This study identifies the mechanism of livelihood recovery of rural households in post-conflict northern Sri Lankan villages. The results show that households’ livelihood assets and degree of social capital accumulation in their village of residence have an effect on access to activities and resources. This, in turn, impacts livelihood recovery. Social capital belonging to households and communities facilitates access to external support and credit, which then facilitates economic activities and the acquisition of physical capital. Households’ social capital also improves access to farmland and employment opportunities, which enables them to diversify and scale up their economic activities.
