IMPACT OF PRODUCTIVE SAFETY NET PROGRAM ON FOOD SECURITY AND ASSET BUILDING OF HOUSEHOLDS: THE CASE OF META DISTRICT, EAST HARERGHE ZONE, OROMIA REGION OF ETHIOPIA

Abstract

Productive Safety Net Program is one of the largest social protection programs operating in Ethiopia. It has been operating in Ethiopia since 2005 though its impact on improving the food security and asset building of the participating households. The objective of this study was to evaluate the impact of productive safety net program on households’ food security and asset building in Meta district, East Hararghe zone, Oromia Regional State, Ethiopia. Both primary and secondary data were used for this study. Primary data are collected from 160 randomly selected sampled households (75 participants and 85 non-participants) drawn from three randomly selected rural kebeles that are participating in the program. Descriptive statistics and propensity score matching were used to analyze data. The empirical model revealed that participation in productive safety net program significantly improved asset building, but not calorie intake of the participating households. The average treatment effect of treated (ATT) indicated that asset building were 34% more than non-participating households indicating the livelihood improvement due to participation in productive safety net program. Hence, this has an encouraging message for program designers, implementers, and funding agencies to take proper action to achieve the intended goals.