This paper investigates the real financial consequences of investing in land with disputed tenure rights. It demonstrates that companies which ignore the issue of land tenure expose themselves to substantial, and in some cases extreme, risks. Using case study analysis, the paper connects ground-up financial thinking with empirical reality. In so doing, it makes a strong case for the need to integrate tenure-related risks more comprehensively into our financial architecture.

Under the motto “old policies - new action”, in June 2012 the Cambodian Prime Minister initiated a massive land registration campaign on untitled former forest land. Unauthorised settlers and other long- term users of these lands, including those inside Economic Land Concessions, had been considered illegal before. Those of them who are poor now receive full property title by way of donation. The campaign was planned for 12 months and targets 470,000 families on 700,000 parcels comprising a total of 1,8 Mio hectares. The campaign might be extended though into the year of 2014.

Northern Burma’s borderlands have undergone dramatic changes in the last two decades. Three main and interconnected developments are simultaneously taking place in Shan State and Kachin State: (1) the increase in opium cultivation in Burma since 2006 after a decade of steady decline; (2) the increase at about the same time in Chinese agricultural investments in northern Burma under China’s opium substitution programme, especially in rubber; and (3) the related increase in dispossession of local communities’ land and livelihoods in Burma’s northern borderlands.

In rural Cambodia the rampant allocation of state land to political elites and foreign investors in the form of ‘‘Economic Land Concessions (ELCs)’’— estimated to cover an area equivalent to more than 50% of the country’s arable land—has been associated with encroachment on farmland, community forests and indigenous territories and has contributed to a rapid increase of rural landlessness. By contrast, less than 7,000 ha of land have been allotted to land-poor and landless farmers under the pilot project for ‘‘Social Land Concessions (SLCs)’’ supported by various donor agencies.

ABSTRACTED FROM THE INTRODUCTION: Foreign investment in agriculture has expanded since 2005, although the figures remain modest. The Cambodian government has prioritized investment in the sector, and an important part of the government strategy has been its policies on land concessions. A 2005 sub-decree sets out the procedures, mechanisms and institutional arrangements for offering economic land concessions (ELCs), with the objective of improving crop diversity, productivity, and employment, among other benefits. By 2009, just over a third of ELCs had gone to foreign investors.

In Rubber Barons, Global Witness documents the devastating impact of Vietnam’s rush for rubber on local communities in Laos and Cambodia. The investigation also shows how international financiers Deutsche Bank and the International Finance Corporation were backing these land grabs – often in contravention of their own policies. In both Laos and Cambodia, national laws are supposed to protect forests, limit the size of foreign land concessions and require consultation with local communities over land use, but these laws are rarely enforced.

In its Land Administration, Management and Distribution Program, the Royal Government of Cambodia proclaimed measures to strengthen the Cambodian land markets and tenure security. However, in the past, the country’s land markets suffered severe aberrations caused by price hikes. This affected both urban and rural areas, mainly due to a rollout of urban capital.

Most of the land reforms of recent decades have followed an approach of “formalization and capitalization” of individual land titles (de Soto 2000). However, within the privatization agenda, benefits of unimproved land (such as land rents and value capture) are reaped privately by well-organized actors, whereas the costs of valorization (e.g., infrastructure) or opportunity costs of land use changes are shifted onto poorly organized groups. Consequences of capitalization and formalization include rent seeking and land grabbing.

This publication is the product of a multi-year cluster analytical and advisory work on social and land conflict management of the World Bank office in Hanoi, which aimed to assist Ministry of Natural Resources and Environment (MoNRE) to improve the land acquisition and conversion process to achieve more sustainable development during the current rapid urbanization and industrialization process.

ABSTRACTED FROM THE EXECUTIVE SUMMARY: Myanmar faces an unprecedented scale of structural landlessness in rural areas, increasing displacement threats to farmers as a result of growing investment interest by both national and international firms, expanding speculation in land and real estate, and grossly inadequate housing conditions facing significant sections of both the urban and rural population. Legal and other protections afforded by the current legal framework, the new Farmland Law and other newly enacted legislation are wholly inadequate.

ABSTRACTED FROM INTRODUCTION: In April 2008, the Vietnamese corporation Hoàng Anh Gia Lai Joint (HAGL) signed a memorandum of understanding with the Government of Laos (GoL) agreeing to finance the construction of a $19 million athletes’ village. HAGL financed this property complex in support of the Southeast Asian (SEA) Games, a biennial regional sporting event that the GoL was hosting for the first time from December 9th to 18th, 2009, in the capital of the Lao People’s Democratic Republic (Lao PDR), Vientiane.

Over the past decade the Myanmar government has increasingly promoted industrial agricultural production in the country, especially for rubber. With the lead up to the national elections, and now after political-economic reforms begin to set in, foreign investors are eager to make Myanmar into the next rubber production frontier. This report outlines the emerging political ecology of rubber production in Myanmar, with particular attention to the political economy and geography of rubber development taking root during Myanmar’s reform period.