Exclusive-US plans $725 million payment towards its large UN debt

On August 21, the Trump administration initiated the process to transfer $725 million to the United Nations, as confirmed by a congressional notification, according to Reuters. This move, hailed by experts, is seen as a positive step towards settling the billions in dues owed to the global body. No immediate response was given to inquiries about the rationale behind the payment from Washington, which has previously slashed funding to many U.N. agencies and criticized the organization for failing to meet its potential.

The funds, mentioned in a State Department notification letter to Congress on August 4, are scheduled to be transferred before President Donald Trump's expected address to the U.N. General Assembly in New York next month. U.N. Secretary-General Antonio Guterres had warned earlier this year that the U.N. is on the brink of financial collapse due to unpaid contributions from member states.

The $725 million contribution would constitute less than 20% of the over $4 billion the U.N. claims it is owed by the United States, although Washington maintains that the total figure is lower and that it has made certain payments. An expert in U.N. finance, Ronny Patz, stated that such a transfer would provide temporary support for U.N. salaries but likely would not cover them entirely.

If the U.S. fails to make further payments, it could lose its voting rights in the General Assembly in January, as per article 19 of the U.N. Charter, which stipulates that a member state loses its voting rights if its arrears exceed two years in annual fees.