There has been a great deal of interest recently in the concept of social capital. Academics have been writing about its significance, governments have been concerned about its erosion, and voluntary organisations claim to have been contributing to its strength. The topics of social capital and social policy were addressed in a one day conference hosted by the Australian Institute of Family Studies in February 1999. The conference questioned what exactly is social capital, how can it be measured, and why is it so important. In this report of the conference, the authors reflect on some of the key aspects of the day's discussions.