ABSTRACT: "This article examines social and political transition in Myanmar (Burma). Strategies for transition in Myanmar have tended to focus on elite-level politics, rather than grass-roots democratisation and social mobilisation. However, both approaches are necessary - although neither is sufficient in itself. While change at the national/elite level is urgently required, sustained democratic transition can only be achieved if accompanied by local participation. The tentative re-emergence of civil society networks within and between ethnic nationality/ minority communities over the past decade is one of the most significant - but under-examined - aspects of the social and political situation in Myanmar. ‘Development from below?, and efforts to build local democracy from the ‘bottom-up?, using local capacities and social capital, are underway in government-controlled areas, and in some ethnic nationality-populated ceasefire and war zones (including insurgent-controlled areas), as well as in neighbouring countries. However, the sector is still under-developed, and changes coming from civil society will be gradual, and need to be supported. This article examines the strategic challenges facing ethnic nationalist leaders and communities at this key period in Myanmar?s history. It also addresses the roles that foreign aid can play in supporting the re-emergence of civil society in Myanmar, and advocates a policy of selective (or targeted) engagement?..."