United Nations Secretary-General Antonio Guterres has issued a dire warning that the organisation could run out of money by July unless member countries pay their overdue contributions. Chronic delays and shortfalls are forcing the UN into hiring freezes and budget cuts, threatening its ability to operate effectively.
Rising Unpaid Contributions Threaten Operations
According to Guterres, some member states are not paying their mandatory dues in full or on time, creating a growing financial strain. By the end of 2025, unpaid contributions reached approximately $1.6 billion—more than double the previous year—even though over 150 countries had already paid.
“The current trajectory is untenable. It leaves the organisation exposed to structural financial risk,” Guterres wrote. He emphasized that unless payments improve quickly, the UN cannot fully execute its 2026 programme budget, and its regular budget cash could be exhausted by July.
Political Tensions and Funding Cuts
Guterres’ warning comes as the Trump administration has reduced funding to several UN agencies and delayed or rejected some mandatory contributions. President Trump has repeatedly questioned the UN’s relevance and priorities, while launching his own “Board of Peace,” which critics say may rival the UN.
Meanwhile, tensions between the United States, Russia, and China—permanent Security Council members with veto power—have left the council paralysed, further complicating the organisation’s ability to respond to crises.
“A Kafkaesque Cycle” of Financial Strain
The UN also faces the challenge of reimbursing member states for unspent funds, even when it lacks the cash to do so. Guterres described this as a “Kafkaesque cycle,” warning that the organisation is expected to return money that does not exist.
In his final annual address before stepping down at the end of 2026, Guterres highlighted global divisions, violations of international law, and sweeping cuts to development and humanitarian aid—likely referencing US “America First” budget reductions. He urged member states to act quickly to prevent a financial collapse and preserve the UN’s ability to carry out its mission.
