The other 4 percent – $47.84 million in 2016 – comes from the UN regular budget and other UN agencies, and primarily covers international staffing costs.23 UNRWA’s reliance on voluntary funding is comparable to that of other UN agencies. In 2016, the proportion of voluntary contributions to the total budget for UNHCR was 99 percent, for UNICEF was 97 percent, and for UNDP was 93 percent.24 Given the heavy reliance of UN agencies on voluntary contributions, the UN General Assembly (UNGA) must ensure its Member States provide sufficient funds for the fulfilment of their mandates – particularly with regard to agencies vulnerable to political influences such as UNRWA. When UNRWA was established as a temporary agency, UN Member States deemed it to be in the interests of both UNRWA and Palestinian refugees for the Agency to be able to collect voluntary contributions of any amount from Member States.25 However, the way in which funds are donated to UNRWA not only sets limits on how funds can be spent, but also leaves UNRWA vulnerable to political pressure and interference from Donor States.26 While contributions to the general fund can be applied to everyday services such as schools and health clinics, those directed to specific project or emergency funds must be used for those specific purposes. The ability of UNRWA to deliver essential services is thus dependent on the allocation of contributions to the general fund by Donor States.27 This can vary significantly year upon year, as the graph below illustrates. UNRWA’s annual budget has fluctuated by over $400 million in the last seven years, with considerable variance between program (general) and non-program (project and emergency). The uncertain and unpredictable nature of UNRWA’s funding is key to its present unstable financial position, leaving the Agency vulnerable to political interference. 23 UN General Assembly, UNRWA Financial report and audited financial statements, 17; Danish Ministry of Foreign Affairs, “Strategy for Denmark’s engagement with UNRWA 2017-2021,” 4 October 2016, available at: http://ramallah.um.dk/~/media/ramallah/Denmarks%20engagement%20w%20UNRWA%20201721. pdf?la=en 24 UN General Assembly, UNHCR Financial report and audited financial statements for the year ended 31 December 2016 and Report of the Board of Auditors, A/72/5/Add.6, 2017, 18, available at: https:// undocs.org/A/72/5/Add.6; UN General Assembly, UNICEF Financial report and audited financial statements for the year ended 31 December 2016 and Report of the Board of Auditors, A/72/5/Add.3, 2017, 82, available at: https://undocs.org/A/72/5/Add.3; UN General Assembly, UNDP Financial report and audited financial statements for the year ended 31 December 2016 and Report of the Board of Auditors, A/72/5/Add.1, 2017, 18, available at: http://undocs.org/A/70/5/Add.1. 25 NRWA, "Frequently asked questions", n.d., available at: https://www.unrwa.org/who-we-are/ frequently-asked-questions [accessed 19 July 2018]. 26 Annie Slemrod, “What you need to know now about cuts to the UN’s agency for Palestine refugees”; Maya al-Orzza, “UNRWA has been in crisis since its inception”; Rex Brynen, “Donor Contributions to UNRWA”. 27 Rex Brynen, “Donor Contributions to UNRWA”. 11

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