Abstract: The main objective of the study was to investigate the effect of project implementation on poverty reduction especially those projects in VUP. The researcher adopted the descriptive survey design because the study sought to gain insight or perception into a phenomenon as a way of providing basic information in the area of study. The study population comprised 1481 in total including 1361 VUP Beneficiaries, 15 Executive Secretaries of sector and 105 Executive Secretaries of cells in Bugesera District.