Guterres: UNRWA Nears Breaking Point amid Funding Gap

By Staff, Agencies

United Nations Secretary General António Guterres called on member states Tuesday to urgently bridge a $100 million funding gap facing the United Nations Relief and Works Agency for Palestine Refugees in the Near East [UNRWA], warning the agency is approaching a breaking point after implementing deep austerity measures and service reductions.

Addressing an ad hoc meeting of the UN General Assembly on voluntary contributions, Guterres said UNRWA's financial position has become increasingly precarious as restrictions across the occupied Palestinian territory continue to hamper its operations while funding shortages threaten its ability to fulfill its mandate.

UN spokesperson Stéphane Dujarric said UNRWA was facing an existential crisis and said the outcome of the voluntary donor meeting would be announced on Wednesday.

UNRWA provides humanitarian assistance, education, healthcare, social services, and shelter to approximately 2.6 million Palestinians across Gaza, the occupied West Bank, Lebanon, Jordan and Syria.

The agency's financial crisis deepened after the United States, previously UNRWA's largest donor, suspended funding in January 2024 following “Israeli” allegations that several agency employees participated in the October 7, 2023 operation. Sweden also halted its 2025 funding, while most other donors that had temporarily paused contributions have since resumed support.

Guterres stressed that the agency has introduced reforms and strengthened policies governing political and external activities in response to the allegations, but warned that continued financial pressure threatens essential humanitarian services.

According to Guterres, UNRWA has reduced service delivery hours by 20% this year, lowered salaries for local staff, and left 15% of international positions vacant in an effort to contain costs.

He warned that additional cuts could push the agency beyond its operational limits, describing UNRWA as “a stabilizing force in an age of instability.” Guterres also criticized what he called ongoing campaigns to undermine the agency through disinformation, legislative measures, operational restrictions, and diplomatic pressure.

The UN secretary general noted that 390 UNRWA staff members have been killed in Gaza since October 2023, while more than 1,000 Palestinians have been martyred in “Israeli” attacks since the ceasefire was announced in October.