The main purpose of the study was to assess the current status of income generatingrnactivities in selected public TVET colleges in Addis Ababa and identify the majorrnconstraints confronted related to income generating activities and thereby to providerncertain possible recommendations to the concerned body.rnThe area of investigation were: main sources of income generating activities, incentivesrnprovided to encourage income generating activities, utilization of generated income, andrnmajor problems encountered related to income generating activities inpub/ic TVETrncolleges.rnTo this effect, descriptive survey method was employed. Three public TVETcolleges werernselected as a sample from the total of five. Data were collected from 106 trainers, and 33rnmanaging staff through questionnaire and interview. Relevant documents were alsornstudied and analyzed to gather additional data for the study. Purposive sampling andrnsimple random sampling techniques were used to select the sample colleges andrnrespondents. The data gathered were analyzed using descriptive statistical methods,rnsuch as percentage, mode and rank order.rnThefinding of the study revealed that, public TVETcolleges are regularly generatingrnincome from evening courses while other sources are not fully utilized; there arp. nnrnincentives provided to encourage income generating efforts of public TVET colleges; andrnlack of institutional autonomy to utilize generated income. Moreover, inappropriaternfinancial regulations, lack of awareness in market oriented approach, poor marketingrnstrategies, lack ofiransparency, and unfair distribution of income among beneficiariesrnwere the major problems facing public TVET colleges related to income generatingrnacti vi ties.rnBased on the findings, some possible recommendations were forwarded. Public TVETrncolleges need to strengthen their effort towards IGAs by investigating other potentialrnsources of income. In this regard, the regional state has to encourage the colleges byrnproviding incentives, such as granting institutional autonomy with relevant andrnappropriate financial regulations, and capacity building programs for managers related tornIGAs. Moreover, the TVET colleges by themselves need to form a committee to supervisernand monitor all aspects of IGAs.