ABSTRACT

Due to the important role that RE plays, RE ownership insecurity is a major concern to both developed and developing countries as well as the international donor community. The concern is based on the negative ramifications of RE ownership insecurity. Firstly, ownership insecurity in the form of land disputes negatively affects infrastructure and RE development projects as well as other economic activities like agriculture. For example, when a dispute arises over a plot of land where a RE development project is to be carried out, the development cannot proceed until the land dispute is effectively settled. This constitutes a source of major risks to investors. In terms of agricultural activities, a study in Uganda, for instance, established that land disputes reduced the output on a plot of land by at least 30% (Deininger and Castagnini, 2002). The negative impact is even more pronounced where there are delays in settling the land dispute in the State-sponsored courts. Such protracted litigation often stifles RE-based economic activities as court injunctions are issued against any use of the RE until the cases are decided by the courts.