The budget of the Municipality of Tetovo is the most important financial document adopted each year by the Municipal Council. It determines all revenues expected to be generated during the year, as well as the manner in which these funds will be spent to provide public services and implement projects of interest to citizens. In other words, the budget is the financial plan of the municipality, which shows how much funds it will have at its disposal and how they will be invested during the year.
For 2026, the Municipality of Tetovo adopted a budget in the amount of 2,734,977,606 denars, or about 44.5 million euros. These funds will finance the work of the municipal administration, education, road infrastructure, environmental protection, culture, sports, social protection and numerous other projects that directly affect the quality of life of citizens.
Although the budget is a public document, for many citizens it is still a complex document filled with tables, codes and financial terms that are not easy to understand. That is why it is important to know what the budget is, how it is prepared, and where the funds that the municipality uses to finance public services and investments come from.
How is the budget prepared?
Citizens often think that the budget is prepared only by the mayor, but in fact it is a process that lasts several months and involves almost all municipal institutions.
The preparation of the budget is coordinated by the Sector for Financial Affairs, which leads the entire financial planning process. Each sector in the municipal administration, schools, public institutions and public enterprises submit their requests for financial resources, with an explanation of the activities and projects they plan to implement during the coming year. These requests are analyzed, compared with the expected revenues and based on that, the Draft Budget is prepared.
The process begins in September, when the Ministry of Finance submits the budget guidelines and limits to the municipalities. During October and November, financial analyses are carried out, priorities are determined and the Draft Budget is prepared. The document is then reviewed by the mayor and submitted to the Municipal Council, which reviews and adopts it at a public session. After its adoption, the budget is published and enters into force on January 1 of the following year.
Where do the funds of the Municipality of Tetovo come from?
One of the most common questions asked by citizens is where the funds with which the municipality finances public services come from. Although many believe that the municipality is financed exclusively from local taxes, in practice the sources of financing are much more diverse.
For 2026, the Municipality of Tetovo plans to generate 2,734,977,606 denars in revenue, which are divided into six main categories.
Tax revenues
Tax revenues amount to 325,062,703 denars, or about 11.9% of the total budget. This category includes property tax, inheritance and gift tax, real estate turnover tax and other local taxes established by law. These revenues represent the most significant source of financing for the municipality.
Non-tax revenues
In addition to taxes, the municipality also generates 65,515,220 denars in non-tax revenues, which represents about 2.4% of the budget. This category includes administrative fees, fees for issuing documents and permits, rents for municipal property, fines, and other revenues generated through services provided by the municipality. Although their share is relatively small, they represent an important source of own revenues.
Capital income
Capital revenues for 2026 are planned to amount to 17,200,000 denars. They are most often realized through the sale of construction land, the sale of municipal property or other fees related to the management of municipal property.
Grants
The largest part of the budget of the Municipality of Tetovo is provided through grants, which amount to 1,621,137,290 denars, or about 59.3% of total revenues. Grants are funds transferred from the Budget of the Republic of North Macedonia to finance decentralized competencies, such as the functioning of primary and secondary schools, teachers’ salaries, kindergartens, and other public services. These funds are strictly earmarked and cannot be used for other purposes.
Transfers
Another significant source of funding is transfers, which are planned for 2026 in the amount of 669,662,272 denars, or 24.5% of the budget. These funds are transferred from state institutions to finance various programs and investments, such as infrastructure projects, local development, and other public initiatives.
Donations
The municipality also plans to receive 36,400,121 denars in donations, which represents about 1.3% of the budget. These funds are provided by the European Union, international organizations, embassies, and other development partners and are most often used for the implementation of specific projects in the areas of local development, digitalization, environmental protection, or social inclusion.
What do these numbers show us?
The analysis of the budget structure shows an interesting fact. Only 11.9% of the revenues of the Municipality of Tetovo come from local taxes, while 59.3% are provided through grants, and 24.5% through transfers. This means that about 84% of the budget is financed from funds transferred from the central government, while less than one-sixth of the revenues are generated directly from the municipality’s own sources. This structure shows the importance of the financing system between the central and local governments, especially for the implementation of competencies in education and other public services.
How are these funds spent?
After the budget is adopted, funds are distributed among various programs and sectors. They finance the construction and reconstruction of streets, the maintenance of communal infrastructure, the operation of schools and kindergartens, cultural and sports activities, social protection, municipal administration, public enterprises and many other services that citizens use every day. Therefore, the budget is not just a financial document, but a specific development plan that determines the priorities of the Municipality of Tetovo for the entire year. Every investment in streets, public lighting, schools, parks, sports facilities or communal services is financed through this document.
Where can citizens find this information?
All documents related to the Budget of the Municipality of Tetovo are public and available to every citizen. The annual budget, the Decision on budget execution, the annual programs of the sectors, the quarterly reports on budget implementation, the final account and other documents are published on the official website of the Municipality of Tetovo (www.tetovo.gov.mk), in the “Official Gazette” section, where all acts adopted by the Municipal Council are available.
In addition to the documents published on the Internet, citizens have the right to request additional information from the Municipality. If a certain document is not publicly available or more detailed data is needed, they can be requested through a request for free access to public information, in accordance with the Law on Free Access to Public Information. The request can be submitted to the municipal archive, by mail or electronically, and the institution is obliged to respond within the legally established deadline.
Knowing the way in which public funds are collected and spent is an important step towards greater transparency and accountability. The better citizens understand the municipal budget, the easier they can monitor the implementation of projects, hold institutions accountable, and actively participate in decision-making processes for the development of the Municipality of Tetovo.