• Latest
  • Trending
  • All
  • News
  • Business
  • Politics
  • Science
  • World
  • Lifestyle
  • Tech
Land Value Capture: Unlocking Urban Value and Financing Inclusive Growth in Africa’s Informal Settlements

Land Value Capture: Unlocking Urban Value and Financing Inclusive Growth in Africa’s Informal Settlements

July 25, 2025
Davic Jahlovd Face Reveal: Ugandan TikTok Star Finally Unveils His Identity After Years Behind the Iconic Cap

Davic Jahlovd Face Reveal: Ugandan TikTok Star Finally Unveils His Identity After Years Behind the Iconic Cap

August 9, 2026
Ugandan Author OnePercent Set to Launch New Book on Heartbreak and Healing

Ugandan Author OnePercent Set to Launch New Book on Heartbreak and Healing

August 9, 2026
115 Islamic Scholars Graduate from Bilal Islamic Secondary School

115 Islamic Scholars Graduate from Bilal Islamic Secondary School

August 9, 2026
Vulnerable People Are Precious to God, Says Pastor Migadde

Vulnerable People Are Precious to God, Says Pastor Migadde

August 9, 2026
TradeMark Africa, FSEM Uganda Partner to Boost SME Access to Export Markets

TradeMark Africa, FSEM Uganda Partner to Boost SME Access to Export Markets

August 9, 2026
NETA Uganda Empowers Young Entrepreneurs with Business Skills, Financing Opportunities

NETA Uganda Empowers Young Entrepreneurs with Business Skills, Financing Opportunities

August 9, 2026
Western Region Veterans Elect Kato Peter as WSACCO Representative

Western Region Veterans Elect Kato Peter as WSACCO Representative

August 9, 2026
Police in Rubanda Hunt 17-Year-Old Suspect in Murder of Nursery Child

One Dead in Rukungiri Road Crash After Car Overturns Several Times

August 9, 2026
Gen Muhoozi Witnesses Son Ruhamya’s Graduation from Sandhurst

Gen Muhoozi Witnesses Son Ruhamya’s Graduation from Sandhurst

August 9, 2026
MTN Uganda extends Y’ello Care to Bunyangabu to support maternal and newborn healthcare

MTN Uganda extends Y’ello Care to Bunyangabu to support maternal and newborn healthcare

August 8, 2026
President Museveni Urges Teachers, Parents to Guide Students on Relevant Subjects

President Museveni Urges Teachers, Parents to Guide Students on Relevant Subjects

August 8, 2026
Anti-graft agency seeks interdiction of 28 officials in Ankole

Anti-graft agency seeks interdiction of 28 officials in Ankole

August 8, 2026
  • About
  • Advertise
  • Privacy & Policy
  • Contact
Monday, August 10, 2026
  • Login
Ugnews Line
  • Home
  • News
    • Sports
    • Crime
    • Business
    • Politics
    • Blogs
  • Tech
  • Agriculture
  • Opinion
  • Entertainment
  • Lifestyle
Ugnews Line
No Result
View All Result
Home Opinion

Land Value Capture: Unlocking Urban Value and Financing Inclusive Growth in Africa’s Informal Settlements

by Opinion
July 25, 2025
in Opinion
Reading Time: 4 mins read
A A
0
Christopher Burke

Christopher Burke

18
SHARES
98
VIEWS
Share on FacebookShare on TwitterLinkedinWhatsAppEmail

In the early morning, the sounds of life pulse through the narrow lanes of Kasokoso, five kilometres from the centre of Kampala. Pedestrians weave between tin-roofed houses, vendors set up makeshift stalls and the scent of charcoal mingles with hope and hustle. Beneath this energy lies a stark reality. Water must be carried from communal taps, rubbish piles up for lack of collection and the threat of eviction shadows every lease.

Kasokoso, like thousands of informal settlements across Africa, is teeming with ingenuity and resilience; but also risk—lacking the basic services and security that most city dwellers take for granted. As traditional development funding plateaus or declines, African cities are under growing pressure to find new and innovative ways to finance the infrastructure and services required by their expanding populations.  Cities across sub-Saharan Africa are under pressure to show own source revenue can be made viable within 3 to 5 years submits Nairobi, Kenya based Azim Manji, an Urban Development and Land Value Capture Specialist with UK Aid.

Informal settlements are too often seen as symptoms of failure: evidence of runaway urbanization, poverty and the inability of governments to keep pace. These communities, home to more than half of Africa’s urban population, are a powerful, untapped engine for inclusive urban transformation. As Sam Mabala, former Commissioner for Urban Development within Uganda’s Ministry of Lands, Housing and Urban Development (MLHUD) and advisor at Cities Alliance and suggests, the key is how cities approach the upgrade and formalization of these areas.

Cities can utilize land value capture (LVC) to channel the rising value of regularized neighbourhoods into the public investments required for growth, equity and opportunity. Christopher Cripps, a senior physical planner and consultant to the Foreign, Commonwealth & Development Office (FCDO), World Bank and DT Global points out LVC is already a routine practice in many Western countries, where mechanisms such as betterment levies, development charges and special assessments help cities reinvest rising land values into public goods and infrastructure.

Africa’s cities are urbanizing at breakneck speed and the scale of informality is immense. According to a UN-Habitat May 2025 report, over 51 per cent of the continent’s urban residents live in informal settlements, often on land they do not officially own. These neighborhoods, commonly referred to as slums, lack secure tenure, reliable infrastructure and official recognition in city revenue systems.

The consequences are profound. Residents do not invest in their homes, city governments miss out on revenue from property taxes or service charges and in many ways the informal city remains cut off and isolated.  This is a missed opportunity not only for those who live in informal settlements, but for cities as a whole, that lose out on both improved quality of life and much-needed revenue to fund future growth.

When cities invest in informal settlements with the development of roads, sewers, lighting, schools and health centres, the value of the land and homes can rise dramatically. Legal recognition and tenure security alone can multiply property values several times over as households gain the confidence to invest and as markets recognize their rights.

In Kigali, Rwanda, systematic land registration in both formal and informal areas has improved tenure security and sparked new investment and unlocked municipal revenues. A recent study by Jeanne Sorin from the University of Chicago examining impacts associated with of 140 km of road improvements in Kampala between 2017 and 2024 that consulted 548 land owners and 377 real estate brokers reports the value of properties on the side of the upgraded roads also increased by an average of 26 percent.  Unless these gains are captured for public benefit, they tend to accrue mainly to a handful of landholders or are lost to the economy of informality warns Christopher Cripps.

Land value capture mechanisms helps to make this transformation sustainable and inclusive. LVC ensures that some portion of the increase in land values, driven by public investment and recognition, returns to the community. When informal settlements are upgraded and formalized, cities can capture part of this value increase through tools such as betterment levies, the inclusion of properties in the local tax net or development charges paid by developers. These revenues can then fund further upgrades, social services and even affordable housing to create a virtuous cycle where rising value pays for continued improvement.

This approach is fair and necessary. Designed inclusively, land value capture can help prevent displacement and channel resources back into communities to generate value. Participatory planning is essential emphasizes Emmanuel Iwong of Welcome2Africa International in Abuja, Nigeria.  When residents are involved in designing value capture mechanisms and deciding how funds are spent, trust and transparency grow. The benefits go far beyond bricks and mortar resulting in cleaner environments, safer neighbourhoods and expanded opportunities for all city residents.

Naturally LVC is not without challenges. Residents often fear that formalization will result in eviction or unaffordable taxes. Many African cities lack the administrative and legal tools to value land accurately, set fair charges or manage new revenue streams attests Iwong. Overcoming these challenges demands incremental, transparent approaches starting with pilot projects, clear communication, meaningful engagement and phased implementation that can allow communities to see real benefits before costs rise.

Some cities are already blazing a trail. In Nairobi, the Mukuru Special Planning Area pilot brings together city agencies, NGOs and residents to co-design regularization and value sharing. Kigali’s citywide registration drive has increased municipal revenue and paved the way for urban investments. In Morocco, the Villes Sans Bidonvilles (Cities Without Slums) programme has leveraged land value capture and public-private partnerships to upgrade informal settlements and deliver new housing at scale. African policymakers are not alone.  Institutions such as the World Bank, UN-Habitat all advocate these LVC as part of a new urban development paradigm for the continent.

Formalizing informal settlements is not only a social good, but a financial and developmental win for African cities agrees Simbarashe Chereni, Guest Researcher in Environmental Politics and Psychology/Spatial Planning at Delft University of Technology in the Hague, Netherlands. Recognizing and organizing these vibrant communities to capture a share of the value that regularization creates can enable city leaders to fund the roads, schools, clinics and parks that drive lasting prosperity.

City leaders, planners and partners must champion land value capture as the key to unlocking the full potential of Africa’s urban future. In this way they will not only improve lives today, but lay the foundation for generations to come: transforming informal settlements from symbols of challenge into engines of shared opportunity and growth.

The Writer is Christopher Burke Senior Advisor, WMC Africa

Christopher Burke currently serves as senior advisor at WMC Africa, a communications and advisory agency located in Kampala, Uganda.  With almost 30 years of experience, Christopher has worked extensively on social, political and economic development issues focused on governance, the environment, agriculture, public health, extractives, communications, peace-building and international relations in Asia and Africa.

Opinion

Opinion

Related Posts

People, Women and Land Rights. Bridging the Gap Between Law and Reality for Women’s Land Rights in Uganda.

People, Women and Land Rights. Bridging the Gap Between Law and Reality for Women’s Land Rights in Uganda.

by @EditorialNewsline
August 6, 2026
0
68

By Sheila Catherine Abamu A familiar, heartbreaking scene plays out across Ugandan courts, local council offices, and family compounds every...

Digitisation is defining the future of banking, with self-service replacing the brick-and-mortar model

Digitisation is defining the future of banking, with self-service replacing the brick-and-mortar model

by @EditorialNewsline
August 5, 2026
0
65

By Laura Bahemuka, Head MSME and Retail Products at Pearl Bank  The evolution of banking from what it was, brick-and-mortar,...

Bob Twinomugisha, the Senior Economist, Macroeconomics and Trade, UDB.

Development financing: A critical pillar in the achievement of Uganda’s Tenfold Growth Strategy

by @EditorialNewsline
August 5, 2026
0
68

By Bob Twinomugisha The budget for this fiscal year was released at a critical point in Uganda's economic development journey...

Can young people Regain Patriotism When Jobs Are Scarce and Health Care Is Hard to Reach?

Can young people Regain Patriotism When Jobs Are Scarce and Health Care Is Hard to Reach?

by @EditorialNewsline
August 5, 2026
0
114

By: Byaruhanga Frank, Communications practitioner Many young people wake up each day with energy and ambition but few clear paths...

  • Makerere University’s CEDAT Trains 250 Construction Site Workers

    Makerere University’s CEDAT Trains 250 Construction Site Workers

    20 shares
    Share 8 Tweet 5
  • Makerere’s CHUSS Pledges to Strengthen Collaboration with JICA Program for Japanese Studies

    24 shares
    Share 10 Tweet 6
  • Gov’t, UWASNET Unveil first-ever WASH Impact and Influence Awards’ categories

    36 shares
    Share 14 Tweet 9
  • The search for Miss and Mr University Uganda is Back

    68 shares
    Share 27 Tweet 17
  • The third edition of Business Languages Festival 2025 launched

    29 shares
    Share 12 Tweet 7
Davic Jahlovd Face Reveal: Ugandan TikTok Star Finally Unveils His Identity After Years Behind the Iconic Cap

Davic Jahlovd Face Reveal: Ugandan TikTok Star Finally Unveils His Identity After Years Behind the Iconic Cap

August 9, 2026
Ugandan Author OnePercent Set to Launch New Book on Heartbreak and Healing

Ugandan Author OnePercent Set to Launch New Book on Heartbreak and Healing

August 9, 2026
115 Islamic Scholars Graduate from Bilal Islamic Secondary School

115 Islamic Scholars Graduate from Bilal Islamic Secondary School

August 9, 2026
  • Trending
  • Comments
  • Latest
Ugandan Veterinary Professionals Petition Government Over “Punitive” Licensing Fee Hike

Ugandan Veterinary Professionals Petition Government Over “Punitive” Licensing Fee Hike

April 30, 2026
Over 500 Students Gather at Gayaza High for 11th Annual School Farm Camp

Over 500 Students Gather at Gayaza High for 11th Annual School Farm Camp

August 23, 2025
Court Declares Mandatory Police Enrollment into Exodus SACCO Unconstitutional

Court Declares Mandatory Police Enrollment into Exodus SACCO Unconstitutional

July 15, 2026
UCE RESULTS: Fort Portal secondary school shines again

UCE RESULTS: Fort Portal secondary school shines again

February 11, 2025
Busoga’s Coffee Farmers Told to Register or Risk Losing Market Share

Busoga’s Coffee Farmers Told to Register or Risk Losing Market Share

1
Members of parliament propose a motion for gov’t to establish waste management fund

Members of parliament propose a motion for gov’t to establish waste management fund

1
Moneylenders guide public on how to steer clear of illegal operators

Moneylenders guide public on how to steer clear of illegal operators

1
Yara, Ministry of Agriculture partners to Strengthen Agricultural Standards

Yara, Ministry of Agriculture partners to Strengthen Agricultural Standards

1
Davic Jahlovd Face Reveal: Ugandan TikTok Star Finally Unveils His Identity After Years Behind the Iconic Cap

Davic Jahlovd Face Reveal: Ugandan TikTok Star Finally Unveils His Identity After Years Behind the Iconic Cap

August 9, 2026
Ugandan Author OnePercent Set to Launch New Book on Heartbreak and Healing

Ugandan Author OnePercent Set to Launch New Book on Heartbreak and Healing

August 9, 2026
115 Islamic Scholars Graduate from Bilal Islamic Secondary School

115 Islamic Scholars Graduate from Bilal Islamic Secondary School

August 9, 2026
Vulnerable People Are Precious to God, Says Pastor Migadde

Vulnerable People Are Precious to God, Says Pastor Migadde

August 9, 2026
Ugnews Line

Copyright © 2024 Ugnewsline.

Navigate Site

  • Home
  • News
  • Tech
  • Agriculture
  • Opinion
  • Entertainment
  • Lifestyle

Follow Us

Welcome Back!

Login to your account below

Forgotten Password?

Retrieve your password

Please enter your username or email address to reset your password.

Log In
No Result
View All Result
  • Home
  • News
    • Sports
    • Crime
    • Business
    • Politics
    • Blogs
  • Tech
  • Agriculture
  • Opinion
  • Entertainment
  • Lifestyle

Copyright © 2024 Ugnewsline.

This website uses cookies. By continuing to use this website you are giving consent to cookies being used. Visit our Privacy and Cookie Policy.