Nepal’s with the active support of sections of

Nepal’s transition from war to peace
shows the complexities in political and economic causes, as well as legacies,
of crisis that shape chances of success, both for the economic recovery and
peace building. Within this view, good and functioning relationships need to be
created between different parties and actors, including government, development
agencies, and civil societies and government. International consensus is
emerging that the business sector in particular requires to be brought in to
perform a central role in economic recovery after crisis so as to support the
transition to peace, due to the weak government capacity, and very limited
development agency time frames.


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study explores how the private and business sector can give positive
contributions to peace-building and prevention of conflict, and that positive
business/private sector role can be improved, supported and enhanced. It recognizes
that the private sector is found in all conflict ridden situations and has the
capacity to both prevent and contribute to conflict, the outcome of which can
be surely affected by support from external bodies.  It argues that private/business sector
development in very fragile and state affected by conflict require special
policies and support, given the backdrop of the crisis caused by conflict and
the high chance of a return to violence. This paper discusses and analyzes the
role of the private/business sector that includes informal, formal, and illegal
actors; diasporas; and regional and multinational players in conflict ridden
states, using Nepal as a case study.


Over the ten years,
there has been an ongoing debate concerning the specific role and duty of the
private/ business sector in crisis and links between many private businesses
and organized crime. Much of this argument has been projecting the harmful
effects of many private sector activities like logging and mining in certain
states and regions. However, there also is an obvious disparity to private
sector participation in organized criminal activities such as dealing drugs and
arms trading including trade in endangered species of animals. Such activities lead
to further conflict and further weakening of already fragile institutions.
Often, these criminal activities occur with the active support of sections of
the military and government bodies in the state, toiling with the integrity of
these institutions. Furthermore, since activities such as this are focused on


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