This study evaluated the impact of productive safety net program on the livelihood of rural households of Libo Kemkem woreda. Towards this end, data were collected from 210 randomly selected households of which 119 were program participants and 91 were non-program participant's selected from four Kebeles of the woreda, where the productive safety net program was implemented. Applying a propensity score matching technique, it was found that the program has significantly increased participating households' total income by 59.1%, livestock asset by 14.09% and consumption expenditure by 22.61% compared to non-participating households.