On May 27, 2025, the World Health Organization (WHO) concluded its annual World Health Assembly, approving a reduced $4.2 billion budget for 2026-2027, down from $5.3 billion, due to the United States’ withdrawal and unpaid membership fees for 2024-2025. The US, once the agency’s largest donor, initiated its exit in January 2025 under President Donald Trump, leaving a $1.7 billion funding gap.
Budget and Funding Changes
The WHO’s 2024-2025 budget was $6.8 billion, heavily reliant on voluntary contributions, which made up 84% of funding by 2020-2021. To stabilize finances, member states agreed in 2022 to increase assessed contributions (membership fees based on wealth and population) to 50% of the core budget by 2030-2031. This year’s assembly approved a 20% fee hike, adding $90 million annually, following a similar increase for 2024-2025. Despite securing 60% of the 2026-2027 budget, a $1.7 billion shortfall remains. A recent pledging event raised $210 million, including contributions from Switzerland ($80 million), the Novo Nordisk Foundation ($57 million), Sweden ($13.5 million), and Qatar ($6 million).
US Withdrawal and Criticism
The US did not attend the assembly. US Health Secretary Robert F. Kennedy Jr. sent a video message, criticizing the WHO as “bloated” and influenced by China, gender ideology, and pharmaceutical interests, urging other nations to join the US in building alternative institutions. The US exit, coupled with frozen foreign aid, has forced significant adjustments.
WHO’s Response
To address the financial strain, the WHO is streamlining operations, reducing its executive management team from 14 to 7 and departments from 76 to 34. No large-scale layoffs have been announced, unlike other UN agencies. “Your approval of the next increase in assessed contributions was a strong vote of confidence,” said WHO chief Tedros Adhanom Ghebreyesus, while regional director Hanan Balkhy called the 60% budget security “remarkable” given the global financial climate.
The WHO aims to maintain its life-saving work despite the challenges, with increased membership fees and donor pledges providing some stability as it navigates this crisis.
Source: AFP