site.btaCabinet Approves Bill Amending 2024 State Budget Act and Other Financial Laws

Bulgaria's Cabinet on Wednesday approved bills amending the 2024 State Budget Act and the Financial Collateral Agreements Act, and draft revisions to the Independent Financial Audit Act and the Accountancy Act, the Government Information Service said.

The 2024 State Budget Act allows the National Assembly to amend Annex 3 to Article 107 which lists priority projects in the Municipal Investment Financing Programme. The Finance Ministry has revised the Programme based on 550 proposals from 100 mayors. The amendments replace 24 projects, remove 28 existing projects, add 299 new projects, and modify the parameters of 199 current projects. The number of approved projects increased by 271, reaching a total of 2,529, up from 2,258 before.

The proposed budget for projects in 2024 has been increased by BGN 50.8 million, with the total value for the period from January 1, 2024, to December 31, 2026, rising by BGN 380.1 million.

The Investment Programme streamlines the capital projects of diverse municipalities for the 2024-2026 period. The Regional Development and Public Works Minister funds these initiatives through agreements with the mayors of the participating municipalities. All projects must be operational and completed by December 31, 2026.

The bill revising the Financial Collateral Agreements Act aims to integrate a comprehensive regulation of the close-out netting mechanism into national legislation, streamlining the termination and settlement of obligations from financial instrument transactions among market participants.

The draft amendments to the Independent Financial Audit Act and the Accountancy Act are intended to enhance the regulatory framework for financial auditing practices.

The Cabinet also amended the title and text of the Ordinance on Reporting Irregularities Constituting Grounds for Financial Corrections and the percentage indicators for determining the amount of financial corrections according to the procedure established by the Management of European Funds in Shared Management Act. This update aims to enhance the oversight of funds allocation and absorption.