Trump administration at odds with UNHCR deputy head, sources tell Reuters

Rohingya refugee children hold placards appealing to the UNHCR (United Nations High Commissioner for Refugees) for help following government notices ordering the removal of unauthorized structures in Jammu, India, Wednesday, Sept. 16, 2026.(AP Photo/Channi Anand)

GENEVA - The Trump administration is refusing to work with the newly appointed deputy head of the United Nations refugee agency, exposing tensions between the agency and one of its top donors at a time of acute funding pressures, diplomats said.

Tressa Rae Finerty, an American who took up the role of Deputy High Commissioner at UNHCR earlier this month, has taken leave as she seeks a waiver from the U.S. government that would allow her to carry out aspects of her duties, according to seven diplomatic sources.

Her treatment by Washington, which previously considered cutting ties with the agency, is seen by several of the diplomats as a retaliatory response after UNHCR opted against Washington’s preferred candidate, Simon Hankinson.

A State Department spokesperson said it could not comment on pending legal issues. .“..We work with and through UNHCR when doing so advances US foreign policy interests,” the spokesperson said.

Finerty did not immediately respond to a request for comment.

The standoff comes as UNHCR grapples with one of its worst-ever funding crises following aid cuts by the Trump administration and others, at a time of record global displacement.

Finerty, a career U.S. diplomat who previously served as charge d’affaires at the U.S. Mission to the UN in Geneva, is currently unable to interact directly with U.S. officials because of post-employment restrictions that apply to former U.S. government personnel, the sources said.

Violations of the restrictions, designed to prevent conflicts of interest, could in theory result in a prison sentence.

UNHCR told Reuters that Finerty requested a partial waiver from the U.S. government late last month.

“This relates, in particular, to her participation in multilateral meetings that U.S. Department of State officials attend,” UNHCR said in a statement.

“We are hoping for a speedy and favorable resolution to this matter,” it said, adding that the agency’s operations and reform agenda continued “at full pace.”

Key role for donors

The failure to obtain a waiver is seen as highly unusual because they are granted routinely for other former U.S. staff entering the global body, diplomats and UN staff said.

The deputy high commissioner is traditionally one of the agency’s most important interlocutors with major donors, including the U.S., diplomats and former officials said, adding Finerty’s situation may make it challenging for UNHCR to fundraise with the US.

The U.S., which has withdrawn from dozens of other UN entities under President Donald Trump, had long been the agency’s largest donor.

According to UNHCR data, Washington contributed more than US$800 million in 2025, accounting for nearly a quarter of the agency’s US$3.6 billion in contributions. That dropped to around US$110 million this year – of which US$89 million was direct government funding, and the rest was from U.S. companies and individuals.

The agency told Reuters that it estimated that its available funds in 2026 may reach just over $3 billion, 15 per cent lower than last year and 43 per cent lower than 2024.

Reporting by Olivia Le Poidevin and Emma Farge; Additional reporting by Jonathan Landay in Washington; Editing by Alex Richardson