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This paper introduces the concept of social capital as a valuable social resourcewhich is accumulated and developed via activities of civil society organizations: through reciprocal relationships as well as through relations with the domain of political power. Civil society, as the institutional actor of political participation, is in a relationship with social capital, which, to a great extent, improves the political, economic and cultural aspects of societies – those with consolidated democracy and institutions, as well as post communist societies with nonconsolidated democracy. Strengthening and development of civil society has a positive impact on the strengthening and development of social capital and vice versa. On the other hand, social capital lays a solid foundation and a base for the growth and strengthening of civil society, thus raising citizens' awareness about political participation which is an indispensable ingredient of the development of democracy. By depicting norms, networking and trust, as well as by distinguishing bonding from bridging social capital, this paper is going to portray the subject matter of social capital which is "utilized" by the citizens' and stakeholders' effi cient collaboration, thus contributing to democratic development. The stability of developed social capital facilitates the development of political participation and enhances democratic development.