Compensation Dynamics of Expropriation for the Expansion of Development Programs in Ethiopia: An Evidence from the Gada Special Economic Zone

Abstract

Land transcends its physical dimensions to form the bedrock of life, cultural identity, and spiritual belonging for communities worldwide. In Ethiopia, this connection is profound, with land representing ancestral heritage, social status, and economic survival. However, the state's pursuit of development through Special Economic Zones (SEZs) often necessitates land expropriation, disproportionately displacing smallholder farmers. This process frequently occurs without commensurate compensation or due process, leading to severe socio-economic and cultural disruptions. This paper employs a qualitative doctrinal research approach to critically examine the compensation dynamics for smallholders expropriated for SEZ development in Ethiopia. Through an analysis of the constitutional framework, national proclamations including the Expropriation Proclamation No. 1161/2019 and the Special Economic Zone Proclamation No. 1322/2024 and subsidiary legislation, the study identifies a significant gap between legal principles and their implementation. The findings reveal that the current compensation implementation process is clearly departs from principles enshrined under the 1995 constitution of FDRE and other international principle and standards that mandates for advance, commensurate compensation. The paper concludes that a transformative, inclusive approach is urgently needed. It argues for expropriation processes that are not only legally compliant but also ethically grounded, integrating Indigenous knowledge and ensuring meaningful community participation.