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Task Forces

Latest Books

  • NEXPO 2011-Innovative Communities Open for All 01.02.2011

    NEXPO Declaration of Local Governments Facing the Future: Good Governance, Social Inclusion and European Integration

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  • Sofia Declaration on Enforcing the political neutrality and independence of Local Government Associations 11.01.2011

    In some coun­tries in South East Europe the unity of national associations was chal­lenged in the past few months: new associations were established, while the national associations, members of NALAS network, lost considerable part of their membership. Therefore, the Presidents at their meeting in Sofia expressed their concern about such tendencies of fragmentation of national associa­tions in the region. A political declaration was adopted by the Presidents who agreed that the message coming from NALAS should be widely disseminated in all SEE countries.

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  • About this project 27.12.2010

    This project intends to share best experiences available in the region of South East Europe in debt financing and managing complex capital investment projects, and thus support capacity development of both advanced and less advanced local governments. Improved information is intended also to lead to proposals for changes in laws and regulations that are restricting local borrowing in some countries.

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  • Summary 27.12.2010

    Implementation of local governments’ investment projects depends on their ability to raise the necessary funds from a combination of own resources and external financing.

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  • General financial framework of local governments 27.12.2010

    General financial framework of local governments

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  • Local borrowing case-studies 27.12.2010

    The nine local government units from the region around city of Uzice have agreed on the construction of an EU-standard sanitary landfill called “Duboko” for solid waste to serve their residents. The project further includes a waste separation line at the landfill site, the construction of waste transfer stations in each of the local government units, and closure of existing dumpsites in each of them.

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  • Acknowledgements 21.12.2010

    Implementation of local governments’ investment projects depends on their ability to raise necessary funds from a combination of own resources and external financing. Debt financing enables municipalities to carry out more infrastructure projects in a shorter time period as compared to the financing from own funds. However, the risks associated to borrowing have to be well understood and documented in terms of their potential impact on local budget in the future.

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  • 1. Basic Principles of Local Government Borrowing 21.12.2010

    Implementation of local governments’ investment projects depends on their ability to raise the necessary funds from a combination of own resources and external financing. Debt financing enables municipalities to carry out more infrastructure projects in a shorter time period as compared to the financing from own funds. However, the risks associated to borrowing have to be well understood and documented in terms of their potential impact on local budget in the future. Thus, before borrowing is undertaken, it is recommended that each local government has in place a debt management strategy and a written debt policy. The debt management strategy should ensure that the local government maintains at all times an adequate level of indebtedness which (i) would not impair its financial stability and (ii) would enable it to implement the investment objectives.

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  • 2. What to consider in the national legislation? 21.12.2010

    The financial framework of local governments plays a key role in the sustainable development of local credit markets. The design of intergovernmental fiscal structure together with the accounting system and reporting procedures are important factors that are taken into consideration by financial institutions when assessing the opportunity to finance local governments

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  • 3. Which debt instrument is suitable? 21.12.2010

    here are two major types of debt instruments available to finance municipal capital expenditures: (i) loans and (ii) bonds. Loans are granted by a financial institution (e.g. commercial bank) directly to the local government. Applying for a loan is less complex than the procedures required for bond issuance. From this point of view, loans are more advantageous to small and medium size municipalities seeking external financing. Many international financial institutions have dedicated programs aimed at supporting and financing local governments' infrastructure projects, especially in the emerging markets.

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