The purpose of this research was to assess the roles played by CBOs and FBOs in prevention and controlling HIV/AIDS epidemic in Dilla town. In this research CBOs & FBOs are considered as the major community & faith based organizations that can ensure the mobilization of every section of the community in anti HIV/AIDS activities. In order to assess the roles played by the different CBOs & FBOs, interview & focus group discussion were made with the leaders of the organizations. The study set out objectives and used qualitative methods and selected 15 samples using random sampling technique. The data sources are interview of NGOs leadres, key informants of church leaders, Iddir leaders. The activities of governmental and non-governmental organizations were assessed with regard to their activities in involving in HIV/AIDS intervention activities. It was found that increased mortality rate among majority of target group resulting in increased expenditure on burial and related activities progressively depleted the financial resources of the organizations. Community based HIV/AIDS intervention that is undertaken in involving CBOs & FBOs in anti HIV/AIDS activities is in its infancy. Few efforts are being made to involve in anti HIV/AIDS activities by certain NGOs and GOs. Very few NGOs are currently working in the areas of HIV/AIDS interventions. The existing attempts are recently adopted in which very few took part. The existing activities of involved CBOs & FBOs are mainly reliant on the technical and financial assistance obtained from NGOs and GOs. The activities of NGO range from capacity building for local community based organizations like Iddirs, to provision of care and support for AIDS patients and AIDS orphans. The role of partner NGOs are considerable in taking part in HIV/AIDS interventions, as well as enhancing their role in these activities. Partner NGOs implement projects, which obviously are limited in resources, time and area. The sustainability of many of these activities is limited. The activities of GOs include formation of Iddirs council and facilitate capacity building activities for the community in anti HIV/AIDS activities. There is large amount of financial resources availed at the national level, which is meant to enhance the financial capacity of CBOs in their anti HIV/AIDS activities. However, COBOs & FBOs rarely prepared project proposals to use the funds. Limited technical capacity is the major factor that hinders the success of such attempts.