Water was considered a free commodity in the past, which meant that its quality was unregulated and it was available whenever it was needed. However, as a result of increased population and urbanization, diversification, and a rapid increase in resource demands, water resources are becoming limited and of lower quality. Only 13-18% of the water used by irrigated crops worldwide is used in the form of transpiration, which is correlated with yield and production. Small-scale irrigation development would result from a lack of quality and quantity of water supply for growing crops, as well as increased social, economic, and environmental costs associated with developing large-scale irrigation schemes. This type of development has an impact on the use of rain-fed water for irrigation efficiency. Whereas rain-fed agriculture produces more irrigation products in developing countries' semi-arid regions, accounting for up to 90% in some cases. The primary option would be to increase crop production in these areas by increasing rain-fed agriculture, which ensures that freshwater supply is not stressed in irrigated agriculture. Ethiopia also has a significant amount of available water resources. Despite the country's remarkable water resource potential, river basin development is rarely carried out. Water is critical to the development of the country. Furthermore, Ethiopia's abundant natural water resource endowment, rapidly growing economy, and ambitious government agenda present significant opportunities. It is critical to recognize and capitalize on these opportunities. Water resource management in Ethiopia is hampered by a lack of knowledge about resource conditions, patterns of use, and change drivers, as well as a lack of capacity and capacity within organizations to manage water distribution, determine impacts and trade-offs, and ensure 'climate-smart' planning. Keywords: Crop, Ethiopia, Rain-fed, Water resource management DOI: 10.7176/CER/13-6-02 Publication date: October 31 st 2021