Refugees in Egypt Struggle as UNHCR Halts Financial Support for Thousands

UNHCR has cut financial aid for thousands of refugees in Egypt due to a global funding crisis, leaving vulnerable families—especially women, children, and the elderly—at risk of hunger and displacement.
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Mona Ali, a Yemeni refugee in Egypt, lives with her three children on the modest monthly aid she receives from the UNHCR. Often, the assistance falls short of covering her family’s basic needs, forcing her to borrow from relatives or neighbors—especially as living and housing costs rise and some landlords exploit the precarious legal status of refugees. “My life is at stake,” she told Zawia3, “If the aid stops, I might starve with my children.” She hopes this never becomes reality.

In her forties, Mona fled to Cairo ten years ago to escape the war in Yemen. Today, she faces an uncertain future, like hundreds—perhaps thousands—of refugee families living in Egypt. They are now confronted with an unprecedented situation following the UNHCR’s decision to reduce financial aid due to a severe funding crisis. Mona still holds hope of being exempted or that the decision will be reversed, though that hope is increasingly faint.

A few days ago, the UNHCR in Egypt announced that it would reduce the number of families receiving monthly financial aid starting this month, reflecting the depth of the global financial strain it faces. The agency stated that assistance will be reserved only for the most vulnerable cases, citing unprecedented funding challenges that have limited its ability to meet the basic needs of tens of thousands of refugees in Egypt. Families removed from the aid program will receive a text message on their registered phone numbers and are encouraged to update their information through the hotline, reception centers, or partner organizations. The UNHCR also confirmed that all economic vulnerability assessments are currently on hold.

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Severe Funding Crisis

As of March 2025, nearly 942,000 refugees and asylum seekers from more than 60 nationalities were registered with UNHCR in Egypt. Sudanese nationals make up the largest group, followed by Syrians, Eritreans, Ethiopians, South Sudanese, Somalis, Yemenis, and Iraqis. Most live in urban areas such as Greater Cairo and Alexandria and rely heavily on humanitarian aid due to economic hardship and limited access to formal employment.

The UN defines a refugee as someone who has fled their country due to war, violence, or persecution and is unable or unwilling to return. According to the 1951 Refugee Convention, a refugee is someone “outside their country of origin or habitual residence due to a well-founded fear of persecution based on race, religion, nationality, membership of a particular social group, or political opinion.”

Speaking to Zawia3, Christine Beshay, UNHCR Egypt spokesperson, said:

“UNHCR is facing a global funding crisis that has directly affected our ability to meet all refugee needs. As a result, current assistance is being directed to the most vulnerable families based on detailed case assessments.”

She added: “We fully recognize the impact these cuts will have on many households and are doing everything we can to mitigate the consequences by coordinating with our partners and Egyptian authorities. UNHCR continues to mobilize support from international donors and expand partnerships—including with the private sector—to secure additional sustainable funding.”

Beshay also confirmed coordination with the Egyptian government to ease the impact: “We are supporting the Egyptian government in strengthening infrastructure and public services that benefit both refugees and host communities. The severe reduction in humanitarian funding is already devastating. With reduced aid, the lives of millions are at risk.”

She warned that the impact is immediate and extreme:

“Life-saving medicines, emergency shelter, food, relief materials, clean water, and protection services—including for children and survivors of gender-based violence and trafficking—have been cut or suspended. As wars continue to displace thousands, these cuts mean those most at risk won’t get the help they need, and more lives will be lost. This is not just a funding gap—it is a crisis of responsibility. Without proper support, suffering, instability, and lost futures will become the norm. Supporting refugees and host communities is not only a moral obligation—it is a smart investment in stability, reduced risky migration, local development, and peace.”

No Support from the Egyptian Government

Amr Magdi, researcher at Human Rights Watch, told Zawia3 that the Egyptian government provides little to no financial support for the refugees residing in its territory. “They have long relied on humanitarian aid from UNHCR and international organizations. Any cuts will have catastrophic humanitarian consequences for communities already living under extremely difficult conditions.”

He added:

“There is a misleading official narrative in Egypt suggesting that refugees receive state services like Egyptian citizens—but this is far from reality, even in basic rights such as access to primary education. Refugee children face immense barriers to enrollment, and an estimated 50% remain out of school.”

Magdi also criticized the state’s exaggeration of refugee numbers: “The government claims there are 10 million refugees in Egypt—roughly 10% of the population—a number not backed by any official or credible sources. Realistic estimates point to hundreds of thousands. Many Arab nationals residing in Egypt, like thousands of Syrians, entered legally and rely on private income, without receiving any UNHCR support because they are not registered as refugees.”

He continued: “Using the same logic, one could argue that the 15 million Egyptians living abroad are also refugees—which shows how absurd the government’s rhetoric is. It’s unacceptable to label all non-Europeans in Egypt as ‘refugees’ to inflate numbers and justify policies that don’t match reality.”

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How Will the Decision Impact Refugees?

Egypt is one of the top refugee-hosting countries in the MENA region, with growing numbers from multiple nationalities living across the country—mainly in Greater Cairo, Alexandria, and new urban centers. Most face acute living challenges amid economic downturn, high unemployment, and rising prices. While the Egyptian government does make some basic services available, most essential aid comes from UNHCR and its partners in the form of cash assistance, healthcare, education support, and legal and psychosocial services.

For years, the UNHCR’s monthly cash assistance has been a lifeline for tens of thousands of refugee families with no steady income. But this changed significantly with the recent announcement of large-scale reductions due to lack of funding.

Mahmoud Shalaby, Egypt and Libya researcher at Amnesty International, warned Zawia3 that the cut “will deepen refugees’ daily suffering and push thousands of families into extreme poverty.” He explained:

“Refugees in Egypt already live under intense economic pressure, struggling to afford basic needs such as food, shelter, healthcare, and education. Now, with the UNHCR reducing cash support, these necessities are more threatened than ever.”

Shalaby emphasized that the main reason behind the cuts is a decline in international funding, which has placed huge pressure on the UNHCR. He called for urgent international action to restore the principle of responsibility-sharing among countries and ensure a fair distribution of refugee protection duties.

As for the Egyptian government’s role in mitigating the crisis, Shalaby stressed the need to activate Egypt’s asylum law—regardless of whether it requires amendment. Egypt is bound by international obligations ensuring refugees’ right to access education and healthcare. “They must be truly integrated into these systems, not left on the margins. The legal framework exists, but has yet to be enforced—and that deepens their suffering.”

Although the cutbacks apply to all nationalities, certain vulnerable groups are expected to be hit hardest—including single mothers, the elderly, people with disabilities, and unaccompanied minors. These individuals rely entirely on monthly aid for food, housing, and medical care. Without it, they face food insecurity or even homelessness—especially in high-cost cities like Cairo. UNHCR reports indicate that nearly 50% of refugees in Egypt are already food insecure, and the reduction only worsens this crisis.

Egypt is not alone in facing the consequences. In Lebanon, UNHCR previously cut aid to Syrian refugees by 40%, sparking major protests in the Bekaa Valley camps. In Jordan, aid cuts at Zaatari Camp have increased pressure on both the government and humanitarian organizations.

Tightening the Noose Around Refugees in Egypt

Noor Khalil, human rights activist and executive director of Refugees Platform in Egypt, told Zawia3:

“This isn’t the first time UNHCR has cut vital aid. Just months ago, it suspended life-saving medical assistance for thousands of refugees. And with residence permit appointments pushed to the end of 2027, many refugees are now considered ‘illegal’ by Egyptian authorities—even if they hold UNHCR cards—exposing them to exploitation, arrest, deportation, and denial of essential services like education, healthcare, and legal protection.”

Khalil described this labeling of refugees as “illegal” while denying them their rights as effectively a death sentence. The situation is even more dire for Sudanese refugees, many of whom are fleeing one of the world’s worst humanitarian crises. “Educational access is collapsing,” he said. “Less than 3% of refugee children in Egypt receive formal education—mainly due to complex bureaucracy and lack of resources.”

He called for civil society and support networks to rethink the stability of humanitarian funding, organize community responses to unfolding disasters, and actively seek alternative funding sources beyond international donors. “This aid was never sufficient to begin with,” Khalil said, “and it has long been entangled in bureaucracy and delays that made it difficult to access.”

In conclusion, Khalil urged both the UNHCR and the Egyptian government to take full responsibility. “If UNHCR’s humanitarian funding continues to decline, and the Egyptian government continues to deny services, this crisis will escalate into a full-blown disaster.”

Egypt’s Legal Obligations

Egypt is a signatory to the 1951 Refugee Convention and its 1967 Protocol, and bears responsibility for protecting those who flee to its territory. Article 91 of Egypt’s 2014 Constitution affirms the state’s right to grant political asylum to anyone persecuted for defending people’s interests, while Article 93 obliges Egypt to comply with international human rights treaties.

In December, Egypt passed a new asylum law that sparked national and international debate. While the law aims to regulate the reception and legal protection of refugees, it also imposes restrictions some view as arbitrary.

The law includes 39 articles outlining refugee procedures. Among them is the creation of a permanent refugee committee under the Cabinet, tasked with collecting refugee statistics and deciding asylum claims. It sets a six-month window to process legal entries, and a one-year deadline for those who entered illegally—giving priority to vulnerable groups including people with disabilities, the elderly, pregnant women, unaccompanied minors, trafficking survivors, and victims of sexual violence.

With global crises mounting and donor funding shrinking, refugees in Egypt now stand at the edge of collapse—without clear prospects or guarantees of continuity. As wars continue to push thousands of families to flee, their fate is increasingly reduced to numbers in shrinking international budgets. What’s most alarming is that these aid cuts don’t just endanger refugee lives—they also place growing pressure on host communities.

This moment demands urgent international action to revive the principle of shared responsibility and uphold the rights of those who have fled hell in search of safety—only to find themselves facing the unknown, with hope left behind.

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