A multi-ethnic environment where Bosniaks, Serbs, Albanians, Montenegrins, Turks, Romani and others live in it.

According to the level of development of local self-government units for the year 2014, the municipality of Sjenica belongs to the fourth group consisting of 44 extremely underdeveloped local self-government units whose level of development is below 60% of the national average.

In the first decades under the Ottomans (15th century), Sjenica was a vilayet and nahija of the same name as part of the Sandžak Bosna, that is, one of the hass of the Skopje-Bosnian sandžak-bey and Krajišnik Isa-bey Ishaković, son of Ishak Bey.

[7] In May 1901, Albanians pillaged and partially burned the cities of Novi Pazar, Sjenica and Pristina, and massacred Serbs in the area of Ibar Kolašin.

During World War II the SS Polizei-Selbstschutz-Regiment Sandschak under Karl von Krempler was stationed here consisted of local Muslim population, during a period when many Serbs lost their lives.

Sjenica is located at an altitude of 1,026 meters above sea level, making it one of the highest towns in Serbia and the Balkans.

The Sjenički region is located in the mountainous surroundings of Golija (1,833 m), Jadovnik (1,733 m), Ozren (1,693 m), Zlatar (1,625 m), Giljeva (1,617 m), Žilindar (1,616 m), Javor (1,519 m), Ninaja (1,362 m), Jaruta (1,428 m) and other mountain ranges, on the one hand, and the spacious valleys of Sjenica, Pešter (Ugljan), Koštan and other fields.

It borders the municipalities of Bijelo Polje (Montenegro), Prijepolje, Tutin, Novi Pazar, Ivanjica and Nova Varoš.

Exceptional natural amenities and a developed tradition of winter sports make the area of the municipality of Sjenica one of the greatest potentials for the development of winter sports, as well as summer recreational and excursion tourism, in the territory of the Republic of Serbia and beyond.

In this sense, Sjenica has a large number of ski slopes, as well as the National Biathlon Center Žari.

Officially, the lowest measured temperature in Sjenica municipality, −39°C, was recorded on January 26, 2006, in Krajukića Bunari.

[14] Some of the main reasons for this was unstable political situation during the 1990s and 2000s, and underdeveloped infrastructure (with no international airports, motorways and railways nearby).

[14] The following table gives a preview of total number of registered people employed in legal entities per their core activity (as of 2022):[15] The Sjenica Municipal Assembly is the highest legislative body.