Bulgarian press review, November 13, 2009

Press Review
Sofia, November 13 (BTA)

PRESIDENT'S REACTION TO POSSIBLE IMPEACHMENT PROCEDURE

All of the dailies report on the statement President Georgi Purvanov made on Thursday about the possible impeachment. "I intended not to make any statements [about the possible procedure of impeachment], but things got too rough lately," he said, quoted in "24 Chassa". "Things got too rough" are the most quoted words from Purvanov's statement. In the course of 50 minutes the President did not mention once the name of Prime Minister Boyko Borissov, "Troud" notes in a front-page story. Purvanov said that the attack against him is absurd in legal and political terms. "They are not going to scare me but the aim is to scare off many other people, including businessmen and journalists," the President said in his statement.

"Troud" interviews GERB MP Iskra Fidossova, Chairperson the parliamentary Legal Committee, who says that "there is a bit of a tension, and not war, between the institutions".

Interviewed by "Klassa" social analysts Antonii Gulubov and Yurii Aslanov say that there is not a clash between institutions in Bulgaria and that the President stands to gain from the campaign against him.

In an interview to "24 Chassa" President Zhelyu Zhelev (1990-97) describes as not serious the possible motion of an impeachment against Purvanov. The motion, yet to be launched, is in connection with Purvanov's refusal to sign a cabinet proposal for the recall of Bulgaria's ambassadors to Turkey and the United States over voting irregularities at the July 5 parliamentary elections. Zhelev tells of a similar problem with recall of ambassadors he had had during the Zhan Videnov cabinet.

Zhelev also comments Prime Minister Boyko Borissov whom he says he likes. Zhelev describes the Prime Minister as a serious politician who should not yield to the advice offered by other people.

THE HOME SCENE

Proposed changes to the health care system which Health Minister Bozhidar Nanev announced Thursday are one of the most commented topics in the November 13 newspaper. In 2011 the rate of the health insurance contribution will be increased by 2 percentage points, from 8 per cent now to 10 per cent. The increase will be entirely for the account of the health insured persons, without burdening employers. The Health Ministry, the Finance Ministry and the National Assembly Health Committee have agreed on a concept which envisages the introduction of a three-pillar model of health insurance as from 2011: first pillar (compulsory), second pillar (supplementary compulsory), and third pillar (supplementary voluntary). The first pillar will be managed by the National Health Insurance Fund, and the other two, by private funds, "Troud" writes.

* * *
The November 15 mayoral by-elections in Sofia and another three towns are another much commented topic in the Friday newspapers which run latest opinion polls.

"24 Chassa" publishes the results of a survey conducted in November 6 to 10 by the Centre for Analyses and Marketing according to which GERB runner for Sofia mayor Yordanka Fandakova would get 43.1 per cent of the vote and her closest rival, Georgi Kadiev of the Bulgarian Socialist Party, 11.1 per cent. If voter turnout is 30 per cent, Fandakova would win 69.5 per cent, and Kadiev, 19.2 per cent. Thus, pollsters are pretty sure that Fandakova will win an outright victory, "24 Chassa" says.

Under a headline, "GERB's Victory May Be Postponed" social analyst Kolyo Kolev writes in "Troud" that three days before election day, 20 per cent of Sofianites do not know the date or even that mayoral by-elections are held. A poll of Mediana shows that 40 per cent would vote for Fandakova, 20 for Kadiev, 2.2 per cent for Iliya Bozhinov, nominated by the Bulgarian Left Party, and as much for Sava Gurbouzanov of the United Pensioners' Party. Kolev says it is true that Sofia does not vote socialist but one cannot say either that it is totally pro-GERB. He argues that irrespective of the assurances of the co-chairmen of the Blue Coalition, Ivan Kostov and Martin
Dimitrov, that their parties will support GERB's candidate Fandakova, one cannot be so sure how the grassroots members of the Democrats for Strong Bulgaria and the United Democratic Forces will vote given the disparaging attitude towards the Blue Coalition GERB demonstrated in the formation of the cabinet and the submittal of the draft 2010 budget. Kolev argues further that GERB's apparent wish is to get hold of the rightist space and relegate the parties of the Blue Coalition as "old faces which have to be tolerated willy-nilly".

JUSTICE AND HOME AFFAIRS

"Troud" writes that former defence ministers Nikolai Svinarov and Vesselin Bliznakov are about to be pressed charges for a scam with the exchange of land including the Bozhourishte Airfield near Sofia which defrauded the state by 37 million leva.

* * *
"Monitor" writes in a leading report that the former head of the National Health Insurance Fund (NHIF) Roumyana Todorova will be questioned in an investigation for illegal trade in medicines. The newspaper says that acting on an alert by the State Agency for National Security, the prosecuting magistracy and the Organized Crime Control Directorate General conducted a special operation two days ago and searched eleven homes of senior officials of the Health Ministry and NHIF on suspicions of contraband trade in medicines. Computers and documents were seized as evidence for the scam, says "Monitor".

* * *
A front-page report in "Express" writes, citing sources from the prosecuting magistracy, that four Bulgarian football bosses may be arrested soon for embezzlements and fraud.

* * *
"Troud" cites Bulgaria's standing in a survey of the Rule of Law Index - a new tool, created by the World Justice Project, which measures countriesТ adherence to the rule of law. The World Justice Project, based in Washington, DC, is a multinational, multidisciplinary initiative to strengthen the rule of law worldwide. According to the Rule of Law Index, Bulgaria gets the highest marks in: access to justice of defendants with language barriers; the powers of the government and its officials and agents are defined and limited by the constitution; the fundamental law may be amended only in accordance with the rules and procedures set forth in the fundamental law; prosecutors, judges and judicial officers are of sufficient number; the laws protect the security of property and the right to engage in private economic activity. Bulgaria gets the lowest marks in: civilian control over police and the military; military, police, prison officials, and their agents are held accountable under the law; laws are clear, publicized, stable and fair, among others.

ECONOMY

The leading report in "Dnevnik" informs that the economic downturn has brought deflation. For the first time in ten years, consumer prices in Bulgaria dropped year-on-year, says the report, citing data of the National Statistical Institute (NSI). Inflation in Bulgaria in October against September was 0.1 per cent. Inflation since the beginning of this year (October 2009 against December 2008) is zero. Annual inflation in October 2009 against October 2008 was minus 0.3 per cent. NSI said on Thursday. "Dnevnik" notes that although these figures sound good to consumers, they indicate negative trends, such as shrinking consumption which makes sellers and producers opt for lower prices. Economists warn that a new drop in prices could be expected in the coming months, driven by growing unemployment and further reduction in consumption.

* * *
"Troud" cites a survey of the Thomson Reuters & OeKB Business Climate Index in Central and Eastern Europe, according to which the climate for investments in Central and Southeast Europe improves, with Bulgaria is the leading country. The survey polled representatives of nearly 400 Austrian companies with investments in 19 countries in the region. Thirty-three per cent of the respondents expect growth in their business in the next six months. The investors said the worst of the economic downturn in Central and Southeast Europe was at the beginning of 2009. Forty-four per cent were positive about the development of their business in Bulgaria.

* * *
"Klassa" cites a survey of Deloitte, according to which the big international funds for equity investment have come back to Central Europe. Todor Todorov, Deputy Director of Corporate Finances of Deloitte Bulgaria, tells the daily that the return of interest in the region is tangible. Big names such as Advent, Mid Europa, EQT V announced transactions with market leaders in Bulgaria. He says that in the past few weeks his company has held more talks with financial investors about potential deals than their total number in January-September.

* * *
Chairperson of the Association of Banks in Bulgaria Violona Marinova tells "24 Chassa" that once the economy recovers, interest rates will drop. Marinova stresses once again that the state should speed up the payment of money it owes to businesses.

In an interview to "Pari" Chairman of the Supervisory Board of D Bank Stoyan Alexandrov once again voices his opinion that the current levels of interest rates "kill business". In his view, normal interest rates would be 5-6 per cent for deposits, and 7 to 10 per cent for loans. Alexandrov describes the 2010 draft budget as sensible.

* * *
The record-high jackpot in the national lottery, which is set to reach 3.3 million leva (roughly equal to 1.65 million euros) until the next time when numbers are drawn, which will be on Sunday, continues to make headline news.

Links to some Bulgarian info websites in English:

· http://www.bta.bg/site/en/indexe.shtml
· http://www.novinite.com/index.php
· http://www.focus-fen.net/

Most discussed topics of the day – November 13, 2009

· Two MPs from the Movement for Rights and Freedoms (MRF) party, now in opposition, voluntarily gave up their MPs' immunity from prosecution following a request by Prosecutor-General Boris Velchev. Gyunai Sefer and Mithat Tabakov are the first MRF members to face investigation and possible charges. Sefer is being investigated over document fraud while Tabakov is being probed for malfeasance in office from the days when he was mayor of the small Doulovo town. Sefer used to be municipal councillor in Doulovo.
· Bulgaria's ambassador to Turkey, Branimir Mladenov, has filed his resignation today. The resignation comes a week after Foreign Minister Roumyana Zheleva and the Cabinet asked President Georgi Purvanov to recall Mladenov and Bulgaria's ambassador to the US, Luchezar Petkov, because of a number of violations of electoral law during the July 5 2009 elections for Bulgarian Parliament.
Foreign Minister Zheleva explained that she evaluates highly this act. The minister added that she expects for the Bulgarian ambassador to the USA to do the same.
The Cabinet's decision to recall the two ambassadors became the formal reason for tension between President Purvanov and Prime Minister Boiko Borissov.

· Influenza sick rate has dropped by around 10% compared to the previous week, Bulgarian Ministry of Healthcare announced. Despite the drop, the sick rate in the country is still of more than 200 per 10,000 people, which is the threshold for declaring state of epidemic in the country.