In the aftermath of conflict, nations are often left without the most basic infrastructure and services. Access to capital can become difficult, and jobs, scarce. Sustainable economic growth has been identified as being positively correlated with the likelihood of a country not slipping back into conflict. Inclusive job creation contributes to a well-functioning state and generates growth.
$100 billion estimated annual cost of conflict
Conflict and fragility go hand in hand, reinforcing each other. Getting out of this “conflict trap” remains an elusive goal for many post-conflict countries, given their weak governance and limited institutional capacity, political instability, ongoing violence, and—in some cases— the traumatic legacy of past conflict. Building new institutional capacity requires strong and committed leadership and a comprehensive understanding of a nation’s strengths.
1.5 billion people or every one in four live in fragile and conflict affected states or in countries with very high levels of violence.
IDA puts in place the building blocks for countries to rebuild and for people to resume constructive lives.
Conflict begets poverty by undermining economic development. It removes personal security and, by weakening governance, allows violent crime including trafficking in narcotics and people to flourish. It threatens both national and regional stability. IDA provides the finance needed to rebuild the state and develop the infrastructure that people need to resume peaceful and constructive lives.