In Ethiopia, there is a notable scarcity of national research on the topic. Because of this, further in-depth scientific investigation was needed to ascertain how the TCI industry fits into the country's overall economy. Thus, the main objective of this study was to better understand how the TCI sector contributes to Ethiopia's economic growth by examining the relationships between real GDP growth and the sector's employment opportunities measured in terms of pay adjusted for the annual inflation rate, fixed capital formation adjusted for constant prices in 2015, the net exports of TCI, and control variables: the size of the working-age population (aged 15 to 64), total exports (percentage of GDP), and the nation's government effectiveness indicator. Using annual time series data from the period 1996 to 2021, the ARDL estimation method was used to determine how the long-run and short-run correlations among the variables interacted. The empirical findings indicated that, in the existence of a long-run relationship between the variables, fixed capital formation and employment opportunities have both a significant and positive relationship to real GDP growth, while net exports have a significant but negative relationship. The size of working-age population (aged 15 to 64), the total export of the country (percentage of GDP), and the government effectiveness indicator have a significant and positive relationship with the real GDP. In the short-run ECM, only the net export and government effectiveness index have significant contribution to economic growth. The study suggests that the government should seek to attract significant inflows of FDI to progress in fixed capital formation, and implement export-oriented development policies to improve the sector's export performance, and implement realistic employment regulations in order to increase the number of jobs available in the industry that pay well.