site.btaInnovation Minister Karadimov: Bulgarian Development Bank Has Become Guarantee of Public Funds' Transparency

The Bulgarian Development Bank (BDB) has become an instrument that guarantees the transparency of public funds. The BDB from 2019 has nothing in common with the BDB in 2024, caretaker Innovation and Growth Minister Rosen Karadimovtold bTV, as quoted by his Ministry on Tuesday.

Minister Karadimov outlined all the actions of the bank's management since November 2022 that have changed its image and made it impossible to grant unsecured loans. 

Karadimov explained that when he assumed office at the BDB in November 2022, he formed an Advisory Council with the five national employers' organisations, the National Association of Municipalities and the two trade unions, which also has the function of exercising public control of the bank's activities. "Transparency International have come out with a report without any remarks on its activities, and the European Commission has audited and approved the BDB as a partner for the InvestEU programme, commissioning it to manage EUR 160 million. Karadimov highlighted the new strategy of the bank adopted by the Council of Ministers in June this year, which seals its activities in two areas - support for public policies of the State and overcoming regional imbalances in the country. "As a result of the new strategy, the bank has become a powerful ally of the State in key sectors such as the military-industrial complex, healthcare and energy," Karadimov said.

Referring to the bank's 2019 unsecured loan of BGN 150 million, the Innovation and Growth Minister said that by 2024, this was no longer possible because of the established regulatory framework and the controls, including public ones through the bank's advisory board.

"We have deliberately kept the limit of BGN 5 million in the new strategy as well so that no one can think that a loan can be given that is not secured," Karadimov said. In his words, the limit can only be changed in terms of public investments financed with European or national funds.