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Beyond Grants: Unlocking Private Sector Finance for Grassroots Land Initiatives

Editorial — For decades, the global land rights movement has leaned heavily on public and philanthropic funding to power its programs. From mapping informal settlements to strengthening customary land tenure systems, progress has largely been made possible through development cooperation, bilateral aid, and foundation grants. But as the sector’s ambition expands and tenure security becomes increasingly central to climate, economic, and social justice outcomes, one truth is becoming undeniable: grants alone are no longer enough.

Informal Settlement in South Africa
Informal settlements across Sub-Saharan Africa are today benefiting from vital locally-led efforts at mapping and documenting tenure arrangements. Yet, such initiatives often remain underfunded and overlooked. As global ESG and CSR capital continues to grow, the challenge is no longer about availability of funds, but about creating pathways for private finance to reach and responsibly support grassroots land tenure efforts like these.

Today, the private sector is sitting on an unprecedented pool of capital aligned with Environmental, Social, and Governance (ESG) priorities. According to the Global Sustainable Investment Alliance, over USD 30 trillion in assets are now managed with ESG considerations. Corporate social responsibility (CSR) initiatives add billions more. And within these frameworks lie untapped opportunities to channel funding — not just into carbon markets or green tech — but into grassroots land tenure efforts that underpin equitable development.

A Missing Link in ESG and Impact Investing

Despite the land sector's cross-cutting relevance — from food security and women’s empowerment to housing, conservation, and climate resilience — land rights rarely feature in mainstream ESG portfolios. This is due, in part, to limited awareness and a lack of investable, scalable projects with clear metrics.

Most grassroots land initiatives are led by civil society organizations and community groups operating on lean budgets and local timelines. Their work is relational, long-term, and context-specific — not the typical mold for a traditional investment portfolio. But that doesn’t mean private finance cannot play a role.

Impact funds, family offices, and ESG-aligned corporates increasingly seek high-integrity partnerships that demonstrate measurable social impact. Land tenure initiatives — particularly those linked to sustainable land use, climate adaptation, and inclusive urban development — fit squarely within this frame.

Models in Motion

Some precedents already exist. In Colombia, a public-private partnership has supported community land trusts to secure tenure and develop climate-smart livelihoods. In Ghana, a cocoa sustainability initiative is funding land documentation to support farmers’ access to credit and land use planning. And in Kenya, fintech startups are offering land-based microloans to pastoralist groups with community tenure certificates.

Meanwhile, real estate and agribusiness investors in Southeast Asia are beginning to assess land tenure risk as part of their ESG compliance protocols. This creates an opening for local land governance actors to influence corporate behaviour and shape more equitable investment models.

Unlocking the Flow: What Needs to Change

To unlock private sector financing at scale, three shifts are needed. First, grassroots land efforts often operate in isolation. Intermediaries are needed to bundle projects into thematic portfolios that meet ESG and impact investment criteria — enabling scale without erasing local agency.

Secondly, the sector must invest in shared indicators that reflect the social, environmental, and governance impacts of secure land tenure. These can help bridge the language gap between grassroots practitioners and finance actors.

And of course, beyond grants and loans, blended finance models, catalytic capital, and outcomes-based funding can create more flexible pathways for private engagement.

Crucially, private finance must complement — not crowd out — public and philanthropic support. Land rights are deeply tied to justice and equity. Community ownership, informed consent, and inclusive governance cannot be sacrificed for the sake of scale.

LPN Global’s Role in the Ecosystem

At LPN Global, we believe the visibility of grassroots actors is key to unlocking capital and capacity. By spotlighting local innovations, convening multi-sector actors, and building platforms that translate land rights impact into investable narratives, we aim to catalyse the flow of responsible finance into local hands.

We also recognize the need to equip communities with the tools to engage — whether through legal empowerment, participatory mapping, or digital infrastructure. Capacity development is not optional; it’s foundational.

A Call to Innovate — and Collaborate

Private capital has a role to play in securing land rights — not as a replacement for public good, but as a strategic partner in scaling it. The future of equitable land governance depends on our ability to mobilize diverse resources around shared values.

Let’s reimagine the funding landscape — beyond grants, beyond silos, and toward a model that matches the scale of both the challenge and the opportunity.

Secure tenure cannot wait. Nor should the partnerships required to make it a reality.

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