This research paper is aimed to explain the causal effect of determinants of the foreign direct rninvestment inflow in Ethiopia on time series data analysis for the consequence last two decades from rn1998-2018. To attain the objective of the study, explanatory research design was applied. Before rnproceed to analyze the collected data, the dataâ€™s stationary and integration test has been conducted to rnthe end of maintaining the relevancy and validity of the paper. Using Eviews application, the rnstationary of the data has been checked at level and first difference. Both short and long run rnintegration among the independent and dependent variables were observed. Besides to this the rncorrelation test has been conducted in order to known what kinds of association each variables has rnwith the FDI. Based on the finding except inflation rate, the rest variables have positive and strong rncorrelation with FDI. Based on analyses of secondary date of time series finding of the analysis rnindicates only 61 % of determinants are influenced the foreign direct investment inflows in to rnEthiopia and the others rest one hold by others factors which are not mentioned under the study. Thenrntry to identify those factors. According to the reports and the response of the concerned bodies in rninvestment Bureau, the leading determining factor towards FDI is the political instability. Low access rnto modern market and corruption of the country followed by unclear and complex autocracy and rnpolicy related problem are major other factor accounted for decline foreign direct investment over rnyears.