• search
For Quick Alerts
For Daily Alerts

UN facing troubling financial situation, warns Secretary-General António Guterres

By oneindia staff

New York, July 28: Is the United Nations or UN staring at a massive financial crisis? It seems so. In a letter to his colleagues, UN Secretary-General António Guterres stated that the organisation is facing "troubling financial situation".

"Caused primarily by the delayed contributions of Member States to the Regular Budget, this new cash shortfall is unlike those we have experienced previously", he wrote.

united nations

"Our cash flow has never been this low so early in the calendar year, and the broader trend is also concerning: we are running out of cash sooner and staying in the red longer".

At the end of June this year, the amount of money paid by Member States for the 2018 assessment stood at around $1.49 billion, stated a press release of the UN.

"At the same time last year, the amount paid to the regular budget was just over $1.70 billion. So far this month (July), Iraq, Moldova, Japan, Lithuania and Mexico have paid their contributions, leaving the outstanding amount owed for 2018, at nearly $810 million, with 81 States yet to pay," it added.

"I have appealed to Member States to pay their assessments on time and in full, and highlighted the risk the current situation poses to the delivery of mandates and to the reputation of our Organization," Guterres wrote in the letter.

Speaking to journalists at UN headquarters, his Spokesman Stéphane Dujarric said that the UN fully understands that some Member States operate on different fiscal timetables, but unlike in previous years, the cash flow has never been this low, so early in the calendar year.

He also said the UN does not have much financial flexibility and relies on Member States to pay their dues on time and in full. Dujarric added that the UN Secretariat would now be looking into ways of reducing expenses, with a focus on non-staff costs.

For Daily Alerts
Get Instant News Updates
Notification Settings X
Time Settings
Clear Notification X
Do you want to clear all the notifications from your inbox?
Settings X
We use cookies to ensure that we give you the best experience on our website. This includes cookies from third party social media websites and ad networks. Such third party cookies may track your use on Oneindia sites for better rendering. Our partners use cookies to ensure we show you advertising that is relevant to you. If you continue without changing your settings, we'll assume that you are happy to receive all cookies on Oneindia website. However, you can change your cookie settings at any time. Learn more