The capital city of Ethiopia is Addis Ababa. It is not only the largest city in the country but also serves as the political, cultural, and economic hub of Ethiopia. Founded in the late 19th century, Addis Ababa is located at a high elevation, which contributes to its unique climate. The city is home to many important institutions, including the African Union headquarters and the United Nations Economic Commission for Africa. It reflects a blend of modern development and rich historical significance, making it a focal point for diplomacy and international relations in Africa.