the former Yugoslav Republic of MACEDONIA

‘Now that’s a proper market!’

With decentralization increasing the number of services performed by local government, smaller rural municipalities soon discover the necessity of boosting their fiscal capacity and developing their human resources. By committing them­selves to inter-municipal co-operation, Krivogastani and Dolneni have been able to develop far more efficient methods of collecting local taxes.

Through the training for this project and the support of UNDP we have increased the collection of local taxes and duties from 40 to 70 per cent,’ reports Zaklina Zitosanska, a civil servant from the Krivo­gastani – Dolneni municipal administra­tion. ‘This is mainly because our techni­cal capacity has improved and so the database of taxpayers in both municipali­ties has expanded. Our media campaign to raise people’s awareness of tax rights and obligations has also proved very effective.’

Increased revenues gave the two mu­nicipalities the opportunity to show local people the direct results of paying their taxes. A good example can be seen in the village of Krivogastani where work is underway for the construction of a refur­bished and much bigger market-place.

‘Now this looks like a proper market!’ says Cvetan Kushkovski, 55, as he looks at the very concrete results of inter-mu­nicipal cooperation.