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Home»News

UN on the Edge: Guterres Warns of Imminent Financial Crisis

Rachel MaddowBy Rachel MaddowJanuary 31, 2026 News No Comments2 Mins Read
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United Nations Secretary-General Antonio Guterres has issued a stark warning to member states: unless countries pay their dues, the UN could run out of money by July. The organisation is already grappling with hiring freezes and program cutbacks due to chronic budget shortfalls.

Rising Unpaid Contributions Threaten UN Stability

Guterres highlighted that late or incomplete payments from member states are pushing the UN toward a financial breaking point. By the end of 2025, unpaid contributions had reached about $1.6 billion—more than double the previous year—even though over 150 countries had fulfilled their obligations.

“The current trajectory is untenable. It leaves the organisation exposed to structural financial risk,” Guterres wrote, warning that the UN may be unable to implement its 2026 programme budget without urgent action.

Political Tensions and US Cuts Intensify Pressure

The warning comes amid funding reductions from the Trump administration, which has cut support to some UN agencies and delayed or rejected mandatory contributions. President Trump has repeatedly questioned the UN’s relevance and priorities, and recently launched a “Board of Peace,” which critics say could rival the UN.

Tensions with other permanent Security Council members—Russia and China—have also paralyzed decision-making, leaving the UN struggling to respond effectively to global crises.

“Kafkaesque” Financial Challenges

Adding to the strain, the UN must reimburse member states for unspent funds even when it lacks the cash to do so. Guterres called this a “Kafkaesque cycle,” warning that the organisation is being asked to return money that doesn’t exist.

In his final annual address before stepping down in 2026, Guterres painted a grim picture of a world divided by geopolitical conflicts and violations of international law. He also condemned sweeping cuts to development and humanitarian aid, likely referring to the US “America First” budget reductions, emphasizing that urgent action is needed to stabilize the UN and secure its ability to carry out its mission.

Rachel Maddow
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Rachel Maddow is a freelance journalist based in the USA, with over 20 years of experience covering Politics, World Affairs, Business, Health, Technology, Finance, Lifestyle, and Culture. She earned her degree in Political Science and Journalism from Stanford University. Throughout her career, she has contributed to outlets such as MSNBC, The New York Times, and The Washington Post. Known for her thorough reporting and compelling storytelling, Rachel delivers accurate and timely news that keeps readers informed on both national and global developments.

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