Nearly one third of them -- a full 11 million people -- were displaced last year alone, with an average of 30,000 people fleeing their homes every day, the Geneva-based Internal Displacement Monitoring Centre (IDMC) said in a report.
"These are the worst figures for forced displacement in a generation, signalling our complete failure to protect innocent civilians," said Jan Egeland, head of the Norwegian Refugee Council which is behind the IDMC.
Today there are nearly twice as many IDPs in the world as refugees, the IDMC report said, without providing an exact figure for refugees.
According to UN statistics, some 16.7 million people were living as refugees worldwide at the end of 2013.
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The numbers of people internally displaced last year meanwhile marked a 14-percent rise over the year before and dwarfed figures seen at the peak of the Darfur crisis in 2004, the spiralling violence in Iraq in the mid-2000s, or in the wake of the Arab Spring uprisings in 2011, the IDMC said.
"We must break this trend where millions of men, women and children are becoming trapped in conflict zones around the world," he added.
A full 60 percent of newly displaced people last year were in just five countries: Iraq, South Sudan, Syria, Democratic Republic of Congo and Nigeria.
Iraq was the hardest hit, with 2.2 million people forced to flee inside the country from areas seized by the brutal Islamic State group.
The jihadists also added to the horrors forcing people to leave their homes in neighbouring civil war-ravaged Syria.
Ukraine meanwhile appeared in IDMC's report for the first time, with 646,500 people internally displaced there in 2014 as the country was engulfed by fighting between pro-Russian separatists and Kiev forces.
Heavy fighting in South Sudan displaced 1.3 million people inside the world's youngest country, meaning 11 percent of its population became internally displaced in 2014.