Belgrade, Dec 2, 2003 - The European Union has set aside €15 million in aid of the development of local governments in 15 eastern Serbian municipalities, while the municipalities will contribute to the project with an additional EUR 3.3, according to a statement.

The project encompasses the municipalities of Kladovo, Majdanpek, Negotin, Bor, Zajecar, Knjazevac, Sokobanja, Boljevac, Svrljig, Pirot, Babusnica, Bela Palanka, Dmitrovgrad, Vlasotince, and Crna Trava and will be managed by the European Agency for Reconstruction (EAR), the Serbian Ministry of Public Administration and Local Self-Government, and the Standing Conference of Towns and Municipalities, reads the statement.

EAR Director Richard Zinc said the funds will help the 15 municipalities to tackle unemployment and economic problems. He added that part of the money will be spent on training courses, while EU experts will help local managers to develop management skills in order to improve understanding and project management, the statement added.

The EU expects Serbia to develop a more independent local government in order to improve public administration and revive the economy, which would strengthen democracy in Serbia and help the overall efforts to boost economic growth, reads the statement.