To reduce extreme poverty and break its intergenerational transmission, in 2012 the Government of the United Republic of Tanzania initiated the Productive Social Safety Net (PSSN) – the flagship social protection programme implemented by the Tanzania Social Action Fund (TASAF). The PSSN is based on a set of integrated interventions targeted for the poorest and most vulnerable households: i) a labour-intensive public works (PW) programme; ii) conditional cash transfers (CCTs); iii) a Livelihood Enhancement (LE) component providing support to households' economic driven interventions (such as community savings and investments); and iv) Targeted Infrastructure, supporting development and rehabilitation of social infrastructures under education, health and water sectors. During the period 2013–2019, TASAF vastly scaled up the programme in five waves, enrolling 1.1 million households and 5.1 million individuals in 9 960 communities, representing approximately 10.5 percent of the total population. A randomized impact evaluation was embedded within the scaled-up design of the PSSN, which found that even after a short period of implementation (2015–2017), the PSSN achieved several objectives including: increased consumption and food security, investment in better living conditions and human capital accumulation. To complement the findings of the official PSSN impact evaluation, in this study we analyse the indirect effects of the PSSN on the overall local economy.