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Montenegrin municipalities to receive additional income

Thanks to an analysis of the existing problems in local government financing undertaken by the Union of Municipalities of Montenegro (UOM), amendments have been made to the Montenegrin law on the financing of local self-government..
Local authorities will thus receive additional income, the value of which has been estimated at €15 million by the Ministry of Finance of Montenegro. This sum represents more than 5% of each municipality's annual budget.
'The local level deserves a better funding system, as stable and secure local finances are at the foundation of a state," underlines Veselin Bakic, president of UOM and mayor of Andrijevica. 'Our work on the reform of local government financing thus aims at creating a stable system of financing for local governments. This reform will notably provide municipalities with secure and predictable financial resources, expenditure guidelines and an effective system of fiscal equalisation."
Montenegrin local authorities and CEMR
The Council of European Municipalities and Regions (CEMR) has one member association in Montenegro: the Union of Municipalities of Montenegro (UOM).
Presided over by Veselin Bakic, mayor of Andrijevica, the UOM was established in 1972 and currently represents all 21 Montenegrin municipalities. The Union notably promotes the principle of decentralisation and aims at ensuring a sustainable and balanced regional development. It also represents the interests of its members and works at strengthening their capacities and joint actions with the aim of integrating the European Union.
Since the entry into force of a decentralisation policy in Montenegro, the UOM has led a number of activities in the promotion of good governance and of local self-governance, and works towards the effective and accountable delivery of services.
Local government in Montenegro
Montenegro is a unitary state composed of 21 municipalities (opstina).