Abstract: Capacity building and skill development have become central components in strengthening employability, entrepreneurship and socio-economic empowerment among rural youth. This study assesses the effectiveness, utilization patterns and influencing factors of capacity building programmes in Central Gujarat. A sample of 120 rural youths was selected using simple random sampling. Data were collected through a structured questionnaire and analysed using descriptive statistics, correlation and multiple regression. Results reveal that 58.33% of respondents exhibited a medium level of skill development, followed by 22.50% with a high level and 19.17% with a low level. Training participation, education, and access to extension services emerged as strong determinants of skill enhancement. Correlation analysis showed significant positive relationships between skill development and educational qualification (r = 0.331**), training exposure (r = 0.412**) and ICT literacy (r = 0.287*). Regression analysis further confirmed that training exposure, motivation level and institutional support were significant predictors (R2 = 0.547). The study concludes that structured training, practical learning and exposure to ICT tools significantly enhance rural youths' capacity building. Strengthening institutional linkages, developing need-based training modules and improving extension support mechanisms are essential for sustainable rural development.
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