The associations that the term 'NGO' has acquired in development discourse need to be critically analysed in relation to practice on the ground. Drawing on an analysis of the rise of NGOs in Palestine, the author suggests that the development of the NGO movement served to demobilise Palestinian civil society in a phase of national struggle. Through professionalisation and projectisation brought about by donor-funded attempts to promote 'civil society', a process of NGOisation has taken place.