UN Chief Urges Nations to Close $100 Million UNRWA Funding Gap

United Nations Secretary-General Antonio Guterres has appealed to member states to urgently fill a $100 million funding gap facing the U.N. Relief and Works Agency for Palestine Refugees in the Near East (UNRWA), warning that the agency is approaching a breaking point after implementing deep austerity measures and cost-cutting efforts.

Speaking at an ad hoc U.N. General Assembly meeting on voluntary contributions, Guterres said UNRWA’s financial situation has become increasingly fragile due to severe funding shortages and operational restrictions across the occupied Palestinian territories. He stressed that the agency’s worsening liquidity crisis threatens its ability to continue delivering essential humanitarian services to millions of Palestinian refugees.

UNRWA operates in Gaza, the West Bank, Jordan, Lebanon, and Syria, providing education, healthcare, emergency aid, shelter, and social services to approximately 2.6 million Palestinians.

The agency’s finances were significantly impacted after the United States, previously its largest donor, suspended funding in January 2024 following Israeli allegations that several UNRWA employees participated in Hamas' October 7, 2023, attack on Israel. Sweden also halted its 2025 funding, while several other major donors temporarily paused contributions before most later resumed support.

Guterres emphasized that UNRWA has introduced reforms, strengthened oversight, and updated policies governing political and external activities in response to the allegations. He rejected ongoing campaigns aimed at weakening the agency, describing UNRWA as "a stabilizing force in an age of instability."

The secretary-general also highlighted the heavy toll on the agency, noting that 390 UNRWA staff members have been killed in Gaza since October 2023. He added that continued violence has claimed the lives of around 1,000 Palestinians since a ceasefire announced in October.

To cope with its financial crisis, UNRWA has reduced service hours by 20%, cut salaries for local employees, and left 15% of international positions vacant. Guterres warned that further reductions could severely undermine humanitarian operations.

U.N. spokesperson Stephane Dujarric described the situation as an existential crisis for UNRWA, with the outcome of the donor meeting expected to be announced on Wednesday.

According to UNRWA, the agency secured approximately $887 million in pledges and $829 million in contributionsduring 2025, covering only 27% of its estimated $3.3 billion funding requirement, underscoring the urgent need for additional international support.