Tenure systems in communal areas of Namibia, which affect some 38% of the country's surface and half its citizens, provide fewer opportunities for economic development than elsewhere. Incentives for investment are limited by several factors, including complex procedures to acquire commercial land rights; land rights not being tradable; most residents not being able to use their land for commercial enterprises; and land rights not being suitable for collateral to generate capital. In addition, commonage land used by local residents has been appropriated to a large extent because "ownership" of commonages is vested in the state and traditional authorities. This has resulted in the loss of resources which are important to the livelihoods of many of the poorest people in Namibia. Economic opportunities are further constrained by poor soils and climatic conditions for agriculture, limited infrastructure, and inadequate access to banking and other services.