An alternative is that funding could partly derive from subnational governments, but this would need to be coupled with tax reforms that boost subnational government income such as a possession-based rather than a transaction-based property tax (OECD, 2013a). Even if farmers manage to scale up their land holdings through renting in operating rights to farmland and attract suitable labour, poor access to finance may limit farm investment and mechanisation. A large problem for farmers in many developing countries is a lack of collateral.