In this paper, we introduce the class of diagonally dominant (with respect to a given LMI region D ⊂ C) matrices that possesses the analogues of well-known properties of (classical) diagonally dominant matrices, e.g their spectra are localized inside the region D. Moreover, we show that in some cases, diagonal D-dominance implies (D, D)-stability ( i.e. the preservation of matrix spectra localization under multiplication by a positive diagonal matrix). Basing on the properties of diagonal stability and diagonal dominance, we analyze the conditions for stability of second-order dynamical systems. We show that these conditions are preserved under system perturbations of a specific form (so-called D-stability). We apply the concept of diagonal Ddominance to the analysis of the minimal decay rate of second-order systems and its persistence under specific perturbations (so-called relative D-stability). Diagonal D-dominance with respect to some conic region D is also shown to be a sufficient condition for stability and D-stability of fractional-order systems.