The current study aims to identify the impact of ethical entrepreneurial leadership on theentrepreneurial orientation of SME owners in the Diwaniyah Governorate. According to the above, thestudy adopts a descriptive and analytical approach to its variables. The study sample consisted of agroup of SME ownwers , numbering (70) companies out of (90). The questionnaire forms was used asa essential tool for collecting data. The study were used many statistical methods such as standarddeviations, arithmetic mean , and structural equation modeling with the help of statistical programs(SPSS.var.24, Smart PLS). Theis exist study reached a set of useful conclusions and recommendations.Basically important of which is that the results of the statistical analysis showed that ethicalentrepreneurial leadership has a significant impact on entrepreneurial orientation.