The recent violence in Libya, Iraq, Syria and Yemen constrained economic activities and crippled all forms of government revenues. In countries such as Syria and Yemen, civil conflict reduced natural resource revenues and limited tax efficiency and collection. Violence also erupted production of natural resources driving down government income in Iraq and Libya. The war in all four states altered expenditures priorities and channeled spending toward militarized activities at the cost of productive investment spending. Relating to SDGs 1, 8, 16, and 17, we propose in this paper robust fiscal spending options that could promote sustainable and inclusive economic growth while taking into consideration urgent humanitarian needs.
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