This research investigates the role of digital e-credit and institutional support in facilitating the adoption of climate-smart agriculture (CSA) practices among rural smallholders in Punjab, Pakistan. The study analyzes how e-credit, alongside institutional backing and farmers’ demographic attributes, influences the decision to embrace CSA practices and determines the extent of their adoption. Data from 420 farmers across five Punjab districts were analyzed using Multivariate Probit and Ordered Probit models. The findings emphasize the importance of e-credit and institutional support, including CSA training, soil testing services, seed certification, and market accessibility, to encourage the adoption of multiple CSA practices. In addition, the study establishes a positive correlation between the adoption of CSA practices and factors like farmer education, experience, landholding size, and tractor availability. The research underscores the need for enhanced access to e-credit, improved institutional infrastructure, and increased educational initiatives in rural areas to support climate-resilient farming practices.