A New Model of Public-Private Partnership for Land Access and Rural Enterprise Formation

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World Bank, Washington, DC

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The Honduras Land Access Pilot Project (PACTA) from 2001-2006 supported the acquisition of land and the formation of sustainable farm enterprises by self-organized landless and land-poor peasant families. The Government is now scaling up and diversifying the pilot into a national program far more inclusive than the current model. The SDR 6.2 million pilot project proved the viability of a public-private partnership strategy, with the private sector lending for land purchase and public sector funds being used for complementary investments and services to improve productivity and build capacity for independent development. The program was broadly aimed at the rural population with no access to land or precarious access to small parcels for subsistence production. Of the 1,226 families that took part in the program, 991 were part of this group day laborers, sharecroppers, or other kinds of subsistence producer. The rest were poor families with access to municipal forestland (two sub-projects) or communal land (one sub-project). These sub-projects were implemented at the end of the pilot phase. In addition, the sub-projects supported by PACTA in forest communities and afro-Honduran communities are promising for the diversification of economic activities in areas like tourism, crafts, fishing, sustainable timber harvest and wood processing, and environmental services. From this point of view, the achievements and lessons learned in the pilot project could be meaningful in the design of similar processes, not necessarily involving land purchase

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ACCESS TO CREDIT, ACCESS TO FORMAL CREDIT, ACTION PLAN, AGRARIAN REFORM, AGRICULTURAL SECTOR, AMORTIZATION, ANNUAL INCOME, BANK FINANCING, BANK LOANS, BANKS, BUSINESS OPPORTUNITIES, BUSINESS PLANS, CAPACITY BUILDING, CENTRAL AMERICA, COLLABORATIVE PROGRAM, CONCESSIONS, CONTRIBUTIONS, COOPERATIVES, CREDIT COOPERATIVES, CREDIT PROGRAMS, CREDIT PROVIDERS, CREDIT TERMS, DIVERSIFICATION, ECONOMIC ACTIVITIES, ECONOMIC OPPORTUNITIES, ENTERPRISE DEVELOPMENT, FAMILIES, FARM ENTERPRISES, FINANCIAL INCENTIVES, FINANCIAL OBLIGATIONS, GENDER, INSTITUTION, LAND POLICY, LEVEL OF CONFIDENCE, LEVERAGE, LOAN, LOAN APPROVAL, LOAN REPAYMENT, LOAN SIZE, LOCAL FINANCIAL INSTITUTIONS, LONG-TERM LOANS, MARKET OPPORTUNITIES, MARKET OPPORTUNITY, MARKETING, MICROFINANCE, NATIONAL BUDGET, NETWORKS, NEW MARKET, OTHER ASSETS, PILOT PROJECT, POLICY ENVIRONMENT, PORTFOLIO, PRIVATE FINANCIAL INSTITUTIONS, PRIVATE FINANCIAL SECTOR, PRIVATE FINANCING, PRIVATE LENDERS, PRIVATE SECTOR, PRIVATE SECTOR CREDIT, PRODUCTIVITY, PROJECT MANAGEMENT, PUBLIC FUNDS, PUBLIC-PRIVATE PARTNERSHIP, REGIONAL CREDIT, REPAYMENT, REPAYMENT RECORD, RESERVE, RESOURCE ALLOCATION, RESULTS, RURAL CREDIT, RURAL INVESTMENT, SECURE ACCESS, SERVICE PROVIDERS, SHORT-TERM DEPOSITS, TECHNICAL ASSISTANCE, TITLE, TOTAL COSTS, TRANSPARENT WAY, TRUST FUND, VIABLE BUSINESS, WEB, WILLINGNESS-TO-PAY

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