Abstract:
The objective of this study is to examine determinants of Rural-Urban linkages for local economic
developments with reference to Jimma Town and its hinterland. In order to achieve the objectives
of the study, the necessary data were gathered both from primary and secondary sources. On the
first stage based on geographic proximity and service catchment with the town, 2 kebeles were
selected from rural areas purposively and one kebele from Jimma town was randomly chosen.
Then a random sample sampling technique was used to select household heads. The sample
consisted of 355 household’s heads. Both descriptive and econometrics analysis were employed
to meet the objective of the study.
The result from the descriptive analysis indicates that, most of the linkages that exist in the study
area are sectorial linkages and spatial linkages. The nature and type of these linkages are affected
by such factors like limited agricultural inputs, infrastructure, subsistence nature of production,
lack of market information and distance.
The study found that educational status of the respondents, marital status of the respondents, Credit
accessibility and distance from the town were found to have statistically a significant positive
influence on enhancing urban rural linkages. On the other hand, Age of the respondents had a
significant negative influence on enhancing urban rural linkages for local economic
developments. Land holding of the house hold heads was insignificant but has positive association
with rural urban linkage of the study area. The findings of the study also show that the production
linkages were very weak except for the backward production linkage which was reflected mainly
in the use of inputs. The insufficient crop production of rural hinterland had made the existing
marketing linkage to be expressed more in the form of livestock and Coffee marketing linkage
than crops.
