UNRWA Chief Warns of Collapse Without Emergency Funding
Christian Saunders, acting commissioner-general of the UN Relief and Works Agency for Palestine Refugees (UNRWA), told a pledging conference at the UN General Assembly on Tuesday that the agency's operations are at a breaking point. He appealed for emergency funding to prevent the underfunded agency from collapsing under the weight of the war in Gaza, settler violence in the West Bank, and a $100 million cash shortfall.
“UNRWA’s financial situation is untenable and the viability of our operations across the region is at stake,” Saunders said. Austerity measures valued at $175 million in 2025 had so far staved off mass layoffs, but the agency was forced in January to cut service-delivery hours by 20 percent, slash salaries of many Palestinian staff members, and keep 15.5 percent of international posts vacant.
“These severe austerity and cost-control measures are not sustainable in the long term and cannot continue indefinitely,” he added, warning that without fresh funding it would be impossible “to restore UNRWA operations to their past scope, or to prevent further deterioration.”
Agency's Mandate and Current Challenges
Established by the General Assembly in 1949 to provide relief “necessary to prevent conditions of starvation and distress” among Palestine refugees, UNRWA remains indispensable 77 years later. Saunders noted that this fact “reflects our collective failure to definitively address the plight of Palestine refugees today.”
UN Secretary-General Antonio Guterres delivered a grim assessment of the toll on Palestinians and the agency itself, saying “the safety and welfare of millions of Palestine refugees hangs in the balance.” He described conditions in Gaza, where Israeli attacks had killed more than 1,000 Palestinians since last October’s ceasefire agreement, and “living conditions are utterly appalling,” with challenges including unexploded ordnance, open sewers, rodent infestations, disease outbreaks, and widespread displacement.
Guterres said he was “deeply concerned about UNRWA’s liquidity crisis, which jeopardizes its ability to implement its mandate” — a mandate renewed by an overwhelming majority of UN member states just six months ago, which underpins services for 2.6 million people. He praised UNRWA staff working “under some of the harshest conditions imaginable,” stating: “I have rarely, if ever, seen such dedication. But let’s be real: they cannot keep going like this without urgent backing and financial support from member states.”
Staff Casualties and Facility Destruction
More than 390 agency workers have been killed, and thousands injured or subjected to abuse, since October 2023, Guterres said. “Every single one of the agency’s premises in the Strip has been damaged or destroyed,” he added, and international staff have been barred from entering Gaza for nearly 18 months.
He condemned the seizure in January of UNRWA’s East Jerusalem headquarters as “a striking and unacceptable violation of United Nations privileges and immunities,” and said he was “appalled by continuing efforts to marginalize and undermine” the agency through “disinformation, smear campaigns, legislative actions, operational restrictions, diplomatic roadblocks and more.”
UNRWA's Vital Services in Gaza
Saunders said that despite restrictions, UNRWA remains the single largest primary healthcare provider in Gaza, delivering about 80,000 medical consultations a week, approximately 14,000 a day, by more than 1,300 health workers. Its water, desalination, and waste systems serve more than 1 million people, while its digital and in-person learning programs reach hundreds of thousands of children.
“These services, which keep people and hope alive, continue despite the draconian restrictions imposed on UNRWA,” he said.
West Bank Displacement and East Jerusalem Seizure
Regarding the West Bank, Saunders described the largest displacement of Palestinian refugees since 1967, with military orders shutting refugee camps in the north and preventing 33,000 displaced residents from returning home. He described the seizure by Israel of UNRWA’s compound in Sheikh Jarrah, East Jerusalem, for the stated purpose of building an Israeli military complex, as “a grave escalation.”
Regional Stability and Two-State Solution
Both Saunders and Guterres framed the survival of the agency as a matter of regional stability. Guterres described it as “a stabilizing force in an age of instability” that helps counter “the hopelessness that can fuel insecurity,” and said UNRWA remains essential to preserving conditions for a two-state solution.
Saunders said the agency’s workforce of about 11,000 people was, given its scale and community trust, vital for implementing Security Council Resolution 2803 in support of the Gaza peace plan and the work of the Board of Peace, until power can be handed over to the Palestinian Authority.
Allegations and Neutrality Measures
Israel’s campaign against UNRWA has included allegations that agency personnel participated in the Oct 7, 2023, terror attacks by Hamas, leading to sweeping suspensions of international funding. This has been accompanied by physical attacks on facilities and personnel, culminating in legislation effectively banning UNRWA from operating within Israel.
Saunders said UNRWA had implemented 40 out of 50 recommendations from an independent review of its neutrality led by French diplomat Catherine Colonna in 2024, with the remainder underway, and reiterated its “zero tolerance” policy on any breaches of neutrality or staff misconduct. Guterres echoed this assurance that the agency had “taken decisive steps to ensure its house is in order.”
Urgent Appeal for Funding
Both officials appealed for member states to match political backing with funding. “Your political support is crucial but I urge you to match it with the necessary financial resources,” Guterres said. “Not next year. Not next month. Now.” Saunders asked donors for sustained political support to ensure UNRWA’s capacities can be “fully deployed in Gaza,” and for funding needed for a 5-to-10-year program of reforms to make the agency “more financially sustainable” and “fit for purpose.”
