Ethiopia is increasingly described as a regional power in the Horn of Africa, in consideration of its military and diplomatic power and demographic size. Ethiopia’s increasing engagement in regional peace and security issues further indicates that it has the will to lead and influence the region. However, its aspirations are neither explicitly acknowledged by the government, nor defined in its official foreign policy document. Ethiopia’s position and status in the region are constrained by historical factors, the vulnerability of neighbouring states, and Ethiopia’s weak economic capacity. Yet, Ethiopia maintains a central position in the region and plays an important role in regional peace and security issues, serving for instance as a bulwark against Islamist extremist groups in the region—as a mediator and as a peacekeeper. Ethiopia has also managed to drive regional agendas through the existing regional and continental organizations, namely the Intergovernmental Authority of Development and the African Union.