This research aims to bring a better understanding on the challenges of the current education policy in Ethiopia. The current education policy in Ethiopia has been developed to bring a desirable quality education, yet education quality in Ethiopia is getting worse. Here one can assume that there are several factors contributing to the education policy gaps which quensiquently end up in low education quality in Ethiopia. This thesis attempted to see the problem of low quality education in Ethiopia in the light of the concept of institutional monocropping. The concept of institutional monocropping is all about imposing the bluorint of international donors with out considering the local situation and context. Accordingly, this thesis has tried to answer the following question. “How does the institutional mono cropping affect the current education policy which consequently contributes to the low quality of education in Ethiopia?” Finding of this thesis shows that internationalazation of education policy particularly through the push to meet the MDG affects quality education. Since the MDGs provides uniform policy to all developing countries, it is likely to overlook the local need. For insatance, the movement given to all developing countries to achive UPE out of 100% is focused on quantity while the local need of the desirable educaton quality is overlooked. Moreover, finding of this thesis noted that, institutional monocropping is affecting the current education policy in Ethiopia by taking much its attention to wards the supply side, which advocates having more teachers, schools and school materials, while neglecting the demand side which involves the real need of students, parents and the community. That is, however the demand side has mentioned in the policy, it remaind as a paper value since it doesn’t get enough attention. Hence result of the study show that there is a big policy gap between the demand and supply side. Particularly the demand side shuld come to the fore in order to bring the desirable quality education in Ethiopia