This study presents the results of an experimental research study on the effectiveness of Sugar Cane Bagasse Ash (SCBA) as a cement replacement material in concrete production. The ordinary Portland cement was replaced with 0, 5, 10, 15, 20, 25 and 30, respectively bagasse ash, the effect of Sugar cane Bagasse Ash on workability, compressive strength and microstructure of Interfacial Transition Zone (ITZ) of concrete was examined. The results showed that inclusion of Sugar cane Bagasse Ash in concrete up to 20 level significantly enhanced the compressive strength of concrete at all ages; the highest compressive strength was obtained at 5 SCBA replacement level. The ITZ thickness was greatly reduced with increasing the bagasse ash replacement level up to 15, beyond that the ITZ thickness was slightly increased, however the thickness was still narrower than the normal concrete, it was observed that at 15 bagasse ash replacement level, the interfacial transition zone was homogeneous and there was no gap between the coarse aggregate and the paste matrix. © Maxwell Scientific Organization, 2014.