Content
Rural development
Initiating land reform and agricultural reform
In many developing countries, small farmers have no secure access to production inputs including land, water and seed. Land is often shared inequitably among a tiny number of large-scale property owners and a huge number of small farmers. The tiny farms can produce only low yields. The lack of clear land ownership can also be a problem. If it is not clear who is entitled to use the land, conflicts ensue. In the long term, if there are no clear rights of ownership and use, there is no point in investing.
The German government helps its partner countries undertake land reform, provided the reform complies with the principles of the rule of law. The aim is to ensure an equitable and socially acceptable distribution of land, and the legal underpinning of land use and land ownership rights by establishing or developing a system of land registration.
Access to financial services and establishing organisations
Land reforms can only be successful when they go beyond the mere transfer of land and are linked to other measures that bring about structural change. These include, for example, access to loans. Small farmers are dependent on loans to buy machinery, seeds and other inputs. Since they have no collateral, many of them are reliant on private moneylenders who charge exorbitant interest rates.
German development cooperation promotes microfinance programmes, which have become a fixed component of Financial Cooperation. Micro-loans on fair terms and conditions enable poor people to set up their own businesses and improve their situation by their own efforts.
Advisory services delivered to the rural population, to help them establish organisations and civil society interest groups, improve rural infrastructure including roads and markets, promote modern technology, and combat corruption also support land reforms.
European cooperation
The European Union has set up a working group on land reform so as to harness synergy between the bilateral development cooperation of member states and the EU's development work. The working group has drawn up guidelines for the European Commission and member states that are to be taken as a framework of reference in all efforts to promote land reform processes. Germany contributed valuable experience.
Information
Publications
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Security at little cost: Microinsurance in Financial Systems Development
BMZ Position Paper
Strategies 179
(PDF 288 KB, accessible) -
Rural development and food security
BMZ Information Brochure
(PDF 2.1 MB, accessible) -
Rural development and its contribution to food security
BMZ Strategy Paper
(PDF 276 KB, accessible) -
Agricultural Research for Development – Creating Opportunities
(PDF 3.1 MB, accessible) -
Investments in Land and the Phenomenon of Land Grabbing | Challenges for Development Policy
(PDF 735 KB, accessible)
