Ethiopia is known for its long history of highly centralized, exclusive and suppressive governance system which came to an end with the adoption of multi-ethnic federal political system in 1991. The new ethnic federal state arrangement was believed to bring peace, provide a new basis for unity and reduce conflicts. However, ethnic conflict has become the day-to-day experience in different parts of the country. Afar Regional State is one of the constituent units where conflict has been prevalent. Different researches indicated that conflict affects socio-economic development in various ways. The objective of this paper is to analyze the impact of inter-ethnic conflict on the socio-economic development of Afar Regional State in Ethiopia. The data for this paper were gathered through qualitative methods as well as review of published and unpublished documents. Specific tools for primary data collection include key informant interviews, focus group discussion, and observation,. The study analyses the causes and consequences of conflicts between Afar and its neighboring ethnic groups, the Issa-Somali and Amhara. The study reveals that the restructuring of the country along ethnic lines has transformed the century-old resource-based conflicts among pastoralist communities into territorial conflicts. The paper concludes that interethnic conflicts have been adversely affecting the socio-economic development of Afar Regional State.
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