RIO DE JANEIRO, BRAZIL – According to the United Nations, which is experiencing its worst liquidity crisis in ten years, just seven countries account for 97 percent of the organization’s shortfall, and four of them are Latin American.
“Sixty-five nations have yet to pay (…) – Seven countries represent 97 percent of the amount in question and the remainder, together, account for about 2.5 percent. The seven countries are the USA, Brazil, Argentina, Mexico, Iran, Israel and Venezuela”, said the UN Undersecretary-General of Finance, Chandramouli Ramanathan.
In charge of UN finances, he explained that the budget for the year 2019 is US$2,85 million (R$11.4 million) and that some US$1,99 million have been collected, but in addition to this year’s deficit, there is a total of US$1,385 million in ” accrued arrears” by the end of the year.
This week, UN Secretary-General António Guterres said that the organization is taking exceptional measures to deal with the financial crisis it is facing, which has undermined the recent meetings of international leaders at the UN General Assembly held in late September in New York.
These measures include not filling vacancies, limiting travel to what is strictly essential, canceling or deferring meetings, or reducing support for the holding of events.
The UN’s financial troubles stem from the fact that many countries have not paid their contributions on time or in full, and by October 7th, more than 60 had not yet done so, as Chandramouli Ramanathan pointed out.
In the case of the United States, the largest contributor to the UN, which is committed to covering 22 percent of the UN’s budget, Ramanathan explained that the country “owes US$674 million this year and US$381 million from previous years”.
In general, the US pays approximately US$500 million at the end of the year, the diplomat added.
The UN Undersecretary-General of Finance alerted that every year, between August and October, the organization incurs a situation of a budget deficit, but this year the situation has come “earlier, it is lasting longer and is becoming more profound”.
Yesterday, António Guterres called for certain measures that will “affect the working conditions and operations” of the organization, due to the financial hardships it is facing, and which come into force on Monday.
Among the agreed measures are the cancellation of meetings, the shutdown of escalators, limitations on official travel, the deferred publication of documents or reduced air conditioning and heating.