Notwithstanding the rapid process of urbanization observed in most transition countries, poverty still remains a predominantly rural phenomenon (IFAD, 2001) as the sternness of their hardship is far greater than in urban areas. In Ghana, the Rural Enterprises Project (REP) is one of such approach to make the Ghana Poverty Reduction Strategy I & II more effective in addressing the needs of the poor. Whilst the comprehensive nature of these pro-poor programmes is the strength to reduce poverty, the problem is that most of them fail to live up to expectation or sufficiently target the poor. Consequently, it is significant to assess approaches and their effectiveness. The study attempted to assess the influence of the REP in employment creation and poverty reduction in the Asuogyaman District. The methodology adopted was a case study using the Asuogyaman District in Eastern Region of Ghana. Data were collected using questionnaires from a sample of 102 respondents selected from the study population of 599. Primary data was analysed using SPSS and the results presented in figures and tables. Findings were that REP was implemented through the collaborative effort of the REP and District Assembly. Interventions to beneficiaries enhanced MSEs through good management practices and improved quality of products and services. The REP is indicated to have created jobs in the Asuogyaman district and brought quite a significant impact on their livelihood. Establishing a Rural Technology Facility is recommended to boost the use of appropriate technology by Micro and Small scale Enterprises. Continuous consultancy services to MSEs are recommended throughout all rural districts to provide advisory services to make enterprises sustainable. Policy direction should be specific and robe in more of the youth to go into entrepreneurial ventures in rural districts to reduce unemployment and poverty