Creation and maintenance of the cadastre – World Bank financing for the future UNECE WPLA Workshop on Experiences with Data Management to Improve Land Administration in ECE Countries Sofia, Bulgaria April 2009

World Bank financing… 37 Projects since 1995 worth US$1.03 bn in most countries in the region. These funds have augmented government programs and assistance from bilateral donors. In a region that has seen a greater level of land and property redistribution than has been experienced anywhere else in history. At least another 30% directly as part of projects. However the additional financing provided by govt. can be significant.

Project Objectives The objective of these projects and reforms was to rebuild the systems of secure real estate tenure by developing good systems of real estate registration and cadastre. An essential foundation for a functioning market economy where the property assets of all players are secure. Why: It is estimated that real estate markets may contribute up to 25% of GDP in a developed country, and that the share of global capital stock represented by real estate is about two thirds.

Land Administration Projects in ECA Establish/update cadastres and property registers Systematic cadastre and registration of property rights Improve efficiency of registration and customer service (automation and IT development, service standards, sustainability) Legal Aid (for land and property rights). Public awareness and building linkages with other real estate market actors (banks, notaries, realtors)

Systematic Cadastre Cadastre records became out of date and out of synch with ownership records and with the real situation on the ground Unclear situation leads to tenure insecurity and hinders the market Systematic cadastre included in most WB financed projects along with adjudication and registration A third of total project costs Costs from less than $10/parcel to more than $100/parcel – depends on accuracy requirements and methods used. Not cadastre for cadastre’s sake.

Does cost matter? The key is to find a balance between acceptable accuracy and the time and cost for doing the work. Countries that have adopted simpler procedures and modern methods, and focused on the quality of the products have greatly increased efficiency of systematic cadastre and reduced costs. In fact, experience in countries that have used less accurate survey methods does not show any noticeable increase in disputes over boundaries. Again – what are the drivers? Not technical accuracy for surveyors – what does the market need?

Why does this matter – because WB financing of straight-forward land administration projects is coming to an end in this sub-region. Governments may be less able to fund in the current financial environment Need to ensure affordable solutions and resolve the blockages in the market Most countries in the region now have good land administration systems in place and are using sporadic “harmonization” for improving cadastre and registry records – especially in urban areas Cannot afford to resurvey the entire country – no country can afford that anymore

The next generation of issues There continues to be interest in financing systematic cadastre/registration and reforms – but it cannot be cadastre for cadastre’s sake. WB financing is increasingly focused on the next generation of issues: Developing a more integrated approach to land management through land policies that reflect environmental and sustainable development objectives Developing infrastructure and support mechanisms for land policy, land regulation and sustainable development Geo-information, NSDI and other spatially enabled services and products Property valuation systems; property taxation Improving service and increasing transparency And all of these involve heavy IT components, GIS, etc.

Integrated land management and Geo-information Moving beyond land tenure to land use and land value. Goes beyond the cadastre and registry – and beyond the cadastre and registry entities Necessary to integrate a more diverse set of features with the basic cadastral and land registration functions. Need therefore to work in close coordination with other government agencies responsible for different aspects of land management. A National Spatial Data Infrastructure should be agreed between the various agencies to enable electronic information to be shared seamlessly.

Supporting Land Policy Basic cadastre information can be used to support better land policy: Information on land use and the attributes of land for all individual land parcels leading to better decisions about land use, resource use in agriculture, and better environmental management Access to data widely available to increase transparency of decision making about land allocation and land use

And now for the future… Several recent projects have combined standard components of systematic cadastre with other activities: Property valuation and pilot property tax implementation Agricultural land issues: land consolidation; support for EU CAP absorption Support for regional/municipal planning; regularization of illegal development State land management Support for NSDI, geo-information, GIS May find that these priority areas are also attractive to other funders – EU RDP, etc. Countries looking for WB support – the message is very clear, we will be looking for innovative, cross-sectoral projects that look more deeply at key land policy issues and market bottlenecks. And here I have to admit we have a major difficulty with counterparts – who is our counterpart for such projects? Is it the land administration agency?