A ’third way’ to proper land tenure
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Oluşturulma Tarihi: Şubat 05, 2009 00:00
Turkey hardly needs another wrenching socio-political debate. Yet one looms in the form of pending legislation that would effectively legalize countless dwellings on forestry land, so-called "B2" areas.
The total area of such B2 land in Turkey is some 500,000 hectares, an area equivalent to the province of Istanbul. Much of this land, sometimes described as "rich man’s gecekondu," has been developed in ways akin to that of the shanty towns ringing major cities; that is on the margins of the law, without proper title. The difference is the social class of the squatters.
As we reported yesterday, the government is preparing to move legislation that would legitimize much of this development upon treasury land. The hope is that this amnesty Ñ certain to be called something else Ñ will bring in some $25 billion in handy revenue. Real estate agents are already marketing homes in these gray areas with scurrilous rumors that top politicians have begun investing there.
We hardly support a massive giveaway of public resources. But we are less than confident the opposition to this plan, that is sure to come in strident tones from both environmental groups and opposition parties, will be waged in the most responsible fashion.
But there is an alternative to another round of mortal combat politics.
Acknowledging existing land uses, B2, "gecekondu" and other practices in a systematic, comprehensive and equitable way can aid Turkey’s modernization and drag this dark sector of the economy into the light of regulation, taxation and leverage. Successful examples of this have been carried out from Peru to Malaysia to Egypt, largely through the work of Peruvian economist Hernando de Soto. His Institute of Liberty and Democracy based in Lima is a veritable warehouse of best practice on this issue. In fact, the United States and much of Europe went through a similar process; U.S. homestead law and mining law in the 19th century embraced this very concept: it legalized practices already occurring.
As De Soto pointed out in his 2003 book "The Mystery of Capital," many countries similar to Turkey indeed have capital, it just capital in defective form. "It is land whose ownership rights are inadequately recorded, unincorporated businesses, businesses with undefined liabilities, industries located where financiers and investors cannot see them." This description fits much of Turkey.
A comprehensive initiative, one that includes land reform in the Southeast, a reconceptualization of the storied "GAP Project," environmental restoration and issuance of title in a manner that does not spark excessive speculation is not just doable. It also logical, desirable and something that should bring political forces together rather than divide them. It is time to clean up the land tenure books.
As we reported yesterday, the government is preparing to move legislation that would legitimize much of this development upon treasury land. The hope is that this amnesty Ñ certain to be called something else Ñ will bring in some $25 billion in handy revenue. Real estate agents are already marketing homes in these gray areas with scurrilous rumors that top politicians have begun investing there.
We hardly support a massive giveaway of public resources. But we are less than confident the opposition to this plan, that is sure to come in strident tones from both environmental groups and opposition parties, will be waged in the most responsible fashion.
But there is an alternative to another round of mortal combat politics.
Acknowledging existing land uses, B2, "gecekondu" and other practices in a systematic, comprehensive and equitable way can aid Turkey’s modernization and drag this dark sector of the economy into the light of regulation, taxation and leverage. Successful examples of this have been carried out from Peru to Malaysia to Egypt, largely through the work of Peruvian economist Hernando de Soto. His Institute of Liberty and Democracy based in Lima is a veritable warehouse of best practice on this issue. In fact, the United States and much of Europe went through a similar process; U.S. homestead law and mining law in the 19th century embraced this very concept: it legalized practices already occurring.
As De Soto pointed out in his 2003 book "The Mystery of Capital," many countries similar to Turkey indeed have capital, it just capital in defective form. "It is land whose ownership rights are inadequately recorded, unincorporated businesses, businesses with undefined liabilities, industries located where financiers and investors cannot see them." This description fits much of Turkey.
A comprehensive initiative, one that includes land reform in the Southeast, a reconceptualization of the storied "GAP Project," environmental restoration and issuance of title in a manner that does not spark excessive speculation is not just doable. It also logical, desirable and something that should bring political forces together rather than divide them. It is time to clean up the land tenure books.