Ethnic conflict is inevitable in any community with diversified or the same culture, language and psychological makeup. Ethnic conflict is one of the major security challenges currently facing in "Africa in general and indeed Ethiopia particular. It Contribute for the alarming levels of conflict, instability, mobilization of the society and poses sustainable development. The central theme of this study was to examine the inter-ethnic conflict between Amhara and Kemant communities. Both ethnic groups have a long history socio-economic interaction. However, after 2009 there was frequent inter-ethnic conflict between the two ethnic groups. This research is conducted in Chilga and Lay Armacheho Woreda which is the most prominent conflictual area. The major objective of this research was to investigate the causes, actors, impacts, conflict management and peace building efforts in the Amhara-Kemant inter-ethnic conflict. To achieve the above objectives the researcher employed qualitative research approach with case study research. design. The researcher collected primary and secondary source of data from different informants in Chilga and Lay Armacheho woreda by employing different data collection techniques such as an in-depth, key interview, FGD and document analysis. Purposive sampling was also used to select the participants. The data was thematic analyzed. The finding of the study revealed that the causes of the conflict are related to the quest for Ken.t identity and 'Self-governance and other multiplicity of factors like political add security. The actors involved in the conflict were direct or indirect actors. The study had shown the impacts of the conflict as; economic, social and political and the conflict violent behavior, resulted in loss of life, destruction property. However, the peace building efforts remains unsuccessful. Thus, Analysis of the research findings indicated that in the study area still there are minor inter-personal conflicts that can escalate in the border area, that underscores the importance of timely intervention and grassroots level studies that focus on addressing the root causes rather than treating symptoms of the problem. The. implementation of referendum, self­ administration and territory demarcations should be done carefully. Above all government officials of Amhara National Regional State and Kemant at all levels should work hand in hand with the local communities. Key Words: Conflict, Ethnicity, Ethnic Conflict, Nationality, Politicization of Ethnicity