Drawing on recent literature, this paper discusses developments in the concept of the 'learning region and looks at ways in which education and training agencies can more effectively intervene in promoting mutual learning by the actors in a learning region context.In addressing the question 'why is it that some regions or localities are able to develop and change in an innovative way'- the phenomenon of the 'learning region' (and also 'learning city' and 'knowledge region') has been put forward (OECD, 1997, 1999, 2001; Nyhan et al, 2000; Cedefop, 2003). (It should be noted that the word 'region' in the 'learning region' sense is interpreted in a very broad way to refer to a geographical area or locality whose inhabitants share common objectives or problems. This does not have to be a statutory regional entity, nor does it necessarily have to have regulated or defined 'political' boundaries.) A 'learning region' is characterised by the cooperation between all of the different actors - educational bodies, research and development agencies, statutory bodies, enterprises and non-governmental organisations ('civil society') - in 'learning together' about how to produce new knowledge/ 'know-how' to address local needs. The 'know- how' generated in this context can be referred to as 'social capital' (Román, 2001). A learning region harnesses knowledge and expertise from disparate sources for the achievement of a common goal. It promotes researchers and practitioners to work together in an action-research manner in development coalitions (Nyhan, 2002). Learning regions tend to be self-regulating, self-learning, 'network- oriented' and 'horizontal'The learning region concept implies that certain geographical areas are able to innovate precisely because they have developed the capacity for collective learning. This enables them to develop new knowledge but in particular a practical 'know-how' type of knowledge. The learning which characterises a learning region is task-based social learning focusing on the resolution of a local problem. The learning methodology used is interactive and mutual in the sense that institutions 'teach' and 'learn' from each other. Much of this learning can be described as 'informal social institutional learning'. It is 'collective learning by doing'. This entails the use of, what is termed, 'activity- learning theory' approaches (Engeström, 1987) which promote learning through a cycle of collective action and reflection. This can also be referred to as 'action- learning'.The concept of the learning region presents a challenge for education and training agencies in facilitating the above kind of learning. Education and training strategies which promote regional innovation and development in a learning region context need to be very different from traditional education strategies. This means taking a lead in promoting partnerships and networks in which educational, social and economic agencies pool their resources to address a common action-strategy. This entails that educational and training agencies adopt an approach of 'going-out' to enterprises, (particularly small and medium sized one) and community groups and working with them in their own environment on targeted learning approaches which integrate organisational, business and individual development. The educational agency in the learning region must pay attention to the interdependent relationship between the different branches of knowledge - business, technological, social and human - and attempt to bridge research based, theoretical and practical knowledge. Universities (and third level education institutes) have a special role in promoting local innovation. In Sweden, the involvement in local or community affairs has been referred to as the third role of universities complementing their other two roles of teaching and carrying out research. Of course, this new role raises many challenges that can only be addressed in a long term planning and change perspective. Cedefop. The learning region - AGORA XI. Luxembourg: EUR OP, 2003. Engeström, Y. Learning by expanding: an activity-theoretical approach to developmental research. Helsinki: Orienta-Konsultit, 1987. Nyhan, B.; Attwell, G.; Deitmer, L. Towards the learning region: education and regional innovation in the European Union and the United States. Luxembourg: EUR OP, 2000 (Cedefop reference document, 3006). Nyhan, B. (ed.). Taking steps towards the knowledge society: reflections on the process of knowledge development. Luxembourg: EUR OP, 2002. (Cedefop reference series, 35). OECD. Cities and regions in the new learning economy. Paris: OECD, 2001. OECD. Economic and cultural transitions towards the learning city - the case of Jena. Paris: OECD, 1999. OECD. Learning how to innovate - knowledge regions. Paris: OECD, 2001. OECD. Learning how to innovate - the role of social capital. Paris: OECD, 2001. OECD. Regional competitiveness and skills. Paris: OECD, 1997. Román, C. Learning to innovate - the role of social capital. Seville: Institute for Regional Development, University Foundation, University of Seville, 2001.