Lack of projects sustainability raises more doubts about the long-term contribution of intervention to income expansion and poverty reduction. Little evidences are known on the sustainability of the productive assets created for vulnerable groups. Thus, this study was conducted to assess the livelihood impact assessment of Tanzania Social Action Fund (TASAF) intervention on rural vulnerable groups in Makete and Rungwe Districts, Tanzania. However, this article examined the sustainability of productive assets created. A stratified sample of 239 recipients and 115 non-recipients in public works, carpentry, dairy cattle and poultry projects were interviewed. A quasi-experimental and cross sectional design was used to collect data. Descriptive statistics and instrumental variables/2SLS approaches were used to analyze data. Results showed that only carpentry project was significantly sustainable. Based on these findings, it was concluded that project sustainability depends on its nature and vulnerability of beneficiaries. This therefore it is recommended that the government should create assets through thorough participatory identification of the nature of projects relevant to the target group(s). In addition, local government authorities should implement assets created through training, supervision and regular field exchange visits.