This study aims to explore climate change induced socio-economic vulnerability of mangrove-dependent communities in the Indus Delta. We evaluate the linkages between vulnerability indicators by relating a community perceptions with observed and projected climate change scenarios. In evaluating these linkages, some key questions are considered such as: what are the likely socio-economic drivers contributing to community’s sensitivity? Are these drivers impacting the community and how much is the community’s coping potential to climate change? What are the key adaptation options necessary for increasing the community’s resilience? This study is carried out in a coastal town (Keti Bandar), which is located in the Indus delta. This region is highly sensitive to declining fresh water flows, changing climate and meager socio-economic resources of local population. We have used the Composite Vulnerability Index (CVI) approach in order to draw a general picture of the community’s vulnerability under a changing climate in Keti Bandar. The data for three CVI components (exposure, sensitivity and adaptive capacity) are collected at household level through questionnaire-based survey in six villages, however for exposure, secondary data is also acquired. Our assessment shows that these coastal communities, either engaged with the fishery or agriculture sector, are not only exposed, but are also highly sensitive to climate change driven threats. Moreover, lack of access to basic facilities, inadequate income diversification, and low education levels are negatively affecting the adaptive capacity of the entire local population. However, the communities’ nature of dwelling, their strong family networks, and their ability to migrate contribute positively to their adaptive capacity.