This study limits its aim to a discussion of the water policy of Egypt and Ethiopia. It will first lay out the Ethiopian view and the nation's reaction to the escalation of Egyptian media coverage calling for a direct war against Ethiopia after the country's insistence on the construction of the Grand Renaissance Dam on the Nile, which would disrupt the flow of water to Egypt. With Egypt regularly in control of 85% of the Nile's water, the dam would create a massive change in the water situation in the country. This paper shows the history of the conflict over the water of the Nile between Ethiopia (an Upstream Country) and Egypt (the only Downstream Country) and the position of Ethiopia on old agreements between the parties. The paper presents Ethiopian writings published since the revolution of January 25, 2011 by way of understanding the nation's viewpoint on the issue.