GLOBAL APPEAL 2025 EXECUTIVE SUMMARY I FINANCIAL REQUIREMENTS UNHCR’s budget by Outcome and Enabling Areas In the budget for 2025, nine out of 16 Outcome Areas saw changes of 5% or less compared to 2024, indicating broad continuity. The most significant changes are in solutions-related Outcome Areas, including a 15% increase in voluntary repatriation and sustainable reintegration, and a 12% rise in integration and local solutions, mainly for returning internally displaced persons and refugee returnees. Resettlement and complementary pathways increased by 2%, with increased activities in the Americas, West and Central Africa, and the East and Horn of Africa. Due to shifts in operational strategies and a reduction in UNHCR’s operational footprint, planned allocations under housing and settlements, healthy lives, education, and clean water, sanitation, and hygiene have decreased. Education saw an 8% decrease, reflecting a focus on inclusion in national systems. Clean water, sanitation, and hygiene decreased by 5%, due to some interventions being handed over to partners. Well-being, the largest Outcome Area, decreased by 11% due to adjusted interventions in Ukraine and other operations across the Middle East and North Africa. Protection-related Outcome Areas show stability, with similar allocations compared to 2024. Outcome Areas such as access to territory, registration and documentation, gender-based violence, safety and access to justice, community engagement and status determination remain the same or within a 5% change. Child protection decreased by 7%, but saw increases in Afghanistan, Ethiopia and South Sudan. Protection policy and law decreased by 8%, reflecting the consolidation of activities under other protection Outcome Areas. Overall, the trend in protection-related outcomes shows continuity. Enabling Areas make up 11% of the budget, a 2% decrease, demonstrating the Office's commitment to better stewardship. Systems and processes decreased by 16% after completing a business transformation programme. Leadership and governance increased by 15%, reflecting investments in data protection and governance. An overview of cost reductions due to efficiencies, realignment, sustainable responses and reductions in UNHCR’s operational footprint With its 2025 budget, UNHCR aims to collaborate meaningfully with stakeholders to drive change, seizing opportunities to include refugees into national services and responses, and reviewing operational footprints when feasible. Examples include operations in the Middle East, North Africa and Europe. The 2025 budget reflects a strategic shift in engagement in IDP situations in Libya, the Syrian Arab Republic and Yemen, aligned with their multi-year strategies, refocusing on supporting returning IDPs, and planning a phase-out from engagement with internally displaced people in Iraq by the end of the year. 13 UNHCR GLOBAL APPEAL 2025 UNHCR will continue efforts to ensure greater efficiency and cost-effectiveness. The Office leverages digital tools and systems offering opportunities to reduce administrative processing efforts, generate better data for decision-making, and enable more streamlined management of back-office functions. UNHCR will work on recalibrating and streamlining processes in finance, administration and supply for maximum efficiency. Operations will also continue to ensure the cost effectiveness and efficiency of programme interventions.