Health World

WHO Warns of “Greatest Disruption” to Global Health Financing Amid Donor Shortfall, Budget Cuts

WHO Warns of “Greatest Disruption” to Global Health Financing Amid Donor Shortfall, Budget Cuts
Source: EPA-EFE
  • PublishedMay 4, 2025

The World Health Organization (WHO) is facing a dire financial crisis, with Director-General Tedros Adhanom Ghebreyesus warning that global health is at serious risk due to dwindling donor support and impending severe budget cuts, Al Jazeera reports.

Tedros stated on Thursday that the agency is experiencing “the greatest disruption to global health financing in memory,” as contributions across the board decline sharply. The situation worsened following the United States’ withdrawal from the organization in January, citing alleged mismanagement of the COVID-19 pandemic and other international health crises. The US had previously provided nearly a fifth of the WHO’s funding.

In response to the growing financial pressure, the WHO has revised its financial plans, reducing current spending and proposing a substantial 21% cut for the 2026-2027 budget cycle. An internal memo, obtained by Reuters, outlines a reduction from $5.3 billion to $4.2 billion, accompanied by significant staff cuts.

β€œIt is of course very painful,” Tedros acknowledged, warning that the budget reductions will have a direct and detrimental impact on healthcare systems globally, particularly in the most vulnerable countries.

The WHO plans to implement cuts across all levels of its operations, including its headquarters in Geneva, regional offices, and country offices. Some offices in wealthier nations may even face complete closure.

While the US exit has intensified the financial strain, Tedros pointed to deeper structural issues. The WHO relies heavily on voluntary contributions from a small group of countries, with 80% of its budget coming from only a handful of donors. He stressed the urgent need to diversify the agency’s funding sources to ensure its long-term survival.

Tedros reported that he remains in communication with US officials and continues to provide them with information, despite having had no direct contact with President Donald Trump.

 

Michelle Larsen

Michelle Larsen is a 23-year-old journalist and editor for Wyoming Star. Michelle has covered a variety of topics on both local (crime, politics, environment, sports in the USA) and global issues (USA around the globe; Middle East tensions, European security and politics, Ukraine war, conflicts in Africa, etc.), shaping the narrative and ensuring the quality of published content on Wyoming Star, providing the readership with essential information to shape their opinion on what is happening. Michelle has also interviewed political experts on the matters unfolding on the US political landscape and those around the world to provide the readership with better understanding of these complex processes.