Catia Batista (Nova SBE)
Sandra Sequeira (LSE)
Theresa Beltramo (UNHCR)
United Nations High Commissioner for Refugees (UNHCR)
Globally, nearly one in every 100 humans has been forcibly displaced. Over 95% of the refugee population is concentrated in the developing world, 60% of which in fragile states. The 36 most fragile countries in the world account for 2.6% of global GDP but host 71% of the world’s population of forcibly displaced people. This trend is expected to continue with worsening conflict in Sub-Saharan Africa, posing dramatic economic and political challenges to low-income states in the developing world that are hosting refugees. The lack of economic and social integration of refugees fuels resentment and compromises livelihoods among both refugees and host communities.
The ability for refugees to integrate into host economies is often severely constrained by labour market frictions that prevent them from being matched to jobs and by a lack of assets for self-employment. Refugees with diverse ethnic and religious backgrounds, often scarred by conflict, can also represent a threat to social cohesion, fueling resentment from host communities. The economic and social integration of refugees is therefore likely to heavily depend on the endowments and attitudes of host communities.
This project conducts a randomized impact evaluation of an intervention providing employment and consumption support to both ultra-poor refugees and host communities located in the refugee camp of Maratane in Northern Mozambique and within a 7 km radius of the camp.