site.btaParliament Ratifies Joint Guarantee Agreement with Council of Europe Development Bank

The National Assembly on Thursday ratified a joint guarantee agreement with the Council of Europe Development Bank (CEB) in connection with a framework loan agreement of July 13, 2023, between the CEB and the Bulgarian Development Bank (BDB) for supporting micro-, small and medium-sized enterprises. The vote was 117 in favour and 4 against, with 41 abstentions.

In its reasoning for the ratification bill, the National Assembly Committee for Economic Policy and Innovation said that the EUR 175 million framework loan agreement was signed with an aim to create and preserve jobs while supporting the transition to a green, circular and sustainable economy and boosting investments in Bulgaria by facilitating access to financial resources for micro-, small and medium-sized businesses.

By agreeing to a joint guarantee, Bulgaria pledges to the CEB that all due payments from the BDB will be effected on time.

The National Assembly also ratified an administrative agreement between Chips Joint Undertaking (Chips JU) and the Ministry of Innovation and Growth, made under Horizon Europe and signed in Brussels on January 9, 2024, and in Sofia on January 25, 2024. The vote was 139 in favour and none against, with 3 abstentions.

Chips JU is a European tri-partite partnership that is boosting the development and adoption of advanced nano-electronic chip technologies and systems manufactured in Europe. It aims to facilitate the creation of cutting-edge semiconductor technologies and processes to maintain Europe's competitiveness. It supports educational initiatives to develop a skilled workforce ready to meet future demands in the semiconductor industry.

The Economic Policy and Innovation Committee reasoned that the agreement will allow Bulgaria to join Europe and the world in promoting the semiconductor industry. The main lines of activity are: creating pilot production lines to speed up innovation and technological development; developing a design platform based on cloud technology; setting up competency centres; developing quantum computing chips; and creating a Chip Fund to facilitate access to debt funding.