UNITED NATIONS, United States - The United Nations is running a deficit of $230 million, Secretary General Antonio Guterres said on Monday, and may run out of money by the end of October.
In a letter intended for the 37,000 employees at the UN secretariat and obtained by AFP, Guterres said unspecified "additional stop-gap measures" would have to be taken to ensure salaries and entitlements are paid.
"Member States have paid only 70 per cent of the total amount needed for our regular budget operations in 2019. This translates into a cash shortage of $230 million at the end of September. We run the risk of depleting our backup liquidity reserves by the end of the month," he wrote.
To cut costs, Guterres mentioned postponing conferences and meetings and reducing services, while also restricting official travel to only essential activities and taking measures to save energy.
Guterres had asked member states earlier this year to up contributions to the world body to head off cash flow problems, but they refused, a UN official said on condition of anonymity.
"The ultimate responsibility for our financial health lies with Member States," Guterres said.
Not including what it pays for peacekeeping operations, the UN's operating budget for 2018-2019 is close to $5.4 billion, with the United States contributing 22 percent.
source: news.abs-cbn.com
WASHINGTON - The US budget gap soared past $1 trillion with a month still to go in the fiscal year -- the first time it has surpassed that level since 2009, the Treasury reported Thursday.
One standout item in the government books was the surge in tariffs collected compared to last year -- something President Donald Trump has long touted as proof he is winning the trade war with China, even though the duties are paid by American companies.
The US deficit in the 11 months through August topped $1 trillion, 19 percent higher than the same period of the previous year, as spending increased by more than double the rate of income, according to the monthly report. The US fiscal year used for budgeting ends September 30.
Customs duties going into government coffers surged 73 percent to $66 billion, however Trump has imposed a new round of tariffs on Chinese goods that are set to hit on September 1.
Total revenues were up 3 percent in the fiscal year-to-date, at over $3 trillion, but total outlays increased seven percent compared to a year ago, passing $4.15 trillion.
source: news.abs-cbn.com
WASHINGTON - A bump in US exports helped shrink America's yawning trade deficit in July while imports from China continued to fall amid the 2 nations' trade war, government data showed Wednesday.
The relatively steady deficit comes as hopes dim for a near-term resolution to the US-China conflict, which has begun to rattle the American economy.
Economists said Wednesday the trade gap is likely to widen in the coming months as demand for US manufacturing exports weakens further, creating a drag on the economy.
The US trade gap in July narrowed by 2.7 percent to $54 billion, the largest drop in 5 months, as the United States exported more automobiles, medications, aircraft and oil drilling equipment, the Commerce Department said.
Economists had been expecting an even bigger decline.
Imports from China, the prime target of President Donald Trump's multi-pronged trade offensive launched last year, fell 1.9 percent to $39 billion, their lowest level since April.
Mexico and the European Union appear to have picked up some of the slack, as the US deficit with both markets continued to rise.
Overall, exports rose 0.6 percent to $207.4 billion -- which still left them below last year's level through July. Imports fell 0.1 percent to $261.4 billion.
Trump this week fired off stern warnings to Beijing and has planned successive waves of tariff increases through the end of the year covering the vast majority of Chinese imports into the US. Negotiations to resolve the conflict have yet to resume.
A 'GRIM' OUTLOOK
The deficit -- which is the difference between what the United States exports and what it imports -- has widened so far this year by more than eight percent.
But Trump has long viewed deficits as a defeat for the United States, arguing that they amount to stealing. These assertions are rejected by most economists.
And, despite his efforts to cut the deficit, it has continued to rise during his presidency as a growing economy, hungry for goods and services, steadily increased imports.
Weak commodities prices hit US exports for the month, as the value of crude oil, coal, fuel oil and other petroleum products fell.
Meanwhile, US services imports, such as tourism and software royalties, hit a record $49.6 billion, eating into an area where America normally enjoys a healthy surplus.
Wall Street was little moved by the numbers, with the Dow Jones Industrial Average up nearly 240 points shortly as traders rallied on positive signs in Hong Kong's political turmoil.
Macroeconomic Advisers said the latest trade numbers shaved three tenths of a percentage point off their third-quarter GDP estimate, which now stands at two percent.
Ian Shepherdson of Pantheon Macroeconomics said the July lull appeared to be the "calm before the storm."
An August survey of US manufacturers showed export orders had fallen to a 10-year low, meaning "the next few months are likely to see a serious rollover in exports," he said in a note to clients.
The hit to GDP growth in the third quarter will likely be "modest," he added, "but the outlook is grim."
source: news.abs-cbn.com
