Book excerpt: This report takes a spatial approach to study Ethiopia’s rural development strategies. It highlights the need to develop stronger and more functional linkages between rural and urban areas. As such, the development of intermediary cities and small urban centres provides large scope for inclusive rural transformation. The report is the result of rigorous analysis, and extensive consultations with national and international stakeholders. It identifies some of the key challenges faced by rural areas and provides a series of recommendations to enhance Ethiopia’s rural development strategies.