Living Standards Measurements Study - Serbia 2002 - 2007

Local government spent 7.1 billion dinars for
primary education in 2006, which is 5.8 percent of
total expenditures at the level of local government 25 .
Secondary education was financed by local
government with 3.3 billion dinars, which is 2.8
percent of total expenditures at this level of
governance.
Preschool education is mostly financed from the
funds of local government, fees collected from users
and, to a lesser extent, from the state budget.
Compulsory education (preparatory preschool
program and primary education) and secondary
education are mostly financed from the budget
(payroll, development programs, competitions of
pupils, etc.). Expenses for equipment and supplies,
and investment financing are funded from local
budgets. Tertiary education at state schools is
financed from the budget, students’ contributions
(tuition and various fees) and school income. Payroll,
equipment and supplies are financed from the budget.
In EU countries 26 , primary education is mostly
financed at the local level (45.4 percent), regional
level 20.3 percent, and central level 34.1 percent. On
average, local government participates less in
financing of secondary education (34.8 percent),
while the regional level contributes more at (29.0
percent), and central level at (36.2 percent). EU
countries differ greatly in terms of participation in
costs of education at specific levels.
In LSMS 2007, 2.4 percent of pupils and 0.8
percent of students are from families which receive
social benefits. Within families receiving child
allowance, 19.2 percent are pupils and 4.6 percent are
students. 1.8 percent of pupils and 0.9 percent of
students receive alimony. Within families receiving
allowance for care and assistance, 1.6 percent are
pupils and 2.2 percent are students.
8.6.2. Participation of households in
financing of education
By comparing percentages of expenses for
education out of total household consumption in
LSMS 2002 and 2007, we can confirm certain
similarities as well as differences.
In comparison to the survey carried out in
2002, it can be concluded that there has been a
decrease in the participation of education costs from
5.5 percent (2002) to 4.2 percent (2007). The
greatest decrease is among households within the
second quintile. The richer and better educated
households spend the most at all levels of education.
This is understandable, considering that children
and young people from those households are the
most represented in educational programs. Even
though the wealthiest households spend most on
education, these costs are higher for the poorest
population, as they only spend 1 percent less than
the wealthiest ones, which is a great expense in
relation to their income.
Graph 8.14 The proportion of educational costs in relation to total household consumption (2007).
4.2%
3.5%
3.8%
4.3%
4.5%
2.9%
Total The poorest 2 3 4 The richest
Expenditure quintiles
110 Living Standards Measurements Study - Serbia 2002 - 2007