site.btaThis Year Bulgaria May Lose Mln 200 Euro under European Programmes, Deputy PM Says

This Year Bulgaria May Lose Mln 200 Euro
under European Programmes,
Deputy PM Says


Sofia, August 28 (BTA) - In 2014 Bulgaria may lose 193,768,200
euro under the EU operational programmes for 2007-2013,
Caretaker Deputy Prime Minister for EU Funds Management Iliana
Tsanova told journalists at the Council of Ministers Thursday.
Agriculture and Food Minister Vassil Groudev also took part in
the briefing.

The loss has been calculated on the basis of the data about the
implementation of the programmes as of August 15 and the
forecasts for the end of 2014, she added.

The largest losses will be incurred under OP Environment (nearly
82 million euro) and OP Regional Development (over 18.4 million
euro). The losses under the Rural Development Programme and OP
Fisheries and Aquaculture are expected to be 78.3 million euro
and 5.4 million euro respectively, Groudev explained.

The absorption of EU funds is exceedingly important to Bulgaria
because 72 per cent of the public investments in the country are
made through them, Tsanova said. Only in three countries -
Slovakia, Lithuania and Hungary - the share of public
investments from European funds is larger. The absorption of
European funds by member states as of July 15 stands at an
average of 64 per cent, while in Bulgaria it is at 50 per cent.
By this indicator Bulgaria is close to Slovakia, Italy, Malta
and the Czech Republic, an analysis Tsanova handed out to the
journalists says.

Bulgaria's total budget under the operational programmes for
2007-2013 is 8,019,197,651 euro, including 6,673,628,244 euro
from the EU and national co-financing of 1,345,569,407 euro.

The verified expenses in the share of EU funds (at August 15
this year) total 3,690,226,329 euro or 55 per cent of the budget
and, just from the beginning of the year until August 15 -
625,557,035 euro or 47 per cent of the net target for 2014.

The certified expenses (EU share) as of August 15 stood at
3,488,977,211 euro or 52 per cent of the budget, and from the
beginning of the year until August 15 - 449,381,464 euro or 33
per cent of the net target. Expenses for 883,518,242 euro have
to be certified until the end of the year.

A roundtable will be held on September 2 to discuss the main
mistakes in EU fund management, Tsanova said. Seventy-four per
cent of these mistakes are in the system of public procurement
where there could be possible malpractice. Personal liability
from the participants in the process can be sought in this case
to avoid payments by the state. That is precisely why the
roundtable will be open to the media only at the beginning and
representatives of the State Agency for National Security and
the prosecution will be invited, she added.

The systemic mistakes are clear - ineffective preliminary
control and faulty administrative capacity of the managing
authorities and the beneficiaries. That is why it is important
to train people who will not make the previous mistakes under
the new programme of Good Governance, Tsanova explained./SN/BR