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Ecosystem-based adaptation practice has emerged as a sustainable approach to enhance smallholder farmers’ climate resilience while delivering multiple social, economic and environmental co-benefits. This study explores the perceived co-benefits from adopting ecosystem-based adaptation practices and examines how the perceived co-benefits shape adoption decisions among smallholder farmers. A mixed-method approach was used involving household survey of 360 smallholder farmers targeting household heads in purposive sampling scheme, key informant interviews and focus group discussions. The key findings of the study revealed mixed cropping (83.9%), integrated crop-livestock (57.2%) and mulch tillage (51.1%) as the most widely adopted practices. In addition, the study revealed that smallholder farmers perceived multiple ecological co-benefits from adopting ecosystem-based adaptation practices such as improved soil fertility, water retention, erosion control, pests’ regulation and agrobiodiversity improvement, while boosting crop productivity, food security and income diversification. Furthermore, smallholder farmers were found to value ecosystem-based adaptation practices that rely on low cost, local available inputs and traditional knowledge. The key motivators for adoption were found to be livelihood diversification, local inputs reliance and soil quality management. It is concluded that smallholder farmers adopt ecosystem-based adaptation practices that offer tangible co-benefits, and the adaptation initiative becomes effective when linked to local community perspective.