Tue, May 22 2012

Bulgarian Prime Minister to appoint Minister on EU Funds

Fri, Mar 05 2010 13:10 CET 2802 Views
Bulgarian Prime Minister to appoint Minister on EU Funds

Tomislav Donchev won the 2007 election for Gabrovo mayor on Boiko Borissov's party ticket. He has been programme director of Open Society Institute.



Photo: Maria Sabotinova

Prime Minister Boiko Borissov was considering a structural change to the Cabinet by creating the position of Minister without portfolio responsible for European Union funds, Bulgarian media said on March 5 2010.

Borissov told Parliament that he would first consult the European Commission to verify that the new position would not in any way hamper the absorption of EU funds by imposing additional administrative burdens.

"We don't want to slow things down and make a mistake. That's why I will talk to EC experts first and then make the move," Borissov was quoted as saying. The talks are due to take place in one week's time.

He said he needed the new position in the Cabinet to improve co-ordination between the state and municipalities in absorbing EU funds.

He said that he would invite Tomislav Donchev, mayor of the central Bulgarian town of Gabrovo, to take the job if approved by the EC.

Borissov said he had not yet spoken to Danchev but he (Danchev) had proven to be highly professional at absorbing EU funds as Gabrovo mayor.

A few weeks ago Gabrovo was granted 123.5 million leva in EU funds for repairing its water supply network.

The position of minister in charge of EU funds existed in the previous coalition government of Bulgarian Socialist Party leader Sergei Stanishev. It was held by Meglena Plougchieva, also deputy prime minister. Stanishev created the position after Bulgaria lost almost 800 million euro in EU funds due to lack of transparency and alleged corruption.

When Borissov won the elections in the summer of 2009, one of his main promises was to expedite the absorption of EU funds as a counter-measure to the economic crisis. A few months later, however, both the opposition and the right-wing Blue Coalition (which supports Borissov in Parliament) started criticising Borissov for not doing enough regarding EU funds absorption.

A few weeks ago one of the two parties forming the Blue Coalition, the Democrats for a Strong Bulgaria, asked for changes in the way the absorption of EU funds is controlled and managed at government level so as to alleviate the duties of Finance Minister Simeon Dyankov. 

This is not the first time Borissov has proposed setting up a Cabinet position designed to strengthen the Government’s financial and economic team.

In January 2010 he first announced, and later dropped, the idea of appointing INSEAD professor and renown world macro-economist Ilian Mihov as deputy prime minister without portfolio to oversee the economy.

Mihov was expected to work alongside Dyankov in seeking to improve Bulgaria’s economic fortunes and, in parallel, put the country on the fast track towards joining the euro zone.

However, after the negative reaction, mostly from the Blue Coalition who suspected that Mihov's views might affect the currency board introduced in 1997, he decided not to accept Borissov's invitation and said that his appointment could wait until Bulgaria joined the ERM2.

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