This paradigmatic and pragmatic analytic-reviewing-recommendarystudy aims at entrenching the notion of participatory development/community participation and community capacity building for sustainability in rural water supply. The study’s review covers introductory background in participatory development/community participation and community capacity building that lead towards sustainability in rural water supply. The study reviews Southern African Development Community (SADC) and Lesotho context, community participation in rural water supply, participatory development and capacity building for sustainability and community based management (CBM) for rural water supply systems.