The European Commission has committed €126 million ($137 million) to support humanitarian operations in Pakistan, Iran, and Afghanistan in 2026, part of an initial €1.9 billion aid package designed to address global crises amid funding shortfalls from other major donors.

The allocation comes as an estimated 239 million people worldwide require humanitarian assistance, the Commission said in a statement on Wednesday. In addition, over €415 million has been reserved to respond to sudden-onset emergencies and to maintain strategic supply chains.

EC Commissioner for Equality, Preparedness, and Crisis Management Hadja Lahbib announced the commitment at the World Economic Forum in Davos, emphasizing the need for private sector engagement and innovative solutions to complement public funding. “The humanitarian system is under unprecedented strain, and public funding alone will not meet the scale of the crisis,” she said.

“Europe is taking action, committing an initial €1.9 billion for 2026. As the largest humanitarian donor, we are taking our political responsibility and leading the global response,” Lahbib added. She will also co-host an event at the WEF on “New Alliances in Aid and Development” to explore partnerships that enhance global humanitarian efforts.

The European Commission noted that the EU and its member states remain the world’s leading humanitarian aid donors.

Rising Displacement

Meanwhile, the UN Refugee Agency (UNHCR) reported in its 2025 Impact Report that a combination of new emergencies and protracted crises forced millions from their homes last year. By mid-2025, approximately 117.3 million people were forcibly displaced, a slight decrease from the previous year. However, projections indicate that the global displaced population—including returnees and stateless persons—could surpass 136 million by the end of 2026.

UNHCR warned that severe funding cuts have affected all aspects of its operations, including emergency responses, forcing the agency to scale down both activities and staff by one-third.

The agency stressed that without increased and flexible funding, its ability to respond rapidly to new crises will be severely limited, just as global humanitarian needs continue to grow.