KLGI Institute supports the process of structured and ongoing discussions about local finances

At the local authorities' forum on the development of the municipal budget process for the period 2018-2020, held with regions of Gjilan and Ferizaj, the KLGI Institute re-emphasized the need for these discussions to be ongoing and thematic as a prerequisite for avoiding problems in municipal financing.

Representative of the KLGI Institute, Mr. Besnik Muçaj, presented on the challenges that KLGI has identified in the field of inter-institutional communication as the only way to find options that provide efficiency with regard to financial management problems, the procedural aspect of budget spending and the challenges which are connected to funding through government grants.

Mr. Muçaj emphasized that eight years after decentralization there is a need for review of legislation in the field of local governance, with emphasis on improving financial planning as well as control and strengthening of financial autonomy.

In this line, it was confirmed that the Ministry of Finance is playing a key role either through financial regulation or through finding common solutions with municipalities such as the correctional contingency for municipalities with no financial sustainability.

As a common conclusion came that sustainable planning should be improved in the process and in line with the municipal strategic orientations and the macro-fiscal framework. In this flow, the auditor's recommendations would be addressed.

The forum is about the budgeting process and the improvement of communication between central and local institutions. Discussions were also held during the forum where the problems faced by the municipalities and their demands were highlighted.

These meetings bring together senior representatives from the central and local level as well as local and international organizations that extend to the field of local government.

The forums are organized by the Ministry of Finance, supported by the OSCE Mission in Kosovo.