Council of Ministers of the Republic of Bulgaria : PLAMEN ORESHARSKI: WE ARE INCREASING THE SUPPORT FOR SMALL AND MEDIUM ENTERPRISES AND ENCOURAGING START-UPS

January 17, 2014 at 07:50 am EST

MarketScreener.com By

bulgarian

17.01.2014

Information

SOLVIT is an on-line problem solving network in which EU Member States work together to solve without legal proceedings problems caused by the misapplication of Internal Market law by public authorities.

PLAMEN ORESHARSKI: WE ARE INCREASING THE SUPPORT FOR SMALL AND MEDIUM ENTERPRISES AND ENCOURAGING START-UP BUSINESS

16 January 2014

Our main objectives are to create conditions to stimulate economic development, encourage investment and mitigate social asymmetries, the Prime Minister said

"Today, our economy still bears the scars of the 5-year recession - the result of objective adverse external conditions and some inconsistency in the internal economic and financial policy. Therefore our efforts are directed towards overcoming the consequences. These efforts can be seen in our actions over the past seven months since the beginning of term", Prime Minister Oresharski said during a business luncheon, organized by the American Chamber of Commerce.

The Prime Minister addressed the continuity with regard to the monetary system and the stability of the banking system. "We will continue to realize appropriate infrastructure projects. We will ensure continuity in foreign policy and foreign economic relations", the Prime Minister said. He stressed that the government's program contained new policies and placed an emphasis on many areas of economic governance. As an example, Prime Minister Oresharski highlighted the more active role of the state as regulator and guarantor of effective competition; reducing administrative burdens on business and creating a more favorable business climate; strengthening Bulgaria's fiscal positions; enhancing regulations in the finance sector in line with efforts of the European Commission for more reliable regulation of the entire financial system .

"Our main goal is to create conditions for stimulating economic development. In this regard, we work to restore a higher level of macroeconomic and fiscal stability. We are planning serious measures to shut down smuggling routes and to prosecute the diversion of VAT - both on supplies within the Union and imports from third countries. Revenues for 2013 are satisfactory but there are still reservations in this regard", the Prime Minister said. He reminded that the issue of delays of VAT returns had fully been solved. "This year is the first since 2008 that we will practically start from scratch in terms of unreturned VAT. We are reducing outstanding obligations of ministries and institutions under contracts with businesses ", Prime Minister Oresharski said. He added that more than a 100 licensing regimes and difficult conditions for business development had been identified and procedures on their removal or simplification were underway. "We will continue this policy this year and take steps to mitigate at least as many administrative burdens", Prime Minister Oresharski said. According to him the dialogue with local authorities on improving the administrative environment for business and on municipal administrative burdens would continue.

"We introduced a mandatory analysis of the effect on investment and business climate for any new administrative or legislative act considered by the Council of Ministers. We enhance the support for small and medium enterprises and promote start-ups through improving access to financing", the Prime Minister said. He added that this would expand the possibilities for participation in public procurement. "We develop mechanisms and regulations for a more responsible management of state enterprises. We plan to develop the implementation of remedial measures for energy until a steady state in the sector is reached", the Prime Minister said.

Prime Minister stressed that encouraging the investment activity of both local and foreign investors was among the main goals of the Cabinet. "We are creating [favorable] conditions for the restoration of some old industries and businesses, as well as for the opening new ones. We pay particular attention to the innovative and export-oriented business", Mr. Oresharski said. He noted that work was being done on programs for absorption of EU funds for the new programming period. "We significantly accelerated absorption for the previous period. We also accelerated payments 4 times. From the 37% absorption rate (for the whole programing period) we found upon taking office the figure reached 54 percent at the end of last year ", Oresharski said. According to him large projects in the field of nuclear energy and gas were at the programming stage. "We strive for real diversification ", said the Prime Minister. He also noted that active sectoral policies were being developed. The government was preparing an update to the tourism strategy to encourage investors. "We are preparing a set of measures to ensure equal access to quality education and training. We are aiming to improve public services and make clear steps towards their electronization", the Prime Minister said.

Prime Minister Oresharski pointed out that many of the outlined directions and activities were at the heart of policies laid in this year's budget. As examples he gave the regular payments to businesses and VAT refunds, the active public investment program, financing of smaller investment projects, providing financial resources to local authorities. Priority was given to education and especially vocational training. Measures to improve financial management and control were also planned.

"Currently there is almost no healthcare subsector which is not in need of a serious reform. This year we have set a goal to improve emergency aid, modernize drug policy system and prepare hospital care for access of private funds. In terms of innovations, we rely on the private sector", the Prime Minister said. He stressed that one of the main tasks of the cabinet was to alleviate social asymmetries that had become especially visible in recent years.

According to the Prime Minister Bulgaria was facing serious challenges in the modern world of dynamic change and global transformations. "The Bulgarian economy managed to go through the [tough] stage of the crisis without serious damages. We disproved forecasts for the collapse of currency, finance and economics. We preserved competitiveness at levels from the pre-crisis period. We still have to do the more difficult part - create conditions for economic growth and mitigate the acute social asymmetries which became especially apparent in recent years. We will rely on all active businesses, both foreign and domestic [to support our efforts]. Joint efforts are needed to deal with current challenges and face the challenges of tomorrow with more confidence", the Prime Minister said. Mr. Oresharski noted that 5 years ago Bulgaria had entered the global economic crisis in good financial and fiscal condition. He emphasized the budget surplus during the 2004-2008 period and the record low level of public debt of 14% of GDP. "Accumulated fiscal reserves at that time used to exceed 10% of GDP. This is what protected public finances from a disaster. Even today they are among the most stable compared to other EU countries, even though fiscal reserves are already exhausted and the debt level is noticeably higher. The banking system withstood the challenge of the crisis due to significantly tighter regulations established at the end of the last century. Capital adequacy of the Bulgarian banking system exceeds 15% with an European average of 6%", the Prime Minister said.

Asked by U.S. Ambassador HE Marcie Ries about prospects for transatlantic agreements, Prime Minister Oresharski pointed out that Bulgaria was among EU members that fully supported the negotiations. "Our analysis shows that Bulgaria will benefit from the finalization of negotiations and the intensification of economic cooperation on both sides of the Atlantic. This will improve our ability to export to the States on one hand and will facilitate the import of technology from the U.S. on the other", the Prime Minister said.

In terms of renewable energy sources Mr. Oresharski reminded about 2012 when a the capacity of the electric grid was exceeded. "At present, Bulgaria is implementing its Europe 2020 commitments. There have been several meetings to discuss various options for rebalancing the conditions under which different energy sources are developing", said the Prime Minister. He pointed out the experience of other European countries which, similarly to Bulgaria, had allowed a certain disbalance in the development of the sector. "The fee does not represent in any case a bigger burden than similar charges, introduced in nearly half of European countries. Its purpose is to enable the National Electric Company (NEC) to continue paying. The survival of NEC is in the interest of all participants in the energy system, without exception. Continue to rely on good cooperation with all parties involved in the energy system", Mr. Oresharski said.

ÂÅÐÑÈß ÇÀ ÍÀÌÀËÅÍÎ ÇÐÅÍÈÅ

15 January 2014

GERB ought to apologize to people for lying about the debt. If the fee for Renewable Energy Sources (RES) is dropped, we will immediately think of an equivalent instrument to achieve the same end effect, the Prime Minister said.

We have moderately optimistic expectations for recovery in investments in 2014. Our preliminary estimates are for over EUR 2 billion, Prime Minister Oresharski said in the National Assembly. "I am not a supporter of targeted measures in terms of foreign direct investment, but of complex ones", said the Prime Minister. As an example he gave the amendment to the legal framework in the direction of more effective competition, antitrust law, acceleration of payments to business, timely return of VAT. "On foreign direct investment, I have stated a number of times that we are ready to support each larger investment project by mitigating administrative procedures", the Prime Minister pointed out. He talked about the negative trends in recent years - while in 2008 foreign direct investments had been around EUR 8 billion, last year they were less than EUR 2 billion. The Prime Minister predicted that the trend would retain its inertia for a certain period, which was usually between six months and one year. "After that we can expect that the change of the economic environment and business climate in Bulgaria will be reflected in the investment intentions of smaller or larger domestic or foreign companies", the Prime Minister said.

PETAR CHOBANOV: WE ADOPTED CLEAR CRITERIA AND TRANSPARENT MECHANISM FOR ADOPTION OF FUNDS UNDER THE INVESTMENT PROGRAM OF THE GOVERNMENT

15 January 2014

Approved projects will be with a regional focus and will contribute to economic growth, the Minister of Finance said

"Employment generation is the additional eleventh criterion for evaluation of regional projects for more precise differentiation of what proposals will receive funding under the Public Investment Program Growth and Sustainable development of Regions", said Minister of Finance Peter Chobanov at a press conference after the Council of Ministers approved the terms and criteria for selection of projects and programs, as well as the principles for transparent use of funds under the program with a decree. Thus, the government fulfilled the requirements set by the National Assembly to ensure transparent spending of funds under the program and for the selection of projects and programs . Their implementation seeks to achieve economic growth, sustainable development of regions, increase the competitiveness of the economy and allow the generation of employment and income. The decree outlines the sectors in which projects and programs are eligible to receive funding - water supply and sewage, environment, transport infrastructure, social and cultural infrastructure and other sectors, supporting socio-economic development.

ZINAIDA ZLATANOVA: THE PENAL CODE IS THE SECOND MOST IMPORTAND LAW AFTER THE CONSTITUTION

15 January 2014

"This is the second most important law after the Constitution and it applies to each and every citizen", said Deputy Prime Minister and Minister of Justice Zinaida Zlatanova, presenting the main points of the new draft Penal Code. Zlatanova emphasized that the texts adopted today were the professional opinion of lawyers and that the discussion was expected to continue. The Deputy Prime Minister pointed out that all concerns about the document being rushed or lacking sufficient discussion were groundless. She reminded that the current Penal Code had been in force since 1968 and amended nearly 100 times, and that the general part of the project for a new Code had been proposed for discussion two years ago.

PLAMEN ORESHARSKI: THE MEMORANDUM BETWEEN BULGARIA AND THE UNITED STATES IS INDICATIVE OF THE IMPORTANCE WE PLACE ON THE PROTECTION OF CULTURAL HERITAGE

14 January 2014

Our government has the will to stop the export of cultural items from Bulgaria, said Minister of Culture Petar Stoyanovich. We must continue to work creatively together to preserve what we all recognize to be an invaluable cultural heritage, said U.S. Ambassador to Bulgaria HE Marcie Ries

The signing of the memorandum is indicative of the importance we place on the protection of cultural heritage, said Prime Minister Oresharski ,who attended the signing of the Memorandum of Understanding of protecting Bulgarian cultural heritage. The document imposes import restrictions on categories of archaeological and ecclesiastical ethnological materials from Bulgaria. The Prime Minister expressed his gratitude to all who had contributed to making the signing of Memorandum possible, including U.S. authorities, who had shown a deep understanding of the importance of the matter.

Plamen oresharski: Export and investments will be driving factors of growth in 2014

12 January 2014

We must direct our efforts towards effective operation of systems in the interest of citizens, the Prime Minister said

If we remember how 2013 started and the way it ended - there is truly a ray of hope in terms of economic indicators and societal attitudes, said Prime Minister Plamen Oresharski on TV7. "I am well aware that the difference between this ray of hope and improving the [living] standard of people is still very big and […] a lot of work [is needed] on everyone's part and mainly on the part of the cabinet", the Prime Minister added.

Prime Minister Oresharski said he did not support prioritizing certain sectors because it meant abandoning others. According to him, it was important to create good conditions for economic activity in all sectors, and that the country's natural advantages would develop certain sectors such as agriculture, tourism, mechanical engineering, for example.

Aneliya Klisarova: We will achieve a quality and effective system for education for students and adults

08 January 2014

In 2012 only 1.5% of the population between 25 and 64 years of age took advantage of lifelong learning. We will reduce the negative results through the National Strategy for Lifelong Learning, the Minister of Education and Science said

Achieving smart, sustainable and inclusive growth is the main goal of the National Strategy for Lifelong Learning 2014-2020, adopted today by the Council of Ministers, Minister of Education and Science Aneliya Klisarova announced at a conference after government meeting. Prof. Klisarova said that strategy had been developed in response to two major challenges - the severe economic crisis and unemployment and the shortage of qualified people in companies. "It is necessary that education matches the needs of the business and the economy", the Minister pointed out. She also stressed that the rapid technological development was giving rise to new jobs, skills and opportunities.

Prime Minister Plamen Oresharski congratulated State Agency for National Security staff on their professional holiday

06 January 2014

There are preconditions for 2014 to be better than the past year, said the Prime Minister

Prime Minister Plamen Oresharski congratulated State Agency for National Security (SANS) staff personally on their professional day. He wished them less challenges in 2014. The Prime Minister emphasized the refugee wave and the structural reform in the Agency in 2013. "Hopefully, there will be less challenges in the new year and all of you can focus on your main job - protection of national security", the Prime Minister told SANS staff. He emphasized their big responsibility but also the satisfaction that accompanies a job well done. "I wish you personal success that allows you to achieve professional success. Hopefully we will all have a better year. The prerequisites are there", concluded the Prime Minister

Plamen Oresharski: Bulgarian volleyball players can achieve anything with their talent and determination

06 January 2014

The Prime Minister congratulates the athletes and coaching staffs for qualifying for the Volleyball World Championship finals in 2014

Prime Minister Oresharski congratulates Bulgaria women's and men's national volleyball teams, coaching staff and the Governing Board of the Bulgarian Volleyball Federation for yet another success, which he describes as a good start for Bulgarian sport in 2014

Plamen Oresharski: The next step is to improve the country's economy, restore growth and enhance social policies

22 December 2013

Less politicking and more work that benefits society is needed, the Prime Minister pointed out

May next year be significantly better and may we forget everything bad that happened this year, Prime Minister Plamen Oresharski wished on bTV's "Let them talk" program. The Prime Minister pointed out that all efforts to improve society's state were worth it. "Less politicking and more work is needed. We continue to fulfill the objectives set out in the program and I think that responsible behavior gives results", the Prime Minister said. Asked by the program's host how he would finish the sentence "Let them talk…", Mr. Oresharski responded: "We are working".

Plamen Oresharski: 2014 will be the first year of economic recovery

21 December 2013

Out of EUR 272 million at risk, to date we have saved EUR 237 million. Today the new Draft Penal Code will be up on the website of the Ministry of Justice, Deputy Prime Minister Zinaida Zlatanova said. We expect that the effect of measures to reduce administrative burdens will be felt next year, Deputy Prime Minister Daniela Bobeva pointed out. We reduced significantly the number of illegal immigrants in the country, Deputy Prime Minister Tsvetlin Yovchev noted

2014 will be the first year of economic recovery, said Prime Minister Oresharski during the annual press conference at Council of Ministers. "The ray of hope, as weak as it still is, is very important since the year began with despair. It seems that at the end of 2013 things are looking up. This is a good incentive and a challenge to work in this direction and expand this ray in 2014", the Prime Minister added. He pointed out that the government would continue to work to revive the economy and achieve growth. According to Mr. Oresharski, this was the key to solving all other problems, even those that seemingly had nothing to do with economic development.

Plamen Oresharski: We will continue to encourage economic growth in 2014

21 December 2013

It is important for the government to play well as a team. 26% of all Cohesion Policy Funds were absorbed in the middle of this year, and 42% - to date, said the Prime Minister

We will continue to encourage economic growth in 2014. This is key. Without restoring the economy, we cannot solve any more problems, said Prime Minister Plamen Oresharski in Darik Radio's Interview of the Year. The Prime Minister said that he was optimistic about the overall social and economic state of the country. "The results that next year will be more than positive", the Prime Minister said, adding that he expected people to appreciate the positive tendencies in the country. The Prime Minister emphasized the fact that the government had a specific program was focused was on its implementation. "So far, the implementation of the main tasks is going according to schedule", Mr. Oresharski said. According to him, the past six months were a good initial criterion to assess the work of to the entire cabinet as positive. "It is important that the team plays well", said Prime Minister Oresharski about ministers.

Plamen Oresharski: We will continue to strictly implement the measures that seek to establish full control over the immigration wave

20 December 2013

The Prime Minister and the President of the European Commission discussed the economic situation in Bulgaria and the first positive signs over the last two months

The economic situation in Bulgaria, the first positive signs over the last two months and expectations for next year were some of the topics that Bulgarian Prime Minister Oresharski and President of the European Commission Jose Manuel Barroso discussed at a meeting in Brussels. "I also briefed him on the monitoring progress," the Prime Minister said about the forthcoming report on Bulgaria after the meeting. The President of the European Commission had assured Mr. Oresharski that the report would be objective. "All criticism will be a good guide for drawing up further policies. Once we see the full report, we will be able to assess whether we have a lot or a little more work to do", the Prime Minister added. He said he had informed Mr. Barroso on the decision of the National Assembly on land located in the Constitutional Court.

Plamen Oresharski: We started by supporting small business and we are working to help a wider range of companies

20 December 2013

During the European Council, the Prime Minister addressed the modest funding for Bulgaria compared to the large migration flow in recent months

I do not think that joining the Banking Union at a later stage would lead to any potential losses or profits. It is rather quite risky if we join hastily, said Prime Minister Plamen Oresharski at a media briefing following the meeting of the European Council. The Prime Minister noted that being part of the Banking Union came with a lot of commitments. He pointed out that without being a member of the Eurozone, Bulgarian banks did not have access to refinancing from the European Central Bank.

Plamen Oresharski: Youth unemployment should fall by 6-7% in the medium term

19 December 2013

The Prime Minister and the President of the European Commission will discuss the Commission's view on the forthcoming report on Bulgaria

Youth unemployment should fall by 6-7% in the medium term, said Prime Minister Plamen Oresharski in Brussels. He pointed out that the Council of Ministers had adopted a National Plan for Implementation of the European Youth Guarantee. "I hope that it will be here before Christmas so that we can start adopting funds and begin implementing the program", the Prime Minister added. He expressed hope that the good investment climate would also have a positive impact.

Dimitar Grekov: Nearly BGN 350 million was paid in only 5 days

18 December 2013

Additional BGN 15 million would be given to Bulgarian livestock farmers, the Minister of Agriculture and Food announced

The government kept its promise and voted BGN 15 million in additional funding to be paid to Bulgarian livestock farmers, said Minister of Agriculture and Food Dimitar Grekov at a press conference after the meeting of the Council of Ministers. He explained that BGN 5 million was savings under State Fund Agriculture. The Minister pointed out that livestock farmers would receive 70% of national payments until the end of the year. "This decision is [an expression of] solidarity to the problems of Bulgarian livestock farmers", said the Minister of Agriculture and Food.

Bulgaria is among the first countries to already have a plan for the European Youth Guarantee

18 December 2013

The National Plan for Implementation of the European Youth Guarantee became a fact today, said Deputy Minister of Labor and Social Policy at a press conference after the meeting of the Council of Ministers. "Bulgaria is among the first countries to be ready with this plan and begin its implementation from 1 January", Ms. Yankova pointed out. She noted that unemployment among young people between the ages of 15 and 24 was currently 28.1%, according to Eurostat. "The goal which we hope to achieve with the Youth Guarantee Plan is to reduce the unemployment rate down to 7% of the total number of unemployed under 29", the Deputy Minister said.

Plamen Oresharski: WE made a real step towards diversification of gas supply to Bulgaria

17 December 2013

Prime Minister Oresharski and President Aliyev discussed the possibility to start direct flights between Bulgaria and Azerbaijan

Today we made a real step towards diversification of gas supply to Bulgaria, said Prime Minister Plamen Oresharski in Baku, Azerbaijan. He attended the ceremony on signing the final investment decision on the Shah Deniz 2 project and met with President of the Republic of Azerbaijan Ilham Aliyev. Prime Minister Oresharski thanked for the invitation and described the ceremony as "historic".

Plamen Oresharski: Our goal is responsible government in the interest of all Bulgarian citizens

13 December 2013

Signatures in support of the government reached 1 400 000, after new 660 000 were delivered today to the Council of Ministers

Signatures in support of the government reached 1 400 000, after new 660 000 were delivered today at the Council of Ministers. Prime Minister Plamen Oresharski expressed his gratitude and pointed out that the higher the support of society, the more confidence the government had to do its work. "We see this support as an opportunity to work towards reaching our goals - a responsible government in the interest of all Bulgarian citizens, including those who do not support us, of course", the Prime Minister said. He pointed out that Bulgarian society was facing many challenges. "Our key task isto work towards integrity and encourage economic development", the Prime Minister added. Mr. Oresharski briefed representatives of civil organizations that initiated the petition on the work of the government so far and plans for next year.

Prime Minister Plamen Oresharski met with the President of Westinghouse

12 December 2013

Westinghouse Electric Company, Toshiba Corporation and the Bulgarian Energy Holding signed an agreement to begin negotiations on building Unit 7 of Kozloduy Nuclear Power Plant

Prime Minister Plamen Oresharski met with Danny Roderick, Chief Executive Officer and President of Westinghouse Electric Company. The two discussed possibilities for future cooperation in the field of nuclear energy and the possibility to build a nuclear power unit using Westinghouse AP 1000 reactor.

After talks between Westinghouse Electric Company, Toshiba Corporation and the Bulgarian Energy Holding (BEH) an agreement was signed to begin negotiations for developing the possibility to build Unit 7 of Kozloduy NPP using AP1000 pressurized water reactor. In upcoming months Westinghouse and Toshiba Corporation will begin defining and specifying the parameters and details of the potential project.

Plamen Oresharski: Our response to events of recent months is responsible government that delivers good results

12 December 2013

The Prime Minister assessed the situation in Bulgaria and outlined government priorities for next year at a meeting with ambassadors of EU and NATO countries

"Bulgaria has been through difficult moments over the last 24 years - suspension of foreign debt payments, hyperinflation, and national efforts to stabilize the economic and social structure - but they have always been associated with objective preconditions. The political crisis over the past year is primarily subjective and is a result of the unwillingness of parties that did not enter the government to assume their role as opposition. History teaches that such resistance is typical of dictatorship-like regimes, which is yet another indirect evidence of the nature of governance over the previous four years.", Prime Minister Plamen Oresharski told ambassadors of EU and NATO Member States. The meeting was initiated by the Prime Minister to mark the first six months of the cabinet. Deputy Prime Ministers Zinaida Zlatanova, Daniela Bobeva and Tsvetlin Yovchev and Deputy Minister of Foreign Affairs Todor Churov also took part in the two hour meeting.

Prime Minister Plamen Oresharski signes the condolences book at the Embassy of South Africa

12 December 2013

Prime Minister Plamen Oresharski honored the memory of Nelson Mandela by signing a condolence book at the Embassy of South Africa in Bulgaria. "Condolences on the passing of a great politician and champion for civil rights and freedom of others. Honor to his memory", the Prime Minister wrote.

Plamen Oresharski: Bulgaria has always supported western Balkan countries', and particularly Serbia's, EU integration

11 December 2013

The governments of Bulgaria and Serbia are expected to discuss the details of a meeting to be held next year. Work is done on new Belgrade-Sofia and Belgrade-Varna air services

Bulgaria has always supported western Balkan countries', and particularly Serbia's EU integration. It is in our interest that our neighbors are EU members, and figuratively speaking to remove the borders, objects of disputes throughout history, through our common EU membership, said Prime Minister Plamen Oresharski following talks with Serbian Prime Minister Ivica Da