site.btaEconomy Minister Discusses Growth, Investment, Relations with Russia

Economy Minister Discusses Growth, Investment, Relations with Russia


Sofia, February 2 (BTA) - Economy Minister Bozhidar Loukarski
said on Monday that his Ministry's goals include improving the
business environment, reducing the administrative burden on
businesses and individuals, making efficient and transparent use
 of EU aid under Operational Programme "Innovation and
Competitiveness," and promoting small and medium-sized
enterprises (SMEs).

GROWTH AND SMEs

Loukarski said a set of proposals to revise business
registration and licensing regulations are to be prepared by the
 end of March.

The Economic Growth Council under the Economy Ministry will be
reactivated this year, he said. The Council will expect
proposals and ideas from sectoral organizations about
public-private projects that can be financed with EU money under
 the "Juncker" plan. This is seen as a major tool to rescue the
country from the deflationary spiral.

The Ministry will make sure that entrepreneurs who have gone
bankrupt for reasons beyond their control get a second chance.
They will be given three years to settle their liabilities.

SMEs will be supported through measures to boost exports. To
this end, the government will invigorate the operation of
Bulgaria's commercial services in non-EU countries, particularly
 in Asia and North America.

COMMERCIAL REPRESENTATIVES ABROAD

The Economy Ministry is planning to establish an attestation
requirement for Bulgarian commercial representatives abroad,
because some of them have not been very efficient, Loukarski
said. Each one of them must say what they have accomplished and
what investments they have brought to the Bulgarian economy in
2014 or since they took office, the Minister reasoned.

Commercial representatives will be appointed after recruitment
competitions. Loukarski's team believe that while many Bulgarian
 commercial representatives in foreign countries create the
impression of working very hard, their results are often
negligible.

Deputy Economy Minister Lyuben Petrov said that his Ministry has
 61 commercial representatives abroad. Some 85 per cent of
foreign investment in Bulgaria comes from places where Bulgaria
has commercial representatives, Petrov said. The same applies to
 94 per cent of the flow of international tourists to Bulgaria.
This year, the Economy Ministry cannot afford to establish more
commercial services, he added.

BULGARIA-RUSSIA

Taking a journalist's question about Bulgaria's economic
relations with Russia, Loukarski said that last week he met with
 Russian Ambassador to Sofia Yuriy Isakov. The two concluded
that the problems affecting some energy projects should not harm
 bilateral trade.

Noting that Bulgaria's trade with Russia has decreased by 15 per
 cent over the last few years, the Minister vowed that Bulgaria
will do everything to bring trade volumes back to the old
levels, particularly as regards Bulgarian exports to Russia, by
restoring the International Council on Mutual Economic,
Scientific and Technological Assistance. The Council will have
its next session in Sofia. It should resume operation this
spring and a business forum should be planned, Loukarski said.

INVESTMENT, PRIVATIZATION

Other priorities of the Economy Ministry are to promote
investment in high-value-added sectors and build an effective
link between education, labour, and business.

There is an idea to revive the Made in Bulgaria Initiative,
Loukarski said, taking a question. The initiative encourages
Bulgarian consumers to buy Bulgarian products, because they are
of better quality and more eco-friendly than, say, Polish
products which are very low-cost, he said.

Discussing the Sofia Tech Park, the Economy Minister said the
project has attracted the interest of Chinese and US investors,
but there is nothing final yet.

Taking a question about privatization, Loukarski said that many
of the companies whose potential privatization would yield much
public revenue and has been discussed in the public domain are
still on the "no privatization" list. These include the LB
Bulgaricum dairy products company and military industrial
plants.

One company that can be privatized is ADIS, which manages
properties for diplomats and public institutions, Loukarski
suggested. It is under the umbrella of the Foreign Ministry,
which has been refusing to sell it. ADIS draws much interest
from potential buyers and its privatization would have a very
good economic effect, he said.

The NITI defence products company in Kazanluk, Central Bulgaria,
 is on the list for privatization. The Plovdiv Fair also draws
interest and can be put up for privatization even this year,
Loukarski said.

The public administration will streamline its work by
introducing more electronic services. A package of such services
 will be introduced by March 2016, Loukarski said.