The main purpose of the study was to evaluating community radio capacity in promoting partici-patory communication for development: the case of Wolayta community radio / Wolayta Wo-getaa F.M 96.6 radio/. In this regard, the study employed both qualitative and quantitative re-search methods. As a result, individual in-depth interview used as qualitative research method and questionnaire was used as quantitative research method to gather the necessary information and data. The study situated within the theoretical background of development communication, multiplicity paradigm and participatory communication approach. In this end, the study re-vealed that Wolayta Wogetaa F.M 96.6 radio station lacks capacity (human resource capacity, sustainable finance and coverage capacity) to promote participatory communication for devel-opment activities in Wolayta zone. The 84.4% of respondentâ€™s data indicates that, Wolayta Wo-getaa F.M 96.6 radio station lacks the above indicated capacity to promote the participatory communication for development activities in Wolayta zone. In addition, the study shows that Wolayta Wogetaa F.M 96.6 radio is unable to work with community people to promote social, economic and political development activities in Wolayta zone. As respondentâ€™s data, 85.8% of the radio listeners responded that Wolayta Wogetaa F.M 96.6 radio unable to work with com-munity people to promote the issues indicated above. The study also identified that Wolayta Wo-getaa F.M 96.6 radio station lacks capacity to ensure active community people participation. Moreover, the finding revealed that Wolayta Wogetaa F.M 96.6 radio station lacks coverage ca-pacity to reach all Wolayta zone because of the shortage of transmission capacity. The radio sta-tion also has the challenges that related the directive of Ethiopia Broadcasting Authority that limits only one kilo bytes to community radio.