The study was done on the impact of sports and recreation on socio-economic development. The socio-economic development is measured in terms of social capital, individual economic development and community development. This study used a descriptive research design. The study population consisted of all 986 students and 67 staff. In this study the sample size was determined using the Krecie and Morgan table of 1970 cited by Kasomo (2007).The researcher collected data using a questionnaire. The Statistical Package for Social Sciences (SPSS) was for descriptive statistics. The study has established that both the students and staffs perceive that sports and recreational activities play some critical roles in enhancing both social and economic developments of the individuals in an organization. The study has established that sports and recreational activities were available in the university campuses. Additionally, the study has established that there is no significant difference between the perceptions of male and female students on the effect of sports and recreation on social and economic development. Consequently, the study recommends that the universities should encourage more students to engage in sports and recreation activities for them to benefit from the advantages of taking part in sports and recreation activities.