Climate change is a leading agendum today. Traditionally India has been highly vulnerable to climate related events like floods, droughts and cyclones. In developing countries like India, climate change is an additional burden because ecological and socio-economic systems are already facing pressures from rapid population, industrialisation and economic development. The present paper highlights impacts of climate change on varied aspects of economy such as agriculture, industry, forests, biodiversity and water resources and ultimately on health of human beings. The paper also focused on initiatives taken by the government to cope up with climate change. It is suggested that adverse impacts of climate change can be reduced by mitigation and adaptation strategies.