May 4th marked the end of a deadlock between Kosovo’s four Serb-majority northern municipalities and the central government on the status of the municipal budgets in Zveçan/Zvečan, Zubin Potok, Leposaviq/Leposavić and Mitrovicë/Mitrovica North. The stalemate began on February 28th, after the municipalities failed to reach an agreement regarding the exact amount to be allocated to each municipality by the central government as part of the 2015 Kosovo budget. After prolonged discussions and following another round of meetings within the Brussels dialogue, the municipal budgets were modified to be in line with the legal framework and in accordance with the budgets designed by the central government. This political update presents an overview of the causes of the stalemate, incorporating arguments from both sides of the debate, and provides several recommendations on how to avoid similar political deadlocks in the future.

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