Economic and environmental crises such as poverty and famine are often blamed for driving conflict, but the relationship is complicated. The U.S. Institute of Peace works to better understand the connections between violence, economics and the environment. The Institute then uses these insights to identify effective peacebuilding interventions that prevent or end violence during an economic or environmental crisis.
When the government of Sri Lanka struggled to repay loans used to build the Hambantota port, it agreed to lease the port back to China for 99 years. Some commentators have suggested that Sri Lanka, as well as other South Asian nations that have funded major infrastructure projects through China’s Belt and Road Initiative, are victims of “China’s debt-trap diplomacy.” This report finds that the reality is...
In recent months there has been a flurry of movement in the Afghan peace process, leading to talk of a “peace dividend” that would boost the country’s economy and incentivize and sustain peace. For example, the November 2018 Geneva international conference on Afghanistan called for donors and development and regional partners to develop a post-settlement economic action plan. But what would a peace dividend look like in war-torn Afghanistan? In the short run, could it help incentivize the insurgency and state actors to agree and adhere to a peace agreement? And in the longer term, could it help sustain peace and lead to a more prosperous and stable Afghanistan?
Afghanistan’s mineral wealth, roughly estimated at upwards of $1 trillion, is sometimes seen as the country’s potential savior—with prospects to generate large government revenues, exports, and some jobs. On the other hand, international and Afghan experience amply demonstrates the downside risks associated with mineral exploitation—macroeconomic and fiscal distortions; waste, corruption, and poor governance; environmental degradation; and the risk of financing or fomenting violent conflict, thereby undermining peacebuilding. The so-called “resource curse” is not destiny, however, and some countries have managed to avoid it, though Afghanistan faces much greater challenges than most when it comes to beneficially developing its mining sector.
The U.S. Institute of Peace supports programs and research that contribute to the mission of promoting enduring peace in South Asia. The institute provides analysis, capacity development and resources to individuals and institutions working to prevent, mitigate, and resolve violent conflict. In Pakistan, USIP awards funding in three categories, ranging from projects that test new, experimental ideas to supporting local and international organizations on policy relevant research.