Abstract: Currently, the participatory watershed approach has now become necessary in any developmental activity especially with regards to natural resource management. However, in spite of the numerous advantages of this management approach, there are still major challenges that militate against its successful implementation in most developing countries. This paper explored the need, challenges, and the extent to which the participatory approach has been incorporated into the management of the Inchaban Watershed found in the Western Region of Ghana. Using two non-probability sampling methods: purposive and convenience, a total number of 41 key respondents were selected. With in-depth interviews and focus group discussions guides, information relating to the importance, challenges and the extent of community involvement was solicited from local chiefs, management and user institutions, and individual users in the Inchaban Watershed. The study revealed that the watershed management institutions could not attract the valuable initiatives of the local users in monitoring and evaluation stages because these users were coerced. It is therefore recommended that local communities should be induced to support the conservation of the watershed using public education and workshops organised by the district regulatory institution such as the Forestry Commission, the Environmental Protection Agency and the Mining Commission.