site.btaRegional Development Minister Believes in Bulgaria's Potential to Be "Huge Construction Site" Next Year

Bulgaria has the potential to transform into a huge construction site in the coming year, but this requires stability, robust support, and sustained institutional commitment, rather than the frequent elections that we have, unfortunately, said caretaker Minister of Regional Development and Public Works Violeta Koritarova in an exclusive interview with BTA’s Ekaterina Toteva and Valeria Dimitrova here on Thursday.

She was approached in connection with the upcoming builders' professional holiday, which is marked on the Feast Day of St. Demetrius, October 26. "At this time last year, the State also expected 2024 to be a year of major construction upsurge. However, due to political irresponsibility, managerial confusion, and possibly lack of capacity, all these good intentions remained only on paper," Koritarova added.

Progress on Infrastructure Projects

Koritarova said that work on major infrastructure projects has been revived, with construction progressing on long-delayed routes. Road maintenance and regional development efforts have also resumed. Currently, 160 km of motorways and expressways are under active construction, while significant repairs are being carried out on 170 km of national roads. By year’s end, construction will commence on four additional sections of the Hemus Motorway, with the stretch of the road from Boaza to Lukovit (North Central Bulgaria) expected to be completed.

National Recovery and Resilience Plan: housing renovation and investments

As part of the National Recovery and Resilience Plan's (NRRP) free housing retrofitting programme, the process has been expedited, with more than 350 invitations sent to final recipients to sign grant agreements with municipalities. A dedicated organization has been set up to fast-track invitations for all approved buildings in Stage 1. 

Furthermore, efforts have been made to enhance the administrative capacity of the Implementation Unit within the Ministry of Regional Development and Public Works (MRDPW). "So far, 63 contracts have been signed, amounting to nearly BGN 88.3 million, though construction work for the approved buildings has not yet commenced," the Minister added.

In addition to the housing renovation efforts, more than BGN 3.6 billion will be allocated to integrated territorial investments under the Regional Development Programme. These funds will target improvements in road infrastructure, healthcare, tourism, cultural projects, and urban environment upgrades. The managing authority aims to begin gathering specific project proposals, based on the developed concepts for integrated territorial investments, by the end of the year.

A total of 2,170 proposals have been submitted, with agreements already signed for 1,625 of them. So far, BGN 264 million has been disbursed. The overall investment for the programme exceeds BGN 7 billion and will continue to be rolled out in the coming years.

Priority for water infrastructure

Koritarova said that building and upgrading water supply and sewerage systems in populated areas should be prioritized in municipal projects applying for State funding. "After the record-breaking hot and dry summer, some regions are still facing water restrictions. The challenges of drought and climate change are upon us, and we must tackle them. Water pipelines span thousands of kilometers, and some areas still lack sewers. These are often invisible investments, but their impact is clearly recognized by society," she said.

The Minister noted that all projects proposed for State funding in 2024 will focus on improving living conditions in towns and villages, with a special focus on upgrading water infrastructure. "The programme is currently the quickest means of addressing water shortages and alleviating the suffering of affected communities," she added.

Engagement with the construction industry

Koritarova said that she conducts monthly meetings with the Bulgarian Construction Chamber, where she has been assured that companies are capable of handling thousands of projects. "This presents a tremendous opportunity for businesses in every locality," she commented.

National Housing Strategy

Regarding the National Housing Strategy, which has remained unchanged since 2004, Koritarova noted its considerable public sensitivity. "It must be developed with precision, broad consensus, and expert insight, grounded in current demographic trends and market realities. The strategy should establish realistic expectations and avoid becoming merely an aspirational document that never moves beyond paper," she said.

State involvement in housing policy

When asked about the State's role in supporting housing beyond what municipalities provide, Koritarova noted that it is a complex issue involving multiple institutions. "This needs to be discussed in parliament, as it involves several institutions and the market, where businesses also have their perspectives. The State can and should take a more active role in housing policy. While Bulgaria has a high homeownership rate, over 90%, the real challenge is how we maintain and manage this ownership," she said.

Social Housing Initiatives

Koritarova expressed satisfaction with the progress in building social housing as part of the Ministry's Regions in Growth operational programme for 2014-2020. "Many new buildings with hundreds of apartments for at-risk individuals have been built, including recent developments in Smolyan and Plovdiv," she noted. These buildings provide new, dependable housing at symbolic rents for individuals experiencing challenging social circumstances. "I hope that municipalities will plan more social housing projects with EU funding in the current programming period, as this measure has proven to be highly beneficial," she concluded.