Fragile and Conflict-Affected Countries and Situations

World Bank Group and Conflict Countries

Fragile and conflict-affected situations (FCS) are a key priority for the World Bank Group's poverty-fighting mission as they face severe development challenges and lag behind on many Millennium Development Goals (MDGs). One in four people in the world—more than 1.5 billion—live in fragile and conflict-affected situations; by 2015, an estimated 32 percent of the world's poor will live in such conditions. Only 20 percent of FCS countries are expected to achieve the goal of halving poverty and hunger. Fragile and conflict-affected situations account for:

• A third of the deaths from HIV/AIDS in poor countries

• A third of the people who lack access to clean water

• A third of children who do not complete primary school

• Half of all child deaths

Despite overwhelming challenges, there has been important progress: 20 fragile and conflict-affected states have recently met one or more targets under the MDGs, and an additional 6 countries are on track to meet individual MDG targets ahead of the 2015 deadline.

World Bank and Conflict Countries

The Bank has embarked on a series of internal reforms to enhance its effectiveness in fragile and conflict-affected states, which include the following:

• Designing country strategies to better address the drivers of conflict and fragility and leveraging instruments across the Bank Group to support countries, especially in job creation and private sector development. For instance, joint business plans are being developed in Côte-d'Ivoire, Haiti, Myanmar, and Nepal.

• Adopting operational policies and practices specially designed for fragile and conflict-affected states to recognize the unique challenge of working in these volatile, high-risk, and low-capacity environments.

• Strengthening staffing policies to get the right people to the right places at the right time in a cost effective and sustainable manner.

• Supporting a global community of practice on fragility and conflict to generate knowledge. The Center on Conflict, Security, and Development (CCSD), with staff in Nairobi and Washington, is supporting frontline teams, encouraging the flow of knowledge, and improving how the Bank can learn from implementation, including promoting global communities of practice around jobs, security, justice, and natural resource revenue management.

• Putting in place an intensive monitoring system to track progress in fragile and conflict-affected states.

IFC and Conflict Countries

The private sector, which provides 90 percent of the jobs worldwide, also has a key role to play in addressing fragile and conflict-affected situations. Economic growth and increased employment are essential to reducing fragility. IFC and MIGA are both working to stimulate private investment and economic growth in fragile and conflict-affected situations (FCS), together with the World Bank, other development partners, and their clients. IFC's activities in FCS have grown significantly in recent years. IFC's annual investments in fragile and conflict-affected areas have climbed 20 percent over the past two years— to nearly $950 million, including funds IFC mobilized from other investors.

MIGA and Fragility and Conflict

World Bank and Fragility and Conflict

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