site.btaExpert Discussion on Draghi's Report on EU Competitiveness, Bulgaria's Prospects Takes Place in Sofia

As experts came together in Sofia Tuesday to discuss the report by Mario Draghi on the EU competitiveness, they agreed that a key message was a need for change. Titled "The Draghi Report: the new economic policy of the EU and the prospects for Bulgaria", the discussion was organized by the Green Transition Forum and the Bulgarian Federation of Industrial Energy Consumers with support from dir.bg.

Italian economist and former European Central Bank President Mario Draghi was tasked by the European Commission to prepare a report of his personal vision on the future of European competitiveness. The report was presented in September to the European Parliament. It examines the main challenges and opportunities facing Europe and its industrial sector, and proposes measures to strengthen EU competitiveness.

Caretaker Minister of Economy and Industry Petko Nikolov said that his Ministry's assessment of the Draghi report is positive. He added that the measures and solutions set out in the report need to be further analyzed in order to be implemented in the Bulgarian context and be compatible with the Bulgarian economy. "To boost the competitiveness of the European economy, the focus should be put on industry and support for the green and digital transition," Nikolov argued.

Caretaker Deputy Energy Minister Krasimir Nenov underlined that decarbonization can increase competitiveness only if it is managed well. He stressed the importance of the implementation of the electricity market reform, which should lead to lasting benefits for consumers. The decision to rely on innovative technologies and regional cooperation could be the key to building the new face of the European economy and the energy sector in particular, Nenov added.

Sergei Stanishev, Bulgarian prime minister in 2005-2009, said the bottom line of Mario Draghi's report is that in order to survive, Europe needs to go through radical changes. Stanishev was also a MEP (2014-2024) and   President of the Party of European Socialists (2012-2021). "The Draghi report says that Europe is losing the competition to the US and China. It is clear that the world is changing dramatically and fast, and Europe needs to change, too," he added.

Former environment minister Julian Popov said that it is essential for the local industries to formulate their views and ideas for the development, which they believe need to become part of the Bulgarian industrial strategy, and communicate them with the next government. "Draghi proposes a strategy for industrial development of Europe but he says nothing new. The report essentially says that the king is naked but all know that: Europe is not competitive and lagging farther behind. But the picture is not as gloomy as the Facebook sages love to present it: that Europe is falling apart. No, it is not. Europe is very strong and resilient, the war in Ukraine has shown how united Europe can be but it largely stands tall thanks to its industry," said Popov.

Institute of Market Economics Executive Director Svetla Kostadinova said that the report says nothing about the rule of law issue, which is an universal issue for all of Eastern Europe. She also said that the free economies are faster to decarbonize and do it cheaper, than the monopolist markets.

Ivan Mihaylov, Executive Director of the American Chamber of Commerce in Bulgaria, commented on Europe's economic lagging behind the US, highlighting EU's excessive regulation, which affects adversely businesses.