Background: Preterm birth trauma has become a growing concern in achieving the sustainable development goal targets for mental, maternal, and child health. Although obstetric and developmental complications associated with preterm birth have received a great deal of research attention over the years, subjective trauma experiences of mothers are often understudied. This qualitative study aims to fill this gap by adopting a phenomenological design to explore the traumatic experiences of mothers from pregnancy to care after childbirth of preterm babies in a low-resource economy. Results: The results of our Interpretative Phenomenological Analysis (IPA) revealed three superordinate and six subordinate themes: pregnancy-related (Primary pregnancy-related complications and secondary pregnancy-related factors), healthcare-related (Trauma from invasive procedures performed on babies and trauma from the poor physical health status of the babies at NICU), and parenting-related trauma (Initial shock and denial and feelings of inadequateness and helplessness in caring for their babies). Conclusions: The study shows the complex nature of the birth trauma experienced by mothers of preterm babies. The study recommends client-centered, culturally sensitive, and trauma-focused mental health support within the maternal health system.