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This paper examines the life conditions of the war-induced internally displaced people (IDPs)who have been offered a government subsidy to relocate in Kalpitiya of Putlam District in Sri Lanka. Results show that without proper guidance and support, these IDPs initiated their relocation process in a haphazard manner and ultimately faced adverse outcomes. IDPs relocated themselves in temporary slum-like shelters built on disaster-prone areas and failed to resume their original occupations. Moreover, local governments did not recognize these relocated people as a part of their administration system, and hostilities developed between the local residents and IDPs. Data collected through interviews with IDPs selected through disproportionate simple random sampling and cluster population methods, helped to analyze how the capacity of IDPsfor physical, economic and social resilience was inhibited by the subsidy given by the Sri Lankan government. In conclusion, reconstruction and relocation programs must be systematically planned, through IDPs’ involvement and responsibilities in order to spur their resilience and avoid unexpectedturn of events that could on the contrary expose them to new risks.
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