The main objective of this study is to analyze the demographic and socioeconomicrnimplications of urban expansion in peripheral areas of Bishoflu and generate better waysrnfor the filfure displacements. The specific objectives of the study are to examining thernimpacts of urban expansion on .fertility, mortality, morbidity, family size, migration,rnmarriage and divorce; to identifo the livelihood and unemployment effects; to assess thernimpacts of displacement on education, health, religion, ethnicity and social coherence; andrnto find out beller ways of urban expansion rehabililation designing scheme to reduce thernimpacts of urban expansion in the periphery.rnA statistic descriptive study design was applied to accomplish this research work. Andrnboth non-probability and probability sampling methods were used. The sampling Famernindicates di5placed populations that are found in the study area. It employed householdrnsurvey, par/ieipatOlY group discussions and key informants interviews through close-endedrnand open-ended questions.rnThe results of the study indicated that the implemented expansion program was notrnparticipalOlY and has marginalized the periphelY community. The compensalion packagernprovided could not capacitale the land and assels di5possessed. Thus, urban expansionrndisplacement increasedfertilily, outmigration, divorce, family size, unemployment as wellrnas decreased social cohesion, family dissolulions and less income source. To overcome thernsitualion, Ihe programs should be underlaken with prior consent of the victims andrnfacilirating vocational training to enhance the di5placed community for sustainable life inrnthe fit/w·e.