In countries like Ethiopia where agriculture sector has the basic contribution for grosseconomy,rnland resource plays a major role in the level of production. One form ofrnland degradation is soil degradation and it is often a very slow processrnand may be almost invisible. Rate and magnitude of erosion at any location isrndetermined by the interaction of the natural and human induced parameters. Identifying thernexisting natural and human induced parameters control the land degradation level throughrnGIS and Modeling enable to put on remedies that reduce the level of degradation at least tornits natural level. At present, Lake Awassa catchment is exposed for land degradationrnproblems that mainly caused from water erosion. The surface water flow in the catchmentrneither directly end up to L. Awassa or to L. Cheleleka and its swamp vicinity. In 2004, thernpotential soil loss from up land of the catchment towards L. Awassa is estimated to coverrn63.6% (950122.3 ton/year) and towards L. Cheleleleka is 36.4 % (544646.8 ton/year). Thernland cover change and inapplicability of soil conservation are responsible for intensifyingrnthe level of potential annual soil loss from uplands.