UN plans 20% budget cut amid liquidity crisis, internal memo says
UN Controller Chandramouli Ramanathan said the cuts are part of the UN80 reform initiative launched in March to ensure the world body becomes "more cost-effective" by taking "bold and immediate steps" to improve the way it functions.
"It is an ambitious effort to ensure that the United Nations is fit for purpose to support 21st-century multilateralism, reduce human suffering and build better lives and futures for all," Mr Ramanathan said, urging staff co-operation amid "aggressive timelines". "Downgrading of posts and positions may also be proposed to reduce the posts costs."
The cutbacks will take effect on January 1, the start of the next budget cycle.
On May 13, UN Secretary General Antonio Guterres told member states at an informal meeting that the world body's liquidity crisis stems largely from unpaid membership dues.
'The liquidity crisis is caused by one simple fact: the arrears. We have a huge debt to the organisation, essentially from one member state and a few others,' Mr Guterres said.
'We won't solve the liquidity crisis by reforming the organisation. We solve it by countries paying their contributions in full and on time." Mr Guterres added that this would improve the UN's efficiency and mitigate the crisis.
In April, Tom Fletcher, the head of UN humanitarian affairs, informed staff that due to US funding reductions, the agency would need to cut 20 per cent of its workforce to cover a $58 million budget gap.
The US owes the world body about $2.8 billion as of early 2025, according to UN figures. The total includes about $1.5 billion in unpaid assessments for the UN's regular budget and about $1.3 billion for peacekeeping operations and international tribunals.
Under the UN's funding formula, the US is responsible for 22 per cent of the regular budget and about 27 per cent of peacekeeping costs.
Hashtags
Try Our AI Features
Explore what Daily8 AI can do for you:
Comments
No comments yet...
Related Articles
Gulf Today
15 hours ago
- Gulf Today
Sheikh Abdullah Bin Zayed hails UK's statement of its intention to recognise State of Palestine
Sheikh Abdullah Bin Zayed Al Nahyan, Deputy Prime Minister and Minister of Foreign Affairs, welcomed the announcement by Keir Starmer, Prime Minister of the United Kingdom, regarding the UK government's intention to recognise the State of Palestine at the UN General Assembly meetings in September. Sheikh Abdullah Bin Zayed Al Nahyan believes this step reinforces efforts by the international community to achieve the two-state solution and establish a just and lasting peace in the region. Sheikh Abdullah Bin Zayed Al Nahyan expressed the UAE's appreciation for this significant decision, which comes at a critical juncture and underscores the need for the international community to uphold its responsibilities and work collectively to revive the political process and bring an end to the Palestinian-Israeli conflict. Such efforts would contribute to enhancing regional security and stability, while supporting the legitimate rights of the Palestinian people, including the establishment of an independent, sovereign state in accordance with relevant United Nations resolutions and international law. Sheikh Abdullah Bin Zayed also reaffirmed the UAE's unwavering commitment to supporting the aspirations and rights of the Palestinian people, safeguarding their rights, and continued cooperation with regional and international partners to achieve a just and sustainable solution that brings an end to the conflict and lays the foundations for a more stable and prosperous future for all peoples of the region. WAM
Khaleej Times
17 hours ago
- Khaleej Times
At $11.5 billion, UGold stands tall, backed by the quiet strength of Finvasia's Global Ecosystem
Redefines gold ownership with real-world backing, stable growth, and global accessibility In just two and a half years, UGold has accomplished what few digital assets ever have, growing from $6 billion to $11.5 billion in market capitalisation, all while maintaining one of the most stable price performances in the digital asset space. Presently, UGold trades seamlessly across major global exchanges, with daily volumes exceeding $100 million, and its price continues to track gold with near-perfect precision. But the peg isn't maintained through algorithms or synthetic models. It's backed by something tangible. Every UGold token is fully backed by one ounce of 99.99 per cent pure physical gold, securely stored and deliverable upon demand anywhere in the world. That certainty, of substance over symbolism, is what sets UGold apart. A product of precision and purpose UGold was developed by Genius Digital Partners, co-founded by Vasilis Oxenuk, a seasoned Wall Street investor and global fintech strategist. He was later joined by Ilya Sorokin, a respected Wall Street fintech executive and technology innovator who now serves as its CEO. Their mission was clear: to build the ultimate bridge between the timeless stability of gold and the modern efficiency of blockchain. No gimmicks and no speculative volatility. Just a trusted, scalable, and fully redeemable gold-backed token. "UGold was built to last beyond trends," said Ilya Sorokin, CEO of Genius Digital Partners. "We wanted to give the world something simple, powerful, and real, a better way to own gold. What Vasilis and I are most proud of is that we've done it consistently and without compromise. And we're deeply thankful to Tajinder Virk and Finvasia for backing us, not just with infrastructure, but with leadership, discipline, and their trademark silent strength." Finvasia's blueprint for global scale According to UGold's founders, their journey to becoming the world's largest gold-backed token would not have been possible without Finvasia, a company known for launching transformative ventures across fintech, healthtech, banking, and payments. Finvasia brought more than capital to the table. It delivered vision, leadership, execution, and infrastructure, including global regulatory frameworks, settlement systems, and a distribution network that spans Europe, the UAE, South Africa, the UK, Japan, and Australia. "UGold is proof that when vision meets execution, extraordinary things happen," said Tajinder Virk, co-founder of Finvasia. "This milestone isn't just about market cap; it's about building a product with real-world utility that has stood the test of time. We're proud to stand behind Vasilis, Ilya, and the entire UGold team as they continue to achieve remarkable things." The right innovation for a changing world UGold's rise comes at a time when global macroeconomic shifts are redefining the role of traditional assets. Gold is once again at the centre of financial strategy, appearing in central bank reserves and in the portfolios of individuals seeking stability in uncertain times. By combining the enduring value of gold with the seamless access of blockchain, UGold has evolved into more than just a digital token. It has become a modern instrument for global wealth preservation. Its perfect price tracking isn't just a feature, it's the outcome of full physical backing and a system engineered for delivery, not just digital representation. A new era of gold ownership UGold's journey has been quiet, deliberate, and rooted in fundamentals. It hasn't needed hype and perhaps that's precisely why it has succeeded. The $11.5 billion milestone marks a moment of reflection and recognition, but it's far from the final chapter. With Finvasia's continued support, and with Genius Digital Partners expanding redemption, minting, and utility capabilities, UGold is only beginning to define what trusted, tokenised ownership of real assets can look like at global scale.
Zawya
17 hours ago
- Zawya
Pros, cons of global aviation sustainability and tech advancements
THE global aviation industry is witnessing a significant transformation, driven by a renewed focus on sustainability and technological advancements. As the world grapples with the challenges of climate change, airlines, manufacturers, and regulatory bodies are working together to reduce the industry's carbon footprint and promote sustainable aviation practices. One of the most exciting developments in this area is the emergence of new aircraft technologies, such as electric vertical takeoff and landing (eVTOL) and electric short takeoff and landing (eSTOL) aircraft. These innovative designs promise to revolutionise urban air mobility, reduce emissions, and increase efficiency. In addition to eVTOLs and eSTOLs, the industry is also exploring supersonic aircraft, which could potentially reduce travel times and increase connectivity between cities. Companies like Aerion and Spike Aerospace are working on developing supersonic aircraft that could travel at speeds of up to Mach 5, making it possible to travel from New York to London in under four hours. The aviation industry is also investing heavily in alternative fuels, such as sustainable aviation fuels (SAF), which could significantly reduce lifecycle carbon emissions. SAFs are made from renewable resources, such as waste oils, agricultural waste, and algae, and can be used in existing aircraft engines without modification. Several airlines, including British Airways and KLM, have already begun using SAFs on select flights, and the industry is working to increase production and availability. However, the industry is not without its challenges. One of the most significant issues facing the aviation sector is the skills shortage, particularly in the Asia-Pacific region. The region is expected to experience a significant shortage of pilots, maintenance personnel, and other skilled workers in the coming years, which could impact the industry's ability to meet growing demand. To address this issue, airlines and governments are working together to develop training programs and attract new talent to the industry. Another challenge facing the industry is the increasing threat of cyberattacks. As airlines and airports become increasingly reliant on technology, they are also becoming more vulnerable to cyber threats. In recent years, several airlines have experienced significant cyberattacks, resulting in the theft of sensitive data and disruption to operations. To mitigate this risk, airlines and airports are investing in cybersecurity measures, such as threat detection and incident response systems. Geopolitical issues are also having a significant impact on the aviation industry. The ongoing pandemic has led to travel restrictions and quarantine measures, which have disrupted global travel patterns. Additionally, tensions between countries and regions are affecting air travel, with several airlines being forced to reroute or cancel flights due to geopolitical instability. Despite these challenges, the aviation industry remains committed to sustainability and technological advancements. Airlines and manufacturers are investing heavily in research and development, and governments are implementing policies to support the growth of sustainable aviation. As the industry continues to evolve, it is likely that we will see significant advancements in areas such as electric propulsion, artificial intelligence, and advanced materials. The future of aviation is exciting and uncertain, with many challenges and opportunities on the horizon. However, one thing is clear: the industry's focus on sustainability and technological advancements will play a critical role in shaping its future. As airlines, manufacturers, and regulatory bodies work together to address the industry's challenges and capitalise on new opportunities, we can expect to see a more efficient, sustainable, and connected world. Therefore, the ongoing trend is taloured towards a transformation that is driven by a renewed focus on sustainability and technological push. While the industry faces challenges such as skills shortages, cyber threats, and geopolitical instability as earlier mentioned, it remains committed to reducing its environmental impact and promoting sustainable aviation practices. Hence, as the industry evolves, it is likely that we will see significant advancements in areas such as electric propulsion, alternative fuels, and advanced materials. The future of aviation is seemingly bright, and it will be exciting to see how the industry continues to shape and transform the world. Copyright © 2022 Nigerian Tribune Provided by SyndiGate Media Inc. (
