diff --git a/README.md b/README.md
index b7d731eb..59c0da52 100644
--- a/README.md
+++ b/README.md
@@ -108,6 +108,7 @@ print("Value: " + str(flag_value))
 | ✅      | [Domains](#domains)             | Logically bind clients with providers.                                                                                             |
 | ✅      | [Eventing](#eventing)           | React to state changes in the provider or flag management system.                                                                  |
 | ✅      | [Shutdown](#shutdown)           | Gracefully clean up a provider during application shutdown.                                                                        |
+| ️️⚠️       | [Transaction Context Propagation](#transaction-context-propagation) | Set a specific [evaluation context](/docs/reference/concepts/evaluation-context) for a transaction (e.g. an HTTP request or a thread) |
 | ✅      | [Extending](#extending)         | Extend OpenFeature with custom providers and hooks.                                                                                |
 
 <sub>Implemented: ✅ | In-progress: ⚠️ | Not implemented yet: ❌</sub>
diff --git a/openfeature/api.py b/openfeature/api.py
index c04d423e..29866e4d 100644
--- a/openfeature/api.py
+++ b/openfeature/api.py
@@ -12,6 +12,10 @@
 from openfeature.provider import FeatureProvider
 from openfeature.provider._registry import provider_registry
 from openfeature.provider.metadata import Metadata
+from openfeature.transaction_context import (
+    NoopTransactionContextPropagator,
+    TransactionContextPropagator,
+)
 
 __all__ = [
     "get_client",
@@ -26,12 +30,19 @@
     "shutdown",
     "add_handler",
     "remove_handler",
+    "set_transaction_context_propagator",
+    "set_transaction_context",
+    "get_transaction_context",
 ]
 
 _evaluation_context = EvaluationContext()
 
 _hooks: typing.List[Hook] = []
 
+_transaction_context_propagator: TransactionContextPropagator = (
+    NoopTransactionContextPropagator()
+)
+
 
 def get_client(
     domain: typing.Optional[str] = None, version: typing.Optional[str] = None
@@ -94,3 +105,17 @@ def add_handler(event: ProviderEvent, handler: EventHandler) -> None:
 
 def remove_handler(event: ProviderEvent, handler: EventHandler) -> None:
     _event_support.remove_global_handler(event, handler)
+
+
+def set_transaction_context_propagator(
+    propagator: TransactionContextPropagator,
+) -> None:
+    _transaction_context_propagator = propagator
+
+
+def set_transaction_context(context: EvaluationContext) -> None:
+    _transaction_context_propagator.set_transaction_context(context)
+
+
+def get_transaction_context() -> EvaluationContext:
+    return _transaction_context_propagator.get_transaction_context()
diff --git a/openfeature/client.py b/openfeature/client.py
index 0429911a..f4152af1 100644
--- a/openfeature/client.py
+++ b/openfeature/client.py
@@ -335,9 +335,10 @@ def evaluate_flag_details(  # noqa: PLR0915
             )
             invocation_context = invocation_context.merge(ctx2=evaluation_context)
 
-            # Requirement 3.2.2 merge: API.context->client.context->invocation.context
+            # Requirement 3.2.3 merge: API.context->transaction.context->client.context->invocation.context
             merged_context = (
                 api.get_evaluation_context()
+                .merge(api.get_transaction_context())
                 .merge(self.context)
                 .merge(invocation_context)
             )
diff --git a/openfeature/transaction_context.py b/openfeature/transaction_context.py
new file mode 100644
index 00000000..978ef477
--- /dev/null
+++ b/openfeature/transaction_context.py
@@ -0,0 +1,37 @@
+import typing
+from contextvars import ContextVar
+
+from openfeature.evaluation_context import EvaluationContext
+
+__all__ = [
+    "TransactionContextPropagator",
+    "NoopTransactionContextPropagator",
+    "ContextVarTransactionContextPropagator",
+]
+
+
+class TransactionContextPropagator(typing.Protocol):
+    def get_transaction_context(self) -> EvaluationContext: ...
+
+    def set_transaction_context(self, context: EvaluationContext) -> None: ...
+
+
+class NoopTransactionContextPropagator(TransactionContextPropagator):
+    def get_transaction_context(self) -> EvaluationContext:
+        return EvaluationContext()
+
+    def set_transaction_context(self, context: EvaluationContext) -> None:
+        pass
+
+
+class ContextVarTransactionContextPropagator(TransactionContextPropagator):
+    def __init__(self) -> None:
+        self._contextvar = ContextVar(
+            "transaction_context", default=EvaluationContext()
+        )
+
+    def get_transaction_context(self) -> EvaluationContext:
+        return self._contextvar.get()
+
+    def set_transaction_context(self, context: EvaluationContext) -> None:
+        self._contextvar.set(context)
diff --git a/tests/test_transaction_context.py b/tests/test_transaction_context.py
new file mode 100644
index 00000000..7d0ed7f2
--- /dev/null
+++ b/tests/test_transaction_context.py
@@ -0,0 +1,28 @@
+from concurrent.futures import ThreadPoolExecutor
+
+from openfeature.evaluation_context import EvaluationContext
+from openfeature.transaction_context import ContextVarTransactionContextPropagator
+
+
+def test_contextvar_transaction_context_propagator():
+    propagator = ContextVarTransactionContextPropagator()
+
+    context = propagator.get_transaction_context()
+    assert isinstance(context, EvaluationContext)
+
+    context = EvaluationContext(targeting_key="foo", attributes={"key": "value"})
+    propagator.set_transaction_context(context)
+    transaction_context = propagator.get_transaction_context()
+
+    assert transaction_context.targeting_key == "foo"
+    assert transaction_context.attributes == {"key": "value"}
+
+    def thread_fn():
+        thread_context = propagator.get_transaction_context()
+        assert thread_context.targeting_key is None
+        assert thread_context.attributes == {}
+
+    with ThreadPoolExecutor() as executor:
+        future = executor.submit(thread_fn)
+
+    future.result()