United Nations Secretary-General António Guterres has issued an urgent warning that the organization faces "imminent financial collapse" and could run out of operational funds by July 2026 unless member states immediately honor their financial obligations and pay overdue contributions in full and on time.
In a stark letter to member nations, Guterres revealed that approximately $1.6 billion in unpaid contributions was recorded at the end of 2025 — more than double the $800 million deficit in 2024 — even though over 150 member states had fulfilled their dues, leaving the UN trapped in what he described as a "Kafkaesque cycle" of being expected to reimburse unspent funds that do not exist.
The crisis has been exacerbated by the Trump administration's recent actions, including reductions in funding to some UN agencies, delays or outright rejection of mandatory US contributions, and broader questioning of the organization's relevance, while tensions among permanent Security Council members (the US, Russia, and China) have paralyzed the council's decision-making capacity.
Guterres warned that chronic budget shortfalls — caused by countries failing to pay in full or on time — are forcing the UN into hiring freezes, operational cutbacks, and structural financial risk, stating that "unless collections drastically improve, we cannot fully execute the 2026 program budget approved in December."
The Secretary-General called on member states to either honor their obligations immediately or fundamentally overhaul the UN's financial rules to prevent collapse, emphasizing that the organization cannot continue operating under the current unsustainable trajectory, particularly as geopolitical divides, violations of international law, and wholesale cuts in development and humanitarian aid threaten the UN's ability to fulfill its global mandate.
