In the acticle the role of the municipal sector in national economic development is revealed. The international experience as for providing financial resources for the development of the municipal sector is considered. The research of functioning of the municipal sector in the provision of municipal made it possible to distinguish organizational forms of service provision and the methods of their provision at the municipal level. The problems of fiscal decentralization, delimitation of spending powers of the central and local levels are analyzed. It is proved that tools decentralization effective enforcement is possible only if consider the criteria of economic efficiency, macroeconomic stability and efficient redistribution, as well as political effectiveness. The system features of state and municipal sector relationships, algorithms of the division of powers and cooperation facilitating between them are distinguished. The functional load and the scale of EU municipal sector is not the constant one,as they are influenced by many factors – regional, national, global, but it always aims at the satisfaction of human needs.