Livelihood and Income Diversification Assessment in Northern Nigeria: Evidence from Sudano-Sahelian Region

Abstract

Agriculture and other income-generating activities in the Sudano-Sahelian region face many natural and human constraints that affect households' economic activities and livelihood development over time. Stratified and simple random sampling considered 1,200 households across four (4) Sudano-Sahelian States with 300 respondents each from Kano, Jigawa, Bauchi and Gombe. Primary data were collected using a structured questionnaire to information on livelihood and income generating activities. The findings regarding household demographics indicated active age, moderate farming experience and average income, respectively. The results further show overall access to credit, market, extension contact and cooperative participation of 14.68%%, 73.21%, 56.90% and 63.28%, respectively. Ownership and the capital problem have been the major constraints to land access for crop production. The majority of the household goes into multiple income-generating activities with a shortage of planning and guidance on the value of income diversification. The COVID-19 pandemic has resulted in high income and livelihood deterioration of households' remittances from internal and external sources. The significant variable that affects income diversification includes education, off-farm income, access to credit, and output volume. The development of households and community requires multiple income alternatives for improved livelihood in saving mobilisation and investment opportunities. Households in the Sudano-Sahelian region engaged in agriculture and additional income sources that must be strengthened to support income generation. The study further concluded the existence of potential income diversification alternatives in rural including multiple cropping, off-farm investment, and non-farm income potentials. COVID-19 period posed a serious constraint to households, particularly deterioration in income sources, making livelihood activities more difficult. Access to credit, educational status, off-farm income generation, and output volume are the strongest determinants of income diversification in the Sudano-Sahelian region. The study recommends the need for government and development agencies to improve the quality and availability of rural infrastructural facilities (road, markets, electricity) in the study area to help rural households sustain their investment and engage in sustainable livelihood activities. The development of essential programs on enterprise support and business development service is essential to strengthen livelihood and income diversification opportunities. Strengthening cooperative participation and awareness creation on savings and investment opportunities is essential for sustainable livelihood, implying the need for collective actions, enhancing risk strategies, and influencing government policies for livelihood development.