Mayor Anteo Milos was quoted as saying that this was a historic day for the city as it would get a new Italian school after 42 years.
The school will cater for some 80 students of the ethnic Italian background.
The leader of the Italian Union, Maurizio Tremul. highlighted the importance of the education in the mother tongue.
The project is worth 20 million kuna, and the Croatian government will allocate HRK 7.5 million while the Italian Union will give ten million kuna, the City of Novigrad a million kuna, and the remaining part will be covered by the budget of Istria County.
The plot where the school building will be constructed is donated by the town authorities.
(€1 = HRK 7.5)