Land ownership disputes hinder climate project financing – CBG Sustainable Financing head

Land ownership disputes and inadequate documentation are making it difficult for financial institutions to support nature-based climate projects in Ghana, the Head of Sustainable Financing and Impact at Consolidated Bank Ghana (CBG), Eva Ackuaku, has said. She said the challenges were particularly pronounced in communities where land was held under complex family ownership arrangements, making it difficult for project developers to establish ownership and provide the necessary documentation to secure financing.

Speaking at the Africa Climate Dialogue convened by the Africa Centre for Nature-Based Climate Action (AC4NCA), Ms Ackuaku said the situation was affecting projects, including tree-planting and environmental restoration initiatives. She cited her hometown of Larteh in the Eastern Region as an example, explaining that land ownership was often vested in families rather than individuals, making it difficult to establish the rightful owners.

“Most of the time, when they approach you, they have common projects that are coming out, and for most of these locations, you do not find it in the cities, and so it’s very difficult,” she said at the Ghana College of Physicians and Surgeons in Ridge, Accra, on October 14. “Assuming you move to my hometown where I come from, Larteh, sometimes ownership is very difficult because it belongs to the family, and the family, it does not even belong to one person.” According to her, establishing the actual owners of such lands can be a major challenge, particularly when project developers are unable to provide the documentation required by financial institutions.

She said similar difficulties were encountered in other parts of the country, including the Western and Eastern Regions, where tree-planting and restoration projects were being undertaken. Ms Ackuaku said the lack of adequate land documentation made it difficult for banks to assess and support such initiatives. Funding gaps Beyond land ownership challenges, she identified limited access to donor funding, grants and other financial resources as another major constraint facing nature-based climate projects.

She said developers often needed financial support to prepare their projects before approaching banks for investment. Ms Ackuaku also highlighted the cost of technical support and feasibility studies, explaining that project developers had to engage consultants and experts from universities to assess the viability of their initiatives. She said the process required substantial resources, which many project developers struggled to access.

“If we have finance to support or prepare the project very well before we go into it, then it becomes a viable project for us,” she said. She added that adequate financing for project preparation would help address some of the limitations confronting nature-based climate initiatives from the banking sector’s perspective. Nature-based solutions The Africa Climate Dialogue brought together policymakers, researchers, development partners, private sector players and youth advocates to deepen discussions on Nature-Based Solutions (NbS) as a pathway to climate resilience and sustainable development across the continent.