The purpose of this study was to assess the practice and challenges of leadershiprndevelopment in Addis Ababa City Government Education Bureau. To carry out thisrnstudy a descriptive design was employed. The Participants in the study were 143rneducational experts, 79 government secondary school principals and 15 sub citiesrnand City Administration of Addis Ababa Education Bureau core process owners.rnBoth qualitative and quantitative method were employed in order to reach to thernresults. The data were collected using a questionnaire and interview. Data obtainedrnthrough questionnaire were analyzed, summarized using statistical tools and enteredrninto Statistical Package for the Social science (SPSS Version 21.0) softwarernanalysis; frequency count, Percentage, mean and standard deviation werernconducted. The finding shows leadership development practice in identifying thernneed assessment of employee based on their working environment and individualsrnwere not properly implemented, leadership development practice activities onrnchallenging developmental assignment, relationship with boss, and formal trainingrnimplementation were insufficient.Concerning leadership development strategies, thernAddis Ababa City Government Education Bureau mostly uses participative, directivernand negotiating strategies and rarely uses expert and educative strategies inrnleadership development practice. Finally, it was recommended that the EducationrnBureau would plan a systematic individual and organizational leadershiprndevelopment gap analysis at different level using the appropriate methods by takingrnthe given context in to consideration,form a concerned leadership developmentrndepartment to further strengthen the existing leadership development practices, andrnidentify the leadership development skill gaps of the leaders help to plan and conductrnefficient that promote the City Government Education Bureau to a better level thatrnproduce quality output for better future generation.