This study examines the potential for community- based tourism (CBT) as a development strategy for rural communities in the Solomon Islands. Three rural villages on Gizo Island served as the case study. Both qualitative and quantitative methods were used to collect and analyse data. The results found that the three villages have engaged in community- based tourism spontaneously. However, the degree of participation by each of the three villages in tourism development varies. At the moment the benefits of tourism are shared by very few individuals and families who operated CBT, though there are some benefits for other members of the community in Paeloghe and Saeraghi. Effective participation is hindered by a lack of funding, access to the tourist market, and knowledge for and about tourism. Empowerment for the community is lacking at both the national and local level. It is suggested that the need for empowerment to enhance community capacity to achieve sustainability and self-determination is paramount. A model to enhance community capacity so that decisions comprise sustainability and just distribution of benefits is proposed from a culturally appropriate perspective.