A field-based study of plant diversity in small scope traditional agroecosystem, widely known as homegardens,rnwas carried out in Sabata peri-urban town in the South Western Shewa Zone of Oromia NationalrnRegional State, Ethiopia. The study area is categorized as Tepid Humid Mid Highland (H3) AgroecologicalrnZone. In the present study, a total of two hundred forty houses were surveyed within the studyrnarea by employing random sampling technique for the presence of home-gardens. Twenty-four of these homegardensrnwere preferentially selected since they were considered manageable for detailed study (data collection andrnanalysis). Data on vegetation (species record, frequency, and number of individuals) were recorded and therncollected specimens were identified in the National Herbarium (ETH), Addis Ababa University.rnEthnobotanic information was gathered using semi-structured interview, free listing, preference ranking,rndirect matrix ranking and paired comparisons. Descriptive statistical methods as Shannon-WienerrnDiversity Index and Cluster analysis methods were also employed. A total of 135 plant species in 110rngenera and 58 families were recorded. Thirty-seven plant species that are distributed among 29 genera andrn22 families were documented as food plants. Family Rutaceae is represented by the highest number of foodrnplants (13.51%) followed by Brassicaceae (10.81%). Persea americana Mill., Citrus sinensis (L.) Osb. andrnEnsete ventricosum (Welw.) Cheesman. were among the most preferred food plants of home-gardens of thernarea. Twenty four medicinal plants from 22 genera and 17 families were also recorded from home-gardensrnof the area. Species of the families Asteraceae and Lamiaceae were the most used and each accounted forrn16.6% of the total medicinal plants. From this study diverse plant taxa and landraces belonging to variousrncategories of food and non-food crops were identified and recorded which indicate the significance ofrnhome-gardening in conserving agrobiodiversity. In addition, the indigenous knowledge used to maintainrnplant diversity in home-gardens was also carefully considered and documented.rnKey words / phrases: Agrobiodiversity, Home-gardens, Indigenous knowledge, Management practices