This report focuses on the specific challenges and opportunities of states that are making two challenging concurrent transitions, away from both extreme poverty and from conflict. First, they are ‘countries where the longer term prospects of the poor to escape poverty are overall good, but not necessarily secure or sustainable, and at risk of development reversals’ (Dercon and Lea, 2014). Second, they are affected in various ways by conflict and instability and are addressing the challenges of maintaining peace. This report is based on studies in six such countries with the aim of providing evidence, conclusions, and recommendations on the developing of private sector development (PSD) strategies in such places. The countries studied are Egypt, Ethiopia, Lebanon, Nepal, Myanmar, and Sudan. The report builds on previous research, including an earlier study under the UK Department for International Development’s (DFID) Policy Research Fund looking at the challenges of PSD in lower-middle-income countries (Davis., 2016).
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