The following diploma thesis analysis the Productive Saftey Net Programme (PSNP), a development programme aimed at improving food security in rural Ethiopia by providing transfers in form of either cash or food to food insecure households. The programme incorporates two different components, a public works component for those able to perform labor-intensive, community-based activities (e.g. road construction and soil rehabilitation) and a direct support component for those without labor and no other means of support (e.g. disabled persons, per pregnant women, elderly people) . The programme was implemented in 2005 and covers approximately 10% of the total population in the country. The first part of the work will focus on the underlying concepts of food security and social protection. Subsequently, several aspects related to food security in the context of Ethiopia will be introduced, including inter alia Ethiopia’s food aid system and agricultural policies. The second part of the work will address the impacts of the programme on food security and vulnerability among beneficiary households by using longitudinal surveys conducted in the country during the period of 2006-2010. The surveys combine a mix-methods approach using several types of quantitative (e.g. households surveys) and qualitative methods (e.g. focus group discussions). The study further aims at identifying implementation challenges the programme has been confronted with. Results show that the PSNP in Ethiopia has a positive impact on the availability of food particularly during the lean season. However, no significant impact could be found in regard to daily consumption of food (measured by a threshold of 1,800 kilocalories per day per person). Among the main challenges of the programme are the limited capacities of local governments in terms of human resources and technical expertise, as well as the implications of rising food prices during 2008.