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Please use this identifier to cite or link to this item: http://hdl.handle.net/123456789/3198

Title: Governance Arrangement and Inter Governmental Fiscal Relations of Capital Cities with their National Governments: The Case Study of Addis Ababa City Administration
Authors: Shimels, Demissie
Advisors: P. Laxmikantham (PhD)
Keywords: Governance Arrangement
Intergovernmental Fiscal Relations
Ethnic Based Federalism,
Fiscal Support
Copyright: Dec-2010
Date Added: 17-Jun-2012
Abstract: Governance arrangement of capital cities and their inter-governmental fiscal relations with national governments, particularly in federal countries, has started becoming one of the research topics and agenda of discussion. It is in line with this direction that this paper focuses on describing the governance arrangement of Addis Ababa and its inter-governmental fiscal relations with the federal government, as the capital city of a federal government, seat of Oromia state and African Union as well as a local government to its residents. In order to be able to investigate the current status of the city in the national governance and finance structure, the role and position of Addis Ababa city during the Imperial and the Derg Regimes has been critically reviewed and analyzed. Moreover, the changes in the governance and inter-governmental fiscal relations of Addis Ababa due to the adoption of ethnic-based federal system have been addressed using the empirical experience of other federal capital cities. The position of regional governments and urban local governments in the country’s governance structure is also described briefly to determine the ways Addis Ababa is being governed differently from other sub-national units. Furthermore, through qualitative and quantitative approaches, expenditure responsibilities, revenue powers and access to transfers have been analyzed. A general conclusion emerging from this thesis study is that the governance arrangement of Addis Ababa is the most complicated and unique in the country mainly due to the challenge to reconcile local, regional and national interests over the city. Additionally, the strong historical attachment of the city with the nation-state formation process in Ethiopia, Addis Ababa has been the main center of the country’s economic, political and business activities, and then has relatively higher revenue bases with huge expenditure responsibilities. Contrary to the expectation of the writer from other federal capital cities, Addis Ababa is found the only sub national unit of the country to be deprived from federal government transfers. The study has also come up with important recommendations.
URI: http://hdl.handle.net/123456789/3198
Appears in:Thesis - Public Adminstration

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