Civilians often bear the brunt of war and conflict zones facing displacement, loss, and unimaginable hardships of our world. In such regions, the lines between survival and peril blur, as communities struggle with limited access to basic necessities like food, water, and medical care. As per UNHCR data, by the end of 2023, 117.3 million people have been displaced globally due to war, conflict or human rights violations. This brings it down to 1 in every 69 people or 1.5% of the global population. This displacement further creates a greater negative impact on the geographical balance, habitat, food insecurity and global population density.
Understanding the dynamics of war and conflict zones is critical—not only to address their immediate consequences but also to foster sustainable solutions that prioritize humanity and pave the way for reconciliation and recovery. Dr Reena A Mehta, Professor at KJ Somaiya Institute of Management, Mumbai delves into various aspects of sustainability initiatives in the war-torn areas and what else is needed to tackle the global crisis.
Excerpts from the interview:
Q. What are the most significant financial challenges in sustaining long-term CSR projects in conflict zones?
A. The financial challenges of sustaining long-term CSR projects in conflict zones are substantial, involving high operational costs, damaged infrastructure, and fluctuating economic conditions. Security and logistics expenses escalate due to unstable environments, as seen in the Democratic Republic of Congo (DRC) where transportation costs doubled in 1997. Inflation and currency depreciation, like during the 2019 Syrian conflict, further complicate funding. CSR projects often rely on inconsistent donor support, prone to reduction as global attention shifts, as in Yemen, where funding dropped 50% between 2019 and 2021. Companies face high financial risks in these volatile regions, making long-term CSR investment difficult to sustain.
Q. How important are collaborations among the stakeholders and with the local communities in the success of CSR initiatives in conflict zones?
A. Collaborations between stakeholders—corporations, governments, NGOs, and local communities—are vital to the success of CSR initiatives in conflict zones. These partnerships ensure that programs are aligned with local needs and realities, enhancing their impact and sustainability. For example, in South Sudan in 2023, UNICEF's Compact on Water and Sanitation project, part of the Heads of State Initiatives, relied on partnerships with NGOs and governments to provide logistical and legal support. Such collaborations help corporations navigate complex local regulations and security risks, as demonstrated in initiatives where government cooperation was crucial for delivering clean water and healthcare. Without these alliances, CSR efforts risk failure.
Q. What technological innovations and solutions have been critical to overcoming logistical or operational challenges in these areas?
A. Technological innovations are crucial for overcoming logistical and operational challenges in conflict zones. Blockchain has enhanced transparency in aid distribution, as seen in the World Food Program's 2017 project in Jordan’s refugee camps. Drones have been used to deliver medical supplies to inaccessible areas, such as in war-torn Yemen. Solar energy provides sustainable power where electricity is scarce, in Syria, solar panels power hospitals and schools. In 2017, the UNHCR, along with Jordan and Germany, built a solar plant in Za’atari refugee camp, saving $5.5 million annually and reducing carbon emissions by 13,000 metric tons per year.
Q. What critical gaps remain unaddressed in terms of CSR and sustainability efforts in conflict zones?
A. Despite growing corporate involvement in conflict zones, significant gaps in CSR and sustainability efforts persist. A key issue is the lack of focus on long-term economic development, with many initiatives emphasizing immediate relief, like food distribution, rather than creating sustainable local industries. Mental health services are also severely underfunded; in Syria, for instance, while infrastructure is being rebuilt, the psychological trauma of war-affected populations remains largely ignored. Additionally, many CSR projects fail to incorporate community feedback, leading to interventions that may be culturally inappropriate or unsustainable. Addressing these gaps is essential for lasting impact in conflict zones
Q. Given the current geopolitical climate, do you feel there is a growing urgency for more corporate involvement in conflict zones?
A. The current geopolitical climate highlights the growing urgency for increased corporate involvement in conflict zones. Ongoing conflicts in Ukraine, Israel, and Yemen have displaced and affected approximately 41 million people, creating immense humanitarian crises. With governments and international organizations stretched thin, corporations can fill resource gaps. For example, since 2010, Danone has actively engaged in water conservation projects in the Sahel region, focusing on sustainable water management to address climate-induced conflicts. Additionally, Nestlé scaled down its operations in Russia in 2022, concentrating on essential food products and donating profits to humanitarian efforts. The growing number of displaced people and resource conflicts means that corporate involvement is not only ethical but increasingly necessary for global stability.
Q. Displacement and resettlement have become one of the biggest challenges for governments across countries. What solution do you propose to address this?
A. To address displacement and resettlement challenges, public-private partnerships are essential for creating sustainable housing and employment opportunities. For example, IKEA's "Better Shelter" project has successfully provided modular, cost-effective housing for 50,000 refugees in Iraq and Ethiopia, meeting immediate needs with durable solutions. Additionally, establishing sustainable livelihoods is crucial; in Jordan, a collaboration between the government and private sector has created employment opportunities for Syrian refugees in agriculture and construction, promoting financial stability while easing the economic burden on host communities. Furthermore, technological innovations like blockchain can enhance the resettlement process by ensuring transparent records of displaced populations.
Q. What could be done better, both by corporations and government, to improve the success rate of sustainability initiatives in conflict zones?
A. To enhance the success rate of sustainability initiatives in conflict zones, both corporations and governments should adopt a more integrated, long-term approach. Corporations must embed sustainability into their core business models instead of treating CSR as a separate philanthropic effort. Governments can attract corporate investments by providing tax incentives and legal protections. A notable example is Rwanda's post-genocide recovery in 1994, where stable policies and incentives successfully attracted foreign corporations, fostering long-term sustainability projects that bolstered economic growth. Implementing similar strategies in other conflict-affected areas could encourage corporations to commit to long-term initiatives, promoting development and reducing tensions.
Q. Are there specific policy or regulatory changes you would advocate for to facilitate more effective CSR interventions in conflict-affected areas?
A. To facilitate more effective CSR interventions in conflict-affected areas, several regulatory changes are essential. Governments should offer tax breaks or financial incentives to corporations committing to long-term sustainability projects. For instance, Lebanon provides tax relief to companies that hire displaced persons, encouraging private sector involvement in the refugee crisis. Additionally, fostering local ownership of CSR initiatives is crucial; regulations in Kenya require corporations to collaborate with local governments, enhancing project sustainability. Establishing a one-window portal can also help companies identify where to spend their CSR resources, streamlining collaboration with authorities to implement impactful projects in conflict zones.
x
