Study on Impact and Costs of Forced Displacement. February 17, Social Development Department The World Bank

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Study on Impact and Costs of Forced Displacement February 17, 2011 Social Development The World Bank

Presentation outline Forced Displacement: The Development Challenge The World Bank Program on Forced Displacement Study on Impacts and Costs of Forced Displacement Rationale and objectives Key questions Methodology Indicators

Forced Displacement: The Development Challenge

The Scope of Forced Displacement Forced displacement includes refugees and IDPs who flee their place of origin due to conflict, violence and human rights violations Today there are some 15.2 million refugees and some 27.1 million IDPs Across the world there are 29 protracted refugee situations comprising 54% of the refugees, and 35 protracted IDPs situations comprising most of the IDPs

The Development Challenge There are four key developmental barriers to achieve durable solutions for the displaced : Access to lost land, housing and property Resolution of land, housing, and property disputes, etc. Restoration of livelihoods Income generating activities, access to markets, etc. Delivery of services Health care, education, psycho-social services, security etc. Accountable and responsive governance Voice and participation, involvement in local planning, etc.

The World Bank Program on Forced Displacement

Five-year forced displacement program A five-year program on forced displacement was started in SDV in July 2009, with funding from a MDTF. The purpose of the program is to identify and address opportunities to improve the Bank s contribution to an enhanced development response to forced displacement that supports economically and socially sustainable solutions. The program on forced displacement comprises three interlinked activities: support for analytical and operational work related to specific countries; broader thematic analytical work along with dissemination of lessons; and partnerships with UN agencies, bilateral donor agencies, NGOs, and research institutions to support both the activities of country teams and the broader thematic analytical work, as well as research or policy work undertaken by a particular partner. Building on experience and lessons learned from analytical work and operational support activities, guidelines will be produced for use by Bank staff in addressing forced displacement and to support cross- learning activities particularly on the social dimensions of climate change and involuntary resettlement operations.

Program activities Through regular contacts with external partners and Bank country teams, the program is engaged in the following activities: Analytical Work and Knowledge Dissemination Study on Impacts and Costs of Forced Displacement (active). Study on Lessons Learned on Livelihood Rehabilitation in Forced Displacement Situations (active). Operationalizing Human Rights Approaches in Development Interventions for Displaced in the Africa and MENA Regions (active). Conducting political economy analysis in 5 countries to understand constraints and opportunities for addressing forced displacement (active). Study on displacement and gender (preparation). Supporting analysis for the WDR 2011 on Fragility and Conflict (completed).

Program Activities Partnership activities Regular contacts with UN, NGO, bilateral and research partners on country specific, regional and global opportunities for collaboration Participation in the Inter-Agency Standing Committee meetings on displacement. Participation in a number of UN led working groups on displacement issues Participation together with other development actors in the UNDP / UNHCR transition solution initiative (TSI) Initiation of Country specific operationally focused partnerships with governments, bilaterals, UN agencies and NGOs

Program activities Globally the forced displacement program supports the Bank s work in countries with significant displacement. This involves inputs to CAS preparation, poverty assessments, analytical work, and investment operations. MENA: Conference to start regional dialogue on solutions for displaced Iraqis; inputs to Iraq Poverty Assessment. AFR: Analysis of displacement and livelihoods in the Chad, CAR, and Darfur triangle. Participation in a South Sudan portfolio review. Analytical work on protracted displacement in eastern Sudan. Inputs to Sudan Poverty Assessment. ECA: Supporting the design of a three-year regional analytical work program on forced displacement. Kyrgyzstan: participation in the July 2010 joint assessment. Azerbaijan & Georgia: assessment of feasibility of IDP housing scheme. EAP: Support to the CMU to prepare an IDPs strategy in the Philippines. LAC: Support to a conference on issues of restoration of land and property rights for IDPs in Colombia. SAR: Inputs to Sri Lanka IDP project, and to the poverty assessment and follow-up analytical work in Afghanistan.

The Study on Impacts and Costs of Forced Displacement

Rationale and Objectives of the Study Rationale: Efforts have been made to measure the costs to society of violence and conflict, but not the costs of forced displacement. Consequently, it is unclear what these costs are, and also how they compare with the costs of efforts to provide sustainable solutions for those affected by forced displacement. Understanding these costs and benefits is important to convince governments that investing in sustainable solutions for those affected by forced displacement is an important development issue with positive social and economic returns. Objective: To assess the economic and social impacts and costs of forced displacement as well as of the measures to mitigate these in order to distill lessons on operationally relevant and cost effective development interventions, that support durable solutions in return or in protracted displacement situations.

Key questions that the study may help answer What are the economic and social costs of displacement (an in particular of protracted situations) to the area of origin of the displaced, to the displaced population, to the area hosting the displaced, and to the international community? What are the economic and social costs and benefits associated with creating conditions that enable (a) self-reliance of the displaced during displacement through participation in the economic and social life of the host area, and (b) durable solutions that end displacement through return or through local integration? How do the costs and benefits of durable solutions compare with those of protracted humanitarian assistance? What are the operational lessons on approaches to effectively address the development issues that support durable solutions in return or in protracted displacement situations?

Methodology The study will measure the economic and social impacts of forced displacement in the following contexts: The community/area from which people are displaced; The displaced population; The area/state hosting the displaced; The international assistance to the displaced while in displacement; The assistance to secure solutions to displacement Indicators to measure the impacts in these contexts will be both quantitative and qualitative. In addition to the negative impacts, the indicators will also capture the positive contributions by refugees/idps in areas of displacement or return, and will distinguish between winners and losers. This approach will be applied to case studies that represent significant displacement situations (rural / urban; camp / non-camp; protracted / early recovery), and for which there are comprehensive data-sets on displacement impacts. The case studies will assess the political economy conditions that enabled or curtailed efforts to provide sustainable solutions to the displaced.

Indicators Displaced population (ie group 2 above) Economic outcomes/indicators: wages, income real estate assets with/without title livestock, agricultural equipment other assets consumption levels employment status, type of job, labour force participation, hours worked Non-economic outcomes eg: human security consumption smoothing and coping mechanisms (e.g. child labour, early marriage, education interruption, prostitution, criminal activities, household separation, selling food rations)

Indicators Adjust/explore estimation of displacement impacts allowing for: self-selection/endogeneity choice of destination time since displacement refugee/idp status gender, household status pre-displacement economic circumstances - age, education levels, religion, ethnicity, disability status participation in intervention programs and camp/settlement lack of a comparable group

Phasing of the Study Since this study ventures into largely uncharted methodological territory, it will consist of two phases for which funding will be sought consecutively: Phase 1 The output will be the development of a research methodology and indicators to measure the economic and social impacts of forced displacement and of activities to provide sustainable solutions to displacement, along with identification of cases for which researchable data-sets exist. Timeframe: December 2010 May 2011 Phase 2 The outputs from this phase will be: (a) case studies of the economic and social impacts and costs of displacement (in particular of protracted situations), and of the activities, political economy contexts, and costs of programs that have successfully assisted refugees and IDPs; and (b) the specific operational outputs (guidance notes or tool-kits on best practice to promote sustainable solutions to displacement) Timeframe: The duration and costing of Phase 2 will depend on whether existing data are sufficient to enable the envisaged analysis, or whether additional original data have to be gathered through field research.

Partners Refugee Studies Center, University of Oxford FAFO, Norway PRIO, Norway Clingendael, The Netherlands

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