Ethiopia - The Employment Creation
Effects of the Addis Ababa Integrated Housing Program

Ethiopia's second poverty reduction
strategy, the Plan for Accelerated and Sustained Development
to End Poverty (PASDEP) outlines a strategy of complementing
a continued strong focus on increasing agricultural
productivity with an increased emphasis on urban
development. In this context it highlights the importance of
facilitating accelerated employment generation to address
the issue of high levels of urban unemployment. This report
is organized as follows: chapter two provides more detailed
background information on the program's operation and
goals. Chapter three focuses on the methodology for this
study, by articulating the key hypotheses tested in this
analysis and identifying its limitations. The chapter also
describes the main source of information for this study, a
purposively collected survey of firms and workers in the
construction sector. Chapter four addresses the central
issue of this report by providing a snapshot of the
beneficiaries of the program, focusing both on firms and
workers and reviewing the effects of the program in terms of
employment creation, both in static and in dynamic terms.
Chapter five provides evidence on the effectiveness of the
support offered by the program, and provides some evidence
on the general equilibrium effects of the program. Finally,
chapter six provides an assessment of the distributional
effects of the program through its employment creation
effects. Chapter seven reviews the main conclusions emerging
from the study and draws the policy implications for the
program, particularly in light o f its ongoing scaling up.