GLOBAL APPEAL 2025 EXECUTIVE SUMMARY I FINANCIAL REQUIREMENTS Overview of 2024 budget and funding As of 31 October, UNHCR’s 2024 global budget stood at $10.785 billion, representing the budget approved by UNHCR’s Executive Committee in October 2023, as well as supplementary increases due to additional unforeseen needs for the Sudan situation. Against this, as of 31 October 2024, the funds available to UNHCR stood at 44% ($4.727 billion), compared with 45% ($4.910 billion) at the same point of 2023. Of the funds available to UNHCR at the end of October 2024, $3.996 billion were fresh voluntary contributions. Meanwhile, we continue to respond to a high number of emergencies, including the consequences of the devastating Israeli strikes on Lebanon. 2024 started with much uncertainty around funding, particularly from some of UNHCR’s largest public and private sector donors. This uncertainty continued until mid-year, when the estimated funds available to UNHCR covered only 35% of its budget. More ominously, the flexible funding within that total was $835 million, 18% less than a year earlier. The consequences of underfunding were presented in UNHCR’s 2024 Underfunded Report. The deep uncertainty around funding in 2024 prompted UNHCR to institute an Office-wide freeze of around 5% of expenditure as a temporary, precautionary measure, with the utmost done to preserve operational delivery and minimize the impact on forcibly displaced and stateless people. This freeze came on top of the prioritization of UNHCR’s needs-driven budget that had to be taken across the Office from the beginning of the year. While this type of prioritization is done every year, it was done more robustly in 2024 based on the funding outlook. By mid-year, 40% of our 2024 budget was prioritized, as compared to 46% at the same point of 2023, focusing on core protection and life-saving assistance activities. One key indicator for the funding level was the annual pledging conference held in December 2023 for the 2024 budget. $973 million in commitments from the public sector were announced, along with $410 million from UNHCR’s private sector National Partners, for a total of $1.383 billion, 14% less than for 2023. Other humanitarian agencies and partners are also facing the same concerns. As of the end of September 2024, the plans in the Global Humanitarian Overview (GHO) were only 32.7% funded. Throughout the year, UNHCR has worked with other agencies – from the UN and from the NGO community – to jointly highlight the costs of inaction and the consequences of underfunding. On top of issues related to the quantity and quality of funding, we remain concerned about diversification. While we continue with our efforts to diversify our donor base, 86% of our income as of 31 October 2024 was from governments and the European Union, with recorded contributions from the private sector at 10%. Additionally, with a number of key pooled funds – such as the CERF – facing the same resource constraints, income from pooled funds dropped to 2% compared with 4% in 2023. Only one private sector partner was in the top 10 as of the end of October 2024, and no pooled funds. UNHCR GLOBAL APPEAL 2025 6