Global Policy Forum

Chronology of the UN Financial Situation:

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June 3, 2002: United Nations efforts to respond to humanitarian emergencies worldwide are severely hampered by lack of funds, leaving half of all projects without resources. Humanitarian efforts in Afghanistan, Angola and Sudan are particulary hamstrung due to funding shortfalls.

May 27, 2002: UN Secretary-General Kofi Annan calls for developed nations to contribute $2 billion dollars to the Global AIDs Fund, designed to curb the effect of AIDS, tuberculosis and malaria across Africa.

April 24, 2002: The Bush Administration pledges $618 million in arrears to the UN and its affiliate agencies in the federal budget for 2003. The question still remains: when will it pay?

April 4, 2002: The UN Population Fund (UNFPA) faces a financial crisis due to President Bush's decision to suspend US contributions of $34 million to the fund. The UN agency seeks support from US religious groups to help explain that UNFPA programs do not promote abortion, as the President claims.

March 15, 2002: The EU fifth committee representative responds to Joseph Connor's assessment of the UN's financial position. The EU cited US arrears as the major reason for the UN's current financial situation, which Connor described as "very fragile." The representative called for all member states to pay their dues on time to help prevent "cross borrowing," which is still occurring across budget areas.

March 13, 2002: Under Secretary General for Management Joseph Connor described the UN's financial situation as "overall better" but still "very fragile." Cash on hand, the level of unpaid assessments and debt owed by the UN to Member States had all improved in 2001. Despite such progress, the number of member states to pay their assessments in full dropped from 141 to 135. With the projected 2002-2003 budget $75 million lower in real terms, this worrying trend will have to be reversed.

March 12, 2002:The Bush administration withholds $34 million in contributions to the UN population fund (UNFPA) on the grounds that their programs promote abortion. UNFPA denies this claim and emphasizes the importance of the money to reduce maternal deaths, infancy mortality rates and unwanted pregnancies.

February 2, 2002: Twenty developing nations are barred from voting in the General Assembly for non-payment of dues. Afghanistan, one of the countries to lose its vote, owes just $4,600 to the UN despite being ravaged by war for over 20 years. Such a response seems disproportionate as the US has never lost its voting rights, despite its large outstanding debt.

 

 

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