The main objective of the study is to examine the trend and causes of divorce as well as its consequences on women and their children in Lideta Sub-City of Addis Ababa.The study is based on both secondary and primary data. The primary data was gathered through in-depth interview, key informant interview and focus group discussion. The Participants of the study were purposely selected. The various data sources were triangulated and analyzed thematically. Case stories were narrated and simple statistical tools such as frequency and percentage were also employed. Document from the Court indicates that the rate of divorce is increasing from time to time and has become critical problem to the study area. The findings of the study indicate that interrelated factors cause divorce. The social problems and sexual relations, economic problems and in-laws’ interference are the major causes of divorce in the study area. The result of the study also revealed that because of divorce women face social, economic and psychological problems. Following divorce children of divorced women are also exposed to social, economic and psychological problems.