Most of the human knowledge is recorded using natural language. This language is too complexrnto be understood by computers. Only computers that have the capability to understand Naturalrnlanguage can access all these information efficiently. in addition, Natural Language interfaces torncomputers would allow complex systems to he accessible to everyone.rnActivities in the area of Natural Language Process ing tries to design and implement computerrnprograms that can understand Natu ral I"anguagc and act appropriate ly on the infol111ationrncontained in the text or utterance. Enabl ing computers to understand natural language involvesrnextraction of mea ning from words in texts. Word parsing is a process of extracting the meaningrnexpressed by the 0rds of a text by to kenis in words to their basic components.rnThis study is an attempt o f des igning and implementing word parser for Amhari c words. Thernstudy focuses on Amhari c verbs illldthe ir derivations, which covers more th an 75% of the wordsrnin the language. The paper describes the morpho logy of Amharic verbs and attempts to extractrnfeatures that enables to implement automattc Amhari c word parser. The morphological datarndescribed and analyses in this study is taken from study outputs in the area of Amharic wordrnmorphology.rnAn algorithm that can use the morphological property of the language has been designed andrnpresented. Even tho ugh this studly focuses on Amharic verbs and their derivations the algorithmrnand the discuss ion can be easily ext ended I(lr other word groups. The study also describes therninformation contained in affixes and designs a database that can hold this information for wordrnparsing and further analysis works.