05.02.2014

\"We have disbursed BGN 499,345,000 from the Growth and Sustainable Development of Regions Public Investment Programme for priority projects and programmes of municipalities and ministries for municipal public works and for jobs\". This is what Minister of Finance Petar Chobanov said after the meeting of the Council of Ministers which adopted the decree approving the list of projects/programmes, the municipalities and ministries responsible for their implementation and the allocation of the funds targeted under the Public Investment Programme. The whole country has been covered, with no regions misses, and the Programme resources will be sufficient for all municipal projects assessed and rated, added the Finance Minister.

The financial resources have been allocated to projects per sector, i.e. water supply and drainage and waste management - BGN 78.3 million; transport infrastructure - BGN 104.6 million; social infrastructure - BGN 197.5 million, including BGN 25 million for schools and kindergartens, BGN 15.7 million for higher institutions, healthcare - BGN 27 million, sports facilities - BGN 62 million and other sectors - BGN 119 million. The Programme funds for public works of towns total BGN 112 million.

The programmes of ministries approved for financing are practically targeted at projects of individual towns, added Mr. Chobanov. For MEW the focus will be on projects for river basin management and waste treatment. For MRDPW, BGN 20 million will be disbursed for the financing of the lack-of-water problem of some municipalities. For MH, two emergency programmes will be financed and BGN 12 million for the programme setting up the National Health Information System. For MES, Programme funds are disbursed for the infrastructure of four universities and a college.

Minister Chobanov laid emphasis on the decision in general to finance both cities and towns. He gave an example with a kindergarten project of the Municipality of Sofia for BGN 6 million and a disbursement of BGN 50 million for rehabilitation of second- and third-class road infrastructure where no funds had been allocated for years. 

\"I am convinced that the Programme\'s financial resources will solve a number of long-standing regional problems\", said Minister Chobanov. He further specified that if any resources were released after the PPL procedures in accordance with the lowest price principle, they would be allocated for another project. If the appeal of procurement procedures lasts too long, the project may be terminated and the funds will be used for another project. The Finance Minister expects that the real implementation of the approved projects will begin in the middle of the year.

The Council of Ministers\' Decree passed today ensures the transparent spending of this Programme\'s funds, as well as the selection of projects and programmes whose implementation is aimed at economic growth, sustainable regional development, greater competitiveness of the economy and a possibility to generate growth and jobs. The Inter-institutional Council for appraisal, prioritisation and selection of projects and calls for proposals for implementation of the Public Investment Programme has examined over 1,100 municipal calls for proposals, of which 392 eligible. In addition, the Ministry of Finance has received 16 application forms, of which 13 considered eligible, under Article 10 of CMD No 4. The Decree determines the projects approved to receive an advance payment of 30% of the project cost, while the subsequent payments will be made on the basis of any supporting documents provided by beneficiaries.