site.btaFormer Finance Minister Says Budget 2017 Is More Important for Bulgaria Than Brexit

Former Finance Minister Says Budget 2017 Is More Important for Bulgaria Than Brexit

Sofia, July 12 (BTA) - Brexit will not be a catastrophe for Europe, but it will be well for the Community to consider whether not to reduce some regulations and launch a policy with clear-cut ideas, former finance minister Hristina Voucheva said in an interview for BTA.

For a certain period of time there will be reverberations, as can be seen from the devaluation of the pound, but this is mostly detrimental to Britain. Nor can Europe avoid the negative consequences, but these can be surmounted in the short term. The growth rate of the economy in the Community is not expected to decrease just because of Brexit, for Britain is not one of the countries with the most serious influence in this process. The fears that the EU budget will be decreased are also exaggerated.

Bulgaria has enough problems it should resolve and in this sense it cannot be expected that the participation or exclusion of Britain from the EU would have a determining influence on decisions. Voucheva does not think Bulgaria's most important problem for 2017 is Brexit. Rather, it is more important to clarify what is wanted and what can be achieved with budget 2017, including clarity about the influence of all energy problems.

In Voucheva's opinion, discussion should focus on next year's tax policy, education, health care and security.

Voucheva expects Bulgaria to complete the year with a growth under 3 per cent but within the outlined parameters. Efforts to achieve the planned three-year forecast of about 2 per cent will be necessary, she said. If this is achieved, it would be good because one could hardly expect more, she added.

The expected results of the bank stress tests will not resolve any of the country's economic sector, Voucheva thinks. They will just confirm before the world that the Bulgarian banking sector is stable.

Bulgaria should be in the clear that it is a small market with a shortage of attractive natural resources and a large workforce, which is why the reform in the judicial system should continue, Voucheva said.