Direct and Indirect Contributions of Forest to the Other Sector of Economy Ethiopia: Review

Abstract

The forest sector contributes to economy beyond itself and extends to other sectors through direct and indirect effects. Insufficient identification of forest contribution to other sector of economy can result in the underestimation of the sector and leads to poor policy priority. The main objective of this study is to identify the contribution of forest to other sector of economy in Ethiopian. For this study both quantitative and qualitative secondary data were used. The result study showed that forest resources add different values to other sector of economy such as agriculture, food security, health, construction, energy and water, tourism, employment and income generation. However, the current system of national accounts does not fully capture the direct and indirect forest contribution to the other sector of economy. The study recommends that forest sector needs to adopting the concept of total economic value and adequately identifying both direct and indirect contribution of forest to other sector of economy. Furthermore, develop and use updated socioeconomic data, forest specialized surveys to better understanding the contributions of forests to other sector and national economy.

Keywords: Forest Contribution, Other sector Economy, TEV Methodology, Ethiopia

DOI: 10.7176/JRDM/88-01

Publication date:October 31^st 2022