<div> This chapter examines federalism as a political order and uses that foundation to analyse Ethiopia’s post-1991 experiment. It traces federalism’s historical roots—from covenantal compacts to modern federations—and highlights the interplay between unity and autonomy as the enduring core of federal arrangements. The chapter then turns to Ethiopia’s case, where the collapse of the socialist government and the rise of nations, nationalities, and peoples (NNPs) seeking internal self-determination set the conditions for federal restructuring. It shows that Ethiopia’s model is built on recognition of national diversity, constitutionalised rights to self-determination—including secession—and the territorialization of identity into “national regional states”.&nbsp;<span>The chapter evaluates Ethiopia against Alfred Stepan’s federalism taxonomy—coming-together, holding-together, and putting-together—but argues that none of these categories captures Ethiopia convincingly, given its unique ideological origins, bargaining dynamics, and constitutional design. It surveys competing scholarly claims and rejects simple labels in favour of alternative descriptors such as “ethnic federalism,” “devolution-recognition federalism,” and “national diversity recognition federalism,” with the latter presented as the most accurate description of what the system actually does.&nbsp;</span><span>The core finding is that Ethiopian federalism is not primarily a power-sharing mechanism among previously sovereign polities, but a constitutional solution to national diversity and the threat of disintegration. It reframes ethnicity as a political basis for statehood, embeds NNP sovereignty in the constitutional order, and redefines federation through recognition rather than assimilation. The chapter concludes that Ethiopia’s experiment remains conceptually unsettled and empirically unfinished—pioneering in its recognition framework, but still dependent on democratic consolidation for long-term stability and legitimacy.</span> </div>