An internal memo from the United Nations indicates that the organization is preparing for potential funding cuts from the United States. This comes as the Department of Government Efficiency, often referred to as DOGE, is working to identify and eliminate wasteful spending.
The memo, addressed to various department heads, outlined a focus on managing the budget more carefully, urging a conservative cash flow strategy. It also mentioned a freeze on hiring and advised department heads to brace for reductions down to 80% of their allotted budgets. This move could create challenges for many areas that rely on full funding to meet essential expenses.
The memo includes a statement acknowledging that reducing funds to 80% might complicate various operations, yet the UN feels it has no choice but to respond to a significant liquidity issue.
In a recent virtual gathering, UN Secretary-General António Guterres expressed his intent to discuss the organization’s financial situation. Some insiders reacted to the budget memo with skepticism, suggesting that they do not anticipate severe financial cuts and are unsure about the hiring freeze being strictly enforced.
Despite the concerns raised, a spokesperson for Guterres emphasized that the memo’s issuance does not reflect immediate impacts from the political climate in the U.S. They pointed out that the UN has been facing liquidity troubles for many years, mainly due to delays in payments from some member states.
This situation may be intensified by recent remarks from former President Donald Trump, highlighting instances of waste within UN operations. There is also a growing concern that other nations providing funding could reevaluate their contributions as well.
Guterres had previously reassured staff about efforts to mitigate any negative consequences of potential budget cuts, emphasizing the continuing importance of the UN’s work during challenging times.
