The Investment Case for Land Tenure Security in Sub-Saharan Africa: A Cost–Benefit Analysis

Abstract Government is the custodian of most critical (and limited) factor production , namely, land. Assuring security tenure, arbitrating disputes, and facilitating transfer or sales titles renders land market more efficient less volatile, attracting investors promoting sustainable urban development. Land tenure also a government service that has repercussions on agricultural productivity, housing development, business investment, development areas. However, administration mired in corruptive practices, elite capture, inefficient allocation. Globally, only 24% rural areas are mapped (46 areas), with approximately same percentage registered, is, 22%. In Africa, about 14% formally recorded public register. can take variety forms depending national regulatory frameworks allocate specify its use. Success stories include transferable user certificates China individual Rwanda. Systematic evaluation evidence programs demonstrates improved increases output (40% average), values (25% household welfare (15% average). Other observed country-specific benefits additional years schooling, better academic performance, access to credit, reforestation, nutrition. The costs establishing Sub-Saharan Africa separate (US$ 3 billion) 2.2 registration; cost digitizing registries information improve efficiency transparency 880 million), strengthening institutions systems resolve disputes manage expropriations 960 million) over ten-year implementation period, operations records maintenance 30 64 billion). net present value (8%) US$ 21.7 billion for 5.3 registration were based 15% wealth effect noted literature. 30-year stream 396 billion. benefit–cost ratio completing modernizing improving coverage effectiveness 18. average 25% increase property Using prices 20 largest, African countries, period 237 billion, yielding 45 when price used. When population-weighted used, valued at 160 30.