Rural Development Strategy Review of Ethiopia
Reaping the Benefits of Urbanisation
Addressing rural development is key for Ethiopia’s growth process. A series of government-led structural reforms have contributed to sustained growth in the country over the last two decades as well as to considerable poverty reduction in rural areas. However, Ethiopia faces critical challenges it will need to overcome to meet the needs of a growing rural population. In practice, this will require updating the existing rural development strategy in order to better integrate the interaction of rural and urban areas. Policy approaches that account for the fast urbanisation process experienced in the country will therefore be key to improving the well-being of rural populations and promoting national growth.
This report takes a spatial approach to study Ethiopia’s rural development strategies. It highlights the need to develop stronger and more functional linkages between rural and urban areas. As such, the development of intermediary cities and small urban centres provides large scope for inclusive rural transformation. The report is the result of rigorous analysis, and extensive consultations with national and international stakeholders. It identifies some of the key challenges faced by rural areas and provides a series of recommendations to enhance Ethiopia’s rural development strategies.
Ethiopian intermediary cities and their roles for rural development
Ethiopia is urbanising at an unprecedented rate and intermediary cities are at the centre of its urbanisation process. The growth of Ethiopia’s intermediary cities can foster rural transformation and facilitate the development of a more balanced urban system. However, the potential for rural-urban transformation depends on creating strong reciprocal linkages. This chapter analyses a number of Ethiopian intermediary cities, and their roles in facilitating rural development. It highlights that Ethiopia’s intermediary cities serve as market hubs for rural goods, act as key destination for rural migrants, and provide employment opportunities. However, it is argued that some of the linkages between rural and urban areas remain weak, limiting the scope for rural-urban transformation. It calls for development of stronger knowledge base on Ethiopia’s intermediary cities and their roles for rural development, as well as better co-ordination between rural and urban policies in order to promote an inclusive rural transformation process.