The Compensation Fund

     The United Nations Compensation Fund was established pursuant to Security Council resolution 692 (1991) to pay compensation to successful claimants. The Fund received a percentage of the proceeds generated by the export sales of Iraqi petroleum and petroleum products. This percentage was originally set at 30 per cent by the Security Council under resolution 705 (1991), and was maintained in Security Council resolution 986 (1995) as well as in a number of subsequent resolutions. The level of funding was changed to 25 per cent in December 2000 under Security Council resolution 1330 (2000). The percentage was reduced in May 2003 to 5 per cent under paragraph 21 of Security Council resolution 1483 (2003), adopted on 22 May 2003. The last changes were made under Governing Council decision 276 (2017), where the percentage was set at 0.5 per cent for 2018, 1.5 per cent for 2019 and 3 per cent for 2020, where it remained until all compensation awards were paid in full.