Role Of Community Based Development In Local Economic Development: Evidence From Holeta Town, Ethiopia

Abstract

The general objective of this study was to assess the role of community based development (CBD) in local economic development (LED) in Holeta town. This study employed a descriptive research design. The quantitative and qualitative data simultaneously collected from both primary and secondary data sources. The participant of the study includes employees of city administration, Community Based development leader, and 384 sample residents, from the purposely-selected Community Based development ’s of Goroqerensa, wajitu harbu and Gelgekuyu. In order to collect data questionnaires, interview, observation, and focus group discussion employed. This study employed stratified random sampling techniques for selecting sample residents. The data analyzed using statistical analysis tools such as Excel and SPSS 23.00. Pertaining to types of CBD currently constructed to enhance LED; it’s mentioned as educational centers, drainage and sewerage as well as waste collection points ranked the most important CBD constructed to enhance LED. Relating to level of CBD needed in enhancing LED; study found out water pipe, health centers, police stations and cobble stone roads remained the most important from the list of CBD. Concerning level of CBD project ownership the finding indicated that, community feel sense of ownership in project infrastructure through efforts hold a responsibilities in maintenance of the projects; sharing experience; organizing the developmental activities, achieving power to influence the decision making, determination in teams election, and resolving dispute in the community based development. Regarding level of CBD continuity and sustainability, the finding revealed that the community well maintained sustainability community based development through voluntarily contribution of resources required, formulation of clear programs, get involvement in training programs to acquire skill and experience for community based development. Regarding major challenges of CBD in stimulating LED the study found out: improper utilization of financial and materials resources; lack of clear plans for implementation programs; dispute between community members; busyness; meagre cooperation from administrative offices; delaying of matching fund; and scarcity of knowledge and skills reported the dark shadows for Community Based development in Holeta town. Based on the major findings the study recommends the town require approaches that build on local strengths and promotes ownership of both the problems and the solutions to take responsibility for their own development. Thus administrative office should be give more emphasize consequence of inefficiencies in public spending resulting from poor investment planning, and high operating costs. It is advisory that Community Based development development committee need to provide continues training program to upgrade their skill to speed up and reduce the time of CBD process.