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Publication | 2020

Investing in rural people in Ethiopia

Since 1980, IFAD has invested US$751.6 million in 20 programmes and projects in Ethiopia, with an overall cost of US$2,157.6 million and benefiting more than 11 million households. IFAD has also provided US$28 million in debt relief under the Heavily Indebted Poor Countries Debt Initiative. In line with GTP II, IFAD’s strategy focuses on providing smallholder farmers, pastoralists and agropastoralists with the critical assets they need to enhance productivity and resilience. These include natural resources, technology, finance, institutional capacity and access to markets. Farmers’, agropastoralists’ and pastoralists’ institutions serve as key entry points in strengthening the ability of their members to engage profitably in commercially viable value chain relationships, including with aggregators (traders, agroprocessors), service providers, input suppliers and rural financial institutions. The strategy helps rural households raise their incomes and improve food security, as well as increases their contribution to the country’s economic development. Two strategic objectives contribute to this goal: 1) Enhanced resilience and productivity of ecosystems and livelihoods through improved management of natural resources, particularly water; and 2) Enhanced linkages to the private sector to ensure increased and sustained access to markets, finance and agricultural technology. The strategy focuses on small-scale irrigation development, sustainable resource management, rural financial inclusion, and pastoral and agropastoral community and livelihoods development.