Rural economies in Iran largely rely on low income agricultural activities that are highly vulnerable to climatic and economic shocks, intensifying poverty and livelihood instability. Livelihood diversification has been recognized as a key strategy to enhance rural resilience; however, the absence of a localized, policy oriented framework has hindered effective planning. This study aims to identify and contextualize adaptable policy pathways for rural livelihood diversification in Iran by reviewing successful domestic and international experiences. A targeted analytical review with a policy oriented approach, grounded in the Sustainable Livelihoods Framework (SLF), was conducted. Literature searches in Google Scholar, SID, Magiran, and international databases employed keywords such as livelihood diversification, sustainable livelihoods, rural poverty, and resilience. Source screening was based on conceptual relevance to SLF components, socio economic significance, and contextual applicability to Iran. Selected studies were analyzed thematically and comparatively, resulting in the classification of livelihood models into “improved,” “complementary or diversified,” and “alternative” categories. A “successful” model was defined as one that demonstrably increases resilience and reduces poverty. Case examples were drawn from Yemen, Nepal, India, Turkey, Madagascar, Pakistan, Iraq, Spain, and Mexico. Findings highlight the relevance of initiatives such as climate resilient agriculture, low water technologies, renewable energy adoption, and women’s microcredit groups in arid regions of Iran. Consequently, the study proposes multi level policy recommendations — at national, provincial, and local scales — to promote inclusive and sustainable rural development.