The question of how best to compensateveterans in the aftermath of war is one that is relevant tomany developing countries. Civil wars and independencestruggles often affect the poorest regions of the world, andleave an enormous financial burden, including benefits toformer fighters and their survivors. The most recentexamples are Afghanistan and Iraq. One of the manychallenges post-conflict countries face is how to reduce thesize of armies once the fighting stops, and how to assistformer fighters or veterans, in a sustainable manner oncethey are no longer part of the army. Fiscal, social, orpolitical pressures may all play a role in this process,including in peace-time. This note attempts to provide thereader with an overview of the different dimensions ofveterans policy development, with particular reference tocountries emerging from protracted conflict. Specialattention is given to the common problems of definition,inclusion, financial sustainability and implementation, aswell as the linkages between disarmament, demobilization andreintegration (DDR) and veterans policy.