The UN refugee agency, UNHCR, has warned that 8.3 million refugees, forcibly displaced and stateless people may lose access to essential protection and support due to deep cuts in humanitarian funding. According to its latest report, Protection Eroded: The Human Cost of Underfunding, released on September 29, funding available for its work dropped from $5.178 billion in 2024 to $3.932 billion in 2025. This reduction comes as humanitarian needs remain high, with 117.8 million people forcibly displaced at the end of 2025.
The situation worsened in 2026, with UNHCR receiving only 32 per cent of the $8.5 billion needed for its operations by July. The agency's 2026 Global Appeal requires $8.505 billion to support its work in 128 countries and territories. UNHCR estimates that the number of people who could be forcibly displaced or stateless may reach 136 million by the end of the year. Despite a fall in the overall number of forcibly displaced people, millions continue to depend on humanitarian services.
According to UNHCR's latest Global Trends data, 41.6 million refugees worldwide and 68.7 million internally displaced people were recorded at the end of 2025. However, the agency noted that the reduction in funding does not mean the need for protection and assistance has disappeared. Funding shortages are already affecting basic services, including refugee registration, child protection, safe houses, and assistance for survivors of gender-based violence.
The impact of funding cuts is being felt in various countries. In Afghanistan, over one million people have returned in 2026 alone, but the cash grant given to people returning to the country has been reduced from $375 per person to $170 per household. Support for reintegration has also dropped sharply, with grants reaching only 175 households so far in 2026, compared with 5,300 households in 2024. In Chad, 319,000 people face delays in registration, putting them at risk of detention.
UNHCR warned that lack of documentation could increase exposure to detention for refugees in Chad. Up to 200,000 women and girls in Chad could also lose access to safe spaces, while about 233,000 children are at risk of losing child protection services. Similar cuts have been recorded in Ethiopia, where the number of safe houses available to survivors of gender-based violence fell from 29 to 13 in one year. Child protection coverage in some areas has also dropped by as much as 85 per cent.
UNHCR Director of External Relations Dominique Hyde warned that reducing protection services could leave displaced people exposed to the same threats that forced them to flee their homes. The agency has already taken steps to reduce spending, including cutting its workforce by a third in 2025 and closing offices in 140 locations. However, Hyde emphasized that protection programmes cannot be reduced indefinitely without affecting the systems used to identify people at risk and respond to their needs.
The burden of supporting displaced populations continues to fall heavily on poorer countries, with 68 per cent of refugees and other people in need of international protection hosted by low- and middle-income countries. UNHCR is calling on donors and partners to provide urgent financial support and increase flexible funding to prevent further reductions in protection services.
Key points
- 8.3 million displaced people may lose access to essential protection and support due to funding cuts.
- UNHCR's 2026 Global Appeal requires $8.505 billion to support its work in 128 countries and territories.
- Funding cuts are affecting basic services, including refugee registration, child protection, and assistance for survivors of gender-based violence.
