As the world's urban population has grown, so has the number of urban refugees. Within two decades even sub-Saharan Africa – the world's most rural region – will see more than half its population living in urban areas. Declining state services in rural areas, the removal of agricultural subsidies and changing family structures have encouraged the trend. As for refugees, more of them are moving to urban areas to escape the restrictive encampment schemes instituted by host countries. The percentage of the total refugee population that lives in urban, rather than rural areas is highest in Europe and Latin America. However, the absolute numbers of urban refugees in Asia and Africa make them a significant group in those regions as well. A sizeable number of urban refugees are in countries of first asylum. For instance, some 2 million Afghans, many of whom may be refugees, live in Pakistan's cities.

Urban refugees include people trading the assistance they receive when in camps for the freedom to participate in urban labour and commodity markets. This pattern is particularly pronounced in sub-Saharan Africa, where internally displaced persons forced off rural holdings by conflict, persecution or famine are moving to cities. In Europe, North America and Australia most (but not all) urban refugees have been resettled from other parts of the world and receive assistance from international, national and private organizations.

The presence of refugees and displaced persons in urban areas raises significant protection concerns, especially when refugees self-settle outside the purview of official programmes. Camp-based refugees are formally distanced from many of their host communities' socio-economic and political processes, but those in urban settings have no option but to engage with local populations, markets and institutions. Given the prevailing conditions in the cities (or neighbourhoods) where they typically settle, refugees share many challenges with citizens: public health hazards, urban violence and lack of housing, education and health services. These challenges are heightened as levels of domestic migration and urbanization almost invariably outpace job creation and improvements to urban services and infrastructure. Urban refugees – and other immigrant communities – also face challenges linked to their position as outsiders. Local officials and host populations may prevent them from accessing even those services to which they are legally entitled. Where refugees have religious or ethnic ties with marginalized or persecuted local populations they may face even greater difficulties.

Two other protection concerns emerge from refugees' limited access to documentation, services and jobs. The first is critical for urban refugees who rely almost exclusively on existing social services, compete in labour and housing markets and are subject to the same regulatory regimes as host populations. Although papers designating an individual's refugee status and right to residence are critical, these do not ensure protection. Whereas camp-based refugees primarily interact with specially trained staff, urban refugees depend on civil servants who may be unfamiliar with, or simply not respect, their papers. Moreover, full access to education, housing, employment and financial services often requires documents not always available to refugees, such as professional qualifications, school or banking records and birth certificates. Without these, urban refugees are hindered in accessing services and markets and are vulnerable to exploitation, police abuse, arbitrary arrest and deportation. Refugees' inability to speak local languages may further limit their options and their ability to protest abuse from employers, landlords, police or citizens.

Difficulties accessing local markets and services are mirrored in urban refugees' relationships with voluntary agencies and other NGOs. While there may be more such agencies in urban areas than in purpose-built settlements, few may be explicitly committed to refugee protection. In many instances, local NGOs and religious organizations give priority to assisting citizens or exclude non-nationals (including refugees). Even where local organizations accept responsibility for refugees, they may lack specialized skills for assisting with asylum claims, monitoring cases or advocating for the displaced. Furthermore, refugees' tendency to relocate frequently further hampers service providers' attempts to track and assist vulnerable groups.

The attitudes prevalent among host governments, international aid/donor agencies and host populations add to protection challenges. There is, for example, a tendency to treat those arriving in cities with considerable suspicion. This often emanates from a belief that urban refugees are mainly 'irregular movers' who have surrendered protection, usually in rural camps, to search for opportunities elsewhere. Depending on national policy, those fitting this description may not be entitled to asylum or assistance. In other cases, policies explicitly confine refugees to camps or only allow urban settlement under strict conditions.

In almost all instances, refugees must prove their right to be in the city. They may also need to address hostility from urban residents who do not distinguish between refugees and growing numbers of unwelcome economic migrants, both domestic and international. In such contexts, government officials may concentrate on regulating rather than assisting refugees to prevent the asylum process from becoming a way around normal immigration channels. Even those who formally establish their rights as refugees may become scapegoats for politicians, unions and others.

To address these and other challenges, in December 1997 UNHCR introduced a Policy on Refugees in Urban Areas. While it represented an important step in protecting the rights of urban refugees, the policy has been difficult to implement. For one, urban refugees' de facto integration (or invisibility) has made it difficult to develop specialized programmes for them. Moreover, those programmes that do exist are relatively expensive and difficult to fund, given the generalized suspicions outlined above. Engaging directly with metropolitan governments is an additional challenge for an organization such as UNHCR that is more familiar with negotiations and advocacy at the national level. Recognizing these concerns, UNHCR is currently reviewing its urban-refugee policy in consultation with relevant stake holders.

Box 2.3 The Tampa Affair: interception and rescue at sea

Box 2.5 The Comprehensive Plan of Action for Somali Refugees