During Vietnams transition from a socialist to a market economy, households property rights over agricultural land were considerably strengthened through a land certi cation program. This resulted in active formal credit and land markets, either of which potentially affects consumption growth and volatility. This article evaluates the program impact with respect to consumption outcomes. In particular, it identifies the channel of impact through which improved property rights affect consumption growth and volatility. We find that land certifi cation increases consumption growth, but also consumption volatility. We show that the certifi cation program affects consumption outcomes predominantly through the credit market channel as formal loans are used for (risky) agricultural investment rather than consumption smoothing.