River water is being polluted by massive disposal of sewerage, industrial waste and a number of human activities, which affects the phsico-chemical characteristics and biological structures. So far, physical, chemical and biological techniques have been developed to monitoring the pollution level of water bodies. Demaza River, which crosses Azezzo sub town, of (Gondar), receives pollutants from farms, domestic or residential wastes. The aim of this study was to assess the pollution load of Demaza River by using macro invertebrate indices and selected physicochemical parameters. Biological and environmental parameters were collected monthly three times (February, March and April, 2018) from three sites selected purposely based on expected pollution load. The result showed that some environmental parameters such as pH, temperature, conductivity, turbidity and total dissolved solid showed significant variation among site one and two. Most of the parameters were within EPA standards. But, Turbidity, NO2 and PO4, were beyond the EPA limit. A total of 3596 individual macro invertebrates were collected and grouped into17 families. Among the metrics %Diptera and %ephemeroptera significantly varied among site one and two. Percent Diptera also showed significant direct correlation with turbidity and conductivity, and negative association with pH. Based on personal observation and some environmental parameters (Turbidity, NO2 and PO4) and some biological indices such as taxa richness, diversity (H’) value and FBI the river can be considered as moderately impaired. Thus, this study recommends that pollutant sources should be effectively monitored and isolated from Demaza river; and any increases in something exceedingly bad, slaughter animals around the river and other garbage near the river over time should be prevented. Continuous monitoring strategy should be implemented in the future. Keywords: benthic macro invertebrate’s indices, Demaza river, physicochemical parameters.