Today East African pastoralists including Borana are increasingly engaged in livelihood diversification evolved over time as an adaptation strategy in the context of climate change and other stressors. This study was undertaken in Borana, southern Ethiopia, to understand women's involvement in livelihood diversification, as well as their gains and losses. The study employed household survey, focus group discussions, key informant interviews and field observations for data collection. Results show that traditional cattle-centered pastoralism has been transforming into more diversified livelihood activities such as crop production, animal trade, petty trade, poultry farming, and selling of firewood and charcoal. Although men dominate most of the pastoral livelihood diversification activities, this study shows women are also playing significant roles in petty trade, poultry farming, and selling of firewood, which increases women's workload and income and improves their decision-making power in the household. Moreover, the proactive role played by Borana women in diversification activities highlights women's initiatives in adaptation and challenges the dominant discourse that focuses on women's vulnerability to changes. Furthermore, a better understanding of the roles women play in diversification enables the use of their knowledge and expertise in designing well-informed policies and strategies.