Technical vocational education and training (TVET) programmes have recently received increased attention as an area of priority for stimulating growth in developed and developing countries. This paper considers the situation in Ethiopia where the promotion of micro and small-sized enterprises (MSEs) has been central to the development and expansion of TVET centres throughout the country. The extent to which efforts relating to TVET made by Ethiopian policy makers, higher education institutions and MSEs have enhanced the development of the micro-enterprise sector is considered, using empirical evidence gathered from nine Ethiopian cities. It is argued that the existing relationship between TVET and micro-enterprise cannot be regarded only as one of constrained capacity, usage and transformation. The authors argue further that the development of micro and small-sized enterprises requires approaches extending beyond the simple expansion and development of TVET institutions. (Contains 6 figures, 5 tables, and 1 note.)