UN Secretary-General António Guterres said the organisation’s financial problems are worsening and could lead to an “imminent collapse” by July if urgent action is not taken. In a letter sent to all 193 member states, he urged governments to either pay what they owe or agree to major reforms to the UN’s financial system. According to Guterres, unpaid fees reached a record level by the end of 2025, amounting to about 77% of the total money expected.
He stressed that the UN cannot operate budgets using funds that have not been collected. The crisis has been made worse by financial rules that require the UN to return unused funds to countries, even when the money was never received in the first place. This month alone, the organisation was forced to refund $227 million it did not have.
The situation is already affecting daily operations. At the UN’s Geneva headquarters, energy-saving measures such as switching off escalators and reducing heating have been introduced in an effort to cut costs. A major contributor to the crisis is the United States, the UN’s largest funder, which has refused to pay its full regular and peacekeeping budgets.
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President Donald Trump also withdrew the US from several UN agencies, calling them a waste of taxpayer money. Although the US pledged some humanitarian funding, it remains far lower than in previous years. Other countries, including the UK and Germany, have also announced cuts to foreign aid, further straining the UN’s finances.
As a result, several UN agencies are scaling back their work. The UN human rights office has warned it may no longer be able to investigate serious abuses due to lack of funds. Guterres said the future of the organisation depends on countries meeting their financial responsibilities, adding that the current crisis is unlike any faced before.
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