The municipality of Krupanj is pleased to present investors and the donor community this summary of our economic development strategy. The document provides a brief background of Krupanj’s geography and history, identifies our economic competitive advantages, and the strategic objectives and programs that will be implemented during the period 2006 –2016.

The Krupanj LED strategy was prepared using the World Bank’s “Cities of Change” methodology, which is tailored to the needs of transitional economies. The basis of the strategy is an inclusive, participatory approach to economic development involving municipal officials, the business sector and representatives of civil society. Our major goals are new economic opportunities and a better quality of life for our citizens. Our vision is encapsulated in our motto, founded in local cooperation and initiative:

“We all participate--we all win!”

Geography and History

Krupanj is located in Western Serbia and covers a territory of 342 km2 with 23 settlements. It borders six neighboring municipalities: Loznica, Mali Zvornik, Ljubovija, Ose čina, Koceljeva and Šabac. The population of the municipality is 20,632 (2002 census), of which 5,072 live in the town of Krupanj. Krupanj is surrounded by four mountains and rests in a valley traversed by four rivers. The result is a beautiful natural landscape swept by fresh mountain breezes and a climate perfect for diverse agriculture.

Krupanj is first mentioned in the DubrovnikActs of 1417. The town rapidly earned a reputation as a silver mining center and a transit hub for traders of these commodities and other goods in their way to Dubrovnik and other ports in the Adriatic Sea. By the end of the 19 th century local mining expanded to lead and antimony, and the economy grew significantly. Mining came to an abrupt halt with the onset of the Second World War, during which the town and adjacent villages suffered devastating destruction.

After the war the economy expanded to light industry and tourism. During the 1960s, Krupanj had small factories engaged in textiles, cardboard packaging, and the manufacture of contact lenses. Tourism developed during that period and is today a sector that can spur local economic development. Krupanj combines ecologically clean and attractive natural landscapes with rich cultural and historical sites, beautiful parks, traditional architecture, sports facilities, picturesque villages, and other features with excellent potential for recreation and sport tourism.