UN Faces 'Imminent Financial Collapse' Without Urgent Reforms and Full Dues Payment, Warns Guterres

 United Nations Secretary-General António Guterres has issued a stark warning that the international organization is facing an "imminent financial collapse" unless member states take immediate action. In a letter sent to ambassadors of all 193 member states on January 28, 2026, and made public shortly after, Guterres highlighted a deepening liquidity crisis that threatens the UN's core operations.

The UN ended 2025 with a record $1.568 billion in outstanding assessed contributions—more than double the amount from the previous year. Guterres emphasized that the crisis stems from two main issues: persistent unpaid or delayed dues from member states and the organization's financial rules, which require returning unspent funds to contributors even if those funds were never fully collected. This has created a vicious cycle, with the UN recently returning $227 million in unspent 2026 dues despite severe cash shortages.

"The crisis is deepening, threatening programme delivery and risking financial collapse. And the situation will deteriorate further in the near future," Guterres wrote. He added that, based on current trends, cash for the regular budget could run out as early as July 2026, potentially forcing drastic measures such as halting operations or even closing headquarters in New York.

Guterres presented member states with a clear ultimatum: "Either all Member States honour their obligations to pay in full and on time – or Member States must fundamentally overhaul our financial rules to prevent an imminent financial collapse."

While the letter does not single out any country, the warning comes amid reports of the United States—the UN's largest contributor—reducing or delaying payments under the current administration's policies, which have prioritized cuts to multilateral funding. The US has historically accounted for around 22% of the UN's regular budget.

The Secretary-General stressed the urgency, stating he could not "overstate the situation we now face." He called for urgent discussions to either ensure full compliance with financial obligations or reform the budgeting system to provide greater flexibility and stability.

This is not the first time the UN has faced cash-flow problems, but Guterres described the current shortfall as uniquely severe, with potential impacts on peacekeeping, humanitarian aid, development programs, and administrative functions worldwide.

The letter has sparked reactions across global media and diplomatic circles, with calls for renewed commitment to multilateralism or structural changes to prevent the world's primary forum for international cooperation from faltering.

As the UN marks its 81st year, Guterres' warning underscores the fragility of global institutions in an era of rising geopolitical tensions and shifting priorities among major powers. Whether member states respond with payments or reforms remains to be seen, but the clock is ticking toward a potential mid-2026 crisis.