Abstract

Urban economic and social development in the Third World often requires involuntary displacement and relocation of various groups of residents. This process has received little research by urban sociologists and anthropologists. The frequency and magnitude of compulsory displacement are likely to increase in the developing world as the trend toward urbanization grows. This paper examines the social issues raised by involuntary displacements and relocations. It analyzes the dramatic disruptions caused by displacement - loss of home, often loss of jobs, destruction of income generating assets, or separation from site related informal network services. Development projects that are oblivious to the perils of impoverishment through displacements are shown to be in conflict with the poverty reduction goals of urban growth strategies. Urban poverty is likely to increase when displacement occurs unless such displacement is guided by correct policies for population resettlement. The paper discusses experiences with urban population relocation under ongoing Bank financed urban development projects and the Bank's policy guidelines for reestablishing those displaced. Three cases of major displacements - in Indonesia, China, and in a project at the border between Argentina and Paraguay - are discussed in some detail. The paper concludes that population displacement and relocation must be regarded as part and parcel of policies for urban socioeconomic development, rather than a mere side effect not requiring explicit policy and legal frameworks. It continues that in order to avoid or minimize population dislocation, each country must enact domestic policies that will explicitly regulate involuntary displacement and relocation. To reduce economic losses, social trauma and psychological pain inflicted on displaced people, urban investments and growth programs must address relocation with no less attention than is given to other components of urban growth.

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