The concept of knowledge sharing has now expanded because of sophisticated communication tools. A common consensus has been generated for spreading knowledge beyond boundaries and making collective efforts for the development of individuals as well as nations. E-learning has proven its authenticity in this regard. In developing countries, access to and quality of education are being addressed by e-learning strategies; being served as a tool of capacity building, this study is an attempt to explore the role of e-learning in capacity building of students in Pakistan. An on-line survey was conducted from alumni of Virtual University of Pakistan. Descriptive statistics and Pearson’s correlation were used for data analysis. Findings of the study show that e-learning plays a key role in capacity building of students in developing countries like Pakistan. It can further be used to enhance professional skills in specific disciplines.