A wetland is an area of land that is covered by water, whether salt, fresh, or somewhere in between, either seasonally or permanently. It operates as a separate ecosystem. Wetlands are distinguished from other types of land or bodies of water primarily by vegetation that has adapted to moist soil. However, this study focused on identifying wetlands, and change in Addis Ababa, the study employs remote sensing and GIS software. USSG provides free pictures from Landsat 5 TM and Landsat 8 OLI. The area is separated into six classes, with a Confusion Matrix reaching an accuracy of 95.58% for images taken between 1986 and 2019, and 86% in 2019. The Kappa Coefficients (k) are 0.8645 and 0.82, respectively. The Confusion Matrix also reports the Kappa Coefficient (k), which is another indicator of categorization accuracy. The k values for the picture classifications in 1986 and 2019 were 0.8645 and 0.82, respectively. Wetlands totaled 52.66 km2 of land in the original condition (1986) image; in 2019, that figure had reduced to 17.03 km2. The distribution of land cover types in 1986 and 2019 for built-up and other concerns influenced the demise of the marsh in and around the city. To develop a smart city and a green, climate-resilient economy, immediate and mid-term restoration management plans are required.