The district Dera Ismail Khan (D.I.Khan), situated at the conjunction of three provinces of Pakistan, N.W.F.P, Punjab and Balochistan. It has very vast potential for socio economic development and consequent contribution to sustainable natural development. CRBC project is key factor as well as indicator of substantial development. Even since its initiation research has been conducted on its impact on the socio cultural and economic change in the area. The present has been undertaken to highlight widespread impact of CRBC on the change variables of living conditions in the study area. The sole objective of the study has been to identify the rate of change in living conditions to point out bottlenecks and to suggest tangible measures for policy guide lines. Research methodology, strictly in accordance with accepted research design has been based on sampling techniques, data collection and processing and final analyses of the findings in order to recommend viable measures for improvement. The present study has been squarely focused on the evaluation of CRBC impact on the rate and size of change in life pattern under command area as compared to the area under Rod kohi (rain fed) and thus the purpose has been to measure factors for poverty reduction and increase in productivity. This study was undertaken in seven selected villages of Dera Ismail Khan (D.I. Khan) district. It focused on the Stage II of Chashma Right Bank Irrigation Project (CRBIP). The data were collected in June-August 2004 by conducting a household level survey with the help of a pre-tested interview schedule. The size of sample was 139 households in the study area. The data showed that more than half of the respondents were literate and it was evident that in irrigated area the ratio of literate farmers was higher than in un-irrigated villages. A vast majority (60%) of the sample respondents were up to 45 years of age. Majority of the households (71 %) had monthly income of about 20,000/-. A vast majority of the people in the area still live below and close to poverty line. More than three-fifth (60.5 %) of the households consisted of more than 10 members. As many as 34 percent of the sample households had farm size of less than 6 acres and accounted for 18 % of the farm area. The average farm size in the study area was 27 acres. The average farm size in irrigated areas was less than (25 acres) than in un-irrigated area (32.5 acres). On the whole, 75 % of the farms had land area up to 25 acres. The regression analysis indicated that coefficient of irrigation was highly significant factor affecting crop yield. Its statistical significance showed that irrigation positively changed crop yield and this been possible due to the availability of irrigation water through the CRBC. Thus CRBC has played a very significant role in enhancing crop yield. The availability and supply of irrigation water due to CRBC has also enhanced household income. The framers of the area were of the opinion that their family incomes have significantly increased due to the availability of irrigation water through CRBC. Increase in households’ incomes have also led to increase in household consumption and saving. The CRBC has also played a phenomenal role in enhancing education in the area. There has been an increase in literacy rate after the CRBC. The study found that due to CRBC off-farm employment has increased in the study area. The study has concluded that the CRBC plays a crucial role in the socio-economic development of the study area. It works just like an engine of development for the area under consideration. More area has now been brought under cultivation. The study further concluded that due to extensive and intensive farming, crop yields have also been increased. The livestock sector has also been developed. The study further concluded that the unemployment rate has gone down than before. On- farm as well as off-farm employment opportunities have been expanded. People have diversified their professions and new activities in the informal sector have been initiated. This has contributed to the family income and saving behaviour in the study area. The study concluded that although poverty still is the main issue of the area and majority of the people live below poverty line, yet the CRBC project has played a major role in poverty alleviation. The study recommended that the department of agriculture and department of agricultural extension should give special attention to further development of this sector in the area. The study also recommends that the government should pay due attention to land development and further cultivable wastes may be brought under cultivation by providing the farming community microfinance and credit. The farmers need to be made aware about the use of recommended agricultural practices through mass media. Education facilities must be strengthened and quality education needs to be provided in the area. Micro financial institutions should come forward and help the people in poverty alleviation. The cultivation of high value crops such as oil seeds, vegetables, orchards, etc. should be introduced. There must be an awareness campaign along with intensive demonstrations, etc. to get the farmers to change from rod kohi view of irrigation to that of canal irrigated techniques. There are quite different methods and the traditional method isn’t suitable for canal-based irrigation. Basic problems to overcome include; excessive use of water, improper layout of fields, lack of proper leveling and poor selection of crops to be grown relative to soil suitability.