The UN High Commissioner for Refugees (UNHCR) has secured approximately $3 billion, or 35%, of the $8.5 billion it requires for 2026, High Commissioner Barham Salih told the agency's executive committee on Monday. The gap follows reductions in aid contributions from donor countries, including the United States, at a time of record global displacement.
The financial pressure has prompted one of the largest restructurings in the agency's history. Its workforce has fallen from approximately 20,000 employees in 2024 to just under 12,000, as UNHCR seeks to protect frontline operations while reducing administrative and other costs.
Salih said restructuring could not indefinitely compensate for shrinking donor support, warning that the consequences were already affecting refugees and humanitarian partners. The agency has sought to preserve essential field capacity, with 88% of its staff remaining outside headquarters and about 95% of personnel engaged in protection-related work retained in field locations.
Nevertheless, services in several countries face disruption. In Chad, insufficient funding threatens specialised medical care and legal assistance for more than 50,000 survivors of conflict-related sexual violence who fled neighbouring Sudan. In Ethiopia, refugee registration has been suspended for tens of thousands of people from South Sudan and Eritrea.
The funding crisis also risks worsening conditions in the Americas. UNHCR expects the region to face a 32% budget reduction in 2027 compared with this year, equivalent to approximately $485 million. At the same time, the number of forcibly displaced and stateless people across the region is projected to rise by 4% to about 24.5 million.
The gap between humanitarian needs and available funding places pressure on refugee-hosting countries, aid organisations and local services. Reduced registration capacity can leave displaced people without documentation, while cuts to legal, medical and protection programmes can make vulnerable communities less able to access assistance.
UNHCR expects funding for 2027 to remain uncertain, although a donor pledging conference scheduled for December could improve the outlook. The agency has indicated that its anticipated funding for next year currently stands at around $2.68 billion.
The crisis highlights the limits of efficiency measures when core resources continue to decline. Without additional contributions, UNHCR faces difficult decisions over which services and populations it can support.
For displaced people, the consequences are immediate: fewer available services, increased uncertainty and greater reliance on already stretched host communities and humanitarian partners.
Republished from the existing Aldrenor collection. Aldrenor editorial archive.
