Donje Naselje (The Lower Town) of Mali Zvonrik is created during the construction of hydroelectric power station "Mali Zvornik" after World War II. Since most of the old village submerged by building hydroelectric power station the local population was moved downstream along the river Drina forming "Donje Naselje". As a new bridge over the Drina River was Built and further development and industrialization of Mali Zvornik ware occurred, Donje Naselje becomes more important and there was opened a number of mainly industrial companies.