Kenya, January 30, 2026 - The Ethiopian government is scaling up investments in rural roads and essential services as part of a strategic push to connect farmers to local and regional markets, reduce transport costs, and unlock economic opportunities for rural households across the country, according to the Ethiopian News Agency (ENA).
This initiative reflects a wider national commitment to improving rural infrastructure, enhancing service delivery and accelerating inclusive economic growth.
Under the programme, infrastructure improvements, particularly all-weather rural roads, are reducing travel times and lowering transportation costs, enabling farmers to move agricultural products more efficiently, increase incomes and participate more fully in market exchanges.
The enhanced connectivity also supports broader access to healthcare, education and agricultural support services, expanding essential opportunities that had historically been limited in Ethiopia’s remote areas.
These efforts align with ongoing national and international initiatives focused on rural connectivity for food security.
A World Bank-backed programme, supported through a $300 million International Development Association (IDA) grant, is aimed at improving climate-resilient rural roads and bridges throughout Ethiopia’s 13 regions.
The project is expected to benefit millions of rural residents, half of them women, by improving physical and digital market access, strengthening logistics, and expanding e-market platforms to link farmers directly with buyers and services.
To support implementation, the United Nations Office for Project Services (UNOPS) signed an $8.1 million agreement with the Ethiopian government in late 2025 to procure 88 purpose-built earth-moving vehicles for rural road construction and maintenance.
These modern machines, including motor graders, wheel loaders and rollers, will help build and upkeep all-season rural road networks that reduce post-harvest losses and cut logistics costs, directly boosting food security and local resilience.
The rural roads expansion is part of a broader rural transformation strategy that Ethiopia is pursuing.
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Government planning emphasises integrating infrastructure investments with agricultural support, service delivery and market linkage programmes to create durable improvements in rural livelihoods.
High-level consultations have already shaped a Rural Transformation Roadmap that targets not only infrastructure gaps but also supports value-chain development, skills training and inclusive growth frameworks to ensure rural communities benefit from coordinated economic development.
Economic research underscores the profound impact of road access on rural household incomes. Studies show that agricultural households living within two kilometres of quality roads are more likely to participate in market activities, generate higher net farm incomes, and engage in off-farm work, which diversifies income and strengthens resilience against shocks.
Better rural connectivity also translates into social gains by making it easier for families to access healthcare facilities, schools and extension services.
Rural roads reduce the time and cost of seeking treatment or enrolling children in education, which can yield long-term improvements in health and human capital outcomes. Development experts note that such investments are foundational to breaking cycles of poverty and enabling rural population clusters to engage more fully in economic, social and civic life.
Ethiopia’s rural roads and services investments are expected to contribute to broader national priorities such as economic diversification, regional trade linkages and climate resilience.
By lowering barriers to market participation and improving quality of life in underserved communities, the strategy supports objectives outlined in Ethiopia’s Homegrown Economic Reform Agenda and national development plans.
As rural connectivity expands, the country is better positioned to improve agricultural commercialization, support small and medium enterprises, and increase food security, while laying the foundation for sustained and inclusive economic transformation.

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