Participatory democracy is significant in policy-making as it encourages citizen engagement and inclusivity. By involving the public in decision processes, governments can better understand community needs and improve the legitimacy of their policies. This approach enhances accountability and transparency, as it creates a platform for diverse voices to influence outcomes. Moreover, participatory methods can stimulate civic education and strengthen democratic principles, ensuring that policies are reflective of the population's will. Ultimately, inclusive policy-making processes lead to more sustainable and effective governance.