Brussels Reimburses Subsidies for Bulgarian Grain Producers

Rumen Porozhanov, executive director of the State Fund Agriculture (SFA). Photo by BGNES

The EU subsidies for Bulgarian grain producers have been deposited in the country's fiscal reserve, announced Rumen Porozhanov, executive director of the State Fund Agriculture (SFA).

The subsidies are said to have been the last "nail in the coffin" of former Finance Minister, Simeon Djankov, before the latter submitted his resignation back in February.

At the end of March, caretaker Prime Minister, Marin Raykov, insisted before Brussels to reimburse Bulgaria for the money paid to grain producers, while two days later, his predecessor, Boyko Borisov, personally thanked the President of the European Commission, Jose-Manuel Barroso, for the transfer of the funds.

Speaking Wednesday for the Bulgarian National Radio, Porozhanov announced another EUR 80  M that were said to be under doubt, have been approved by Brussels and will enter the fiscal reserve in just days.

The EUR 80 M are a portion of the total of EUR 280 M in EU funds for the fourth quarter of 2012 that had to be checked by the EU for being paid according to the rules. They were given for a number of municipal projects and the entire amount has been now approved.

Porozhanov further says that currently 79% of the funding under the Rural Areas Development Program have been negotiated, voicing firm conviction that the remaining 21% would be agreed on way before the end of the year.

2013 is the last year in the period to seal contracts for EU funds. They can be used for rural tourism projects, other business projects in rural municipalities, for environmental farming, and in disadvantaged rural areas.