Addis Ababa is the main get way into and out of the country; hence it receives many tourists.rnBesides this, the contribution of the tourism industry as a source of revenue in general andrnthe contribution of ecotourism both as a source of revenue and as a means of environmentalrnsustainability in particular is low. Therefore, there is a strong need to studying ecotourism, asrnpart of an alternative form of tourism, for the growth of low impact tourism in the area andrnfor its natural ecosystem maintenance as well as for the benefit of local population.rnEcotourism can have many components that can broadly be categorized in to three: Natural,rnCultural and Educative components. The aim of this paper is thus to identify potentiallyrnsuitable sites for ecotourism in the surroundings of Addis Ababa City mainly based on thernNatural components of ecotourism. Seven factors, namely: Land use-land cover, Soil,rnElevation, Slope, Vegetation density, Temperature and Rainfall were considered to determinernthe suitability of an area for ecotourism. More emphasis was given to the classification andrnaccuracy assessment of land use-land cover. The result, thus, showed that 84.96% overallrnaccuracy and 0.82 overall kappa statistics which indicates better classification. Using Multicriteriarnevaluation, sites suitable for ecotourism were identified. The result showed thatrnhighly suitable area accounts for 11 percent, moderately suitable area for 29 percent. Lessrnsuitable and very less suitable area, on the other hand, accounts for 33 and 27 percent,rnrespectively. Large parts of the highly suitable areas lie in the Northern, Northwestern andrnsouthwestern parts of the study area. Specifically, it includes areas such as â€˜Suba MenagesharnYemengist Denâ€™, Wolmera Goro, area around Menagesh town, Menagesha Medhanealem,rnSuba and Elala Gojo, some parts of Intoto, Legedadi, Mount Yerer and Mount Furi. Smallrnparts of the highly suitable areas, on the other hand, lie in the extreme parts of thernsoutheastern part of the study area. For the moderately suitable areas, except, for few that arernfound in the southern parts of the study area, the rest are found nearby the highly suitablernareas. The least suitable areas are found dispersedly in all part of the study area. Very leastrnsuitable areas, however, are rare in the Northern, North western and southwestern part of thernstudy area. The southern part of the study area is dominated by very least suitable areas.rnKey words: Ecotourism, Multi-criteria evaluation, Remote Sensing and GIS