Against the backdrop of changes in the practice of local and regional governance, the role of citizen initiatives in development quickly gained attention in academia and policy making. Hailed as the ultimate form of citizen participation by some, citizen initiatives maintain and create public services and goods as they fill in the gaps left by government. Yet, government institutions remain present actors in these contexts, posing important questions of roles and responsibilities in the governance of rural development. By gathering empirical data in Germany and Uganda, this thesis examines the relations between citizen initiatives and government institutions, their effect on outcomes of citizen initiatives as well as factors influencing these relations. In doing so, the thesis aims to deepen the understanding of the role of citizen initiatives in local and regional development. In addition to the obtained empirical data the thesis relies on a thorough literature review, this thesis identifies different modes of relations between state and non-state actors, that entail different possible effects on outcomes. The thesis concludes that relations between citizen initiatives and government institutions critically influence outcomes of rural development citizen initiatives, especially over the long-term. It finds that relations are complex and dynamic in the sense that different relations can be present at the same time, depending on the specific issue or the individuals involved. Relations between different state and non-state actors are critically shaped by the context-specific degree of democratization and the institutional context that comes with it, either providing supportive measures and avenues for successful collaboration or not. Yet, another finding is that personal relationships between individuals of the different actors may present bottlenecks of the general relation