02.11.2012

Bulgaria does not share the opinion of the Cypriot Presidency for reduction of the size of the Multi-annual Financial Framework of the EU 2014-2020. This is what Deputy Minister of Finance Boryana Pencheva said in a public discussion on "Possibilities and challenges for Bulgaria in the context of the Multi-annual Financial Framework and the Cohesion Policy of the EU in the period 2014-2020". The discussion was held today within the meeting of the Council for EU Affairs in Plovdiv. Mrs. Pencheva added that if anyway there was a reduction, Bulgaria would not be inclined to compromise three elements of importance to our country. These are the Cohesion Policy, the Common Agricultural Policy and the decommissioning funds. According to Deputy Minister Pencheva, the Cohesion funds for the least developed regions should not be modified. If the total amount of direct payments is reduced, this should not affect the member states that received direct payments below the EU average, which is the case with Bulgaria. Our country continues insisting on receiving EUR 450 million instead of the EUR 208.5 million envisaged for decommissioning of units 1-4 of NPP Kozloduy.

As to the reform in the system of EU own resources, Bulgaria welcomes all the efforts made by the European Commission to simplify that system with a view to a greater transparency. According to Mrs. Pencheva, our country supports the Commission proposal for amendment of the adjustment mechanism through payment of one-off annual amounts as well as elimination of the currently existing source of EU budget financing on the basis of VAT. The Deputy Minister of Finance added that Bulgaria was not intending to introduce a tax on transactions for the time being. Its introduction for some of the member states does not result in simplification and greater transparency as is the aim of this reform.

Boryana Pencheva clarified the role of the Ministry of Finance in drafting Bulgaria's position with regard to MFF 2014-2020. The Ministry takes account of the financial interests of the country, makes analyses and proposals for negotiation positions and strategies. Mrs. Pencheva added that the Ministry of Finance was preparing a financial analysis of the allocation of Cohesion Policy funds, with the aim being to lay down and propose various options supporting the Bulgarian position in view of a better protection of national interests during the negotiations.