WHO’s getting demolished again

The US has accused the United Nations body, the World Health Organization (WHO), of mismanaging the coronavirus pandemic and failing to make “greatly needed reforms,” which resulted in the administration of US President Donald Trump abandoning the agency.

WHO faces a $175-million budget deficit this year following the funding cut by the US, which had accounted for 15-percent of its income.

A local group is now calling on the WHO to use its limited funds to distribute medicines and vaccines in developing countries instead of hiring senior executives and holding expensive meetings in Europe.

“The WHO can still fulfill its mandate of promoting health and safety while helping the vulnerable worldwide by actually extending medicines and vaccines to those that need them the most and not engaging in endless debates on whether modern technologies such as smoke-free products should be banned or not,” the local group said.

The WHO is under scrutiny for supposedly hiring highly-paid senior executives in recent years.

An analysis of WHO human resources data by Health Policy Watch indicated a substantial rise in D2-level directors, a high-ranking position below the director-general’s senior team. The number of these directors reached 75 in July 2024, up from 39 in July 2017.

The total estimated cost for these senior positions, including the director-general’s team, is about $92 million. That figure could potentially rise to $130 million when including P6-level staff who hold similar management responsibilities, the analysis said.

The report indicated that the majority of the new D2 positions are at WHO’s Geneva headquarters, the organization’s most expensive location. Significant increases were also noted in other regions, including Africa.

WHO is sponsoring an expensive meeting called the WHO Framework Convention on Tobacco Control Conference of the Parties (COP 11). During COP 11, WHO directors are expected to again pressure countries to accept its prohibitionist stance without listening to the millions of consumers and stakeholders who are most concerned.

WHO has to set aside its bias and consider real-world evidence on the benefits of reduced-risk products rather than imposing broad restrictions that could hinder smokers from accessing safer alternatives.

It is time for the WHO to refocus on its mandate of improving public health, instead of spending its resources on highly paid officials who support its dogmatism, such as by alienating the hundreds of millions of smokers who deserve less harmful alternatives.

With the US withdrawing its support from the WHO, hiring more executives is unjustifiable, according to the local group.

WHO director-General Tedros Adhanom Ghebreyesus has announced cost-cutting measures, including a hiring freeze, reductions in temporary staff, and the formation of committees to assess further efficiencies. WHO said it has also implemented restrictions on contract extensions and offered early retirement options.

Critics said these measures disproportionately affect lower-level staff while the number of high-ranking directors continues to grow. With the US fund pullout, relocating staff to regional and country offices, reducing top-level positions, and implementing a merit-based human resources strategy were proposed.

Concerns were also raised about the transparency of staff costs, as published salary figures do not include allowances and benefits.

WHO’s reliance on consultants has also increased, with contract numbers more than doubling since 2018. The report warned that this trend could lead to a loss of institutional knowledge and skills.

WHO spokeswoman Margaret Harris said the organization is focused on “cost containment” and shifting resources to country-level programs.

Critics seek greater transparency in WHO staff expenses and a “recalibration of the pyramid” to emphasize efficiency and effectiveness. WHO has yet to provide specific comments on the increase in D2 positions and overall staffing costs.

Bloomberg Philanthropies, which was previously accused by the Philippine Congress of intervening in local policies, has become the primary private financier of the UN agency.

During a congressional inquiry into the Food and Drug Administration’s receipt of foreign money to fund regulations for non-combustible alternatives to cigarettes, Congress condemned the practice of private organizations influencing national policies through grants to government agencies.

Undying gold myth

Among the most enduring urban tales in the current administration is the Bangko Sentral ng Pilipinas (BSP) gold sale as being a cover-up for a more significant transfer of the precious metal, which a BSP insider dismissed as a pure canard.

The source cedes though that if anybody can pull it off, it would necessarily need the involvement of the central bank.

The BSP sold nearly 25 tons of gold in the first half of 2024, capitalizing on its high price of $2,000 to $2,400 per ounce to generate an estimated $1.5 billion to $2 billion in proceeds.

The BSP issued a statement that said this was part of an active portfolio management, citing gold’s volatility, high custody costs, and the need to keep gold’s share of its gross international reserves (GIR) at around 8 percent to 10 percent.

The GIR remained strong at $107.9 billion by August 2024, supporting the BSP’s claim that the sale didn’t weaken its financial stability.

The BSP maintains a gold deposit in the Bank of England, and selling some of the metal would mean fewer bank fees.

The source said the lack of a detailed disclosure on how the proceeds were reinvested, whether in US Treasuries, other debt papers, or if it was used for foreign exchange interventions, has fueled the skepticism.

“In the Philippines, where conspiracy theories and scandals abound, distrust is prevalent. The lack of information invites speculation about motives, including diversionary tactics to obscure mismanagement or other agendas,” the source explained.

The real issue is communication. By not proactively detailing how the proceeds were used, there was room for speculation to grow unchecked.

Nonetheless, the BSP is required to maintain a level of secrecy to prevent telegraphing its policy moves, which could be exploited to make colossal money.