The main objective of this study was to investigate the problems that affect effective andrnefficient financial management in Nono Woreda in secondary governmental schools.rnDescriptive survey method of resdearch was employed; both quantitative and qualitative,rndata analysis methods were used in order to answer the research questions. Questionnaires,rnInterview and document analysis were the data collection tools for the study. Simple randomrnsampling techniques was used to select the respondent for teachers; availability samplingrntechniques was used to choose school principal, vice principal, supervisors schoolrncommittee and educational head office: participants of this study were 4 Principals, 2 viceprincipals,rn35 teachers, 4 school committee, 1 Woreda education office, 10 education officernexperts ,and 1 school Supervisors. The descriptive statistics such as: frequency, percentage,rnmean, and standard deviations used for data analysis. The findings of the study revealedrnthat the main problems that affect the effective and efficient financial management inrnschools were financial allocation for teaching learning process is very low, the mainrnproblems of financial utilization and management connected with the ability of principal,rnand finance experts. In addition to this, relevant training was not given on financialrnutilization and management for concerned body, lack of structured financial managementrnand utilization guideline and procedures, there is no financial utilization transparency inrnschool, and weak internal income generation. Therefore, it is possible to conclude that, thernabove problems were affected not only the effectiveness and efficiency of financialrnmanagement of the schools but also the whole process of educational activities in thernschool. Thus, to improve the situation, it is recommended that, all concerned bodies, such asrnthe oromia education bureau, Zone educational office and Woreda education office beingrntogether should be prepared enough workshop and training for the school personnel, andrnfor concerned bodies in the field of financial management, Release the allocated schoolsrnfinance on time. Prepare clear financial policy for school and strengthening internal incomernby the school principal and school committee in order to reduce the problems of financialrnmanagement in government secondary schools and to reduce the financial wastage is veryrnimportant.