The Transformation Triggering Facility (TTF) supported Ethiopia in its economic transformation and poverty reduction growth by enhancing investment, creating jobs and improving productivity. The TTF consisted of a series of targeted sectoral and institutional interventions engaging with a wide array of stakeholders including Public Technical Institutes, Intermediary organizations and SMEs. The main partners were the Ministry of Finances and Economic Cooperation, the Ministry of Industry, the Ethiopian Investment Commission and the Addis Ababa University.

The TTF had four main components:

• Small and Medium Enterprise (SMEs) and markets development;
• Business skills enhancement and the fostering of innovation;
• Hubs development;
• Capacity building and policy fine-tuning.

We performed an analysis to assess the implementation of the TTF since August 2013 and suggest improvements and recommendations for the way forward. The Government of Ethiopia used the recommendations of the evaluation report as a tool to further improve implementation of TTF until the end of its implementation period (2019).

We employed a participatory approach to engage stakeholders at all levels through interviews and workshops, in addition to a comprehensive review of the management and administrative records, collected data, and project reports.

• Assessed validity of the objectives set at the design phase of the programme and whether progress in the implementation was consistent with the EU Programme framework and the financing proposal
• Assessed stakeholders’ participation, opportunities, challenges and level of local ownership
• Assessed the adequacy of the procedural environment, the performance measurement system (reporting, monitoring, review and evaluation), the accountability system and the communication/visibility strategy implementation
• Benchmarked how TTF complemented with other economic transformation programmes in the country
• Provided suggestions and recommendations on different transitions (e.g. reallocation of funding from underperforming components, designing incentive mechanism for local coordinators, improved capacity at implementing agencies level, improved coordination needs between components)
• Provided recommendations for the improvement of the implementation of the remaining activities, including on the adequacy, efficiency and effectiveness of the intervention