Bulgarian Press Review August 24, 2009

Press Review
Sofia, August 24 (BTA)


THE HOME SCENE

Monday's press leads on the news that the European Commission is expected to reject for a second time the compatibility assessments of several operational programmes and funding under
them will be suspended.

On its front page, "Troud" quotes Prime Minister Boyko Borissov as saying in Nessebur that the European Commission is refusing to coordinate all projects of the agencies under the EU funds.
The PM specified that the documents were sent fro approval by the previous cabinet. In this connection, Borissov will lead a large delegation to Brussels on September 9 and 10 to ask for a
delay so that the new government could show what it has done and what legacy it has found. Borissov learnt the "terrible news" about Brussels' refusal from EU Commissioner Meglena Kuneva, who will be on the delegation, "Troud" also reports.

"The EU did not relent and again refused to unfreeze the money for Bulgaria," "Sega" writes on its front page. Five of the operational programmes are problematic, and there is hope only for Environment and Regional development, the daily says. So far Bulgaria has received only advance payments under the operational programmes. "The 323 million euro blocked under Phare are also under question mark, and this country will most probably lose a large part of them," "Sega" adds. The paper recalls that the compatibility assessments were already rejected once last year, on account of a lack of administrative capacity of the Audit Unit.

"Standart News" reports on its front page that Bulgaria not only risks forfeiting 6,000 million euro for roads, environment and agriculture, but may also have to return the 600 million euro received in advance. The daily quotes Juliana Nikolova, who is expected to be appointed head of the EU funds control unit on Monday.

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"Troud" writes on its front page that customs and tax officers will be checking all goods entering or exiting Bulgaria from or to the EU countries. The round-the-clock checks will be made at all nine crossings on the country's border with Greece and Romania. Since the beginning of 2007, the movement of goods between Bulgaria and the rest of the Member States has not been subject to customs control, which leads to tax abuse and concealment of turnovers. The customs and tax teams will be reporting on a weekly basis directoy to National Revenue Agency Executive Director Krassimir Stefanov and to National Customs Agency Director Vanyo Tanov. The move is expected to bring in at least 500 million leva in extra revenue to the public purse.

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The papers quote Justice Minister Margarita Popova as saying that Bulgaria lacks an adequate penal policy. "Zemya" writes on its front page that procedures are starting for changes of the overall penal policy. "24 Chassa" quotes Popova as saying that the Government envisages harsher sentences for terrorism, crimes against children and against the interests of the State. As from 2011, Bulgaria's penal sanctions for high-level corruption and for fraud involving EU funds will be the same as all over Europe, Popova told "Monitor". The Justice Minsitry will not rush the adoption of an entirely new Penal Code, the paper says.

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"Troud" and "24 Chassa" trace the construction of the Water Mirror in Kurdjali about which Interior Minister Tsvetan Tsvetanov said that its cost increased nearly nine-fold over eight years. "In five years, an ambitious project in Kurdjali soared from 9 to 77 million leva," "Troud" notes. "Experts have described the Mirror as one of the most up-to-date hydraulic engineering facilities in Bulgaria, but it is actually a correction of the Arda river bed," the paper says. Kurdjali Regional Governor Ivanka Taushanova and GERB MP Tsveta Karayancheva promised a comprehenisve check into the implementation of the project.

* * *

Under the heading "Ministers Halt Their Predecessors' Tenders", "Sega" sums up the terminated public procurement procedures at the central-government department. Finance Minister Simeon
Djankov terminated a EU-financed procurement for training in operational programme management. Defence Minister Nickolay Maldenov and Foreign Minister Rumiana Jeleva have also suspended public procurement procedures announced by the previous cabinet.

* * *

"Telegraf" quotes Finance Minister Simeon Djankov as saying that every year 8,000 million leva are lost due to ineffectiveness and corruption. Most money, 3,000-4,000 million leva annually, is stolen from the customs and the energy industry, Djankov said in an interview that appeared in barekov.com. The full text of the interview is reproduced in "Monitor".

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"The new budget will be severely restricted, it will freeze the growth of wages and pensions," ex-prime minister and Bulgarian Socialist Party leader Sergei Stanishev predicted, quoted in "24 Chassa." He told a gathering of nearly 2,000 supporters in Mt Rila that the new budget will cut 40 million leva from education. "Troud" writes that until his party's congress in October, Stanishev will be going round the country to hear the grassroots proposals for a change in the Socialist Party.


ECONOMY

"Klassa" leads on the news that, according to a version of the medium-term fiscal framework for the 2010-2013 period, the tax rates will not be changed in 2010 and the GDP will contract by a further 1.2 per cent next year.

"Standart News" learnt that the 2010 draft budget envisages an increase of excise duties on cigarettes and on industrial electricity in line with Bulgaria's commitments to the EU. On Monday the draft is to be discussed with the trade unions and the employers at the National Council for Tripartite Cooperation. For its part, "Troud" reports that under the 2013 draft framework of the budget, the minimum monthly wage will not be changed from its present level of 240 leva until 2013, and the minimum pension of 136 leva and the social pension of 100.86 leva will not be increased over the next four years, either.
"Sega" writes on its front page that employers delay wage payments ever more frequently. In the first half of 2009, the General Labour Inspectorate detected 8,555 violations of pay for work, which is nearly 50 per cent more than in the like period of 2008.

"24 Chassa" has interviewed Economy, Energy and Tourism Minister Traicho Traikov. Asked about the "time bombs" that have to be defused in his Ministry, he lists a 250 million euro loan of the National Electric Company, used for the Belene Nuclear Power Plant, which risks becoming immediately repayable, the commitments to the major energy projects, and problems
surrounding the Maritza East 1 TPP.

The papers also quote Traikov as saying that whether the construction of the Belene N-Plant will go ahead or will be suspended will become clear in September. He added that betweem 8,200 and 9,000 million leva are allocated for this mammoth project, "Douma" writes in a front-page story.

According to Traikov, a small part of the Kremikovtzi iron and steel works may remain in operation. "Sega" quotes the Minister as saying that this may happen even if it comes to a liquidation of the existing enterprise. "Standart News" writes that Trustee in Bankruptcy Tsvetan Bankov said that the company's nearly 1,500 million leva debts will be swapped for equity. This is
approximately the amount of the claims of the creditors which have stated an intention to become shareholders in Kremikovtzi.


SOCIETY

The papers report the demise of Alexander Boshkov, deputy prime minister and industry minister in Stefan Sofiyanski's caretaker cabinet and in the Ivan Kostov government. "One of the symbols
of the new time, the politician and economist Alexander Boshkov, died yesterday after a prolnged illness," "24 Chassa" writes. "His 'Soul Music', as was the title of the show that Boshkov hosted on Darik Radio, went silent at Sofia's Military Hospital at noon on Sunday."

"Bulgaria is the only country in the world (except the African states) where doctors outnumber nurses," "Dnevnik" writes on its front page. In 2008 alone, 1,831 nurses left the country, and the exodus has continued at the same pace this year, said Prof. Stanka Markova, President of the Association of Health Care Professionals, quoted by the paper.

A front-page headline in "Novinar" reads: "AIDS Explosion on Seaside. Three Bulgarians Contract HIV Every Week."

"Troud" warns that a dangerous Asian tiger mosquito, which transmits deadly diseases such as malaria and encephalitis, has arrived from the tropics to the Bulgarian-Greek border. Experts say the inspect can thrive in the Strouma River valley, in the areas of Petrich, Sandanski, Blagoevgrad and the southeasternmost parts of the country.

"24 Chassa" front-pages a picture of part of the 84 heavy-duty trucks that arrived in Sofia under police escort on Sunday, carrying sound equipment for the August 29 concert of Madonna at the Vassil Levski National Stadium. Twelve hundred workers hired by the organizers of the show are building the stage, the paper says.



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 – August 24, 2009

• The network of Bulgarian diplomatic missions abroad will be optimized, Foreign Minister Rumyana Zheleva said at a press conference. She noted optimization did not necessarily mean reduction or enlargement. She added that the Foreign Ministry would work out a code of ethics for Bulgarian diplomats and amend Diplomatic Service Act to define precisely the term ‘political appointment.’ Rumyana Zheleva’s political cabinet comprises of professional diplomats who have been appointed in absolute compliance with the Diplomatic Service Act. Deputy Foreign Minister Marin Raykov will be in charge of political decisions and bilateral relations, Deputy Foreign Minister Milen Lyutskanov – of consular ties, and Deputy Foreign Minister Krasimir Kostov – of European affairs. Dimitar Kyumyurdzhiev will be head of the minister’s cabinet and Dragovest Goranov retains the post of Foreign Ministry Spokesperson.

• Bulgarian administration has not yet submitted the assessments of conformity under two of the biggest operational programs, Regional Development and Environment, European Commissioner for Consumer Protection Meglena Kuneva says in an interview with FOCUS News Agency. The conformity assessments for the other operational programs have been submitted to the European Commission, but they have not been returned yet. The results are to be announced by the Bulgarian finance ministry, said Kuneva and specified the EC had made some changes. “Brussels sends some changes with very good intentions. I hope the faults will be fixed. I would like to call on the finance ministry to pay much attention to them,” said Meglena Kuneva. On Sunday she met Prime Minister Boyko Borisov to discuss the topic.

• Prime Minister Boyko Borissov has offered his Greek counterpart Kostas Karamanlis Bulgaria's technical and medical assistance in extinguishing the fires in the region of Athens, the government information office said. The offer was delivered through diplomatic channels.