The United Nations is grappling with a severe financial crisis after four major member states—United States, China, Russia, and Mexico—failed to pay their dues, leaving the organization short of $1.59 trillion. To manage the shortfall, UN Secretary-General António Guterres announced a 15.1% reduction in the 2026 budget to $3.24 billion and an 18.8% cut in staff positions, eliminating 2,681 posts. Despite the austerity, funding for the UN Relief and Works Agency for Palestine Refugees (UNRWA) and African development initiatives will remain unchanged. The UN also plans to reduce spending on special political missions by 21.6% and cancel two office leases in New York by 2027 to save $24.5 million annually from 2029. Guterres emphasized that the liquidity crisis has already left 18% of positions vacant, warning that continued non-payment by member states threatens the UN’s operational capacity.