The Struggle for Refugee Inclusion in Ethiopia: Bridging the Gap Between Policy and Reality

The World Bank's report highlights Ethiopia's struggle to integrate nearly one million refugees, despite progressive policies, with refugees facing significant challenges in education, employment, and basic services. The report calls for enhanced efforts to improve refugees' self-reliance and economic opportunities to benefit both refugees and host communities.

A study by the World Bank delves into the complex challenges Ethiopia faces as it struggles to accommodate nearly one million refugees and asylum seekers from neighboring countries like South Sudan, Somalia, Eritrea, and Sudan. Despite Ethiopia’s progressive policies, such as the Comprehensive Refugee Response Framework (CRRF), the transformation of these policies into effective socioeconomic outcomes remains a daunting task. The report underscores that although Ethiopia has made considerable progress in shifting from a camp-based approach to a more inclusive model that fosters self-reliance and integration, the reality is that refugees largely continue to live in camps, relying heavily on humanitarian aid, and face significant barriers in accessing employment and education. Ethiopia’s new Refugee Proclamation, which grants refugees the right to basic services, work, and freedom of movement, is a step in the right direction, but implementation delays have impeded these rights from being fully realized.

A Comprehensive Survey Sheds Light on Refugee Realities

The Socio-Economic Survey of Refugees in Ethiopia (SESRE), a groundbreaking initiative highlighted in the report, provides a comprehensive look at the socioeconomic conditions of refugees and their host communities. Conducted between November 2022 and January 2023, SESRE offers valuable insights that are crucial for informing policy decisions aimed at improving the integration and socioeconomic outcomes of refugees. The data from SESRE reveals that the demographic profiles of refugees and hosts are quite similar in terms of age and gender. However, there is a significant distinction when it comes to in-camp refugees, who tend to have a higher proportion of children and youth, with many being second-generation refugees born in Ethiopia. Educational attainment among refugees is alarmingly low, particularly for those living in camps, where the majority have no education or have only attended below primary level. The situation is somewhat better for refugees under the Out-of-Camp Policy (OCP), especially Eritreans in Addis Ababa, who generally had better educational opportunities before arriving in Ethiopia. Nonetheless, secondary school enrollment rates among refugees are significantly lower than those of their host counterparts, driven by inadequate school infrastructure, the need for children to contribute to family income, and families' reluctance to send children to school.

Health and Infrastructure: Shared Struggles Amid Different Realities

In terms of health, the prevalence of illness and access to medical assistance are similar between refugees and hosts, but child nutritional issues, such as stunting, underweight, and wasting, are prevalent among both groups. Basic infrastructure access, including water, sanitation, and hygiene (WASH) facilities, as well as electricity, is similar for both refugees and hosts. However, housing conditions are notably worse for in-camp refugees, who typically live in shelters, while OCP refugees in urban areas often reside in better-quality rented housing. The report paints a bleak picture of the labor market outcomes for refugees, particularly those living in camps. In-camp refugees mainly depend on humanitarian aid due to low employment rates and limited opportunities to generate income. The survey shows high levels of inactivity and unemployment among in-camp refugees, and even when employed, refugees are less likely to earn income from agriculture, livestock, or non-farm businesses compared to hosts. Employed refugees typically work in low-skill jobs, with significant differences in occupation types based on country of origin. For instance, Eritrean refugees tend to work in crafts and related trades, while South Sudanese refugees are more often engaged in elementary occupations. Somali refugees, on the other hand, work in a mix of services, sales, and skilled agriculture. The report highlights that refugees' ownership of productive assets, such as agricultural land, livestock, and other assets, is considerably lower than that of host communities.

Women’s Workforce Participation: A Critical Contribution

Despite these challenges, the report notes that working outside of camps significantly improves refugees' livelihoods. A notable proportion of in-camp refugees work outside the camps without formal work permits, often earning more than those who remain within camp boundaries. However, even when employed, refugees tend to earn lower wages compared to hosts, and this wage gap is not necessarily linked to education level or experience. Higher educational attainment and work experience do increase the likelihood of employment and higher income levels for hosts, but not for refugees, who only see returns on education and experience when working outside camps. The report also reveals that female refugees have high employment rates, contributing significantly to household incomes. On average, in-camp refugee women and men are equally likely to be employed, in stark contrast to host communities, where men are much more likely to be employed than women. Refugees’ aspirations reflect a strong desire to migrate to Western countries, despite low resettlement rates. This aspiration, coupled with a perceived lack of control over their lives, may hinder their efforts to improve their livelihoods or integrate into Ethiopian society.

Economic Exclusion and Poverty: A Call for Comprehensive Solutions

The report concludes that in-camp refugees are generally poorer than their hosts, with high poverty rates exacerbated by limited access to livelihood opportunities and legal restrictions on employment. Many refugees rely on food aid and face significant challenges in securing necessities like housing and electricity. Multidimensional poverty is prevalent among refugees, driven by low living standards, inadequate education, and child malnutrition. Food security is a critical issue, with in-camp refugees suffering from less diverse diets and higher food insecurity compared to their hosts. The report emphasizes the importance of improving the economic self-sufficiency and food security of refugees through enhanced access to education, labor markets, and social safety nets. By adopting a comprehensive approach that addresses both refugees and host communities' needs, Ethiopia can create a more inclusive environment that benefits all.