Resettlement has been used as a rural development program with other objectives to reduce ruralrnpoverty and tackle food insecurity. In Ethiopia also it has been used with different explicit andrnimplicit objectives. This thesis aimed Ilt assessing the prevalence of conflicts in resettlement areasrnand their causes by taking one resettlement area of Essern woreda of Oawuro zone.rnThe study used both qualitative and quantitative data collected through household survey, FGO,rnkey informants interview and personal observation. These data were analyzed and interpreted inrnline with the objectives of the study.rnThe study findings Ilre thnt in selected resettlement area, the prevalence of conflict is high due torndifferent factors. These factors include ethnic differences, resource competition, poor planningrnand implementation, lack of good governance at kebele level, population inflow and illegal landrnsale. Among these fac tors, ethnic difference is the main cause. It is found that the implementingrnbody of the program overlooked ethnic differences of resettlers and hosts and it led to antagonisticrnrelation between hosts lind resettlers. The program resulted in twofold effects for resettlers,rnproviding land for them, and then making them food secured; and making the life unsecured duernto antagonistic relation with hosts. For the hosts in turn it contributing nothing but cleared thernnearby fores t and crea ted competition on grazing lands.rnIt is found that conflict resolution means used so far were not effective. They were notrnparticipatory and not addressing the root causes. The real features of the relations between hostsrnand resettlers are overlooked by the government. Ignoring the ethnic differences and failing tornhandle it properly may further create ethnic conflicts not only in the study area but also in otherrnparts of the region. Having so many ethnic groups in a given state is neither blessing nor nrncurse, it depends how they are handled