The United Nations is facing the risk of an “imminent financial collapse,” Secretary-General António Guterres has warned, cautioning that the organization could run out of cash by July unless member states urgently settle their outstanding dues.
In a letter sent to UN member states, Guterres said persistent delays and shortfalls in mandatory contributions have pushed the 193-member body into a severe liquidity crisis, forcing hiring freezes and spending cutbacks across the organization.
“Either all member states honor their obligations to pay in full and on time — or member states must fundamentally overhaul our financial rules to prevent an imminent financial collapse,” the secretary-general wrote.
Despite more than 150 countries having paid their assessed contributions, the UN ended 2025 with $1.6 billion in unpaid dues — more than double the shortfall recorded in 2024. Guterres described the trend as unsustainable, warning that it leaves the organization exposed to structural financial risk.
“If we fail to put our common humanity first, we risk losing everything that makes us strong.”
Amid a world brimming with conflict, impunity, inequality and unpredictability, @antonioguterres stresses:
“We have the power to chart a different course”. pic.twitter.com/rfzHKC4IIf
— United Nations (@UN) January 31, 2026
“The current trajectory is untenable,” he said.
The cash crunch is compounded by a separate but related challenge: the UN is required to reimburse member states for unspent funds even as it struggles to meet its own financial obligations.
UN spokesperson Farhan Haq acknowledged the issue during a press briefing, confirming that reimbursement requirements are adding to the strain.
“We are trapped in a Kafkaesque cycle, expected to give back cash that does not exist,” Guterres wrote.
The secretary-general warned that unless collections improve dramatically, the UN may be unable to fully implement its 2026 program budget, approved in December. Based on historical trends, he said, the organization’s regular budget reserves could be exhausted by July.
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The warning comes amid mounting geopolitical tensions and reduced financial support from the United States.
In recent months, President Donald Trump’s administration has cut funding to several UN agencies and delayed or rejected some mandatory contributions, as part of its broader “America First” approach. Trump has frequently questioned the UN’s relevance and criticized its priorities.
Strained relations among the United States, Russia, and China — all permanent, veto-wielding members of the Security Council — have further weakened the organization, leaving its most powerful body often paralyzed.
Earlier this month, Trump also announced the creation of a “Board of Peace,” which critics say is intended to serve as a rival to the United Nations.
Guterres, who will step down at the end of 2026, recently delivered his final annual address outlining priorities for the year ahead.
In that speech, he warned that the world is increasingly fractured by “self-defeating geopolitical divides” and “brazen violations of international law,” while condemning what he described as wholesale cuts to development and humanitarian aid.
Iftikhar Ali is a veteran Pakistani journalist, former president of UN Correspondents Association, and a recipient of the Pride of Performance civil award
