A new United Nations report has revealed that targeted investments to address internal displacement have helped unlock approximately $2.5 billion in national government funding and mobilised more than $850 million in development finance.
The report from the Internal Displacement Solutions Fund (IDSF) highlights how government-led programmes are helping transform responses to internal displacement from short-term humanitarian assistance into long-term development solutions.
Established through the United Nations Global Solutions Hub, the IDSF supported 10 joint programmes in 2025 with catalytic investments of up to $3 million each. These initiatives helped governments strengthen systems that support displaced people and host communities by improving access to housing, land, livelihoods, and essential services.
The fund is supported by the International Organization for Migration (IOM), the United Nations Development Programme (UNDP), and the United Nations High Commissioner for Refugees (UNHCR). The organisations highlighted the importance of investing in national systems that allow displaced communities to rebuild their lives and achieve greater stability.
The report shows that supported programmes have helped allocate nearly 98,000 hectares of land for housing, livelihood opportunities, and local integration. More than 200,000 internally displaced people have also gained legal documentation, improving their ability to access public services, employment opportunities, and social support.
The IDSF has demonstrated significant financial impact, mobilising an estimated $168 in development funding for every $1 invested. This approach shows how targeted support can attract larger-scale financing and strengthen nationally led solutions.
UN officials noted that internal displacement is not only a humanitarian concern but also a development and governance challenge. By integrating displacement solutions into national plans, governments can create stronger pathways for recovery, economic opportunity, and community resilience.
Recent progress shows that solutions are possible when governments, communities, and international partners work together. More than 10 million internally displaced people returned home in 2025, although many returns remain vulnerable due to ongoing insecurity, limited resources, and weak access to essential services.
The report also highlights continued challenges, including uneven progress between countries, new displacement crises, and a lack of predictable long-term financing. Stronger cooperation between governments, international financial institutions, development partners, and the private sector will be needed to expand successful approaches.
The IDSF calls for greater alignment between development funding and national strategies while ensuring that displaced people are actively involved in decisions affecting their futures.
The findings underline the importance of shifting from emergency responses towards sustainable solutions that help displaced communities rebuild their lives with dignity, security, and long-term opportunities.
