Belete, Martha(Assistant Professor of Law)Beyene, Desalegn2021-04-062023-11-082021-04-062023-11-082020http://etd.aau.edu.et/handle/123456789/25950In Ethiopia, there has been social and political unrest in many parts of the country that causes massive loss of human life and destruction of investment assets/properties. These situations not only hinder the flow of investments and the growth of an economy it also entails a huge economic loss in the country. Both foreign and domestic investors in Ethiopia are facing political violence risk challenges, though most foreign investors (especially those that have BIT protection) have the protection of investment guarantee against political violence through different way, there is no formal and rule based compensation scheme for domestic investors. Actually Ethiopian law has made provisions for protection against expropriation and currency risk; it however, has failed to provide protection against political violence. Thus the main purpose of this research is to assess the existence of laws or regulation for domestic investments against political violence risks adopted to protect and guarantee domestic investors investment in the form of political violence guarantee scheme. The finding of the researcher indicates that there is no explicit political violence risk guarantee scheme established to protect domestic investors‟ investment in Ethiopia. The researcher also found the existence of some informal kind of protection, which is not based on law where the government is not forced to act accordingly to protect domestic investors‟ investment. In addition, as per the interview conducted with the Ethiopian Investment Commission officials they believe in the importance of the establishment political violence risk guarantee against domestic investments. Based on the present situation of the political instability in the country, future possible challenges and other countries experience the researcher recommends that the state regulator should work on establishing the political violence insurance market pool at national level as well as to incorporate the standard of Full Protection and Security in the legal frame work in order to promotes and protects domestic investment in Ethiopia.enthe case of Political ViolenceThesis