27.03.2012

Competitiveness, growth and jobs are the main economic priorities of Bulgaria provided for in the National Reform Program 2012-2020 implementing Europe 2020 Strategy. The document was submitted to public consultation by Deputy Minister of Finance Ms Boryana Pencheva and Ms Marinela Petrova, Director of Ministry of Finance Economic and Financial Policy Directorate. Experts, deputy ministers, representatives of employers and trade unions, economists and social partners took part in the discussion.

The Bulgarian NRP reflects the priority areas provided for in the EC annual growth survey, Boryana Pencheva stated. Among those are growth-friendly fiscal consolidation and restoring normal lending to the economy, to SMEs in particular. The priorities set by the EC also include modernizing public administration and tackling unemployment and the social consequences of the crisis. Boryana Pencheva clarified also the priority objectives of the Euro + Pact that had been also reflected in the Bulgarian strategic document, emphasizing that Bulgaria was against tax harmonization because direct taxation was within the competence of Member States. The European semester is no longer only a political instrument, sanctions for failure to meet commitments are also envisaged, Boryana Pencheva reminded. It is important to set ambitious and at the same time realistic objectives and concrete measures, she added.

In her presentation Marinela Petrova listed Bulgaria\'s specific priorities and growth factors, which included improving the infrastructure, competitive youth, favourable business environment and raising the confidence in state institutions. She specified that the NRP update was building on the previous program with focus on implementation of measures in response to the 2011 Council Recommendations and on the macroeconomic imbalances and the sustainability of their correction.

The national targets in implementation of Europe 2020 Strategy in the NRP remained unchanged compared to the period 2011-2015 Deputy Minister Boryana Pencheva pointed out and reported 45% implementation of the measures, provided for in the Program as of the end of 2011. The targets envisage reaching 76% employment of the population aged 20-64 by 2020 and investments in R&D in the amount of 1.5% of the GDP, achieving a 16% share of renewable energy sources in the gross final consumption of energy and increasing the energy efficiency by 25% by 2020. The document provides that within the next ten years the number of people living in poverty should be reduced by 260 thousand, and the target of achieving 11% share of the early school leavers by 2020, and a 36% share of the people aged 30-34 with higher education by 2020.

Upon drafting the final version and its approval by the Government, the Ministry of Finance should submit the Republic of Bulgaria National Reform Program (2012-2020) to the European Commission by mid April 2012.