System of financing local self-government in the Republic of Serbia

In the last period (1994-2006) there have been numerous and important changes in financing of local self-governing in Serbia. Current organization, as well as the territory, were maintained. Serbia has relatively small number of local self-governing units. General opinion is that separating in smaller units would reduce their economic independence, as well autonomy and ability to work effectively and rationally. Also, in the previous period their competence has not been changed. However, starting from 2007 range of their competence has been enlarged based on law and will be carried out in the field of health protection and preschool education.