United Nations Secretary-General Antonio Guterres has issued an urgent warning that the organization faces imminent financial collapse, potentially running out of money by July 2026. In a strongly worded letter dated January 28 to all 193 member states, Guterres described the crisis as deepening and categorically different from past shortfalls, urging nations to pay their outstanding dues immediately.
The financial situation has reached critical levels, with outstanding dues hitting a record $1.568 billion and only 76.7 percent of assessed contributions collected. The UN's liquidity reserves are nearly exhausted, forcing the organization into what Guterres described as a Kafkaesque cycle of crediting back funds that do not exist. Just this month, the UN was required to refund $227 million as part of the 2026 assessment process despite not having collected those funds from member states.
As of Thursday, only 36 of the 193 member countries had fully paid their regular 2026 contributions. The structural problem stems partly from an antiquated rule requiring the global body to credit back hundreds of millions of dollars in unspent dues to states each year. Guterres emphasized that member states must either honor their obligations to pay in full and on time, or fundamentally overhaul the financial rules to prevent collapse.
The United States, traditionally the largest contributor to the UN budget, has significantly reduced its financial support. Washington declined to pay into the UN's regular budget in 2025 and provided only 30 percent of its expected funding for peacekeeping operations. US envoy to the UN Mike Waltz stated that President Trump had made clear the days of blank checks to the world body are over, signaling a continued hardline approach to UN funding.
A UN official warned that if liquidity is exhausted, the organization would have no choice but to close its New York headquarters by August and cancel the General Assembly of world leaders scheduled for September. This would represent an unprecedented disruption to global diplomacy and multilateral cooperation at a time of significant international tensions.
Guterres, who will step down at the end of 2026, has made resolving the financial crisis a priority in his final year. The secretary-general outlined his goals for the year in his final yearly speech this month, emphasizing the urgent need for member states to address the funding shortfall. The crisis threatens not only administrative operations but also critical peacekeeping missions and humanitarian programs worldwide that depend on UN coordination and resources.
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