Climate change is causing a great environmental, social and economic threats to all of mankind and across borders in many nations. Perception about the cause, impacts and necessary response mechanisms to cope with climate calamities is important for any population in a given community. The study was conducted in three kebeles of Simada district found in South Gondar, Amara Region as one of the drought-prone area in the District. It relied on both qualitative and quantitative methods of data collection and analysis. The primary and secondary data was gathered through the use of data collection tools such as focus group discussions, interviews, observations, and household surveys. The study also used historically recorded rainfall and temperature data from 1989 to 2019 to examine the trend of local climate variability and change. A time series analysis was used to show the trend of temperature and rainfall. To determine rainfall variability, the coefficient of variation and percent of deviation were used. The findings of the study showed that both maximum and minimum temperatures had increased; belg rainfall had decreased; whereas annual and meher rainfall had increased and showed inter-annual and seasonal variation. Local people perceive climate variability and change-induced hazards such as drought, flood, pests and disease, erratic and heavy rainfall as affecting the environment and their livelihood. Local people perceived the changes and took remedial action to counteract the impacts of climate change. The most common adaptation options include: reforestation, terracing, rainwater harvest, change in cropping pattern, growing short-maturity crops, family planning and diversification of income. However, poverty, water scarcity, land scarcity, market problems, lack of information about the weather or long-term climate change, forage and feed scarcity, lack of agricultural technologies and appropriate seed, and lack of health service were major constraints to adaptation for many people in the study area. Thus, the study recommends a relentless need to address these challenges by the concerned body.