Abstract: Bangladesh economy has been changed for the last years and economic transformation is linked with rural poverty and land use. This paper has discussed the development of rural livelihood with to changes in land use and institutional supports. Land use pattern, technological development and micro-credit has influenced towards a structural changes in rural livelihoods. The land man ratio is decreasing and the farmers are becoming landless over time. Some rural people have only homestead and some even do not have. The changing in land ownership and changes in land use system lead to intensive and diversified activities. Meanwhile, government institutions are continuing to provide with extension services and technical support too. NGOs are working increasingly with landless and providing special supports to women through their microcredit programs. There is arising a competition among the microcredit institutions and credit is becoming easy accessible to the poor. Moreover, rural people is getting benefits from rural electrification, extension services supports too. These also influence to change in taste and preferences of rural people. The people are now trying to earn more to meet up improvement consumption habits. The farmland and homestead area is being used intensively. The women are participating in farming and non-farm activities directly or indirectly with men. These on going changes lead to an improved, intensive and diversified combination of farm and off-farm activities with a structural adjustment in rural economy.