Risk and Opportunity

Spurring Private Investment in Post-Conflict Economies

Context

Given the inextricable link between economic development and security, one valuable way of building international peace is by promoting economic progress in post-conflict countries. However, the challenge in today’s post-Cold War world is to encourage such development in countries that are increasingly disrupted by internal civil strife. In these countries, problems of damaged infrastructure, uprooted populations, rampant corruption, and political instability discourage the inflow of private investment necessary for economic expansion. And while reconstruction aid can help rebuild attractive conditions for investment, it is a long term process that cannot be relied on alone.

Objectives

The German Foreign Office convened an international high-level meeting in Wilton Park on 11-13 January 2007, which brought together representatives from the public, private and not-for-profit sectors to discuss strategies for supporting private investment in post-conflict economies. The conference explored the best ways for companies to manage risk in environments where stability, security, and basic infrastructure are not yet fully guaranteed. It thus aimed to analyze the current practices of companies working in precarious post-conflict settings, and the institutionalized mechanisms created by governments or international bodies to help companies deal with risk. The conference assessed the effectiveness of these strategies and tools, while also identifying future areas of improvement. It also seeked to explore the potential role of innovative public-private partnerships in risk management. In order to inspire engaging discussion to address these issues, the conference brought together participants from all sectors involved in post-conflict reconstruction and development – including the public, private, and nonprofit spheres. GPPi supported the Federal Foreign Office with the organization of this event by conceptualizing the conference and identifying participants and speakers.

Click here to download the conference agenda.