The decline of Aksum was followed, in the early 12th century, by a southward shift in the center of political power, from Tegray to Lasta, province of Wollo. There a chief called Marara founded a new dynasty, known as the Zagwe. Yemrahanna Krestos was the first Zagwe church-builder. He erected one of the finest cave churches of Lasta. Lalibela was the best known of the Zagwe rulers, who reigned about 1200 A.D.

According to legend before the throne of Ethiopia was restored to its rightful rulers, upon command of God and with the help of angels, Lalibela's pious zeal converted the royal residence of the Zagwe in the town of Roha in to a prayer of stone.

Lalibela established his capital at Roha, a site where the volcanic land lent itself to church excavation. There he built 12 rock-hewn churches or chapels, for which he was canonised. They were so remarkabl that the place was later reneamed in his honor.

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