CLTS Research Report "How Pro-poor are Land Rental Markets in Ethiopia?" assesses the land rental market that is dominated by a reverse tenancy system with relatively poorer landlords and less poor tenants. This market has largely developed informally in Ethiopia but has also been shaped by the changing land policies. We assess how pro-poor it is and whether interventions potentially can make it even more pro-poor and welfare enhancing or whether a “hands off” policy is preferable.
Population growth, economic growth, and structural transformation in agriculture may change the role of land from being the most important safety net and livelihood opportunity to become an important resource for agricultural transformation and development. The non-farm sector in Ethiopia has grown rapidly in recent years and provides new employment opportunities and this reduces the pressure on land as the only and main source of livelihood.
Our study of land rental markets in Ethiopia covers communities in Tigray, Oromia and SNNP regions focuses particularly on the period 2006 to 2012, but draws on data and research that goes back to 1998 in Tigray and utilizes information from landlords and tenants and other rural households with male and female representatives, local Land Administrative Committee (LAC) members and local conflict mediators with long experience in handling local land disputes.
The report is published as a CLTS Research Report and can be downloaded here.