Engaging Today's Global Citizens

UN Budget Woes

Key UN operations are in danger of closing down by the end of the month if an agreement on budget and reform issues is not reached. A split has developed in the United Nations between the Group of 77 (G-77) countries and the largest donor nations, including the United States, Japan, and countries of the European Union. This group, which contributes approximately 82 percent of the UN's total annual budget, imposed a spending cap on the United Nations in December, allowing only $950 million of the $3.79 billion regular annual budget to be appropriated until June. They are calling for serious UN management reforms, including improvements in internal oversight, better resource management, and more control in the hands of the secretary-general.

UN Secretary-General Kofi Annan recently outlined his plans for reform in the Secretary-General's Report, but G-77 countries have voted to block the reforms supported by the United States, European Union, and Japan, stating that countries making larger financial contributions should not override the universal spirit of the United Nations. The G-77 countries are calling it a battle of rich vs. poor—or the global "haves" and "have nots"—while the countries pushing for these reforms see them as a means of cleaning up an organization that has been marred by corruption and inefficiency. Recent statements by Annan's deputy Mark Malloch Brown and the response from US Permanent Representative to the UN John Bolton show that the high level of controversy surrounding this issue makes the threat to UN operations a real concern.

—Ashley Wilson