The United Nations has come under serious financial pressure due to growing debts from key donors – the United States and China. These countries make up a significant share of the budget, so delays in payments directly affect the stability of the entire system, WSJ reports.
The United States currently owes more than $4 billion. At the same time, Washington has reduced its participation in a number of international initiatives and agencies, including the World Health Organization. The administration of Donald Trump has explained such steps as an effort to cut inefficient spending and change approaches to funding.
China, despite public statements supporting the UN and its intention to play the role of a leading donor, is also in no hurry to settle its financial obligations. After a recent payment of approximately $850 million, Beijing still owes the organization around $455 million.
Together, contributions from the United States and China account for about 42% of the UN’s core budget, making any delays critically important for the institution’s functioning.
Secretary-General António Guterres has already warned of the threat of financial exhaustion. According to him, the organization is effectively approaching the brink of bankruptcy. Current projections suggest that funds could run out by mid-August – precisely during a period of active discussions about the future leadership of the UN.
In response to the crisis, the UN has already introduced strict cost-saving measures. These include closing certain offices, cutting approximately 3,000 positions, reducing translation expenses, and even limiting the use of infrastructure.
