The Feed the Future Ethiopia-Livelihoods for Resilience Activity (L4R) is a 6.5-year USAID project led by CARE, with the goal of improving food security for 97,900 chronically foodinsecure households in multiple Ethiopian regions. It aims to achieve resilient livelihoods through four main objectives. Zerihun Associates was contracted to and conduct an Endline Assessment using mixed methods, and managed data collection of the endline, ensuring quality through rigorous processes. Despite challenges, Zerihun Associates successfully gathered data from 1802 out of 1849 sampled households. However, the study faced limitations due to external factors, seasonal variations, and methodological inconsistencies, potentially impacting findings' comparability. Using both cross-sectional and panel data, the study reveals a mix of success and challenges.
Income
Devaluation of the birr during the project period, combined with rising inflation and cost of inputs, negatively impacted household’s net inflation-adjust income over time. While in unadjusted terms net incomes increased 154%, when adjusted for inflation, net incomes experienced a 19% decline among cross-sectional households from baseline to endline. At endline, there was an increase in the proportion of households earning income from crop and livestock production and transfers and other sources, but a decline in households earning income from off-farm and wage employment, compared to baseline. There was a slight increase in the average number of income sources per
household between baseline and endline (1.5 and 1.7 sources respectively).
Household Assets
The longitudinal analysis of household assets among both cross-sectional and panel data reveals a generally upward trend in overall household asset values and, particularly, in livestock assets over the period from the baseline to the endline. When adjusted for inflation, the overall asset value showed a 43% increase in the cross-sectional data and a 25% increase in the panel data. Livestock assets consistently played a pivotal role in this growth. This rise is particularly notable given the challenging economic conditions, including conflicts.
On-Farm livelihoods
The cross-sectional analysis on household livelihood activities, specifically focusing on Value Chain (VC) engagement, reveals a complex pattern of participation over time. Initially, there was a promising uptick in households engaged in at least one prioritized VC, increasing from 49.5% at baseline to 71.0% in Year 3. This was followed by a decline, reaching 45.9% by the endline. However, there was a slight increase in households engaged in two or more prioritized value chains between baseline and endline, increasing from 38% to 40%.