WHO Faces Major Funding Challenges as US Withdrawal Leaves $958 Million Shortfall - PRESS AI WORLD
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WHO Faces Major Funding Challenges as US Withdrawal Leaves $958 Million Shortfall

share-iconPublished: Wednesday, January 29 share-iconUpdated: Wednesday, January 29 comment-icon2 weeks ago 11 views
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WHO Faces Major Funding Challenges as US Withdrawal Leaves $958 Million Shortfall

Credited from: NEWSWEEK

Key Takeaways:

  • The US is projected to contribute $958 million to WHO, making it the largest donor.
  • About 70% of WHO's budget relies on voluntary contributions, complicating its ability to set health priorities.
  • WHO reform efforts aim for membership fees to constitute about half of its budget by 2030.

The United States, under President Donald Trump's administration, has initiated a withdrawal from the World Health Organization (WHO), leaving the agency grappling with a projected budget shortfall of $958 million. This withdrawal means that the US, which was expected to contribute nearly 15% of WHO's total budget of approximately $6.5 billion, will cease its financial support. This critical funding gap significantly impacts WHO's ability to coordinate global health initiatives and respond to challenges like the COVID-19 pandemic, mpox, Ebola, and polio.

Most of the financial support for WHO comes from volunteer contributions rather than assessed membership fees, which are based on a country's gross domestic product. Approximately 70% of the organization's budget stems from these voluntary donations, which raises concerns about the agency’s autonomy in setting health priorities. While membership fees are assessed annually, many nations also provide additional funds earmarked for specific health issues.

In a bid to improve its financial model, WHO members agreed in 2022 to reform their funding structure, aspiring for countries' membership fees to represent about half of the budget by 2030. This change stems from ongoing concerns over the influence that donors exert on WHO’s agenda, underscoring the necessity for a more stable and independent funding base.

With the US's departure, the financial implications are profound. The WHO also relies on donations from a range of organizations including the Bill & Melinda Gates Foundation ($689 million), Gavi, The Vaccine Alliance ($500 million), and others such as the European Commission, World Bank, and Germany. However, without the US, WHO's capacity to fulfill its global health mandate, particularly towards low-income nations requiring essential support in medical supplies and vaccinations, may be severely curtailed.

U.S. public health officials were recently instructed to discontinue all collaborative efforts with WHO immediately, following this significant funding shift, signaling a critical juncture for the agency's future operations. For a comprehensive overview of WHO's funding dynamics, please refer to the full analysis by India Times.

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