The ethnic Kokang armed group, the Myanmar National Democratic Alliance Army (MNDAA), has officially begun establishing “civilian-led administrations” across four newly designated districts within its controlled territory in northern Shan State.
The MNDAA clarified that the move is not an attempt to secede from Myanmar. Instead, the group asserts it is “reforming” its governance structure under a newly created Special Region 1.
Established in January, the region operates with Laukkai as its capital and encompasses the four districts of Laukkai, Kutkai, Hsenwi, and Monekoe—spanning a massive area 31 to 124 miles (49-200 km) north of the regional capital, Lashio.
Transitioning to civilian governance
To facilitate this transition, the MNDAA claims it has actively directed local populations to take charge of civil matters.
Following a July 10 town hall meeting in Hsenwi, a resident told DVB, “We have been told during the meeting with the MNDAA last week that we must take the lead with administration. They said they don’t want to be involved [in governance].”
According to an anonymous MNDAA source, the new administrative framework is designed to allow ethnic Shan and Kachin populations residing in MNDAA-controlled territories to be governed by civilians from their own respective communities.
Territorial shifts and Operation 1027
It added that these civilian-led administrative bodies were successfully established in Kutkai and Hsenwi earlier this month, as well as in Monekoe following the launch of Operation 1027, a sweeping offensive started on October 27, 2023.
Operating alongside its Brotherhood Alliance allies—the Ta’ang National Liberation Army (TNLA) and the Arakan Army (AA)—the MNDAA successfully ousted the military-aligned Kokang Border Guard Force (BGF) from the Kokang Self-Administered Zone of Laukkai and Konkyan townships.
During the offensive, the MNDAA captured several highly strategic Myanmar-China border towns, including:
- Hsenwi
- Kutkai
- Monekoe
- Chinshwehaw
- Hpawnghseng
- Kunlong
Recent internal realignment
The consolidation of Special Region 1 has not been without internal friction among the resistance factions. On March 15, the MNDAA seized absolute control of Kutkai—a town it had initially captured jointly with the TNLA in 2024—from its Brotherhood Alliance allies.
This localized consolidation follows a broader strategic withdrawal orchestrated by Beijing. Under a China-brokered ceasefire agreement enacted on January 11, 2025, the MNDAA formally handed Lashio back to the military regime on April 22, 2025.
The handover came after the ethnic army had previously captured the township, which housed the regime’s Northeastern Regional Military Command (RMC) headquarters, on August 3, 2024.
