The Organisation for Security and Co-operation in Europe (OSCE) has weathered financial turbulence to emerge with its balance sheet intact, a testament to the dedication of its staff and sound management practices. However, the UK has highlighted the need for more predictable funding, underscoring the importance of agreeing on a 2027 Unified Budget.
A key finding of the OSCE's External Auditor's report is that the organisation's financial statements for 2025 were unqualified, signifying their accuracy and adherence to international accounting standards. This endorsement is a result of the unwavering professionalism displayed by OSCE staff, who navigated challenging circumstances with ease.
The reports have also confirmed the OSCE's robust financial liquidity, supported by a healthy balance sheet, sizeable cash reserves and investments, and successful implementation of new accounting standards. These factors collectively indicate a strong financial foundation for the organisation, enabling it to carry out its mandates effectively.
Despite these positives, the UK noted that the absence of an agreed 2025 budget posed significant constraints on strategic planning and organisational flexibility. The subsequent agreement of the 2026 Unified Budget under Switzerland's chairpersonship has been welcomed as a crucial step towards re-establishing budgetary certainty, allowing the OSCE to plan effectively and invest in critical capabilities.
As the UK looks ahead to future budget cycles, it expressed hope that all delegations would build on this positive momentum by working towards an agreed 2027 Unified Budget. Such a budget would provide the OSCE with a stable platform to implement necessary reforms in the coming years, and the UK has commended successive Chairs-in-Office, Finland and Switzerland, for their proposals aimed at optimising the organisation's work.