Ethiopia is one of the less urbanized countries in the world in spite of the fact that urban population is increasing rapidly. If managed proactively, urban population growth presents a huge opportunity to shift the structure and location of economic activity from rural agriculture to the larger and more differentiated service sectors and urban industrial. Yet, if not managed proactively, rapid urban population growth may pose a demographic challenge as cities struggle to provide jobs, infrastructure and services, and housing to the residents. Inline of this reality, the paper attempted to provide mitigating policies and strategies to encounter existing challenges facing urban centers in Ethiopia.
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