RAPID URBAN EXPANSION AND ITS IMPLICATIONS ON LIVELIHOOD OF FARMING COMMUNITIES IN PERI-URBAN AREA: THE CASE OF SEBETA TOWN

The main aim of this study is to assess the impact of rapid expansion of Sebeta town on livelihood of farmers living on peri-urban areas. The town is recently expanded over the peripheral areas due to combined factors like potential land in the area in attracting investments activities, proximity to the national market and accessibility for various types of infrastructures. As a result huge hectors of prime agricultural land has been converted to urban land uses and this has various implications on livelihood of peri-urban farmers. A multi-method data collection approach incorporating household survey, key informant interviews and personal observation was used to assess urbanization process of the town and the changing livelihoods. Hence, the result of findings showed that expansion of the town during the last few years made significant impacts on livelihood of farming community on peri-urban area: agricultural land fragmentation, land insecurity, and loss of farmer’s property on the land. On the other hand, the non-farm economic sector developed in the area was not capable to absorb evicted households. In addition, rehabilitation mechanisms used by the town municipality mainly an arrangement of cash compensation was found to be inadequate to replace their resource base, which is land. As a result, most of the families exposed to further economic, social and cultural impoverishment. Therefore, to ensure sustainable urban development, government should make sound planning prior to displacement without treating livelihood of vulnerable groups of people living on peripheral area.