Around 300 people joined the colourful International Day of Peace rally through the city -- the majority wearing blue t-shirts printed with anti-war slogans -- with just a handful of police watching the event.
"The government needs to listen the voice of the people. I think they are beginning to acknowledge that responsibility," organiser Moe Thway, of Generation Wave, said referring to the granting of permission for the march.
Activists say 11 people were charged in connection with the rally.
This time activists from some 60 civil society groups marched through the city calling for peace and reconciliation between authorities and numerous armed ethnic groups including in northern Kachin State.
The country's government has agreed ceasefires with several ethnic rebel groups as part of reforms since coming to power in 2011.
A preliminary truce was also reached with Kachin rebels in May, although both sides have reported clashes over recent weeks.
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