123. The Board recognises that there might be some difficulty on the part of UNDP to turn down funds that are offered to the organisation as described. It should, however, be seen that the increase in the number of funds will have an adverse effect as far as the efficiency of management is concerned. It is obvious that the ssme amount of resources could be managed much more efficiently if it were not split up into a large number of mostly small, but separately established, administered and phased-out funds. This assessment is not affected by the fact that, according to the Administration’s comments , the administrative costs involved are recovered through an increase in the support cost rate. On the contrary, this illustrates that the total share of expenditure allocated to cover operating costs, as against project costs, is rising. Gash and investment mwqement of trust fundg 124, An analysis of financial statements VI to XXVI for trust funds revealed that there are several trust funds with only small amounts of cash and of investments (ranging between nil and $US 5 million). All these funds are managed separately. 125. The Board recommended co-ordinating transaction8 on a day-by-day basis in order to reach a better scale of efficiency. Furthermore, the revised UNDP cash and investment management guideline8 rhould aleo be applied to the investment of furids. 126. The Administration pointed out that, given the limited number of investment tranractions involved in managing there funds, it was felt that a tignificant increare in efficiency could not be obtained in thio way. Neverthelesr, a review of the overall impact of such a co-ordination effort would be undertaken. 127. Even though the effects of the suggested measures, as far as efficiency is concerned, would necersarily be limited, rinca separate custody of the fund8 would 
**Analysis**
The text appears to be discussing the management of funds and resources within the United Nations Development Programme (UNDP). The language used is technical and focuses on financial and administrative aspects, suggesting that the topic is related to the effective use of resources. The text also mentions the need for coordination and efficiency in the management of funds, which implies that the category should be related to resource allocation and management.

**Category**
Economic development, Administration