Does the use of local ethnic languages in diverse countries (as opposed to a single national language) worsen ethnic tensions? In 1994, Ethiopia introduced “mother-tongue instruction” (MTI) in primary schools for the largest ethnic group in the country. Using a triple difference-in-differences analysis of Afrobarometer data, I examine how the introduction of MTI in Ethiopia affected ethnic identity, ethnic grievances and inter-ethnic attitudes. Surprisingly, MTI has no effect on perceiving oneself exclusively as a member of one’s ethnic group, the expression of grievances about one’s group’s treatment by the government, or on rating ethnic tensions as an important national issue. There is some evidence that MTI does seem to make respondents want to avoid having ethnic outgroup members as neighbours and to rate discrimination and inequality as more important issues, but these do not hold up under robustness checks. The results therefore indicate MTI does not worsen ethnic tensions, ethnic grievances or interethnic relations, but nor does it improve them, and is thus likely to be ineffective as a way of ameliorating ethnic or demographic challenges such as the sub-Saharan African ‘youth bulge’.