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USAID/Ethiopia 

Operational Plan 

FY 2006 

June 2, 2006 
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Please Note: 

The attached RESULTS INFORMATION is from the FY 2006 Operational Plan and was assembled 

and analyzed by the country or USAID operating unit identified on the cover page. 

The Operational Plan is a "pre-decisional" USAID document and does not reflect results stemming 

from formal USAID review(s) of this document. 

Related document information can be obtained from: 

USAID Development Experience Clearinghouse 

8403 Colesville Road, Suite 210 

Silver Spring, MD 20910 

Telephone: (301) 562-0641 

Fax: (301) 588-7787 

Email: docorder@dec.cdie.org 

Internet: http://www.dec.org 

Portions released on or after July 1, 2006 
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Program Performance Summary FY 2005: . Program Performance Summary 

Program Narrative (FY05): With over 77 million people, Ethiopia has the second largest population in subSaharan Africa. It ranks 170th out of 177 countries on the UN Human Development Index. Underlying 

challenges on policy and governance, poverty, food insecurity, and a tenuous political environment pose 

multi-dimensional challenges that underpin fragility and impede the country’s development. Although 

there have been some changes in the last ten years designed to liberalize Ethiopia’s economy and 

decentralize governance, this has not fully reversed a history of centralized autocracy and violent political 

conflict. Despite initial advances, the capacity and the freedom of action of civil society and political 

opposition remain limited. 

The dramatic nature of Ethiopia’s cycles of drought leading, at times, to famine is linked to the country’s 

long history as an autocratic feudal state and socialist dictatorship. According to Nobel Prize-winning 

economist Amartya Sen, “No famine has ever taken place in the history of the world in a functioning 

democracy.” The main source of fragility in Ethiopia, then, is the absence of accountable good 

governance that, in turn, affects the interplay of poverty and food insecurity. Large segments of the 

population remain vulnerable and reliant on food assistance, facing severe livelihoods crises. High rates 

of child malnutrition, with 50% of the population stunted, are a result and an indicator of the high level of 

food insecurity and the weakness of health sector service delivery and compromised nutrition systems. 

Rapid population growth is symptomatic of and perpetuates deep poverty. Increased population and 

poverty has led to small landholding soil degradation and a growing demand on natural resources, 

particularly forest and water resources. Underlying government policy issues also contribute to poverty 

and food insecurity, including: barriers to private sector entry, ineffective land policy, inequity between 

urban and rural social support, and restrictions on civil society and independent media. 

The May elections and their aftermath reflect the political fragility in Ethiopia. Political fragility is 

manifested by extreme distrust and suspicion between the ruling and opposition parties and an apparent 

willingness on all sides to manipulate or bypass democratic means to maintain or achieve power. This 

breakdown in trust is apparent in government actions against civil society and independent media. Longstanding sources of fragility, linked to the absence of accountable governance, have both contributed to 

these election-related problems, and been worsened by them. 

USAID, along with other donors, will increase the emphasis on governance and increasing democratic 

space in all programs where possible. Fundamental areas for increasing democratic space include 

supporting civil society, a functioning parliament, private sector-led economic growth, facilitating open 

communication through the media and other channels, and emphasizing grassroots empowerment in 

service delivery programs. 

Despite historical constraints and current fragility, Ethiopia has many strengths that provide a basis for 

optimism regarding development. The Ethiopian people are resilient and concerted efforts by the 

Government of Ethiopia (GOE), in partnership with international donors, have resulted in significant 

progress in health (expanded access to essential services through the GOE's Health Extension Program, 

strong increases in family planning utilization) and education (increased primary school enrollment and 

improvements in primary teacher training and curricula). HIV/AIDS is now being recognized as a serious 

threat to the country and steps are being taken to slow its spread. The Productive Safety Net Program is 

addressing the neglected issue of chronic food insecurity, with the aim of ending livelihood disruption and 

the cycle of annual food assistance for chronic needs. Progress has been seen in some key policy areas 

such as agriculture and manufacturing. 

Key Achievements by Strategic Objective 

1. Anticipate and Manage Shocks (Strategic Objective 13): USAID support to improve GOE capacity to 

anticipate and manage shocks yielded several key achievements that saved thousands of lives in the two 

most recent droughts that occurred almost back-to-back. Improved contingency planning included health, 

water, and agricultural emergency needs, and involved donors and government stakeholders, who 

anticipated emergency needs well before they peaked. USAID’s policy work led to a reform of the 

emergency response system to enable the GOE to differentiate between acute and chronic food insecure 
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populations, which allowed for more effective and appropriate targeting of assistance to each group. The 

successful completion of this strategic objective will enable the GOE’s Disaster Preparedness and 

Prevention Agency (DPPA), its regional counterparts, and other line ministries to improve their ability to 

plan for and respond to emergencies. Livelihood approaches to understand needs will be the basis for 

assessments at the national level and will result in improved targeting, management of unpredictable 

emergency shocks and improved programming of both food and non-food resources. 

2. Human Capacity and Social Resiliency (Strategic Objective 14): USAID’s strategy for primary 

education and health is based on the premise that strengthening and decentralizing routine education and 

health services mitigates the impact of emergencies and prevents some of their serious consequences. 

USAID’s investments in health and education are yielding notable results with decreases in fertility and 

child malnutrition and increases in school enrollment. 

The Total Fertility Rate decreased slightly from 5.9 in 2000 to 5.7 in 2005. Urban fertility, though, fell from 

3.3 births versus 2.4 births from 2000 to 2005. At the same time, use of modern contraceptive methods 

has more than doubled from 6 percent of currently married women in the 2000 EDHS to 13.9 percent 

nationally in 2005. National gross enrollment rates in grades 1-8 increased from 64.4 percent in 2003 to 

77.7 percent in 2005. Increased community and parental engagement in education and cluster-based 

USAID interventions led to reduced drop out and grade repetition rates. 

The USAID strategy establishes clearer links with emergency preparedness that include broader crosssectoral interventions in nutrition, water, sanitation, and health education. The approach is closely linked 

to SO 13, Capacity to Anticipate and Manage through Shocks. While malnutrition among children, an 

indication of failing health services and chronic and acute food shortages, remains a significant problem 

in Ethiopia, the stunting rate in children under five years decreased from 52 percent in 2000 to 47 percent 

in 2005. 

3. Capacity for Good Governance (Strategic Objective 15): Achieving success in the transition to multiparty democracy is among the greatest challenges facing Ethiopia. USAID support has directly 

contributed to progress in decentralized governance, in preventing and mitigating local conflict, and in 

improving some aspects of electoral administration. USAID support enabled the expansion of the GOE’s 

budget management system to all regions and the establishment of a new budget and accounts 

information management system at the federal level. USAID-supported conflict prevention and 

reconciliation programs completed assessment and training phases and, in one regional state, 

successfully facilitated nine local peace agreements Post-election violence demonstrates, though, the 

limitations on the ability of donors to positively engage the political process in the absence of true internal 

political will to support and sustain the democratic process. 

4. Market-led Economic Growth and Resiliency (Strategic Objective 16): This strategic objective seeks to 

alleviate Ethiopia’s fragility by addressing the chronically food insecure and supporting private sector 

market-led economic growth. USAID support led to progress in economic policy, agricultural productivity, 

agribusiness, markets and enterprise development, natural resources management, pastoralist 

livelihoods, and productive safety nets to transition from relief to development. Impressive gains were 

made in expanding market opportunities for agriculture, handicraft, and manufactured products (e.g., 

coffee, live animals and meat, oilseeds, textiles, and leather goods) and making credit available to 

agribusiness, cooperatives, and other entrepreneurs. Cooperatives continued to add members and 

provide a range of services including access to cheaper inputs, marketing of products at higher prices, 

savings and credit, and capacity building. A $45 million portfolio of livestock and pastoralist projects was 

designed and launched. The productive safety net program, including the labor-based community public 

works and household livelihoods interventions, saved lives, protected assets, and made significant 

progress in improving household food security and income. All activities under this strategic objective 

have emphasized the role of women as being a key component of Ethiopia’s economic growth. 

5. Knowledge Management (Program Support Objective 17): This program support objective supports the 

utilization of knowledge management to enable internal capacity to share information on a wide range of 

effective relief and economic and social development interventions. USAID has successfully initiated 
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methodical support and monitoring of policy priorities identified as crucial to meet USAID objectives. 

Coordination on policy initiatives with other donors and the GOE has been institutionalized, mainly 

through the GOE’s Sustainable Development Poverty Reduction Plan (SDPRP) process, with greater 

clarity on policy objectives, implementation modalities, and monitoring and evaluation. USAID supported 

a Citizen Report Cards survey by the Poverty Action Network for Ethiopia (an umbrella organization for 

local NGOs), which tracks the effectiveness of delivery of government services. Survey data has informed 

the review of the SDPRP I and planning for SDPRP II. 

Integrated Programming 

Gender: USAID places a high priority in targeting assistance to women in Ethiopia, who continue to face 

limited access to productive economic inputs and exposure to violence and harmful traditional practices. 

Training has taken place in over one-third of all districts in the country on gender mainstreaming including 

abandonment of harmful traditional practices and exposure to violence. Specifically, issues of trafficking, 

early marriage, female genital cutting, rape, abduction, violence against women, and inheritance laws are 

being discussed at national and local levels. Over 400 judges, prosecutors and law enforcement officials 

were trained to handle these issues in accordance with the newly revised Family Law and Penal Code. In 

FY 2005, over 12,000 child marriages were prevented in two regions. Support was provided to antitrafficking efforts through communication and awareness programs and reintegration and employment 

programs. 

USAID provided training for over 200 regional and woreda staff on the implementation of a gender 

sensitive Productive Safety Net Program. USAID is providing support to senior woman staff at DPPA, as 

well as the Head of the Women’s Affairs Department, to obtain their Masters Degree in Humanitarian 

Affairs at Tufts University in Boston. 

 

Capacity building and asset transfer activities target rural women to increase their income and diversify 

livelihoods through the PSNP. Provision of credit to rural women in micro enterprise development is 

extended through Rural Saving and Credit Institutions while loan guarantees for women entrepreneurs 

are extended through larger banks. USAID signed a $10 million loan guarantee agreement with a local 

independent bank to provide short- to medium-term loans to small and medium entrepreneurs engaged in 

manufacturing, service and agricultural sectors. The loans will target businesswomen returning from 

abroad. 

Public-private Partnerships: USAID is working actively to develop public-private partnerships. In 

collaboration with the Global Development Alliance Secretariat, USAID Ethiopia has facilitated and 

directed partnerships to leverage resources and bring the skills of diverse partners to bear on the 

development challenges facing Ethiopia. USAID has received and leveraged resources in support of the 

following alliances: Global Giving (charitable giving website development), leather manufacturing and 

market development with Nike, help to vulnerable orphans and children, support to the Ambassador’s 

Girls’ Scholarship Program, the Millennium Water Alliance and efforts to provide jobs to youth in 

collaboration with the Coca-Cola Alliance. Additionally, there are a number of other alliances being 

developed at this time. 

Environmental Compliance: Strategic objective-level Initial Environmental Examinations (IEE) have been 

approved this year for each of the SOs outlined in this report. To promote sound environmental 

management, these IEEs invoke, as appropriate, (a) activity screening to ensure overarching compliance 

of all future activities under each SO, and (b) implementation using established best practices as provided 

in USAID/AFR Environmental Guidelines for Small Scale Activities in Africa. Further details about 

environmental management are contained in the recent Environmental Threats and Opportunities (ETOA) 

Assessment. 
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FY 2006 Program 

SO: 663-013 Capacity to Anticipate and Manage through Shocks Increased 

Improve Emergency Preparedness & Disaster Mitigation 

Improve emergency preparedness and disaster mitigation ($1,000,000 DA; $200,000 CSH). The DPPA, 

as the GOE’s primary emergency management coordination agency for unpredictable disasters, requires 

a fully integrated early warning system to mobilize appropriate and timely responses to mitigate and 

address shocks. An improved emergency assessment approach that can detect changes in household 

food security or economic (non-food expenditure) status is the first step toward anticipating or responding 

to crises on an appropriate scale. USAID supports the government to undertake livelihood baseline data 

collection in Tigray and Amhara regions linked to the emergency needs assessment system. USAID 

funds training of federal staff on early warning systems to strengthen the capacity of the DPPA. A 

USAID-supported livelihoods integration unit based in the DPPA’s Early Warning Department helps 

coordinate this with other livelihoods-based early warning systems both in Ethiopia and regionally. 

USAID also supports the establishment of a fully staffed Famine Early Warning System Network 

(FEWSNET) office through which government, donor, and other agency stakeholders benefit from early 

warning information and analyses. 

The federal DPPA must be interconnected with its regional counterparts to facilitate information sharing 

and better communicate local-level early warning data in real-time. USAID, then, continues to support the 

regional connectivity initiative developed by the DPPA’s information management service. USAID is 

improving local emergency management skills through short-term training in disaster management and is 

funding courses for senior government staff involved in response capacity. To increase DPPA's 

information management capacity, USAID supports the DPPA Information Center through a grant to the 

United Nations Office for the Coordination of Humanitarian Affairs (UNOCHA). 

To improve the participation, coordination and engagement of other parts of government in crisis 

response activities, USAID supports contingency planning processes involving all appropriate agencies 

and key donors, emphasizing a bottom-up approach from regional and federal levels of government. 

Finally, selected crisis management policies must be reformed and implemented. With USAID support, 

multiple stakeholders are involved in a transparent review process that builds on lessons learned from 

recent evaluations. Activities under this objective are supplemented by the Office of Foreign Disaster 

Assistance (OFDA). Other government Ministries (water, health, agriculture) are supported to develop 

their own emergency response capacity. Principal contractors and grantees: DPPA, UNOCHA, and 

FEWSNET (primes). 

FY 2007 Program 

SO: 663-013 Capacity to Anticipate and Manage through Shocks Increased 

Improve Emergency Preparedness & Disaster Mitigation 

Improve emergency preparedness and disaster mitigation ($1,000,000 DA; $200,000 CSH). USAID will 

continue supporting the federal and regional livelihoods teams to develop livelihoods baseline information 

supporting a national emergency needs assessment system. USAID will support the training of federal 

staff on early warning systems to strengthen the capacity of the DPPA. Contingency planning will 

continue to be emphasized at lower administrative levels, consistent with the policy of the government to 

decentralize decision-making to the district level. Lessons learned from a regional connectivity pilot 

exercise will be incorporated into an expanded and scaled-up initiative to include other regions and 

districts with the eventual aim of interconnecting all 262 emergency-prone districts into a single system. 

USAID will continue to fund training for staff at all levels, which will help to improve the GOE’s integrated 

emergency response capacity and coordination ability. Principal contractors and grantees: DPPA and 

others to be determined. 

FY 2006 Program 

SO: 663-014 Human capacity and social resiliency increased 
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Achieve Equitable Access to Quality Basic Education 

Achieve Equitable Access to Quality Basic Education ($10,416,000 DA). USAID is working to improve 

pre-service training and enhance support to primary schools. Teacher in-service training will be 

expanded. Self-instructional kits and supplementary material on HIV/AIDS, environmental, and civic 

education are being distributed to grades five through eight. Interactive radio instruction is reaching grade 

six nationally. Partnerships between communities and government are expanding to empower education 

ownership by communities. USAID promotes alternative education and adult literacy in disadvantaged 

and pastoralist areas. Principal contractors and grantees: Academy for Educational Development (AED), 

World Learning, Save the Children US, Tigray Development Association, and PACT (primes). 

Improve Access To Clean Water & Sanitation 

Improve Access to Clean Water and Sanitation ($300,000 CSH; $200,000 ESF). USAID supports access 

to clean water and sanitation through technical innovation and the operation and maintenance of water 

systems. Principal contractors and grantees: Millennium Water Alliance (MWA) (prime). 

Improve Child Survival, Health & Nutrition 

Improve Child Survival, Health and Nutrition ($5,427,000 CSH). USAID is expanding nutrition activities 

and community health promoters (to a total of 20,000 promoters). Programs to manage childhood 

diseases are being strengthened and health officers are being trained. USAID is helping to develop a 

health management information system and the implementation of health care financing policies. 

Principal contractors and grantees: John Snow Incorporated (JSI), Abt Associates, the Carter Center, 

and Pathfinder International (PI) (primes). 

Improve Maternal Health & Nutrition 

Improve Maternal Health and Nutrition ($1,530,000 CSH). Reproductive health is to be expanded 

through referrals for antenatal and other services. A fistula project is building a network of services to 

provide access to treatment and repair. Principal contractors and grantees: PI, AED, Johns Hopkins 

University/Center for Communication Programs (JHU/CCP), Fistula Hospital (primes), and others to be 

determined. 

Prevent & Control Infectious Diseases Of Major Importance 

Prevent and Control Infectious Diseases of Major Importance ($4,340,000 CSH). USAID supports 

expanded insecticide-treated nets subsidy programs for pregnant women. A new malaria strategy is 

directing future malaria programming. Tuberculosis (TB) programming in the private sector continues. 

The TB policy is being revised and services are being facilitated in 55 private clinics. USAID supports 

immunization days to help Ethiopia reach polio-free status. Principal contractors and grantees: AED, Abt 

Associates, and JHU/CCP (primes). 

Reduce Transmission & Impact Of HIV/AIDS 

Reduce Transmission and Impact of HIV/AIDS. See the State Department Congressional Budget 

Justification, Global HIV/AIDS Initiative section, for a discussion of this program. 

Support Family Planning 
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Support for Family Planning ($19,773,000 CSH). USAID strengthens family planning services, procures 

contraceptives, and continues to support a national contraceptive social marketing program through the 

private sector. Activities to reduce harmful traditional practices are coordinated with primary and 

secondary schools. USAID supports the implementation of a new Ministry of Health logistics system. 

USAID is designing a new strategy, encompassing maternal and reproductive health, nutrition and family 

planning. Principal contractors and grantees: PI, World Learning, AED, Johns Hopkins (primes). 

FY 2007 Program 

SO: 663-014 Human capacity and social resiliency increased 

Achieve Equitable Access to Quality Basic Education 

Achieve Equitable Access to Quality Basic Education ($4,000,000 DA). Support will continue for teacher 

education institutions and teacher in-service training. Supplementary educational materials will be 

developed and distributed. Support will be given to capacity building and school incentive award 

programs. Centers providing alternative basic education for out-of-school children and functional literacy 

for adults will continue to be strengthened. Principal contractors and grantees: To be determined. 

Improve Access To Clean Water & Sanitation 

Improve Access to Clean Water and Sanitation ($300,000 CSH; $200,000 ESF). This activity will build on 

and continue the FY 2006 activities. Principal contractors and grantees: Same as FY 2006. 

Improve Child Survival, Health & Nutrition 

Improve Child Survival, Health and Nutrition ($5,558,000 CSH). Immunization, Vitamin A 

supplementation, nutrition and childhood illness management activities will be expanded. USAID will 

continue to support community links in health, education, water, and sanitation. Community health 

promoters will be expanded to support the health services extension activities. Support will continue for 

the development of health management information systems, health sector reforms, and accelerated 

health officers training. Principal contractors and grantees: Same as FY 2006. 

Improve Maternal Health & Nutrition 

Improve Maternal Health and Nutrition ($1,530,000 CSH). USAID will implement the new 

maternal/reproductive health and family planning strategy designed in FY 2006. Principal contractors and 

grantees: To be determined. 

Prevent & Control Infectious Diseases Of Major Importance 

Prevent and Control Infectious Diseases of Major Importance ($4,200,000 CSH). USAID will implement 

the new malaria strategy as designed in FY 2006. TB outlets will be expanded. Principal contractors and 

grantees: Same as FY 2006. 

Reduce Transmission & Impact Of HIV/AIDS 

Reduce Transmission and Impact of HIV/AIDS. See the State Department Congressional Budget 

Justification, Global HIV/AIDS Initiative section, for a discussion of this program. 
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Support Family Planning 

Support for Family Planning ($17,025,000 CSH). Under the new maternal/reproductive health and family 

planning strategy, USAID will support contraceptive procurement and the implementation of the Ministry 

of Health logistics system. Principal contractors/grantees: To be determined. 

All family planning assistance agreements will incorporate clauses that implement the President's 

directive restoring the Mexico City Policy. 

FY 2006 Program 

SO: 663-015 Capacity for good governance increased 

Mitigate Conflict and Support Peace 

Mitigate Conflict and Support Peace ($1,000,000 ESF; $1,100,000 prior year ESF). USAID continues to 

strengthen local peace building efforts in selected regions and is expanding efforts with new activities into 

eastern Ethiopia. USAID is working to improve conflict management capacities, including early warning, 

and mediation services, within the government. Principal contractors and grantees: PACT and Mercy 

Corps (primes). 

Promote and Support Credible Elections Processes 

Promote and Support Credible Elections Processes ($500,000 prior year ESF). USAID is providing 

technical assistance to support the National Election Board (NEB) on elections rules and procedures. 

Civic education, open debates, political party capacity building, training for women candidates, elections 

monitoring, and conflict prevention activities is being supported. Principal contractors and grantees: 

United Nations Development Program, The Carter Center and PACT (primes). 

Protect Human Rights 

Protect Human Rights ($573,000 DA; $460,000 ESF). USAID is addressing the sharp rise in human 

rights abuses and harassment of civil society organizations by working to put in place mechanisms to 

ensure adequate incident reporting and analysis is used to develop diplomatic initiatives and 

programmatic activities to increase public awareness and reduce impunity. Principal contractors and 

grantees: PACT (prime). 

Reduce Trafficking In Persons 

Reduce Trafficking In Persons ($300,000 ESF; $300,000 prior year ESF). USAID is focusing on 

prevention of trafficking, protection of vulnerable groups and victims, and prosecution of traffickers. 

Activities are raising awareness among the general population and vulnerable groups, focusing on 

creating incentives for school-age children to remain in school, and providing employment skills for 

women to encourage Ethiopia-based employment. USAID support contributes to strengthening the 

capacity of the Ministry of Justice and local civil society organizations to address trafficking. Principal 

contractors and grantees: International Organization for Migration (prime). 

Strengthen Civil Society 

Strengthen Civil Society ($1,000,000 ESF; $750,000 prior year ESF). USAID strengthens inclusive and 

informed debate to bring Ethiopians together to build consensus around important national and regional 

level issues. Activities target issues and processes that become the early focus of policy, legislation and 

development planning, and offer opportunities to establish initial traditions of real consultation and 
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consensus building. Principal contractors and grantees: PACT (prime). 

Strengthen the Legislative Function/Legal Framework 

Strengthen the Legislative Function/Legal Framework ($1,000,000 ESF; $500,000 prior year ESF). 

USAID, working closely with other donors, is improving the institutional capacities of the national and 

regional legislative bodies to fulfill their legislative and oversight roles and facilitate constructive ruling 

party-opposition relations. USAID supports institutional and human capacity building and the development 

of practices that promote constructive collaboration. Principal contractors and grantees: United Nations 

Development Program and Women’s Campaign International (primes). 

Support Democratic Local Government & Decentralization 

Support Democratic Local Government and Decentralization ($1,000,000 DA; $760,000 prior year ESF). 

USAID continues to strengthen the capacity of decentralized public financial management for improved 

accounting, financial management, and financial control systems. USAID is enhancing government 

capacity to provide services, improve infrastructure, and promote economic growth. Principal contractors 

and grantees: Harvard University and International City/County Management Association (primes). 

FY 2007 Program 

SO: 663-015 Capacity for good governance increased 

Mitigate Conflict and Support Peace 

Mitigate Conflict and Support Peace ($1,000,000 ESF). USAID will continue to strengthen local peace 

building efforts. USAID will work to improve conflict management capacities (including early warning) and 

inter-governmental collaboration. USAID will ensure program flexibility to address political, factional and 

ethnic conflict as necessary. Principal contractors and grantees: PACT (prime), others to be determined. 

Protect Human Rights 

Protect Human Rights ($600,000 DA; $500,000 ESF). USAID will continue to focus on increasing 

awareness and reducing incidences of individual and collective human rights abuse, through support for 

adequate incident reporting and analysis. Principal contractors and grantees: PACT (prime). 

Reduce Trafficking In Persons 

Reduce Trafficking In Persons ($300,000 ESF): USAID will continue to focus on the prevention of 

trafficking, protection of vulnerable groups and victims, and prosecution of traffickers. USAID support will 

strengthen the Ministry of Justice and local civil society organizations to address trafficking. Principal 

contractors and grantees: To be determined. 

Strengthen Civil Society 

Strengthen Civil Society ($1,000,000 ESF). USAID will continue to strengthen inclusive and informed 

debate to build consensus around important national and regional issues. Activities will focus on policy, 

legislation and development planning, and offer opportunities to build on traditions of real consultation 

and consensus building. Principal contractors and grantees: Same as FY 2006. 

Strengthen the Legislative Function/Legal Framework 
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Strengthen the Legislative Function/Legal Framework ($1,000,000 ESF). USAID will continue to improve 

the capacities of the national and regional legislatures to fulfill their legislative roles and to facilitate 

constructive ruling party-opposition relations. USAID will support institutional and human capacity 

building and development practices to promote collaboration between parties and effective consultations 

with constituents. Principal contractors and grantees: Same as FY 2006. 

Support Democratic Local Government & Decentralization 

Support Democratic Local Government & Decentralization ($1,000,000 DA). USAID will continue to 

enhance capacities of selected city administrations to provide services, improve infrastructure, and 

promote economic growth. Principal contractors and grantees: International City/County Management 

Association (prime). 

FY 2006 Program 

SO: 663-016 Market-led economic growth and resiliency increased 

Improve Economic Policy and the Business Environment 

Improve Economic Policy and the Business Environment ($2,921,000 DA). USAID is building institutional 

capacity, sponsoring research, and supporting activities to improve agriculture/rural development, 

advance Ethiopia’s accession to the World Trade Organization, and enhance farmer land tenure. New 

livestock and pastoralist livelihoods programs support improved policies on animal disease control, 

livestock marketing, community animal health service delivery, and drought and rangeland management. 

A property rights and rule of law diagnosis is going to be undertaken to better integrate the poor into the 

mainstream economy. Principal contractors and grantees: International Food Policy Research Institute 

(IFPRI), Booz-Allen Hamilton, Associates in Rural Development (ARD), Texas A & M University, Tufts 

University, and the Instituto Libertad y Democracia (primes). 

Improve Private Sector Competitiveness 

Improve Private Sector Competitiveness ($7,000,000 DA; $50,000 prior year ESF). USAID supports the 

development of agribusiness, agricultural cooperatives, and small and medium enterprises through three 

Development Credit Authority (DCA) loan guarantees focusing on agriculture and manufacturing sectors. 

Prior year ESF is being used to provide small- and micro-credit loans to low income women through 

formal and informal credit mechanisms. Principal contractors and grantees: Ethiopian private banks, 

Agricultural Cooperative Development International/Volunteers in Overseas Cooperative Assistance 

(ACDI/VOCA), Development Alternatives Inc. (DAI), Land O’Lakes, Texas A & M University, International 

Executive Service Corps (IESC) (primes) and others to be determined. 

Increase Agricultural Sector Productivity 

Increase Agricultural Sector Productivity ($3,000,000 DA). Ongoing food security and technology transfer 

activities is going to improve agricultural productivity, environmental management, and household 

resiliency to drought. A sheep and goat productivity program is improving animal health and introducing 

more productive breeds. USAID is supporting productive technologies in irrigation, horticulture, and dairy. 

Subject to funding availability, a small-scale irrigation and commercial agriculture program may be 

initiated in select regions. Principal contractors and grantees: Virginia Tech University, International Water 

Management Institute (IWMI), Cornell University, Prairie View A & M University, Langston University, 

Israeli MASHAV, CARE, and Save the Children U.S. (primes). 

Protect and Increase the Assets and Livelihoods of the Poor 
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Protect and Increase the Assets and Livelihoods of the Poor ($3,000,000 DA). Working directly with the 

government, USAID is supporting asset building and livelihood diversification to move households out of 

chronic food insecurity and into sustainable livelihoods. USAID supports the Productive Safety Net 

Program. A pastoralist livelihoods initiative is increasing capacity to cope with drought by linking early 

warning to development and relief efforts. Principal contractors and grantees: Catholic Relief Service 

(CRS), World Vision, Relief Society of Tigray, Save the Children U. S. and United Kingdom, Communities 

Habitat Finance, Food for the Hungry International (FHI), CARE, Mercy Corps, International Rescue 

Committee (IRC), Agricultural Cooperatives Development International/Volunteers in Overseas 

Cooperative Assistance (ACDI/VOCA), and Tufts (primes). 

Provide Emergency Assistance 

Provide Emergency Assistance. Where appropriate, USAID is responding to emergency food and nonfood needs with emergency assistance. Principal contractors and grantees: Disaster Prevention and 

Preparedness Agency, World Food Programme (primes) and non-governmental organizations to be 

determined. 

FY 2007 Program 

SO: 663-016 Market-led economic growth and resiliency increased 

Improve Economic Policy and the Business Environment 

Improve Economic Policy and the Business Environment ($2,210,000 DA). Continued support for 

agricultural sector policy/investment planning, land tenure, World Trade Organization accession, and 

livestock sectors. Principal contractors and grantees: Same as FY 2006. 

Improve Private Sector Competitiveness 

Improve Private Sector Competitiveness ($7,000,000 DA). USAID will continue support for: agricultural 

cooperatives, agribusiness, pastoralists, industry/trade associations, small and medium enterprises, 

output market systems, animal export, and dairy sector development. Existing small and medium 

enterprises funded by the African Growth and Opportunity Act (AGOA)-Ethiopia Initiative may be 

expanded and support for commercial farming may be considered. Principal contractors and grantees: 

Ethiopian private banks, ACDI/VOCA, DAI, Land O’Lakes, Texas A & M, IESC (primes) and others to be 

determined. 

Increase Agricultural Sector Productivity 

Increase Agricultural Sector Productivity ($3,500,000 DA). USAID will support community watershed 

management and the development of improved agricultural technologies. Support for livestock and 

pastoralists livelihoods programs will continue. Support will continue for productive agricultural 

technologies and practices in irrigation, horticulture, and dairy. Small-scale irrigation and commercial 

agriculture will be considered. Principal contractors and grantees: Virginia Tech, IWMI, Cornell, Prairie 

View A & M, Israeli MASHAV University, and Save the Children U.S. (primes). 

Protect and Increase the Assets and Livelihoods of the Poor 

Protect and Increase the Assets and Livelihoods of the Poor ($3,500,000 DA). USAID will continue to 

protect the most vulnerable households under the safety net program. The pastoralist livelihoods 

initiative will continue to focus on livestock management capacity to manage drought and other hazards. 

Principal contractors and grantees: CARE, CRS, World Vision, Relief Society of Tigray, Save the Children 
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U.S. and United Kingdom, Communities Habitat Finance, FHI, Mercy Corps, IRC, ACDI/VOCA, and Tufts 

(primes). 

Provide Emergency Assistance 

Provide Emergency Assistance. Where appropriate, USAID will respond to emergency food and nonfood needs. Principal contractors and grantees: Disaster Prevention and Preparedness Agency of 

Ethiopia, World Food Programme (primes) and non-governmental organizations to be determined. 
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Results Framework 

663-001 Increased availability of selected domestically produced food grains 

Program Title: Domestically produced food 

663-002 Increased use of primary and preventive health care services 

Program Title: Primary and preventative healthcare 

663-003 Quality and equity improved in an expanded system of primary education 

Program Title: Primary education 

663-004 Increased access to and participation in a democratic system 

Program Title: Democratic systems 

663-005 Enhanced household food security in target areas 

Program Title: Enhanced Household Food Security 

663-007 Rural Household Production and Productivity Increased 

Program Title: Food Security 

 663-007.1: Integration of food, livestock and factor markets increased 

 663-007.2: Competition in agricultural and output markets increased 

 663-007.3: Rural household cash income increased/diversified 

 663-007.4: Food, agriculture and environmental research systems in target areas strengthened 

 663-007.5: Dissemination of food, agriculture and environmental technology information in target areas 

improved 

663-008 Improved Family Health 

Program Title: Essential Services for Health 

 663-008.1: Increased use of high impact child survival interventions, including nutrition 

 663-008.2: Increased use of high impact reproductive health interventions, including maternal nutrition in 

focus regions and target areas nationwide 

 663-008.3: Reduced HIV/AIDS prevalence and increased mitigation of the impact of HIV/AIDS 

 663-008.4: Increased health sector resources and improved systems in focus regions 

663-009 Quality and Equity in Primary Education System Enhanced 

Program Title: Basic Education 

 663-009.1: Quality of professional education system enhanced 

 663-009.2: Teacher-learner support systems strengthened 

 663-009.3: Community-government partnerships in education strengthened 

 663-009.4: Systems for managing personnel, instructional materials, and monitoring and evaluation 

strengthened and used 

663-010 More Effective Governance and Civil Society Developed 

Program Title: Democracy and Governance 

 663-010.1: Civil society participation increased 

 663-010.2: Judiciary and respect for human rights strengthened 

 663-010.3: Public financial resources used more effectively 

663-011 Mitigate the Effects of Disaster 

Program Title: Mitigate the Effects of Disaster 

 663-011.1: Increased adoption of disaster preparedness measures 
15

 663-011.2: Targeted, timely and appropriate disaster response 

 663-011.3: Peace/stability in selected dispute affected areas promoted 

 663-011.4: Capacity of most vulnerable populations to make the transition to development improved 

663-012 Improved Livelihoods for Pastoralists and Agro-Pastoralists in Southern Ethiopia 

Program Title: Southern Tier Initiative 

 663-012.1: Pastoralists and agro-pastoralist incomes increased 

 663-012.2: Increased adoption of family health practices 

 663-012.3: Access to appropriate basic education increased 

 663-012.4: Traditional dispute resolution mechanisms enhanced 

663-013 Capacity to Anticipate and Manage through Shocks Increased 

Program Title: Anticipate and Manage Shocks 

 13.1: Integrated early warning systems strengthened 

 13.2: Government and partner response capacity improved 

 13.3: Selected crisis management policies reformed and implemented 

 13.4: Effective coordination mechanisms strengthened 

663-014 Human capacity and social resiliency increased 

Program Title: Human Capacity 

 14.1: Use of high impact health, family planning, and nutrition services, products, and practices 

increased 

 14.2: HIV/AIDS prevalence reduced and mitigation of the impact of HIV/AIDS increased 

 14.3: Use of quality primary education services enhanced 

663-015 Capacity for good governance increased 

Program Title: Governance Capacity 

 15.1: Accountability by regional and local governments improved 

 15.2: Civil society capacity to engage government strengthened 

 15.3: Mechanisms for conflict prevention and resolution improved 

 15.4: Women's participation in political processes expanded and enhanced 

663-016 Market-led economic growth and resiliency increased 

Program Title: Economic Growth 

 16.1: Selected essential policy reforms implemented 

 16.2: Selected input and product markets strengthened 

 16.3: Natural resource management and agriculture productivity improved 

 16.4: Livelihood options for the food insecure protected, expanded and diversified 

663-017 Knowledge management coordinated and institutionalized 

Program Title: Knowledge Management 

 17.1: Collaboration and coordination for support to strategic decisions enhanced 

 17.2: Ethiopian and international institutions contributing to decisions to reduce vulnerability, increase 

resiliency and promote growth 

 17.3: Information needed to manage shocks timely and appropriately disseminated 

 17.4: Rapid analysis and evaluation supports Mission program