Climate change is becoming one of the major environmental issues in Nepal. Thisresearch report entitled Vulnerability Assessment of Indigenous People's Livelihooddue to Climate Change in two VDCs of Kailali district endeavors to explore theperception of indigenous people about climate induced impacts and coping strategies toovercome those impacts. There is evidence that climate change is already affecting thebiodiversity and weakening the livelihood assets of poor, marginalized and indigenouscommunities. The research was based on the people's perception about the climateinduced changes since last 30 years. PRA tools and techniques were used to explore theknowledge, impacts and adaptation strategies to cope with risks and shocks of climateinduced impacts which are useful to built resilience of the indigenous communities toovercome with the immediate bottlenecks observed in climatic effects on livelihood ofpeople.