The activities of the Local Government Financing Directorate of the Ministry of Finance are related to the activities related to the preparation, implementation and completion of the consolidated fiscal programme in the part of the municipalities. The Directorate participates in the allocation of financial resources between the central and municipal levels of government aimed at more efficient and quality provision of services to citizens. It improves the standards for financing state mandated activities, the mechanisms for allocating subsidies and transfers from the central budget. It maintains, improves, monitors and analyses the information from the Central Municipal Debt Register. It participates in the maintenance, processing and analysis of information on the capital expenditures of municipalities. It monitors and analyses the information provided by municipalities in implementation of Article 5a of the Local Taxes and Fees Act. It fulfils the commitments of the Ministry of Finance arising from Chapter Eight “a” “Municipalities with Financial Difficulties” of the Public Finance Act. It monitors and analyses the current implementation of municipal budgets and the financial situation of municipalities. It supports the implementation of the activities for the provision of funds to compensate for the reduced revenues from the application of travel prices provided for in the regulations for certain categories of passengers and subsidies for the transport of passengers on unprofitable bus routes in intra-urban transport and transport in mountain and other areas. It maintains and improves the information system of municipalities for processing information on medium-term budget forecasts, municipalities’ budgets, cash implementation reports, capital expenditure estimates and municipal accounts. It participates in the elaboration of bills and drafts of other pieces of legislation in the field of local government financing. It participates in the preparation of materials and opinions related to the work of the Government Decentralisation Council.

On this webpage you will find information that would be useful for all budget spending units, independent institutions, NGOs, citizens, students, etc., which are interested in the field of public finances related to local government financing.

All up-to-date explanations, instructions and guidelines in the field of local government financing, information on subsidies, transfers, etc., can be found here.