Birgit Gerhardus / BMZ 1

Responsible Land Governance: A Focus on German Financial Cooperation

• Where are we coming from?– UK G8 Presidency: Transparency partnerships. – Next step: Focus on transparency in countries where investments

originate

• Complementary approach among G7 donors– Germany: Focus on its Financial Cooperation (DEG / KfW)– USAID / DfID (e.g.): Private sector investments

• Purpose of the German initiative– Comparing VGGT principles with KfW / DEG lending principles – How to make sure that the content and spirit of the VGGT is adequately

reflected in German Development cooperation– In case there are gaps: How to address these?– How to deal with problematic situation, particularly when land rights are

not adequately recognized, vulnerable groups might be overseen, or discriminated? practical handbook, how to deal with such situations?

Birgit Gerhardus / BMZ 2

Comparison between VGGT and KfW / DEG corporate policies: First results

• VGGT require that all legitimate land user rights are recognized. This is a government obligation and development finance institutions have to reflect how to operate projects, when such a land registration has not been done adequately.

• WB Safeguards and IFC performance standards require to assess when a project is planned, how the land situaiton is and who has formal land titles. But when certain land users have never officially been recognized they can easily been overseen in any new project. Therefore VGGT require a screening of all relevant land users first.

• Land issues needs to be clarified before a project is considered, in order to discuss project alternatives (which is foreseen in IFC performance standards). Recognizing land rights properly is an issue of good sequencing.

Birgit Gerhardus / BMZ 3

Comparision: First results / 2

• The VGGT obliged states to have good governance in place for – (a) land registration, – (b) land transfers (including resettlement and compensation),

– (c ) land administration. When good governance is not given, project related financing needs to

reflect, how to deal with deficiencies?• Participation: How to make sure that participation and consultation with

all legitimate land users can be organized. The VGGT require a meaningful participation with all legitimate land users.

• Make sure in your own policies that vulnerable / often discriminated land users are not overseen (e.g. women, pastoralists or other users of often commonly use land).

Birgit Gerhardus / BMZ 4

Next steps

• Continuing our multi-stakeholder approach– Next consultation: Global Soil Week 2015 (20 – 23 April 2015 in Berlin,

Germany)

• Expanding the scope– Get experiences on implementing the IFC performance standards and

the WB Operational Policies more systematically reflected in the project

• Upcoming results:– Comparative study (VGGT to WB Safeguards and IFC PS) to be

published in May 2015– Best practice handbook on overcoming possible gaps: autumn 2015