japan Continued work to expand SA tourism opportunities Support to SA’s bid to host the Square Kilometre Array

13. Consular and Agency Services Provision of world-class consular service to SA citizens abroad Assistance rendered to SA citizens following Hurricane Ivan in the Caribbean and the tsunami in South-East Asia First phase completed of customised Consular Software Management System

14. Capacity building in the dfa Continued work on the repositioning / strengthening of the Foreign Service Institute Recruitment of 234 new staff members / bias towards women DFA / Missions Hosting of full Heads of Mission Conference, Somerset West

15. Transformation of the Foreign Service Institute Transformation and repositioning of the FSI enjoyed high priority during 2004/2005 The appointed Task Team made various recommendations based on international best practice Recommendations included reviewing the organisational placement and structure of the FSI, its programmes, curricula, entry requirements and assessments.

16. Recommendations Finances An additional budget of R7m was made available to carry out the transformation recommendations Placement and Structure The Task Team recommended that the Institute should initially continue to resort under the mandate of the Department. This mandate is subject to periodic review. The FSI structure was revisited and the Institute was upgraded from a Chief Directorate to a Branch. A DDG was appointed to head the FSI. Additional posts were created and critical vacancies filled Two directorates were added to the structure viz. Research Unit and Quality Assurance Unit.

17. Recommendations cntd. Entry requirements Pre-course assessments have been implemented. An understanding of SA’s foreign policy is required to enter into foreign service training. A minimum of a Bachelor’s degree is a pre-requisite for diplomatic and mission administration training.

18. Recommendations cntd. Curriculum A Curriculum Committee was established to look into the training programmes. The diplomatic training programme was revised. More emphasis on economic diplomacy was recommended and implemented. The new programme also includes mission visits as a practical component of training. The Task Team recommended that diplomatic training be preceded by a Foundation Course to be offered to all new employees of the Department. The Foundation Course was then designed and implemented.

19. Recommendations cntd. Curriculum cntd. The Management Consultancy Unit reviewed the Mission Administration Training. Recommendations enhancing the efficiency and effectiveness of financial management training were implemented. Another recommendation was to streamline all training in the Department. Protocol training was relocated from the Branch Protocol to the FSI. In view of SA’s role in the AU it was recommended that SA diplomats should be proficient in French language. An accelerated French language training programme was initiated and implemented.

20. HR Management Establishment as at 31 March 2005  Head Office and Missions

21. HR Management Establishment as at 31 March 2005  Missions

22. Capacity of DFA Recruitment Cycles takes place twice a year - February and July Recruitment cycles for 2005 completed  359 posts advertised and 119 filled Next recruitment drive will be in February/ March By then the Department would have settled in employees coming in December, January and February (231)

23. Recruitment Methods to ensure Quality Candidates Adverts specific with regard to requirements (qualifications and Competencies) Panels constituted to ensure equity and functional balance A specific method of interviewing is utilised (Targeted Selection)  Ensures candidates demonstrate proven knowledge and experience as opposed to theorising We have established a competency assessment center which focus on assessing specific competencies that cannot be fully determined in an interview e.g.  Writing skills  Analytical thinking  Leading and Managing others  Problem solving  Managing work Candidates are recommended based on the average of the interview and competency assessment score. Since using this approach we have employed talented people and feedback from managers has been positive.

24. HR Management

25. Gender Breakdown Representivity: Employment Equity Table- Mission and Heads of Mission

26. HR Management Representivity: Issues of Concern

27. Performance Management and Development System Outcomes of the 2003/4 Appraisals 1033 Employees appraised

28. HR Management Other HR Interventions New Interventions  Developed Robust Multipurpose Job Profiles  Launched a Voluntary Counselling and Testing Program  Generic Training Framework for new employees  Aligned Recruitment, Selection and Placement process Enhanced Interventions  Implementation of the Performance Management and Development System  Affirmative-action measures in various HR processes e.g., Recruitment and Selection, Placement and Training and Development  Implementation of the Workplace Skills Plan  Streamlined recruitment and selection process  A well established Employee Wellbeing Centre in place  Implemented the Foreign Service Dispensation

29. HR Management Programme for 2005/06  Conducting skills audit  Developing and Implementing a Talent Management strategy  Developing a DFA competency framework  Entrenching the PMDS focusing on correct and meaningful application  Conducting a Culture and Climate survey  Developing and implementing a Leadership Development Programme for SMS  Facilitating Gender Mainstreaming  Implementing a Coaching and Mentoring Programme as part of Learnerships  Implementing two more Leanerships  Initiate an investigation on the appropriate Foreign Service Dispensation  Developing and implementing a new Employment Equity plan

30. DFA - Annual Financial Statements Revenue  Annual Allocation R 2,546,649 billion  Other Revenue R37 million Actual Expenditure 2004/05 Financial Year

31. Actual Expenditure per Economic Classification

32. Savings Realised -2004/05 Vacant funded posts Capital works projects Strengthening of the Rand against the major currencies Opening of new missions towards the end of the financial year Savings in the Presidential Inauguration Revision of scale of assessment for the UN contribution Rollover of funds to the value of R73,045 million were approved for the following projects: Capital projects: Foreign MissionR 31,845 m SA Government Tsunami FundR 13,000 m Transaction Advisor (Head Office Building)R 6,000m Progressive GovernanceR 14,200m Mali Project R 8,00m (Actual Savings: 193 724 - 73 045 = 120 679)

33. Options Analysis and Feasibility Study : Procurement options abroad The Department is currently represented in 108 countries abroad Representation is increasing annually The Department owns: –29 Official Residences –22 Chanceries –51 Staff residences The Department rents 440 other properties Annual rent cost is approximately R 260 million per annum.

34. Options Analysis and Feasibility Study : Procurement options abroad Acquisitions are currently done through the traditional budgeting process which does not adequately address the Department’s needs. Department wanted to investigate more cost effective/efficient ways to acquire accommodation that in the long term would reduce its expenditure on rent. Consultants were appointed to conduct a study for the Department. The objectives of the study are: –Regional options analysis addressing the condition of the property market, procurement and funding options in a particular country.

35. Options Analysis and Feasibility Study : Procurement options abroad –Comprehensive feasibility study on selected cities addressing the procurement and funding options. (Tokyo, Beijing, New Delhi, Riyadh, Nairobi, Luanda, New York, Brussels, Geneva, Moscow and Tel Aviv) Desired outcome of the study: Comprehensive Options Analysis report which will guide the Department’s property procurement strategy and will include: –Regional options analysis that will be broad based and cover the following: State of the property market in the identified regions and cities Legal environment influencing property acquisition and ownership with specific reference to diplomatic missions Restrictions on foreign ownership of properties Financial, capita and banking environment Procurement options available (I.e. short term rent, lease, purchase, leasehold, PPP, etc.) Restrictions placed on ownership.

36. Options Analysis and Feasibility Study : Procurement options abroad –Feasibility study for specific cities that will address detail such as: Property location analysis Property market analysis Property law and taxation analysis Property procurement options (I.e. short-term rent, long-term lease, cash purchase, bonded purchase, leasehold, public private partnership (PPP) and other innovative methods of procurement) Property management analysis Property investment analysis including life cycle costing and affordability analysis Property investment risk analysis.

37. Options Analysis and Feasibility Study : Procurement options abroad Way forward –Visits to cities and regions finalised –Reports are being finalised –Final report due by end January 2006 –Funding request submitted to National Treasury during current budget cycle.

38. Auditor-General’s Report - Emphasis of Matter Inadequate debt management Inadequate asset management Receivables- African Renaisance Fund and International Co-operation Fund Clearing of Control accounts/suspense account Follow up of the information systems audit of the general controls Late submission of the financial statements

39. Programme of Action Debt Management unit strengthened within the Finance Directorate. Debt Management Policy has been developed and approved by Management. Debt Management Committee has been established to oversee the management of the debt portfolio of the Department. 2004/05 Department implemented HardCat Asset Management System at Head Office. Teams are currently at missions to implement the same system. Asset Register for the Department will be finalised by March 2006 The advisory Committee of the African Renaissance Fund has put processes to fast track the approvals of projects. The Audit of the Mali Trust Fund has been finalised waiting for the Auditor General’s Report. Project Plan developed and approved( Accounts to be finalised by end February 2006). The Department will also Implement Phase 2 of the financial system in missions

40. Programme of Action (cont…) The following Information Communication Technology Projects have been identified for implementation, which will address the issues raised by the Office of the Auditor- General: -  Converged Network(VoIP)  Windows 2003 server  BI/Data warehousing  Workflow (DIAP and CAS)

41. African Renaissance and International Cooperation Fund Annual Financial Statements as at 31 March 2005 Income and Expenditure  IncomeR 69,733 million  ExpenditureR 67,083 million Auditor-General’s Report  Payables - Department of Foreign Affairs  Africa Cup of Nations soccer tournament  Long-term loans

42. Programme of Action The advisory Committee of the African Renaissance Fund has put processes to fast track the approvals of projects. The Audit of the Mali Trust Fund has been finalised waiting for the Auditor General’s Report. The Department has identified and categorised the long term loans in terms of their recoverability. A proposal for write-off of long term loans, will be submitted to the Ministers of Foreign Affairs and Finance for approval.

43. THE END THANK YOU