The purpose of this study was to explore understanding of teachers continuous assessment , thernpractice of implementing Continuous assessment and factors affecting implementation ofrncontinuous assessment and about challenges of implementing continuous assessment. Tornaddress these objectives, descriptive surrey research method was employed. The subjects in thisrnstudy were teachers and directors in the second cycle primary schools. Using availabilityrnsampling techniques for directors and simple random methods for teachers from six second cyclernprimary schools were taken. To analyze the collected data, both Quantitative and qualitativernmethods were used. The results revealed that teachers in the sample schools reflected tworndifferent perceptions regarding continuous assessment. Moreover, the findings indicated thatrncontinuous assessment has not been fully practiced in the second cycle primary schools yet asrndesired for a number of problems. The study also found that large class size, weak follow up,rnsupport and feedback system on the implementation of learners’, lack of training opportunity forrnteachers and supervisors were the major challenges of continuous assessment. To overcome thisrnproblem ofrncontinuous assessment,rnon the job training, adequate and updated manuals,rnadvanced follow up, support and immediate feedback on the learners , implementation continuousrnassessment were suggested solutions to the proper implementation of continuous assessment.