Cement concrete pavement usually has design life span of 25 to 40 years whereas flexiblernpavement can have design life span of 15 to 20 years. Hence it becomes necessary to determinernwhich pavement is more economical for entire life. The cost of initial construction of pavementsrndepends upon availability and cost of construction resources like: the cost of aggregates; cost ofrnbinders, equipment renting charges and cost of labor. The cost of maintenance of roads dependsrnupon a number of factors among them being the volume and intensity of traffic, cost of materials,rnlabor and machinery, type of terrain, type of wearing surface, the minimum level of serviceabilityrnwhich is acceptable for that category of road, climatic conditions etc. All types of asphalt bindingrnmaterials used in our country are imported with hard currency and its cost is becomingrnincreasingly high. On the other hand cement materials have been produced and have highrnpotential of production in Ethiopia and its cost becomes reduced.rnIn this study life cycle cost comparison and economic analysis carried out between cementrnconcrete pavements and bituminous pavements in five selected trunk/arterial roads of EthiopianrnFederal Roads. Traffic analysis, equivalent pavement design for Asphalt Concrete and CementrnConcrete Pavements, cost break down analysis for initial cost comparison, life cycle maintenancerncosts, user costs and different economic and environmental considerations were performed forrncarrying out economic evaluation of pavements. Present Worth economic evaluation method wasrnused for the evaluation of life cycle costs of pavements. From the evaluation of the study bothrninitial and maintenance costs of Cement Concrete Pavement are found more economical thanrnAsphalt Concrete pavements.rnKeywords: Asphalt pavement, Cement concrete pavement, cost comparison between rigidrnpavement and flexible pavement, Flexible pavement, life cycle cost of pavements, Rigid pavement.