Background and context
The Danish Refugee Council started activities in the lower South of Iraq in 2004 and operations are focused on implementing income generating activities in the form of in-kind grants (livestock and tools), shelter assistance (extension of houses to accommodate returnees) and legal assistance (to retrieve necessary documentation) directly to the beneficiaries. Indirectly, DRC is repairing and building host community infrastructure (roads, schools, clinics and water facilities). Lately, activities are also more focused on capacity building of local authorities and working through local partners.

Basra governorate is located in the far South of the country and after 2003 when the security situation deteriorated, delivery of basic services collapsed and employment opportunities were extremely limited. During 2008, the security situation improved slightly, but the gains are under serious threat as they are not followed by improvement in living conditions for the large majority of the population. Rural areas are the most deprived and the needs of the displacement affected population are neglected.

Displacement
The total population in Basra is around 1,912,500 people of whom 94,668 were displaced before the Samara bombings in February 2006 and 35,718 after. Almost all IDPs in Basra are Shia Arab. The majority of IDP’s in Basra are from Baghdad and other central governorates, such as Salah al Din, Anbar and Diyala. Large numbers of Iraqis have also returned to the region from Iran.

Humanitarian needs
The infrastructure and the economy have been neglected for years. After 2003 many families had high hopes and started to return, believing that they would be supported and that there would be structural improvements of the area. They were left with little or no improvements at all. Corruption is now rampant while the most modest unemployment estimates are around 40%. This leaves a lot of space for spreading radical ideas and people joining criminal gangs.