The flow instability in a low specific speed mixed-flow pump, having a positive slope of head-flow characteristics was investigated. Based on the static pressure measurements, it was found that a rotating stall in the vaned diffuser occurs at about 65% flow rate of best efficiency point (BEP). A dynamic Particle Image Velocimetry (DPIV) measurement and the numerical simulations were conducted in order to investigate the flow fields. As a result, the diffuser rotating stall was simulated even by Computational Fluid Dynamics (CFD) and the calculated periodic flow patterns agree well with the measured ones by DPIV. It is clarified that a periodical large scaled backflow, generated at the leading edge of the suction surface of the diffuser vane, causes the instability. Furthermore, the growth of the strong vortex at the leading edge of the diffuser vane induces the strong backflow from the diffuser outlet to the inlet. The scale of one stall cell is covered over four-passages in total thirteen vane-passages.