Community development plays a vital role in improving the social, economic, and cultural conditions of people in developing countries such as Sri Lanka. However, development outcomes depend not only on economic resources but also on social relationships, trust, and collective participation. This study examines the role of social capital in community development from a Sri Lankan perspective. The main objectives are to examine the concept and dimensions of social capital, analyze its level and forms in Sri Lankan communities, explore how social networks, trust, and participation influence development processes, and identify its strengths and challenges in supporting sustainable community development.

The study is based entirely on secondary data, including government reports, census publications, policy documents, and empirical research studies. A qualitative and descriptive analytical approach was used to synthesize existing evidence and identify patterns related to social capital and development outcomes.

The findings reveal that bonding social capital remains strong in rural Sri Lanka through kinship systems, religious associations, and community organizations. Social networks and trust significantly enhance participation, collective action, and resilience, particularly during economic crises and natural disasters. However, bridging and linking social capital vary across regions, especially in post-conflict and urban areas. Weak institutional trust and limited inter-group cooperation pose challenges for inclusive development.The study concludes that social capital is a valuable but complex resource for sustainable community development in Sri Lanka. Strengthening bonding, bridging, and linking relationships in a balanced manner is essential for inclusive and long-term development.