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International Assistance-Funding Gap |
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Chronic Budget Shortfalls Chronic budget problems are related to the system of voluntary funding by UN member states, delays in contributions for current budget cycles, political and humanitarian crises which necessitate emergency programs, rising costs and inflation. The high rate of natural growth in the refugee population and lack of durable solutions place further strain on Agency services. Budget shortfalls have affected the Agency's regular (i.e., recurrent and non-staff costs, including provision of education, health and social services) and projects (i.e., non-recurrent costs, including most of the capital costs) budgets. UNRWA currently requires a budget growth of 7.5 percent per annum based on an average 3.5 percent growth in the refugee population and an annual weighted average rate of inflation in the Agency’s areas of operation of 4 percent. During the 1990s the gap between UNRWA’s budgeted and actual expenditure has reached as much as US $50 to $70 million per year out of a total budget of around US$ 250 to $300 million. Impact of the Assistance Gap Shortfalls in donor contributions have led to cutbacks in international staff posts, services and freezing of planned expansion of services as well as postponing maintenance and construction costs. Specifically, it has resulted in high rates of double-shifting in schools, reliance on unsatisfactory rented buildings, over-crowded classrooms, reduced teacher/student interaction, higher workloads for staff, difficulties in hiring qualified teachers at existing salary scales, and inability to keep pace with educational reforms in host states. It has also resulted in restrictions on referrals and duration of hospital stays in some areas, some redeployment of contracted beds from the private sector to less expensive NGO hospitals, below average per capita expenditure on health services, a higher number of patients per health personnel, and difficulties in maintaining competitive salaries for recruitment of high quality health care professionals. Finally, funding shortfalls have led to excessively high patient caseloads for Agency social workers, increasingly stringent criteria for qualification as a special hardship case, limiting special cash assistance to acute crises, and limitations on needed shelter rehabilitation. Donor Report Card Since 1950 one-hundred and sixteen donor states, in addition to the European Union and non-governmental sources, contributed US$ 6.9 billion (not including inflation) towards UNRWA services. Calculated as contributions per capita and as a percent of total GDP, Norway, Sweden and Denmark are the most ‘generous’ donor states among the top 13 donors to UNRWA when total contributions as of 2000 are calculated on a per capita basis as well as percent of GDP. The largest single donor between 1950 and 2002 is the United States (US$ 2,447,762,217) while the largest overall donor is the European Union (US$ 2,958,715,982). Arab states contributed just over a quarter of a billion dollars during the same period (US$ 262,192,773). Israel contributed nearly US$ 15 million. © 1999-2004 www.badil.org unless otherwise noted. This page may be copied, distributed and reprinted for informational purposes. To republish material from the BADIL website please add the author's name where applicable and the following credit: "Reprinted with permission of BADIL Resource Center for Palestinian Residency and Refugee Rights. For more information visit the BADIL website, www.badil.org." Please send us an email if you republish material from the BADIL website so we can more effectively monitor use and distribution of BADIL materials. BADIL Resource Center for Palestinian Residency and
Refugee Rights |
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