We want diplomats to be able to do their job, even in situations where the hosting nation is undergoing civil strife or is hostile. Diplomatic immunity is a courtesy extended by the host in order to ensure that. It allows diplomats to come and go, and not be held hostage by trumped up charges. That could lead to a spiral of tit-for-tats that can easily escalate into a crisis. And on a more prosaic note, it helps keep friction to a minimum when diplomats may not be fully aware of all the legalities of the host nation, like accidentally jaywalking or something.
Note that this doesn’t mean you can get away with anything. It is customary and expected for the diplomat’s home country to waive immunity in the case of egregious criminality. Since diplomatic immunity is bilateral – “I’ll give your guys immunity of you give my guys it too” – failure to play nice can often cause a diplomatic spat.
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