This cross-sectional study assessed the magnitude of Livelihood Diversification (LD) and the effects of some socio-demographic factors in severe food insecurity among smallholder farmers in Kadida Gamela district, Southern Ethiopia. Data were collected from 200 households, using simple random sampling. We used the Berger-Parker Diversity Index (activity based) and the Simpson index to measure the level of livelihood diversification and the Ordinal Least Square (OLS) to examine key determinants of LD. The majority (65%) of households witnessed engaging in 2–3 livelihood sources. However, the overall level of diversification, compared to potential available opportunities, was found to be low. The results of the regression analysis indicated that the education level of the head of the household, access to credit, participation in a food for work programme and the land size owned by households were the key predictors of livelihood diversification. Finally, the study highlighted the importance of continued commitment on the part of policy-makers and local administrators to support the development of non-farm and off-farm livelihood sources through availing credit services, skill training and, above all, educating the community.

OMO Microfinance Company Hawassa Ethiopia

University of Saskatchewan Saskatoon Canada

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