The city was flooded in August 2006 when both the Dechatu River and the Gorro River overflowed their banks. About 200 people were reported dead, thousands were displaced and there was extensive damage to homes and markets especially along the Dechatu River. Floods are fairly common during the June–September rainy season; over 200 people in the region had been killed by flooding in 2005 that did millions of dollars in damage.
An overturned truck, heading from Dengego to Dire Dawa, killed 41 people 4 March 2009. The truck was carrying an unknown number of day laborers when the accident happened, and 38 were immediately killed and as many as 50 were injured. Dead and injured were taken to Dil-chora Hospital in Dire Dawa. The cause was not immediately known.
Currently, there are plans to revitalize the city. A historic and popular part of the city is to be demolished and replaced by a financial center, malls, mixed-use buildings, hotels, recreational facilities, and hospitals. As part of the plan, historical buildings will be renovated, and a new space will be allotted for building new homes and businesses for those displaced by the move. New roads, parks, and an industrial zone will also be built, and major railway project is expected to greatly increase business activity in the city.