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Absence of legal documented registration and certification title to land is often viewed as a major bottleneck to increased tenure security of land users. At the end of the 1990´s, the Ethiopian government had increasingly been acknowledging that lack of tenure security had been affecting investment on land, land transactions and mobility. This study took 70 domestic agricultural investors from Metema, to test the hypothesis that land titling, not an end by itself to enhance investor´s security to make long-term investment and test credit institutions are not willing to lend money to investors. It used both primary and secondary data. The result revealed that perception of tenure insecurity. The study found that size of plot is considered as principal determinate that affect perception of investors´ tenure security than provision of rural land tenure certifying books. Moreover, the survey indicated that agricultural investors have failed to obtain credit from formal institution by using their usefructuary right and product on land. The results have important implications for the government to adopt land holding system which clearly shows and guarantees tenure security

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BA in Economics (BahirDar University), MSC in Land Management with major in Build Environment (Royal Institute of Technology, KTH, Sweden); Currently, Lecturer and Program Manager at Institute of Land Administration, BahirDar University, BahirDar, Ethiopia. As program manager, responsible for market research analysis for newly launched prog.

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