UN chief outlines four options for embattled Palestinian relief agency UNRWA

A review of UNRWA has identified four possible ways forward for the organization that has lost US funding and been banned by Israel. (File/Reuters)
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Updated 09 July 2025
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UN chief outlines four options for embattled Palestinian relief agency UNRWA

  • UNRWA is also dealing with a dire financial crisis, facing a $200-million deficit
  • US was UNRWA’s biggest donor, but former President Joe Biden paused funding in January 2024

UNITED NATIONS: A review of the embattled United Nations Palestinian relief agency UNRWA, ordered by Secretary-General Antonio Guterres, has identified four possible ways forward for the organization that has lost US funding and been banned by Israel.
The proposals, seen by Reuters, are: inaction that could see the potential collapse of UNRWA; a reduction of services; the creation of an executive board to advise UNRWA; or maintaining UNRWA’s rights-based core while transferring services to host governments and the Palestinian Authority. While Guterres ordered the strategic assessment of UNRWA in April as part of his wider UN reform efforts, only the 193-member UN General Assembly can change UNRWA’s mandate.
UNRWA was established by the General Assembly in 1949 following the war surrounding the founding of Israel. It provides aid, health and education to millions of Palestinians in Gaza, the West Bank, Syria, Lebanon and Jordan.
“I believe it is imperative that Member States take action to protect the rights of Palestine refugees, the mandate of UNRWA and regional peace and security,” Guterres wrote in a letter dated on Monday and seen by Reuters submitting the UNRWA assessment to the General Assembly. The review comes after Israel adopted a law in October, which was enacted on January 30, that bans UNRWA’s operation on Israeli land — including East Jerusalem, which Israel annexed in a move not recognized internationally — and contact with Israeli authorities.
UNRWA is also dealing with a dire financial crisis, facing a $200-million deficit. The US was UNRWA’s biggest donor, but former President Joe Biden paused funding in January 2024 after Israel accused about a dozen UNRWA staff of taking part in the deadly October 7, 2023, attack by Palestinian militants Hamas that triggered the war in Gaza. The funding halt was then extended by the US Congress and President Donald Trump.
Four options
The UN has said nine UNRWA staff may have been involved in the Hamas attack and were fired. A Hamas commander in Lebanon — killed in September by Israel — was also found to have had an UNRWA job. The UN has vowed to investigate all accusations and repeatedly asked Israel for evidence, which it says has not been provided. Israel has long been critical of UNRWA, while UNRWA has said it has been the target of a “fierce disinformation campaign” to “portray the agency as a terrorist organization.” Guterres and the UN Security Council have described UNRWA as the backbone of the aid response in Gaza.
The first possible option outlined by the UNRWA strategic assessment was inaction and the potential collapse of the agency, noting that “this scenario would exacerbate humanitarian need, heighten social unrest, and deepen regional fragility” and “represent a significant abandonment of Palestine refugees by the international community.”
The second option was to reduce services by “aligning UNRWA’s operations with a reduced and more predictable level of funding through service cuts and transfer of some functions to other actors.”
The third option was to create an executive board to advise and support UNRWA’s commissioner-general, enhance accountability and take responsibility for securing multi-year funding and aligning UNRWA’s funding and services. The final potential option would see UNRWA maintain its functions as custodian of Palestine refugee rights, registration, and advocacy for refugee access to services, “while progressively shifting service provision to host governments and the Palestinian Authority, with strong international commitment to funding.”


Iraq’s dreams of wheat independence dashed by water crisis 

Updated 11 min 8 sec ago
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Iraq’s dreams of wheat independence dashed by water crisis 

  • Iraq ranks fifth globally for climate risk
  • Average temperatures in Iraq have risen nearly half a degree Celsius per decade since 2000

NAJAF: Iraqi wheat farmer Ma’an Al-Fatlawi has long depended on the nearby Euphrates River to feed his fields near the city of Najaf. But this year, those waters, which made the Fertile Crescent a cradle of ancient civilization 10,000 years ago, are drying up, and he sees few options.
“Drilling wells is not successful in our land, because the water is saline,” Al-Fatlawi said, as he stood by an irrigation canal near his parched fields awaiting the release of his allotted water supply.
A push by Iraq — historically among the Middle East’s biggest wheat importers — to guarantee food security by ensuring wheat production covers the country’s needs has led to three successive annual surpluses of the staple grain.
But those hard-won advances are now under threat as the driest year in modern history and record-low water levels in the Tigris and Euphrates rivers have reduced planting and could slash the harvest by up to 50 percent this season.
“Iraq is facing one of the most severe droughts that has been observed in decades,” the UN Food and Agriculture Organization’s Iraq representative Salah El Hajj Hassan told Reuters.

VULNERABLE TO NATURE AND NEIGHBOURS
The crisis is laying bare Iraq’s vulnerability.
A largely desert nation, Iraq ranks fifth globally for climate risk, according to the UN’s Global Environment Outlook. Average temperatures in Iraq have risen nearly half a degree Celsius per decade since 2000 and could climb by up to 5.6 C by the end of the century compared to the period before industrialization, according to the International Energy Agency. Rainfall is projected to decline.
But Iraq is also at the mercy of its neighbors for 70 percent of its water supply. And Turkiye and Iran have been using upstream dams to take a greater share of the region’s shared resource.
The FAO says the diminishing amount of water that has trickled down to Iraq is the biggest factor behind the current crisis, which has forced Baghdad to introduce rationing.
Iraq’s water reserves have plunged from 60 billion cubic meters in 2020 to less than 4 billion today, said El Hajj Hassan, who expects wheat production this season to drop by 30 percent to 50 percent.
“Rain-fed and irrigated agriculture are directly affected nationwide,” he said.

EFFORTS TO END IMPORT DEPENDENCE UNDER THREAT
To wean the country off its dependence on imports, Iraq’s government has in recent years paid for high-yield seeds and inputs, promoted modern irrigation and desert farming to expand cultivation, and subsidised grain purchases to offer farmers more than double global wheat prices.
It is a plan that, though expensive, has boosted strategic wheat reserves to over 6 million metric tons in some seasons, overwhelming Iraq’s silo capacity. The government, which purchased around 5.1 million tons of the 2025 harvest, said in September that those reserves could meet up to a year of demand.
Others, however, including Harry Istepanian — a water expert and founder of Iraq Climate Change Center — now expect imports to rise again, putting the country at greater risk of higher food prices with knock-on effects for trade and government budgets.
“Iraq’s water and food security crisis is no longer just an environmental problem; it has immediate economic and security spillovers,” Istepanian told Reuters.
A preliminary FAO forecast anticipates wheat import needs for the 2025/26 marketing year to increase to about 2.4 million tons.
Global wheat markets are currently oversupplied, offering cheaper options, but Iraq could once again face price volatility.
Iraq’s trade ministry did not respond to a request for comment on the likelihood of increased imports.
In response to the crisis, the ministry of agriculture capped river-irrigated wheat at 1 million dunams in the 2025/26 season — half last season’s level — and mandated modern irrigation techniques including drip and sprinkler systems to replace flood irrigation through open canals, which loses water through evaporation and seepage.
A dunam is a measurement of area roughly equivalent to a quarter acre.
The ministry is allocating 3.5 million dunams in desert areas using groundwater. That too is contingent on the use of modern irrigation.
“The plan was implemented in two phases,” said Mahdi Dhamad Al-Qaisi, an adviser to the agriculture minister. “Both require modern irrigation.”
Rice cultivation, meanwhile, which is far more water-intensive than wheat, was banned nationwide.

RURAL LIVELIHOODS AT RISK
One ton of wheat production in Iraq requires about 1,100 cubic meters of water, said Ammar Abdul-Khaliq, head of the Wells and Groundwater Authority in southern Iraq. Pivoting to more dependence on wells to replace river water is risky.
“If water extraction continues without scientific study, groundwater reserves will decline,” he said.
Basra aquifers, he said, have already fallen by three to five meters.
Groundwater irrigation systems are also expensive due to the required infrastructure like sprinklers and concrete basins. That presents a further economic challenge to rural Iraqis, who make up around 30 percent of the population.
Some 170,000 people have already been displaced in rural areas due to water scarcity, the FAO’s El Hajj Hassan said.
“This is not a matter of only food security,” he said. “It’s worse when we look at it from the perspective of livelihoods.”
At his farm in Najaf, Al-Fatlawi is now experiencing that first-hand, having cut his wheat acreage to a fifth of its normal level this season and laid off all but two of his 10 workers.
“We rely on river water,” he said.