VNG International

Institutional development

Fund management

Local economic development

Project management

Project formulation

GIZ Serbia (GTZ)

Project Management Ltd.

Halifax Consulting

The wider objective of the project is to contribute to improved governance and economic development in Serbia, through support to a broad range of aspects of the decentralisation of responsibilities and competences from central to local level.

The specific objectives:

- To improve the capacities for good governance and municipal management at the local level,

- To improve local services to citizens and enhance local economic development,

- To strengthen the Standing Conference of Towns and Municipalities, and

- To enhance central-local government cooperation.

The expected results of the project are:

1. Component 1 – Municipal planning

1.1 Methodological framework for developing local sustainable development strategies (LSDS), to achieve integrated economic, social and environmental development, including consultations, adopted and applied by at least 15 cities, towns or municipalities

1.2 Action plans for implementing the LSDS strategies developed and agreed by at least 12 cities, towns or municipalities

2. Component 2 – Municipal finance

2.1 Programme budgeting successfully introduced to LSG and applied by local authorities

2.2 Local tax policies consolidated and simplified, where appropriate

2.3 Pilot initiative on municipal bonds successfully launched, with up to five municipalities placing bonds issues

2.4 Review of lessons learned from municipal bonds pilot initiative and ways forward prepared and presented to SCTM, MoF, MPALSG and municipalities

2.5 Capacity to administer local revenues, plan for capital investment and manage municipal finances strengthened

Component 3 – Administrative efficiency

3.1 Functional analysis and organisational review of LSG completed

3.2 Best practice models of organisational structure and management prepared and disseminated to all local authorities, including guidance on applying the models

3.3 Plan prepared and initiated to implement the National Training Strategy for LSG in line with the functional analysis, organisational models and EU performance standards

3.4 Knowledge and skills levels raised among LSG officials from participating local authorities, to standards in the National Training Strategy

3.5 Knowledge of MPALSG's plans and activities for LSG policy-making increased among local authorities

Component 4 – Support to grant scheme implementation

4.1 Sufficient eligible projects of the highest technical quality selected to fully utilise the budget

4.2 Monitoring system provides reliable information concerning the performance and outcome of all projects

4.3 Grants scheme satisfactorily implemented by SCTM, including secondary procurement, with high absorption rate