The purpose of this Book was to investigate the challenges and prospects of the TVET reform in Two Region in Ethiopia. As a result, an effort was made to examine the major factors that influence the implementation of the reform such as, TVET Colleges capacity in terms of (financial, human and physical) resources, and commitment to implement the reform, stakeholders (awareness, participation and commitment), and the relationship between TVET institutions and stakeholders. A descriptive survey method has been employed to identify major issues to be addressed and to examine the TVET reform constraints in the implementation and its prospects. The results indicated that, lack of (financial, human and physical) resources, low (commitment, awareness and participation) of stakeholders, teachers skill gap, high staff turnover, weak relationship between TVET institutions and stakeholders, and lack of well organized management system were the potential problems which needs to be addressed in order to better implement the TVET reform.