Current Situation, Development Gaps and Opportunities in the Bangsamoro
The protracted of the conflict in the Bangsamoro area, combined with years of limited investment and geographical remoteness has resulted in a vicious of injustice, insecurity, poverty, marginalization, deprivation, and underdevelopment.
The uncertainty caused by armed conflict and insecurity diminished the productivity of resources and distorts investments and saving incentives, which results in economic performance. Where conflict slows the needed economic and political reforms and diverts activities from the productive domains to the re distributive spheres, it can collapse in growth in both the short and long run.
With low economic growth, fewer jobs are created, resulting in high unemployment of a high number of working age population opting out of the labor force. This, in turn, significantly reduces purchasing power leading to inadequate demand and low revenue generation. The provision of social services, which relies to the Government's ability to raise revenue, is severely reduced and affects safety nets for vulnerable groups (women, children, youth and IDPs). The lack of jobs combined with inadequate social services delivery inevitably results in reduced well being and higher poverty incidence.
In an environment characterized by weak institutions, the high poverty and greater deprivation of livelihood and social services fuels dissatisfaction and unrest leading to increased conflict and a greater intensity of this vicious cycle of insecurity, poverty and marginalization, and underdevelopment.
Primarily using data from ARMM as a proxy for the Bangsamoro are, this section presents the manifestation of this cycle in the Bangsamoro are and key indication of the development gaps, and discusses some the development opportunities in the Bangsamoro that can be leveraged to break the vicious cycle.
Courtesy: Journal of Economic Growth - Rodrick (1999)
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