Addressing Rural Poverty in Highland Ethiopia: Policy Options for Sustainable Livelihoods in Debark District

Abstract

About 26.5% of rural households in Debark District live below the poverty line. The poverty gap is 4.5%, and poverty severity is 3.5%, suggesting that many poor households are close to the poverty threshold and could improve with well-targeted support. Evidence from 396 rural households, focus group discussions, and key informant interviews shows that larger family size, higher dependency ratios, female household headship, and residence in Dega highland areas increase the risk of poverty. Livestock ownership and access to credit reduce vulnerability by supporting income generation, consumption smoothing, and resilience to shocks. The brief recommends four priority actions: (1) spatially differentiated support for Dega highland communities, (2) livestock-centered livelihood development, (3) inclusive and responsible rural financial services, and (4) gender-responsive agricultural and social support. These actions align with Ethiopia’s Ten-Year Development Plan, the Agricultural Transformation Strategy, the Productive Safety Net Program, and the Climate Resilient Green Economy strategy.