Subnational Cadaster and Tax in Colombia


The formalization of land management is a key driver for economic development and the reduction of poverty and inequality. A well-functioning land management information system strengthens property rights, provides legal security and is the basis for taxation and urban planning and management.

Country/region Period Budget
Colombia
01.10.2020 - 31.12.2024
CHF  6’300’000
Background

In Colombia, a sustainable land use management is hampered by a high percentage of outdated cadastre and weak capacities. The country has made efforts to decentralize and modernize territorial planning. However, even strong municipalities often lack the capacity to modernize land management and the national government only provides limited support to cities in this endeavor. The proposed project aims at targeting the identified obstacles and supporting key reform plans on land and fiscal management.

Objectives

Support the decentralised fiscal and land management of municipalities by improving their capacity for the management of multipurpose cadasters. The first pillar will build capacity in six municipalities for cadastral data management and maintenance, land value capture instruments as well as for tax administration. In order to provide sustainability and scalability, the second pillar will build capacity at the central government level to strengthen and align policies, regulation and incentives on land and fiscal management issues.

Medium-term outcomes

Strengthened land management capacity and systems through enhanced multipurpose cadastral data management and maintenance.

Enhanced land administration services available, allowing for a functional land market.

Increased operational efficiency of the tax administration because of improved processes and information systems.

Optimized and increased revenues from different sources at the municipal level, including the collection of existing fees and contributions.

Improved finances as land value capture instruments increase local government revenues.

Strengthened policies, regulation and incentives at the national level, to improve land and fiscal management at the subnational level.

Strengthened technical capacity of subnational entities through the implementation of new processes and procedures for land management and tax administration in a coordinated manner with national entities.

Results

Expected results:  

Guidelines for municipalities to comply with legal, technological and staff requirements to become decentralized cadaster administrators.

Quality assurance mechanisms and advice for data maintenance.

Design of institutional arrangements, operational models and procedures for adequate data maintenance.

Assessments and action plans to modernize local tax administrations, including processes and information systems.

Training and capacity building for tax administration staff.

Design and implementation of land value capture instruments.

Community of practice as platform for peer learning between local governments and for dialogue with the central government.

Incentives for subnational governments to foster the implementation of the multipurpose cadaster and fiscal management.

Knowledge exchange and dissemination workshops to inform potential policy reforms at the national level.


Directorate/federal office responsible SECO
Credit area Development cooperation
Budget Current phase Swiss budget CHF    6’300’000 Swiss disbursement to date CHF    0 Budget inclusive project partner CHF    6’300’000
Project phases Phase 1 01.10.2020 - 31.12.2024   (Current phase)