20.03.2014

\"When we are near economic growth we should not keep losing enterprises and entrepreneurs that is why it is important now to give a helping hand to the businesses in order to follow the right path\", Minister of Finance Petar Chobanov stated in front of more than 60 entrepreneurs and managers from Stara Zagora Region. The meeting was organised in order to acquaint local companies with the new possibilities for financing from the Bulgarian Development Bank (BDB) and with the instruments provided thereby for flexible and low interest loans to small and medium-sized enterprises.

Minister Chobanov recalled that in the past months the Government focused on social policy but also on the problems of the businesses, the efforts being to lower the administrative burden and simplify regulatory regimes. \"We have promised you to stop extortion and have done so, but if there are still such cases I am ready to react immediately\", the Finance Minister stated.

Before the businesses in Stara Zagora Minister Chobanov talked about the regular VAT refund stressing that the availability of working capital actuated faster the money in the economy as in the absence of foreign investment that provided an opportunity also for economic growth. He explained that the Ministry of Finance was actively working to reduce the shadow economy and to allow the legitimately operating companies to feel better in a normal competitive environment. Minister Chobanov reported that the new measures such as the reverse charge of VAT mechanism for cereals and industrial crops, the VAT cash charge and the set-up of the fiscal control unit within the NRA were along those lines and were expected to give results.

In the briefing that followed Minister Chobanov explained that the planned external government debt was for paying maturing debt from previous years. To finance the budget deficit Government Securities that are offered on the domestic market will be issued. To a question on the possibility to raise pensions he commented that an increase of the lowest pensions was considered but as part of a complex pension reform.

Today the meetings of Minister Chobanov and the BDB management will continue with the local companies in Yambol.