Introduction: Postpartum hemorrhage is the most common leading cause of maternal mortality worldwide a nd m ost of the de ath i s i n de veloping c ountries i ncluding E thiopia. G lobally, i t i s responsible for more than 25% of all maternal death and this proportion is higher in sub-Saharan Africa. P ostpartum he morrhage c an b e m inimized a nd pr evented b y a pplication of a pr otocol known as active management of third stage of labor. Proportion of deliveries assisted by a skilled birth at tendant and antenatal c are co verage h ave b een u sed as a k ey proxy i ndicator f or monitoring global p rogress to wards d ecreasing m aternal mo rtality. However, t hese t wo indicators may not reflect the content or quality of the care provider. Objective; The o bjective o f t his s tudy i s t o as sess K nowledge an d p ractice o f o bstetric ca re providers t oward active m anagement of t hird s tage of l abour (AMTSL) at h ealth c enters o f Finfine area special zone of Oromia regional state, Ethiopia from April to May 2017 Methods and materials; Institutional ba sed d escriptive c ross s ectional s tudy de sign w as implemented. Whole health cen ters i n s elected t owns w ere i ncluded to th e s tudy w ith 118 obstetric care providers from all health centers. Interviewer-administered structure questionnaire and observation by using observational check list was employed. Data was entered using Epidata V.3.1 and exported to SPSS version 21.0 f or statistical analyses. Descriptive statistical analysis was u sed to p resent d ata w hile lo gistic r egression w ere us ed t o de termine a ssociation of independent variables with practice of obstetrics care providers. Results: Adequate know ledge on A MTSL was a chieved b y 40.7% of ob stetrics care providers while good practice on AMTSL was achieved by 18.6% of them. Sex, pre or in service training, access to reading materials and knowledge levels of obstetrics care providers were among factors that affects their practice on AMTSL. Conclusions and recommendations: The overall know ledge and pr actice of obs tetric c are providers on A MTSL in the present study were not satisfactory. In views of the findings of this study, it imp lies th at th e p ractice o f o bstetric c are p roviders w as mu ch lo wer th an th eir knowledge of AMTSL. The investigator calls for immediate interventions. Key Word; Knowledge, p ractice, A ctive m anagement o f t hird s tage of l abour, pos tpartum hemorrhage,Ethiopia