Continuous professional development of teachers is of growing interest globally, as it is considered vital to cope effectively with ongoing changes and to improve the quality of education. This qualitative case study explores potential and actual barriers that hinder teachers’ professional development in Ethiopian schools. Data was collected via interviews and focus group discussions from 37 purposively sampled participants. The study reveals three major challenges in teachers’ development: 1) conceptions and conceptual issues related to teaching, professional development and mentoring, 2) management and leadership, and 3) teachers’ work conditions. The need to reconsider educational change management strategies, reform teacher education, strengthen research-based practices, renew management and leadership culture, and improve teachers’ work conditions are thus found to be the areas identified as needing interventions.