UN internal memo indicates worries about possible spending cuts
An internal United Nations memo obtained by Fox News Digital reveals that the organization is bracing itself for potential U.S. funding cuts as the Department of Government Efficiency (DOGE) cracks down on wasteful spending. The memo, titled “Managing the 2025 regular budget liquidity crisis,” was sent to heads of various departments and offices, outlining directives from U.N. Secretary-General António Guterres.
In the memo, Guterres instructed departments to manage cashflow conservatively and to suspend hiring. The memo also warned department heads to prepare to work with only 80% of their allocated budgets. While this reduction could pose challenges for meeting non-discretionary spending needs, the U.N. is facing liquidity constraints that necessitate these measures.
Despite concerns raised in the memo, insiders suggest that there may not be significant actual cuts in funding. While a personnel freeze has been implemented, it is unclear if hiring will come to a complete halt. Former Principal Deputy Special Presidential Envoy for Hostage Affairs Hugh Dugan noted that the lack of urgency in addressing the financial situation is troubling.
To address these concerns, Secretary-General Guterres has scheduled a virtual town hall for U.N. personnel later this month. The purpose of the town hall is to discuss the financial challenges facing the organization. Dugan expressed skepticism about the U.N.’s ability to leverage its global influence in negotiations with the U.S. and other major funding countries.
The U.N.’s financial woes come amidst President Trump’s criticism of wasteful spending identified by DOGE. While the U.N. denies that the memo is a direct response to U.S. politics, the organization has long faced liquidity issues due to member states’ inconsistent and incomplete payments.
In a recent letter to staff, Secretary-General Guterres reassured employees that the U.N. is working to mitigate the impact of potential budget cuts. He emphasized the importance of the organization’s work and called on staff to remain dedicated and supportive during these challenging times.
As the U.N. navigates its financial challenges, it remains to be seen how the organization will adapt to potential funding cuts and continue its mission of promoting global peace and cooperation.
