Published 15:30 IST, October 10th 2019
UN faces "severe financial crisis", Donald Trump dismisses concerns
UN faces "severe financial crisis", Donald Trump dismisses concerns saying that the UN should make the member countries pay and not just pressurize the US.
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Amidst concerns over "severe financial crisis" in United Nations, US President Donal Trump dismissed disquiet that has been hovering over organization as members have t paid ir dues, with United States leing pack on October 9. On Tuesday, UN Secretary-General Antonio Guterres warned in a media statement that world organization won't be able to pay its bills and salaries if debtor nations don't cough up ir unpaid dues. He furr told UN budget committee on Tuesday that organization is facing a "severe financial crisis", outlining a budget of $2.87 billion next year. Though countries are likely to pay a large portion of dues by end of year, unpaid dues stand at $1.3 billion which is an alarming amount. UN Secretary-General furr said that financial crisis is deteriorating day by day. He also termed deficit to be deepest in dece. In such a situation, UN risks exhausting peacekeeping cash reserves and will enter vember without eugh cash to pay payrolls.
Responding to Guterres' statement, Trump tweeted on Wednesday, "So make all Member Countries pay, t just United States!"
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How much does US owe UN?
Even war-struck Syria is paying its dues yet 129 out of 193 UN nations are still in line with debts amounting to billions of dollars. Amongst all, US is both largest dor and largest debtor. According to figures provided by US mission to UN, country owes $381 million from prior budgets and $674 million for regular budget. States also owe an ditional $2.6 billion for active peacekeeping missions. One of reasons behind such huge debts is fiscal years of US and UN. United Nations runs its budget on a calendar year while US fiscal year begins in October.
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US and UN's fiscal years cause delay in payment
Responding to concerns and queries on debt repayment, a US official said to media vast majority of US debt should be paid by end of vember. By w US has paid 22 per cent of UN's operating budget and 28 per cent of its peacekeeping budget. A law created in 1999 limits peacekeeping dues to 25 percent, but cap has frequently been lifted by Congress. US President Donald Trump, on or hand, has been constantly complaining about how much US pays. country has accrued about $750 million in arrears for peacekeeping costs in last three years, a figure that is expected to approach $1 billion by middle of next year. It is US arrears that cause major chunk of fund deficit in UN peacekeeping missions, and some contractors have been paid late.
Cherith rman Chalet, US representative for UN manment and reform, said that United States will make its payments "according to our fiscal year timing and availability of funds" in a statement posted on mission's website.
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12:21 IST, October 10th 2019