Law

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    Protection of Trade Secrets in Ethiopia: The Need for Comprehensive Legal Framework
    (Addis Ababa University, 2025-12-01) Dame Oljira; Biruk Haile
    This study examines the adequacy of trade secret protection in Ethiopia. General legal principles derived from Trade Competition and Consumer Protection Proclamation No. 813/2013, the Ethiopian criminal code, Ethiopian tort law, contract law, labour law and commercial law, may be used to protect trade secrets; however, the scattered or fragmented provisions contained under these laws are not full-fledged. In this regard, the most common forms of trade secret misappropriation, such as breaches of confidential obligations and third-party misappropriations, have not been effectively addressed. Available civil and criminal remedies are inadequate for redressing the proper relief of trade secret owners. Furthermore, the existing legal regime lacks evidence gathering and preservation rules applicable to secret trade litigation. Additionally, there are no established protective measures to ensure confidentiality of trade secrets during court proceedings. Finally, the existing legal regime does not provide test data protection for pharmaceutical products and agricultural chemicals. This study employs a doctoral research methodology. This study finds that Ethiopia does not have a comprehensive law that regulates trade secrets. Based on these findings, the researcher recommends that Ethiopia enact a comprehensive standalone law
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    Analyzing the Impact of Bankruptcy Provisions in the Ethiopian Commercial Code on Bank Foreclosure Practice
    (Addis Ababa University, 2025-09-01) Solomon Baye; Zekarias Keneaa
    The 2021 Ethiopian Commercial Code introduced a modern insolvency regime that reshapes banks’ enforcement rights against defaulting debtors. At their core, insolvency and foreclosure proceedings pursue at opposite goals. Unless a delicate balance is maintained, the credit market will suffer. This research examined the impact of insolvency provisions on bank foreclosure practices and asks How do the new bankruptcy provisions of the Ethiopian Commercial Code affect the rights of secured creditors—particularly banks’ power-of-sale foreclosure—and what legal and practical implications follow from this reform? The research objective is to evaluate the legal and practical impact of the new insolvency framework on secured creditors’ enforcement rights, and to explore ways to reconcile Ethiopia’s nascent debtor-rescue regime with the longstanding creditor-friendly foreclosure system. Using a doctrinal analysis, this thesis closely examines legal texts, judicial decisions, and practical developments before and after the reform. qualitative review of recent cases where debtor companies invoked insolvency proceedings to halt bank-led collateral auctions will be discussed. Key findings reveal a critical disconnect between the new collective insolvency procedures with pre-existing foreclosure laws, leading to ambiguity and room for strategic behavior by debtors. In practice, some debtors have misused preventive restructuring filings to paralyze foreclosure for years, exploiting procedural loopholes. This has eroded secured creditors’ positions and raised concerns about credit risk and enforcement delays. The thesis argues that, without careful implementation of the laws by the courts, the laudable goal of business rescue could inadvertently undermine creditor confidence and financial stability. The study fills a critical gap in Ethiopian legal scholarship by bridging foreclosure and insolvency domains, providing timely analysis as Ethiopia transitions to a modern insolvency regime. The thesis offers important recommendations – including legislative clarifications, stronger procedural safeguards against abusive filings, and capacity-building for the judiciary – to harmonize the foreclosure and bankruptcy systems
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    Sexual and Reproductive Rights of Women Prisoners: The Case of West Shoa Zone Prison Administration
    (Addis Ababa University, 2025-06-01) Merima Mohammed; Mizanie Abate
    This thesis examines protection of sexual and reproductive rights of women prisoners in West Shoa Zone Prison Administration. The work has shaded light on how far these rights have been exercised by women prisoners within the prison center. Using mixed quantitative and qualitative method of study, this work has identified that there are number of hurdles facing the women prisoners to effectively exercise their sexual and reproductive rights. Despite Ethiopia’s progressive legal frameworks that recognize sexual and reproductive rights, this study further find out that in the context of West Shoa Zone Prison Administration, the effective implementation of these laws are obstructed by cultural thoughts, legal uncertainties, resource limitations, and weak enforcement mechanisms among others. This study highlights the gap between Ethiopia’s legal regime on the subject matter of sexual and reproductive rights and the reality on ground. The researcher has recommended among other, strengthening the enforcements of legal framework, promulgation of legislation that further clarify sexual and reproductive rights, intensifying access to sexual and reproductive health service, encouraging education and awareness, encouraging education regarding comprehensive sex education, the state’s duty to follow up every steps of the local authorities regarding the implementation of sexual and reproductive rights
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    Judicial Intervention in Demand Guarantee Cases: Analysis of Ethiopian Federal Courts’ Jurisprudence
    (Addis Ababa University, 2025-07-01) Wondimagegn Tafesse; Jetu Edosa
    This paper examines the Ethiopian federal courts jurisprudence towards demand guarantee cases. It explores various issues pertaining to demand guarantee, including its distinctive nature that set them apart from ordinary guarantee as well as international and domestic legal frame work governing it. The crux of this paper lies in analyzing how Ethiopian federal courts entertain cases involving demand guarantee and assessing courts understanding towards basic features of demand guarantee. As such the paper conducted case analysis of selected decisions of the federal court in light of internationally recognized rules of demand guarantee and tries to show the gaps and in consistencies in the judicial practice.And finally based on the findings the paper forwards recommendations that may address the gaps in the judicial practice
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    The Law and the Practice of Using a Cheque as a Means of Payment in Ethiopia
    (Addis Ababa University, 2021-09-01) Haftom Kesete; Fekadu Petros
    A cheque should always be payable on demand without any precondition. The viability of using a cheque as a means of payment depends on the clarity of laws, consistency of court decisions, and the practice of banks. Despite this fact, the researcher, using both qualitative and quantitative methodologies, argues that cheques have been allowed to be used as an instrument of guarantee by court decisions including the federal cassation bench of Ethiopia as well as the malpractices of banks and the society at large. This gap in the law and anomalies of the practice can be filled by a canon of interpretation of laws and enacting a directive through the NBE. However, this approach alone doesn’t warrant cheques to be served as a substitution of cash and the researcher recommends for a legislative measure to be taken
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    Legal Challenges and Opportunities in Managing Cross-Border Railway Businesss: A Case Study of the Ethio-Djibouti Railway
    (Addis Ababa University, 2025-09-01) Wubshet Kasaye; Martha Belete
    This research comprehensively analyzes the legal challenges and opportunities of the Ethio-Djibouti Railway, a cross-border railway Business system between Ethiopia and Djibouti. The research deploys a qualitative research methodology, utilizing both primary sources (bilateral agreement, article of association, and shareholders agreement) and secondary sources. The analysis is further informed by the researcher‘s position as an insider and employee of the Company. The study examines international model legal frameworks for effective and seamless cross-border railway operation (CIM and CIV), trade agreements (TFA), along side regional and sub-regional instruments in Africa (AfCFTA, COMESA, IGAD). The study further examines the legal and institutional framework of the Ethio-Djibouti Railway. The finding of the study includes legal, operational and infrastructural challenges as well as opportunities it faces since its creation, stemming from misaligned national regulations and lack of political willingness resulting in inefficiencies, increment of cost and putting its reliability in jeopardy. In order to reduce such effects there needs to be a revision of the bilateral agreement and implementation of internationally recognized best practices, to create a harmonized legal, technical and operational environment
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    The Geopolitical Dynamics of the Horn of Africa: Security Implications for Ethiopia
    (Addis Ababa University, 2025-12-01) Nahom Berhanu; Yonas Tariku
    This study examines the contemporary geopolitical dynamics of the Horn of Africa (HoA) and their security implications for Ethiopia post 2018. First chapter deals with critical elements such as statement of the problem, research questions and research design. In this chapter it was identified that the Horn remains one of the most volatile regions in the world, marked by overlapping internal and inter-state conflicts, fragile political transitions, and intense involvement of external powers. In the second chapter review of relevant literature of contemporary Horn book chapters, peer reviewed journals, articles and so on were provided. Third chapter dealt with Regional Security Complex (RSC) theory as a framework with which the thesis was guided by. The Horn as a complex in regards to Middle East Complex and sub complex was discussed including what Ethiopia’s place in the whole Red Sea, Gulf of Aden and Horn of Africa security arena. The following chapter outlined methodological approach. Primary data collected from five key informants was presented and discussed in the fourth chapter. And the final chapter presented findings that revealed that the region’s security landscape is shaped by the competing interests of traditional powers, particularly the United States and China, as well as the growing involvement of Middle Eastern states such as the UAE, Saudi Arabia, and Turkey. The research identifies that Ethiopia’s internal instability and evolving foreign policy since 2018 have further complicated its regional posture. The study concludes that sustainable peace and stability in the Horn depend on strengthening collective regional institutions, especially IGAD, and ensuring that Ethiopia’s foreign policy prioritizes internal cohesion, cooperative regional engagement, and resilience against external manipulation
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    Evaluation of the Impact of Advance Deposit in Tax Appeals: The Case of Addis Ababa
    (Addis Ababa University, 2025-08-01) Hikma Tessema; Taddese Lencho
    The requirement of advance payment, also widely known as the principles of pay now argue later, is the core of appeal under Ethiopia's tax appeal system. The Federal Tax administration proclamation, proclamation number 983/2016 under article 56 and 57 clearly state that a tax payer who wish to contest the decision of a review department is bound to pay 50% and 75% of the contested tax in advance and in case of customs the taxpayer is bound to pay 100% upfront. Although the rationale for such requirement primarily is for revenue protection and deterrence of frivolous appeals, its strict application raises questions concerning taxpayers' right to access justice and potential financial hardship specifically on small and medium taxpayers. To this end this research explores the legal and economic impact of this requirement, advance payment, using a qualitative research design combining both empirical inquiry and doctrinal legal analysis. Literature of Ethiopian tax legislations are extensively reviewed coupled with comparative study of international practice. A semi structured interview and questionnaire were also administered to a total of 60 taxpayers from category A, B, C taxpayers and tax officials at ministry of finance and ministry of revenue, judges of the Federal Tax Appeal Commission (FTAC) and tax lawyers and auditors. The result shows that due to its huge financial burden the advance payment requirement imposed on them taxpayers are hindered from appealing contested tax assessments thereby affecting the constitutionally guaranteed right to access justice. Many taxpayers responded that due to the deposit requirement a substantial number of meritorious grievances are often left unchallenged. Comparative analysis from other jurisdictions practice reveals that alternative mechanisms such as bank guaranty, property mortgage and pledge, case by case judicial waiver and reduced amount of advance payment are putted in place to mitigate the effect of the requirement Finally, the study reveals that the current rigid advance payment requirement disproportionately favors government revenue protection over tax payers right to access justice and finally recommends legal and policy reform such as bank guaranty, property mortgage and pledge, case by case judicial waiver and reduced amount of advance payment to ease the impact of the advance payment requirement
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    Assessing Regulatory Challenges for Intra-Africa Capital Market Trading: The Case of Ethiopia
    (2025-05-01) Tewodros Tena; Martha Belete
    This study assesses the legal and regulatory challenges that limit Ethiopia’s participation in intra-Africa cross-border capital market trading, which is the fundamental element for regional economic integration. Ethiopia has established key institutions to fully operationalize its capital market, including the Ethiopian Capital Market Authority (ECMA), the Ethiopian Securities Exchange (ESX), the Ethiopian Central Securities Depository, and other service providers. This development is marked as a substantial achievement in designing and implementing an effective capital market. Following the enactment of the Ethiopian Capital Market Proclamation No. 1248/2021, other enabling directives were legislated. However, these legal frameworks lack sufficient specific provisions or other separate laws for regulating cross-border securities trading that include foreign securities registration, listing requirements, and compliance mechanisms. As learned from the experience of the best practices of Kenya, Nigeria, and Morocco, which benefited from robust regulations, regional integrations, like the African Exchanges Linkage Project (AELP), and the Pan-African Payment and Settlement System (PAPSS), this study emphasizes the need for harmonized legal standards and international cooperation. Additionally, it identifies the economic benefits of cross-border capital market trading in the context of Ethiopia as an emerging market, such as improving market liquidity, expanding investor base, reduction of reliance on domestic financing, while addressing risks like fraud and money laundering. Finally, the paper recommends the enactment of laws that address detailed issues for hosting and participating in cross-border capital market trading, joining regional integrations, integrating with PAPSS, revising Ethiopia’s tax laws, and expanding bilateral agreements to create a competitive and strong Ethiopian capital market
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    Federalism and Jurisdiction of Customary Court in Oromia: The Case of Bacho Woreda
    (Addis Ababa University, 2025-11-01) Bedo Muleta; Ketema Wakjira
    This study investigates federalism and the competency of customary courts in Oromia using Bacho Woreda as a case study. This study places the relationship between formal state laws and customary law within the context of Ethiopia’s federalism which gives regional states independent legal systems of their own. The study investigates the way customary courts coexist and engage with formal courts of law utilizing qualitative methods. The study looks at their role in the resolution of disputes and the governance of the community. A study of the issues recorded and the related adjudicating practices in Bacho Woreda indicates that customary courts substantially enhance harmony and cultural values. There are tensions between the laws of the State and custom, and many types of social relations are delimited by custom, and custom acts as a pressure group. The study shows that it is important to make effective policies which bring the federal agendas and local governance structures in a systematic way to not only increase access to justice but to empower the community which is more systematic so that it respects the local ethos and is in agreement with the constitutional framework of the country at large
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    The Impact of VAT on Insurers’ Subrogation Rights and Recovery Mechanisms in Ethiopia: A Comparative Legal Analysis under the 2024 VAT Proclamation
    (Addis Ababa University, 2025-07-01) Abreham Kalay; Misganaw Gashaw
    Subrogation allows the insurance company to recover money paid for settlements of claims from liable third party for that loos and maintain financial stability and long-term solvency. The importance of surrogation towards maintaining the efficiency of risk poling process, controlling claims cost and affordability of premium price in the development of insurance markets like Ethiopia has essential. There are controversies after that the Ethiopian VAT Proclamation, No. 1341/2024 has made a new clause under Art 40(6) that totally incorporate surrogation recoveries in scope of taxable supply without clear legal rules that protect the representative capacity of insurers and addressing legal remedy nature of subrogation recoveries. This research has examined these controversies and analyzes the legal and practical implication of VAT on insurer’s subrogation right. This research finds out the current legal framework of VAT creates ambiguity, administrative inconsistencies as well as practical challenges. Therefore, any legal reform should be made with clear legal framework, inclusive stakeholder engagement and effective strategies to protect a right balance between revenue collection and log-term development of insurance industry
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    “The African Charter on Democracy, Election and Governance (ACDEG); Its Enforcement in Member Countries: Case of Ethiopia”
    (Addis Ababa University, 2025-06-01) Lidya Girma; Mohammed Habib
    This research examines the implementation of the “African Charter on Democracy, Elections and Governance (ACDEG) in Ethiopia”, focusing on the progress and obstacles encountered since its ratification. Through a qualitative assessment of current practice of democracy, legal and policy frameworks, key informant interviews, electoral processes, and civil society engagement, the study analyzes Ethiopia's adherence to the principles outlined in the Charter, including, political participation, and human rights protections. The research reveals, despite Ethiopia's constitutional framework aligning with ACDEG, issues such as conflicting domestic laws, political instability, and ethnic conflicts hinder its implementation, showing a gap between Ethiopia's commitments under ACDEG and its actual practices. In light of these findings, the research indicates the need for legal reforms, enhanced enforcement mechanisms, and a more collaborative governance approach
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    The Role of Women and Women Victims in the Transitional Justice Policy of Ethiopia: A Comparative Study
    (Addis Ababa University, 2025-07-01) Ayda Birhanie; Demelash Shiferaw
    This study analyzes the role of women and women victims in Ethiopia’s Transitional Justice (TJ) Policy, highlighting the ongoing exclusion of women from decision-making despite their disproportionate suffering during conflict. The research examines the gap between Ethiopia’s commitments to gender inclusion and the actual participation of women, particularly as decisionmakers. Employing a qualitative and comparative approach, the study assesses the 2024 Ethiopian Transitional Justice Policy compared to policies of Rwanda, Sierra Leone, and Colombia. While the current Ethiopian policy, developed through broad consultations and consideration of global experiences, is a significant guideline with improved gender provisions, it lacks concrete mechanisms such as quotas, gender committees to ensure women’s participation and lacks clear compensation provision. In contrast, other countries institutionalize gender inclusion through detailed legal frameworks. The study recommends that forthcoming laws, formulated based on this policy, be comprehensive, practical, and provide guaranteed, meaningful participation of women, ensuring mechanisms for inclusion are clearly defined and actionable
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    Product Standards under the AfCFTA Protocol on Trade inGoodsand Ethiopia’s Journey towards Regional Economic Integration
    (Addis Ababa University, 2025-08-01) Bezawit Mesfin; Martha Belete
    Even though Ethiopia advances policy goals that capitalize on industrialization and enhancing export sector economy, the country’s market faces significant hurdles that relate to compliance with international standards and product quality requirements affecting its advancement on such sectors. As a signatory to the AfCFTA agreement, Ethiopia faces crucial obligations of harmonizing its standards and complying with the requirements of the TBT Annex of the AfCFTA Protocol on trade in goods. This study tries to assess Ethiopia's journey towards compliance with several specific obligations found in the AfCFTA TBT Annex that are related to the product standards obligations. The study analyzes the essential features of the Ethiopian product standard regulation regime, in light of the specific obligations under the AfCFTA TBT Annex. An analysis of the overall National Quality infrastructure of the country mainly consisting of the Institute of Ethiopian Standards, the Ethiopian Conformity Assessment Enterprise, the Ethiopian Metrology Institute, and the Ethiopian Accreditation Service has been made and several challenges like inadequate standards implementation regime, inefficient conformity assessment procedures, poor coordination, inadequate funding, and staff retention problems have been flagged. The study proposes that putting in place robust policy framework, focus on implementation and follow up of standards, rigorous capacity building and awareness initiatives and building strong strategi calliance with important stakeholders is necessary for Ethiopia to comply with our AfCFTA Agreement obligations and benefit out of it
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    The Constitutional Right of Persons under Police Custody in Ethiopia: The Law and Practice
    (Addis Ababa University, 2025-01-01) Sara Mustafa; Getachew Assefa
    This study examines the constitutional framework that protects the rights of individuals in police custody in Ethiopia. It investigates the legal safeguards available to persons in police custody by reviewing pertinent constitutional provisions, legislative enactments, and judicial interpretations. Using comparative legal perspectives and international human rights standards, this paper assesses Ethiopia's protection of the rights of people in police custody, including the right to legal representation, a fair trial, freedom from arbitrary detention, and the prohibition of torture and ill-treatment. The paper further examines the problems and limitations that exist in the practical application and enforcement of these rights, taking into account elements such as institutional capacity, legal knowledge, and sociopolitical dynamics. By highlighting these problems, this study hopes to assist policymakers, legal practitioners, and human rights advocates with insights on how to improve the protection of constitutional rights for individuals in police custody in Ethiopia
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    Execution of the Decision of the Federal Tax Appeal Commission in Ethiopia: Legal and Practical Issues
    (Addis Ababa University, 2024-05-01) Fasika Tamrat; Taddese lencho
    This Research explores the legal and practical issues associated with executing decisions made by the Ethiopian Federal Tax Appeal Commission (FTAC). The study aims to provide insights into the legal and practical issues in ensuring timely compliance with the Commission’s Decision. Drawing upon existing literature, legal frameworks, and institutional practices, the paper examines the regulatory landscape governing executions and enforcement procedures in Ethiopia. The researcher beyond consulting laws and other primary and secondary sources interviewed key informants from FTAC judges, Legal Attorneys of Taxpayers, and officials from the Ministry of Revenue and Customs Commission. The study has identified legal gaps and Practical challenges concerning the Execution of the Decision of FTAC, Key factors influencing the Execution of FTAC decisions, including legal requirements, administrative processes, practical challenges, handling reluctances, and effective enforcement mechanisms are analyzed. Based on its findings, the study provides recommendations for addressing the legal and practical issues surrounding the execution of decisions of the Federal Tax Appeal Commission (FTAC
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    Regulating the Foreign Exchange Market in Ethiopia: The Challenges and Next Reform Areas
    (Addis Ababa University, 2023-05-01) Gutu Hika; Solomon Abay
    Many important aspects of foreign exchange market organization are affected by regulations. Thus regulations are an integral part of the organization or infrastructure of foreign exchange markets. They typically place limits on the use and allocation of foreign and domestic currencies, operations by intermediaries, the types and characteristics of contracts, and trading locations. They can significantly alter exchange rate dynamics by circumscribing how individuals and institutions interact in the market. Regulation of the foreign exchange market plays a significant role in macroeconomic development. It secures the stability of financial operations so long as properly formulated and adaptable to the changing circumstances of today’s economic integration. Foreign exchange market regulation becomes an economic policy concern for both developing and developed countries. Of its contribution to economic development in the general and financial market in particular government pays considerable attention to the area. This work studies the regulation of the foreign exchange market in Ethiopia. In doing so, it assesses the existing regulatory framework governing the foreign exchange market. It examines whether existing regulatory laws cause challenges to the market and points out the necessary next reform areas if needed. The study was conducted based on legislative analysis. The finding of the study shows that there are different challenges out there that hinder the regulation of the foreign exchange market. It also shows that further regulation of required for the inadequacy of the existing regulation in covering some areas. Finally, this work provides some recommendations which the writer considers appropriate
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    Assessing Regulatory Challenges for Intra-Africa Capital Market Trading: The Case of Ethiopia
    (Addis Ababa University, 2025-05-01) Tewodros Tena; Martha Belete
    This study assesses the legal and regulatory challenges that limit Ethiopia’s participation in intra-Africa cross-border capital market trading, which is the fundamental element for regional economic integration. Ethiopia has established key institutions to fully operationalize its capital market, including the Ethiopian Capital Market Authority (ECMA), the Ethiopian Securities Exchange (ESX), the Ethiopian Central Securities Depository, and other service providers. This development is marked as a substantial achievement in designing and implementing an effective capital market. Following the enactment of the Ethiopian Capital Market Proclamation No. 1248/2021, other enabling directives were legislated. However, these legal frameworks lack sufficient specific provisions or other separate laws for regulating cross-border securities trading that include foreign securities registration, listing requirements, and compliance mechanisms. As learned from the experience of the best practices of Kenya, Nigeria, and Morocco, which benefited from robust regulations, regional integrations, like the African Exchanges Linkage Project (AELP), and the Pan-African Payment and Settlement System (PAPSS), this study emphasizes the need for harmonized legal standards and international cooperation. Additionally, it identifies the economic benefits of cross-border capital market trading in the context of Ethiopia as an emerging market, such as improving market liquidity, expanding investor base, reduction of reliance on domestic financing, while addressing risks like fraud and money laundering. Finally, the paper recommends the enactment of laws that address detailed issues for hosting and participating in cross-border capital market trading, joining regional integrations, integrating with PAPSS, revising Ethiopia’s tax laws, and expanding bilateral agreements to create a competitive and strong Ethiopian capital market
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    The Use of Arbitration as a Mechanism of Dispute Settlement in the Ethiopian Insurance Industry
    (Addis Ababa University, 2026-01-01) Hawi Fekadu; Zekarias Keneaa
    Disputes, particularly in the claim-intensive insurance industry, are unavoidable. Unresolved conflicts create a burden for all stakeholders affecting the whole industry if not the economy in general.Arbitration has been used for long as an alternative dispute resolution mechanism in Ethiopia and in recent years its use has increased to resolve commercial disputes, particularly the insurance industry uses arbitration by including in its policies. However, the theoretical advantages of arbitration are hardly obtained in real world and the enforcement of arbitration clauses in insurance policies is questionable.This paper aims to explore and evaluate the effectiveness of Arbitration in the Ethiopian insurance industry as a dispute resolution mechanism by employing a mixed method approach and identify challenges that hinder the effective use of arbitration in the insurance industry finally reaching a conclusion and suggesting possible recommendation
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    Legtimacy of the Memorendum of Understanding Between Ethiopia and Somaliland; Special Emphasis on the Legality of Ethiopia's Recognition of the State of Somaliland
    (Addis Ababa University, 2024-06-01) Teweldebrhan Mamo; Mohamed Habib
    During the colonial era Somaliland has been under the rule of Britain. In June 1960 British colonizers left Somaliland and the latter proclaimed its independence. After the withdrawal of the colonial forces the state of Somaliland gained recognition of more than 35 countries including USA. But this sovereignty lasted only for five days until Somaliland consensually form a union with Italian Somalia to form the republic of Somalia. The union comes to an end in 1991 after the collapse of an oppressive regime of said bare who ruled the country for over 20 years. With the collapse of the said bare regime the republic of Somalia also collapsed of which the current state of Somaliland emerged through a unilateral declaration of independence. Although from that time on, Somaliland continued as a de facto state, no country dared to recognize it as an independent state and the state of Somalia even claims that Somaliland is still part of Somalia. Against this background, the government of Ethiopia signed a memorandum of understanding in 2024 with the state of Somaliland by which Ethiopia committed to recognize Somaliland and the latter committed to allow its coastline to Ethiopia. Immediately after the conclusion of this memorandum of understanding, the government of the state of Somalia issued a press release stating that the MOU violates the sovereignty and territorial integrity of the Federal Republic of Somalia. The republic of Somalia believes that the unilateral declaration of independence by Somaliland is illegal and Somaliland is still an integral part of the republic. This research has addressed if Ethiopia’s recognition of the state of Somaliland is indeed in line with the principle of international law such as respect for the sovereignty and territorial integrity of states, uti possidetis and nonintervention in the internal affairs of state and I argue that it is