UN chief warns of imminent financial collapse

UN Secretary-General Antonio Guterres told member states in a January 28 letter that unpaid dues and an outdated budget rule have put the United Nations at risk of imminent financial collapse, and he warned the organization could run out of cash by July.

UN Secretary-General Antonio Guterres sent a letter to ambassadors dated January 28 warning that the United Nations faces an imminent financial collapse. He cited unpaid assessed contributions and a budget rule that requires returning unspent dues as key causes. The letter also noted a record US$1.57-billion in outstanding dues at the end of 2025. Guterres said the organisation could run out of cash by July. Key facts: - The warning was issued by Antonio Guterres in a letter dated January 28 and was seen by Reuters. - By the end of 2025 there was a reported US$1.57-billion in outstanding dues. - The United States has cut voluntary funding and withheld some mandatory payments; the U.S. accounts for about 22% of the core budget and China about 20%. - A longstanding rule requires the UN to credit back unspent dues to member states each year, and a UN reform task force (UN80) agreed a roughly 7% cut to the 2026 regular budget to US$3.45-billion. Summary: Guterres said the liquidity shortfall is already threatening programme delivery and risks financial collapse. He stated that either all member states must honour assessed contributions in full and on time or member states must fundamentally overhaul the UN's financial rules. Undetermined at this time.