State level diaspora engagement policies have gained popularity in the last decade as states increasingly seek to capitalize on the resources that migrants can offer their country of origin (Levitt, 2001). It has become widely accepted that Diaspora members can offer gains to the countries of origin for economic and social development. The greatest focus in this area has been on international remittance flows, but knowledge transfer programmes and general Diaspora investment is gaining popularity. Ethiopia has been implementing Diaspora engagement policies and establishing government institutions to engage the Diaspora over the past decade. Although their policies are not as advanced as historic migration states such as Mexico or India, they are one of the most progressive in Sub-Saharan Africa. The purpose of this policy brief is to give a brief outline of the diaspora engagement policies in Ethiopia. This brief is based on an in-depth policy review, individual interviews with Ethiopian Government representatives and international organizations, and observations and insights gained at the Dialogue on Mediterranean Transit Migration (MTM) Final Conference in Addis Ababa. The fieldwork was conducted from April–June 2010.