THE MUNICIPAL BOND AS A WAY OF IMPROVING FINANCING SYSTEM OF THE LOCAL GOVERNMENT, SHKODRA MUNICIPALITY CASE

Abstract

Municipal bonds issued by local governments to finance local infrastructure projects in emerging economies are becoming an important
way of helping local governments. This paper analyses the role and importance of municipal bonds as a less expensive way of financing
infrastructure by public-private cooperation and maintaining greater public control over projects and services taken by local government.
Next to the ordinary financial sources (local and national sources), Municipality of Shkodra needs to increase financial sources as an
alternative to accelerate the economic growth of the region. This study investigates how people living in Shkodra appreciate the issuing of municipality bonds by local government. The paper also examines the advantages of municipal bonds and the conditions that Shkodra Municipality must fulfil in order to begin issuing bonds.