Research to support the conscious development of local competitiveness

2025. 06. 20.

What tools can help municipalities improve the quality of public services? The aim of the Ministry of Interior’s (BM) project was to assess the functioning of individual municipalities and provide researchers with sufficient insight to guide local governments on how to enhance their competitiveness.

Through the implementation of targeted analytical research within the EU-funded Local Competitiveness Development Research Program (HVK), a system of tools was developed to support the work of municipal leaders, along with policy recommendations to aid the decision-making of sectoral professionals. Special attention was given to national characteristics throughout the process. The research covered five key areas: municipal budget management, methods for improving the quality of public services, the organization of task performance, and opportunities for local economic development. The primary objective of the study was to use the findings to support more efficient municipal operations.

As part of the program, a representative public survey involving 4,000 individuals was conducted, focusing on 25 public services, alongside a questionnaire-based survey of 2,500 businesses. The goal was to assess the experiences of residents and companies regarding public services. Importantly, not only service users were involved in the research—more than 1,000 municipalities were also analyzed using questionnaires. In these cases, the focus was on what solutions different municipalities apply in the given areas and what they consider to be best practices. Additionally, fifty municipal leaders were interviewed in person.

Following this, the findings were analyzed and compared with international practices. Based on these insights, a set of recommendations was developed, including an assessment of their financial feasibility. The government’s proposed actions, derived from the research results, were compiled into a formal government report.

Within the framework of the HVK, policy recommendations, practical guides, and concrete proposals were created—tailored to specific user groups—to support the reorganization and management of local public services. More than 50 experts developed these materials in collaboration with staff from the BM’s State Secretariat for Municipal Affairs. The project’s research results are being utilized both for the preparation of sectoral interventions and policy decisions affecting the entire municipal sector and in the practical guides and recommendations developed for municipal leaders to assist with tasks related to local governance. Moreover, the findings from the national public survey are also being made available for other significant nationwide projects, thus enhancing synergies across development initiatives.

The development was implemented from EU funding in the project KÖFOP-2.3.3-VEKOP-16-2016-00001 under the Public Administration and Public Service Development Operational Programme.

Find out more about the project in the Project Finder:Details

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