African Journal of
Agricultural Research

  • Abbreviation: Afr. J. Agric. Res.
  • Language: English
  • ISSN: 1991-637X
  • DOI: 10.5897/AJAR
  • Start Year: 2006
  • Published Articles: 6638

Full Length Research Paper

Determinants of rural households’ livelihood diversification decision: The case of Didessa and Bedelle District, Bunno Bedelle Zone, Oromia Regional State, Ethiopia

Jemal Aman Washo
  • Jemal Aman Washo
  • Departments of Agricultural and Economics, Bedele College of Agriculture and Forestry, Mettu University, Bedelle, Ethiopia.
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Shibeshi Fikadu Tolosa
  • Shibeshi Fikadu Tolosa
  • Departments of Agricultural and Economics, Bedele College of Agriculture and Forestry, Mettu University, Bedelle, Ethiopia.
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Jiregna Kenea Debsu
  • Jiregna Kenea Debsu
  • Departments of Agricultural and Economics, Bedele College of Agriculture and Forestry, Mettu University, Bedelle, Ethiopia.
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  •  Received: 31 August 2021
  •  Accepted: 21 November 2021
  •  Published: 31 December 2021

Abstract

Beside its greatest contribution to Ethiopian economy, agricultural sector has been highly affected by climate change. Consequently, masses of people have been left food insecure every year. As an option, rural households have been participating in diversifying their livelihood sources. The present study aims to identify the major factors affecting rural household’s participation in livelihood diversification activities in Didessa and Bedele woredas. Multinomial Logit model was employed to analyse the data collected through structured questionnaires from 186 sample households of 6 randomly selected rural kebeles. The model result confirms that factors such as marital status, level of education, land owned, livestock holding and access to credit have significant and positive influence on the probability of participating in non-agricultural activities while age of household head and family size have significant and negative influences. The findings imply that rural development policies should consider off-farm and non-farm livelihood sources, in addition to agriculture, so as to boost the income of farming households which in turn will assist them to improve their livelihood.

Key word: Livelihood, diversification, determinants, Multinomial Logit, Southwest Ethiopia.