• Amid financial strain and growing global challenges, UN Secretary-General Antonio Guterres is pushing for wide-ranging structural reforms to enhance the world body’s effectiveness.

• Briefing Member States in New York on May 12, Guterres outlined wide-ranging efforts to revamp how the UN system operates — cutting costs, streamlining operations, and modernising its approach to peace and security, development and human rights.

Unpaid dues

• According to a UN report, only $1.8 billion has been received against the $3.5 billion regular budget assessments for 2025 – a shortfall of around 50 per cent.

• As of 30 April, unpaid assessments stood at $2.4 billion, with the United States owing about $1.5 billion, China ($597 million), Russia ($72 million), Saudi Arabia ($42 million), Mexico ($38 million), and Venezuela ($38 million). An additional $137 million is yet to be paid by other Member States.

• For the peacekeeping budget (which runs on a July-June cycle), including prior-period arrears, the unpaid amount totals $2.7 billion. For the International Tribunals, total contribution outstanding was $79 million as of 30 April.

The UN80 Initiative

• In March this year, Guterres announced a new initiative aimed at improving efficiencies at the 80-year-old world organisation.

• As the UN turns 80 this year, the UN80 Initiative builds on ongoing efforts, including the Pact for the Future and UN 2.0, which aim to update the UN’s structures, priorities, and operations for the 21st century.

The UN80 Initiative centres on three priorities: 

i) Enhancing operational efficiency: It focuses on efficiencies and improvements, developing a new model that improves consolidation, looks at centralising services, relocating to cheaper locations, and expanding the use of automation and digital platforms.

ii) Assessing how mandates or key tasks from Member States are implemented: It involves a review of how existing mandates are being carried out – not the mandates themselves, which are the purview of Member States only.

iii) Exploring structural reforms across the UN system: Key work areas have been identified for review. These include peace and security, development, human rights, humanitarian, training and research and specialised agencies.

• The results will be reflected in revised estimates for the 2026 budget in September this year, with additional changes that require more detailed analysis presented in the proposal for the 2027 budget.

• Guterres said the changes are expected to yield “meaningful reductions” in the overall budget. For example, the departments for political and peacekeeping affairs could see a 20 per cent reduction in staff by eliminating duplication.

• This level of reduction, he said, could serve as a benchmark across the UN system, while also considering unique factors for each department.

• Additional examples include consolidating all counter-terrorism work within the main Office of Counter-Terrorism (UNOCT), ending building leases and relocating posts away from expensive “duty stations” where cost of living is high.

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