Particle.news

Download on the App Store

UN Proposes $500 Million Budget Cut as Cash Crisis Deepens

The organization cannot borrow, which forces austerity measures across operations.

Overview

  • More than half of the UN’s 2025 budget remains unpaid, with the United States and China accounting for 42% of assessed contributions.
  • Secretary‑General António Guterres has put forward a $500 million reduction for the 2026 budget in response to the liquidity shortfall.
  • Operational curbs are already in place, including a hiring freeze, shifting some functions to other countries, limiting interpreters, and stopping meetings after 6 p.m. to save energy.
  • Reporting estimates suggest the proposed cut could translate into roughly a 20% staff reduction, though the UN has not formally detailed personnel actions.
  • UN policy chief Guy Ryder is pursuing efficiency reforms as experts warn that delayed payments are used as political leverage and that cuts could strain humanitarian and development work.