The Afar and Ethiopian plateaus are in a dynamic uplift due to the mantle plume, therefore, considering the plume effect is necessary for any geophysical investigation including the estimation of lithospheric stress in this area. The Earth gravity models of the Gravity Field and Steady-State Ocean Circulation Explorer (GOCE) and lithospheric structure models can be applied to estimate the stress tensor inside the Ethiopian lithosphere. To do so, the boundary-value problem of elasticity is solved to derive a general solution for the displacement field in a thin elastic spherical shell representing the lithosphere. After that, general solutions for the elements of the strain tensor are derived from the displacement field, and finally the stress tensor from the strain tensor. The horizontal shear stresses due to mantle convection and the vertical stress due to the mantle plume are taken as the lower boundary value at the base of the lithosphere, and no stress at the upper boundary value of the lithospheric shell. The stress tensor and maximum stress directions are computed at the Moho boundary in three scenarios: considering horizontal shear stresses due to mantle convection, vertical stresses due to mantle plume, and their combination. The estimated maximum horizontal shear stresses’ locations are consistent with tectonics and seismic activities in the study area. In addition, the maximum shear stress directions are highly correlated with the World Stress Map 2016, especially when the effect of the mantle plume is solely considered, indicating the stress in the study area mainly comes from the plume.