Finger millet, a nutritious crop grown in Africa and India, holds significant cultural and economic value in Ethiopia. Despite its importance, research on its seed systems is limited, emphasizing the need to improve productivity and food security. This study evaluates seed quality and assesses the existing seed system for finger millet in the Dera, Mecha, and Sekota Districts of the Amhara Region, Ethiopia, to provide recommendations for developing an effective seed system. The data were gathered from 264 farmers using a semi-structured questionnaire, along with 18 key informant interviews and six focus group discussions. Various finger millet seed samples, stored using different methods, were obtained from both formal (3 samples) and informal (24 samples) seed sources for laboratory testing. The data were analyzed using descriptive statistics and independent t-tests with SPSS V22.0, while ANOVA was used to check the existence of significance differences and LSD to compare mean differences between seed samples from informal sources using SAS software V9.0. The results indicated that farmers mainly rely on informal seed sources, with formal sources being underutilized. Significant differences in seed quality attributes were observed, with formal seed samples demonstrating superior physical purity, physiological quality, and thousand seed weight (TSW) compared to informal ones. Additionally, formal seed samples showed better physiological traits, including higher normal seedling emergence, seedling dry weight, and fresh seed weight. ANOVA results revealed significant variations in physical purity and physiological quality between seed samples from informal sources. While smallholder farmers mainly rely on informal seed sources, formal seeds showed superior quality. Limited access, inadequate extension services, and a lack of awareness restrict the use of formal seeds. To enhance finger millet production in the Amhara Region, it is crucial to strengthen the formal seed system.