site.btaEconomy Minister Karanikolov Presents Government Priorities in His Sector

Sofia, August 4 (BTA) - The Government's main economic priorities are reducing the administrative burden for individuals and businesses, supporting the development of industrial economic zones, as well as promoting the competitiveness of the economy, including support for small and medium-sized enterprises (SMEs), Bulgarian Economy Minister Emil Karanikolov told a news conference here on Friday. Other priorities include enhanced and effective privatization and post-privatization control, as well as support for the executive and the legislature in the implementation of all measures of the Capital Market Development Strategy.

Next week a meeting with the Bulgarian Stock Exchange will be held in connection with the capital market, measures including vouchers of up to 100,000 leva, encouraging companies to go public and list themselves on the exchange. Funding will come under the relevant operational programme.

Speaking of industrial zones. Karaivanov said that the establishment of one in Lovech (North Central Bulgaria) is being considered. A meeting will be held with the local regional governor this month to look for suitable land tracts with adequate infrastructure. Four such sites are to be considered for Stara Zagora (South Eastern Bulgaria).

A programme in support of SMEs is about to be released under Operational Programme Innovations and Competitiveness. Applicants will only be required to submit applications for participation and declarations to the effect that they are neither bankrupt or insolvent. A voucher system of up to 30,000 leva for machines, certificate issuance and patent registration will be set up under that programme.

Revisions to the relevant law will provide for a unit at the Privatization Agency to contribute to follow-up administrative control on all concessions, the idea being to check whether the administration correctly reports everything.

Asked whether SME start-ups will be exempt from profit tax for the first one or two years, Karanikolov said that all incentives are being discussed with the Ministry of Finance, including funding through the Bulgarian Development Bank. The Economy Ministry will shortly become the principal of the bank and will work for schemes in support of start-ups and SMEs.