ABSTRACT
Informal settlements are characterized by unauthorized attack and development of land, illegal subdivision, lack of basic social services and infrastructures. This study was conducted to assess causes and consequences of informal urban settlement in Central Ethiopia: the case of Alem Gabeye town, Silte Zone. The research method used for the study was descriptive and explanatory research involving both qualitative and quantitative data collection approaches. Simple random sampling was used to conduct questionnaire to individual household heads in the areas of illegal settlement and this method was used in triangulate with interviews with 16 key informants were involved in the personal interviews for qualitative data by used purposive sampling technique and questionnaires handed to 119 of informal settlement residents. Descriptive statistics such as frequencies, percentages, tables and charts were used for quantitative data analysis and qualitative data were also analyzed using narration. The results of the study revealed that demographic, socio-economic and administrative factors are facilitates the formation of informal settlement in the study area. The majority of the respondents are male (86.6%), while small proportions of them (13.4 %) are female. The age category from 31-40 and 18-30 consists of the large proportion among other age category with 63.0% and 34.5% of the household heads are dominantly involve in the informal settlements activity respectively. The majority of the respondents were participate on their own business in the town 44 (37.0%) and government employed and farmers are followed this in portion 39 (32.8%) and 20 (16.8%) respectively. The monthly income of the households revealed that the majority of respondents, 34.5% earned from 1001-3000 birr, So that insufficient level of income is one of the factors that are responsible for the expansion of informal settlement in the study area. Rapid urbanization and migration of people to Alem-Gebeya town was the causes for the expansion of informal settlements. When compared the demand and supply of land for lease in Alem-Gebeya town with respect to the demand ratio was (1:32.73) to the residential land; (1:4.66) to the commercial land and (1:2.125) to the industry land. The challenges of that faced in the study area are low accesses in terms of infrastructures and facility, sanitation problem. Uncontrolled expansion of human settlements has led to conversion of the best agricultural land into settlements. In conclude that the government interventions made to address challenges associated with informal settlement expansion which are demolishing informal settlers and Punishing Settlers, Legalizing illegal houses and licensing Settlers and establishing good government in the study area.