United Nations Secretary-General Antonio Guterres has issued a stark warning to member countries, saying the organisation could run out of money as soon as July unless nations pay their dues in full and on time. The UN is facing severe budget pressures that threaten its ability to operate effectively.
Unpaid Contributions Push UN Into Crisis
Guterres said the UN’s financial difficulties stem from a combination of late and incomplete payments from member states. By the end of 2025, unpaid contributions totaled around $1.6 billion—more than double the amount from the previous year—even though over 150 countries had paid their dues.
“The current trajectory is untenable,” Guterres wrote. “It leaves the organisation exposed to structural financial risk.” The shortfall has forced hiring freezes and spending cuts, and the UN may be unable to fully implement its 2026 program budget without immediate action.
Political Tensions and US Funding Cuts
The warning comes amid reductions in US funding to some UN agencies, as the Trump administration has delayed or rejected certain mandatory contributions. President Trump has frequently questioned the UN’s relevance and priorities, and earlier this month launched a “Board of Peace,” which critics say could compete with the UN.
Meanwhile, tensions between the United States, Russia, and China—all permanent members of the Security Council with veto power—have left the council largely paralysed, further complicating the organisation’s ability to respond to global crises.
A “Kafkaesque Cycle” of Financial Strain
Adding to the strain, the UN must reimburse member states for unspent funds, even when cash is not available, creating what Guterres called a “Kafkaesque cycle.” He warned that, unless collections improve rapidly, the UN could run out of regular budget funds by July.
In his final annual address before stepping down at the end of 2026, Guterres highlighted the wider global challenges, including “self-defeating geopolitical divides” and “brazen violations of international law.” He also criticized cuts to development and humanitarian aid, which many see as a result of the Trump administration’s “America First” policies, underscoring the precarious state of both global governance and UN finances.
