Belgrade's media reported the removal passed without incidents.
Serbian Prime Minister Ivica Dacic told Tanjug news agency that Serbia had shown enough patience but also sent a clear message about the need to respect the law, while local Albanian officials said this was a historic day because Serbia had given Albanians a motive to declare territorial autonomy in south Serbia.
Dacic, who is also the interior minister, said the monument was removed at the order of the Justice Ministry after the expiry of all deadlines Belgrade had given the local government to remove it.
Removing a monument to extremists in Presevo is an extorted decision by the state of Serbia, said Deputy PM Rasim Ljajic, adding that no instability in that part of Serbia was expected because of the decision.
Former OVPBM commander Orhan Rexhepi, who was in Presevo this morning, said Presevo and Bujanovac would become part of Kosovo and thanked Serbia for giving a motive to Albanian deputies from three municipalities in south Serbia to take a position on territorial autonomy.
The monument was erected last November and Belgrade said it must be removed by January 17.
The monument crisis prompted local Albanian leaders to meet with Kosovo PM Hashim Thaci. OVPBM veterans suggested the monument be placed in the yard of a local mosque or the Presevo Cultural Centre. Kosovo media reported this proposal came from Pristina and Tirana.
The Serbian government said in a press release "the removal of the monument to extremists contributes to coexistence and in future the state will resolutely enforce law and order to ensure stability throughout its territory."
The leaders of all six Albanian political parties in south Serbia are expected to meet in Presevo today.