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Conflict and Fragility

Fostering Private Sector Development in Fragile States: A Piece of Cake?

Steve Utterwulghe's picture
Private sector development (PSD) plays a crucial role in post-conflict economic development and poverty alleviation. Fragile states, however, face major challenges, such as difficult access to finance, power and markets; poor infrastructure; high levels of corruption; and a lack of transparency in the regulatory environment. 

The private sector has demonstrated its resilience in the face of conflict and fragility, operating at the informal level and delivering services that are traditionally the mandate of public institutions. However, in post-conflict situations, PSD can have predatory aspects, thriving on the institutional and regulatory vacuum that prevails. The private sector will need to create 90 percent of jobs worldwide to meet the international community’s antipoverty goals, so pro-poor and pro-growth strategies need to focus on strengthening the positive aspects of PSD, even while tackling its negative aspects.

What’s the Secret to Institutions Successfully “Taking Root”?

Elisabeth Huybens's picture


From August 2002, just months after Timor-Leste gained independence, to April 2006, I was the World Bank’s Country Manager for Timor-Leste and thus eyewitness to an unfolding state-building process. The experience affected me profoundly as a development professional. In the short time I lived in Timor-Leste, and notwithstanding daunting circumstances, I saw some agencies, in particular the Ministry of Health and the Central Bank, grow into institutions that delivered results and broadly gained the trust of the population. When community violence erupted in 2006, the Ministry of Health responded effectively, and the Ministry of Social Solidarity repurposed itself around the drawn out displacement process that followed. 
 
My observation of this process is what inspired Institutions Taking Root, a new report that illustrates how institutions can become effective even in the most fragile of circumstances. The report looks at some public institutions that do manage to deliver results, earn legitimacy among citizens, and forge resilience.  While the specific experiences of these agencies vary from country to country, learning more about the practices and policies that contribute to their success can reveal important clues about how institutions grow stronger and take root in fragile contexts.

Do I need to understand conflict in order to do mining?

Christopher Sheldon's picture
Conflict Diamonds
A National Geographic Special on conflict diamonds.

I am a mining specialist, not a conflict specialist. But on my recent trip to Sierra Leone, I was struck by the ever-present need to look at extractive industries through the lens of conflict prevention.  The devastating 11-year civil war in Sierra Leone, in large part fueled by local alluvial diamond mining, is impossible to separate from future mining development.  With over 50,000 deaths due to the civil war, we cannot ignore the link between conflict and mining. 

Job Creation in Fragile States - Lessons from Yemen

Abdullah Al-Dailami's picture

As part of our discussion on creating jobs and expanding social protection in post-conflict and fragile states, we focus in on the Middle East — specifically Yemen. As is the case in sub-Saharan Africa, fragile states must contend with high youth unemployment, scarce formal sector jobs, weak institutions, and a lack of social protection, on top of the loss of lives, assets, education, and disruption from the conflict itself. The JKP recently spoke with Abdullah Al-Dailami, Acting Managing Director of the Social Fund for Development (SFD),  who says that a major emphasis now is providing access to financial and non-financial services to help people engage in self-employment.