Credibility and authenticity in leadership are two crucial values that determine both the leader's and follower’s effectiveness. With the current global changes and emerging trends in the business environment, credible and authentic leadership is indeed the next organization's unique competitive advantage. As most leadership authors have noted, the influence a leader has on his/her followers is dependent on their personal credibility. In an era characterized by leaders giving empty promises, exuding greed and other practices of moral decadency, emphasis on credible and authentic leadership come in handy to restore hope, confidence and optimism in leadership. It’s very clear from the available literature that credible and authentic leadership has a significant effect on a leader’s effectiveness as well as that of his/her followers. This paper seeks to explicate various principles that enable leaders to develop credibility and authenticity. The paper has also analyzed various discussions on leadership credibility & authenticity and concluded that developing and strengthening leadership credibility and authenticity is an ongoing process.