Since World War Two, internal conflict has emerged as the dominant form of conflict in international relations. Because internal conflict occurs mainly in developing countries, it has become a significant concern for the World Bank, as the world foremost development agency. The Bank notes that conflict is development in reverse, and that the chief cause of internal conflict is the failure of development. The establishment of the Post Conflict Unit is the most important aspect of World Bank policy relating to violent internal conflict. The World Bank places a significant responsibility for internal conflict especially on the viability of rebellion; the gains to be made from an easily lootable natural resource; and the level of economic development. Without an incentive to refrain from fighting that can compete with the revenue available from the continued predation of resources and sustainability of a rebel movement, combatants have no reason to adhere to a peace agreement, and will likely defect. By comparing the Bank's evaluation of project outcome in selected situations, subsequent to the establishment of the Post Conflict Unit, this study concludes that the World Bank has had incremental success in post conflict reconstruction. To address poverty and ensure development in extremely poor countries, intervening parties must do more than just stop the fighting. Financial benefits of peace must be combined with reintegration and community sensitization components of an inclusive comprehensive development programme, which takes the potential reoccurrence of conflict into account in project design. The World Bank has demonstrated its ability to adequately address causes of conflict and the need for comprehensive reintegration in project design. The UN has the military capacity to enforce ceasefires and address security issues. A partnership between these two organisations in post conflict reconstruction that combines the UN's strength and the Bank's resources and development skills has the potential to comprehensively address the causes, nature and consequences of internal conflict, and enable development to such a level that continued conflict loses its viability. Future studies would do well to test these findings empirically.