Akyoo, Elimeleck P.2023-05-122023-05-122021-12-151821-98532665-0584 onlinehttps://repository.tia.ac.tz/handle/123456789/128Household’s socio-economic characteristics have the potential of determining livelihood strategies of community living adjacent to large scale agricultural investment areas. However, livelihood diversification strategies in areas with large-scale agricultural investment are determined by complex and yet empirically untested factors in Kilombero Valley. Thus, the aim of this study is to examine the determinants of livelihood diversification strategies in the study area. The study based adopted a cross-sectional research design and the exploratory sequential research strategy whereby data were collected from 376 respondents. Quantitative data collected through a structured questionnaire were entered into SPSS and Multinomial logit model was used to examine determinants of household livelihood diversification strategies. Qualitative data were subjected to content analysis. Generally, findings show that household size, land size and access to credit were positively and significantly (p ≤ 0.05) associated with households’ livelihood diversification for households adjacent to Kilombero Sugar Company Limited (KSCL). On the other hand, land size, total income and group membership were significantly (p ≤ 0.05) associated with households’ livelihood diversification for households adjacent to Kilombero Plantation Limited (KPL). It is concluded that diversification of livelihood strategies in communities adjacent to large-scale agricultural investments are context specific and depends on investors adjacent to the community in question. It is recommended that local government authorities and other development actors in Kilombero Valley should recognize and support non-farm livelihood diversification and address access to credit constraints by provision of credit with lowest interest rate to households who will be interested in non-farm income generating activities.enLivelihood Diversification Strategies, Agricultural Investment, Livelihood, KilomberoArticle