The Global Mental Health Crisis Surges Amid $200 Billion Funding Gap

In New York, participants attend the multi-stakeholders’ hearing for the prevention and control of non-communicable diseases and mental health and well-being. Credit: UN Photo/Loey Felipe

By Oritro Karim
UNITED NATIONS, Jun 18 2025 (IPS)

Although access to mental health and psychosocial support services is considered a fundamental human right by the United Nations (UN), hundreds of millions of people experience limited or inadequate access to mental health and psychosocial support services.

On June 6, the United Nations Children’s Fund (UNICEF) and the World Health Organization (WHO) published a joint summary report on the wellbeing and development of children and adolescents around the world. In this report, the two organizations underscored the risks of neglecting the importance of mental health and called for systemic change in access to critical care.

According to UNICEF and WHO, the global government expenditure for mental health services accounts for only 2 percent of the overall global health budget, with only a fraction going toward children and adolescents. This is particularly alarming, as UN-Women estimates that nearly 20 percent of global health emergencies are a result of mental and psychological conditions.

“The right to the enjoyment of the highest attainable standard of physical and mental health will only be realised if investment in mental health is increased and improved. It is important to understand what the current financial situation is across the world, and this report shows that it is not good,” said James Sale, the Director of Policy, Advocacy and Finance at United for Global Mental Health (UnitedGMH). “With the growing interest in improving mental health, now is the time to redouble our efforts in encouraging governments and donors to provide the money that is desperately needed by so many.”

WHO states that in some countries, up to 90 percent of individuals facing severe mental health challenges receive no care at all. Additionally, many mental health systems globally rely on “outdated institutional models”, falling short of modern international human rights standards. Furthermore, UnitedGMH states there is currently a USD 200 billion gap in annual funding for mental health and psychosocial services, with the majority of the world’s nations falling far below modest mental health baselines.

This leaves children across the world vulnerable to suicide, a reduced quality of life, and stunted social and professional development. To ensure that all young people face equal opportunities for success, it is imperative that governments and other relevant stakeholders, including the private sector, work together to increase funding for mental health and psychosocial support services.

“There are two key stages in childhood for reaching one’s full potential: the early years of life and, later, starting around the age of 10. This age represents a second opportunity to stimulate development and build adolescents’ coping mechanisms. It is essential that they are supported in making their own decisions, participating in community life, and not remaining passive,” said Angela Capcelea, Head of the Health Section at UNICEF.

Funding is particularly scarce in lower-income countries, in which it is estimated that there is fewer than one mental healthcare professional for every one million young people. Additionally, the psychosocial needs of young people in developing countries are compounded by higher rates of violence, armed conflict, natural disasters, heightened social stigma, and an overall lack of basic services.

According to figures from UN Women, almost every person that lives through a protracted humanitarian crisis experiences significant levels of psychological distress. One in five of these people are estimated to develop long-term mental health conditions such as depression, anxiety, post-traumatic stress disorder, schizophrenia, and bipolar disorder.

UN Women states that due to constant bombardment, displacement, and a lack of basic services in Gaza, the mental health of young women and girls is currently at a “breaking point”. It is estimated that roughly 75 percent of women in Gaza experience depression, 62 percent experience insomnia, and 65 percent experience nightmares and anxiety.

In Afghanistan, roughly 68 percent of women describe their mental health as being “bad” or “very bad”, with eight percent also reporting that they personally know someone who has attempted suicide. Due to the numerous edicts in Afghanistan that restrict women’s autonomy, as well as a strong social stigma around mental health, the majority of women and girls are left with virtually no psychosocial resources.

Additionally, cuts in the United States Agency for International Development (USAID) have decimated global funding for mental health and psychosocial support programs, with many reporting that they had to cease or scale back operations. According to the Global Mental Health Action Network, there were 131 global programs, including 9,343 staff, that were providing mental health care to vulnerable communities. Roughly 73 percent of these positions were cut.

Furthermore, over 50,000 people across 32 countries that were training to become mental health practitioners lost access to their education. In 2025, approximately 5,908 people will receive training, marking a stark decline from the 55,911 people in 2024. WHO projects that the global number of mental health workers will fall to roughly 10 million by 2030, with low and middle-income countries facing shortages of approximately 1.18 million mental health workers.

“My program works with unaccompanied minors. Due to budget cuts, over 60% of staff have been furloughed and in process of being laid off,” said Lucy Onen Adoch, the Partnerships Program Coordinator for StrongMinds in Uganda, a nonprofit organization that provides mental healthcare support for depression. “The government halted access to funds that directly impact mental health services to unaccompanied minors and their families, as well as access to case management services and connection to community resources such as education and legal services.”

IPS UN Bureau Report