Climate change has adverse impact on different livelihoods of pastoral communities, among these water sources, and biodiversity are likely affected resources as reported by different sources. This study mainly deals with the impacts of climate change on the pastoralist communities of Dugda Dawa woreda, Borana Zone, South Ethiopia. the primary and secondary data quested trough questioner, interviews and focus group discussion under designed sampling methods. In addition, the metrological data’s were taken from the national metrological agency of Ethiopia. The result shows that the indicators of climate change in the area is observed and the impact of climate change on livelihood of pastoral communities is visible and periodical event with damaging the assets of these communities. These assets are water sources and biodiversity, the visible impact of climate change that was observed for past three decades are periodic drought events in the area, expanding of desertification, lose in agricultural products, severe drought and shift in rainy season, surface and ground water depletion causing water scarcity for animal and human use, high degradation results in reduced ecosystem use and lose in biodiversity that can harming adaptive and resistive capacity of the pastoral production as it is sensitive and more vulnerable sector for climate change impact