site.btaBulgarian Development Bank Prepares Programmes to Finance Public Policies, Says Innovation Minister

The Bulgarian Development Bank has a new strategy and is preparing various programmes in order to enter more directly into public policy and help overcome regional imbalances in the country, said caretaker Innovation and Growth Minister Rosen Karadimov in the Black Sea resort of Albena on Monday. The Minister participated in the annual meeting of local authorities, organized by the National Association of Municipalities of the Republic of Bulgaria.

Karadimov noted that the aim is for the institution to consolidate its role as a true development bank by financing public entities and specified that the programmes are currently being developed. The expectations are that the bank will become a real partner of the Bulgarian municipalities in 2025, especially for things for which the State cannot or does not have the right to allocate resources.

The Minister pointed out that local authorities should be very active in attracting investors, while the state finances projects to build infrastructure leading to future business sites. He noted that the Bulgarian Investments Agency needs to be developed further, but that it also needs to have adequate information from the municipalities.

Karadimov also said that the Ministry is opening new measures under the European programmes with a total budget of BGN 5 billion and that there will be a special focus on small and medium-sized enterprises in North Bulgaria, adding that some of the measures will enable municipalities to participate together with businesses.

The the Fund of Funds (fund manager of financial instruments in Bulgaria) will also start with the implementation of the urban development programme, which has a budget of BGN 650 million until the end of 2029. The public resources will be provided under two of the European programmes and the Fund of Funds has already announced a public tender for the three funds, Karadimov said.

From the municipal point of view, the implementation of the Regional Development Programme 2021-2027 is key, as it is aimed at 50 large and small cities. Karadimov noted that investments are allowed in many directions, including in business infrastructure, sustainable urban mobility, as well as energy efficiency of residential and public buildings. He expressed hope that the structuring of the new financial instruments, including those for grants, will start by the end of 2024.