Financial and business news from Bulgaria

Lachezar Borisov: The aid for the closed business will be between 10 and 20% of the lost turnover (REVENED)

Between 10 and 20 per cent of lost turnover is likely to be the new aid to businesses that closed because of the new restrictive measures. However, the details are still being worked out with employers.
This was stated by Economy Minister Lachezar Borisov during a hearing in an economic committee in parliament.

Assisted businesses will be those described in the Health Minister's order. Talks are currently taking place with the gyms. As the funds are from OPIC, the aid will only be able to reach small and medium-sized enterprises.

The goal is to reach the business by the end of December. Innovatively, the NRA will be included in the program, as the agency will be a direct beneficiary under OPIC. The preparation of the conditions for application by the business has already been started. They will submit documents to the NRA through a specified module in UMIS, so that everything becomes electronic and as quickly as possible. The application must begin at the end of the other session.

In order for the NRA to be included, changes in the law will be necessary, Borissov said and asked the MPs for assistance.

Work is also under a new procedure for supporting guides and mountain guides in the amount of BGN 3 million.

Employers, however, criticised the allocation of funds. According to AICB Chairman Vasil Velev, only half of the 156 million levs being redirected for the new measure with the NRA from two OPIC programmes will be sufficient. These programs will be compensated by the money promised for business by REACT-EU, which also caused dissatisfaction. Therefore, the AICB and KRIB asked for at least one programme - the liquidity of the so-called large small firms - to be launched, because if it was delayed, it would not benefit from it. According to Borisov, half of the funds will not be enough. The minister added, however, that there was a buffer of over-negotiation under an old programme that could be used to open the procedure now for “big small” companies.


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