The EU Cohesion Policy aims at the reaching of a balance and overcoming of the differences in the social and economic development of regions. It is the largest common source for financial support of investments in growth and employment. The funds are some 1/3 from the European budget. Those are about EUR 347 bln. for the current 2007-2013 programme period. That is why the formulating of new directions and priorities over the next 2014 – 2020 period is essential for Bulgaria, regarding national interests and overcoming of the crisis. Minister in Charge of EU Funds Management Tomislav Donchev, who represents this country in the European debate and negotiations on the future of the Cohesion Policy, presented at a national conference in Sofia, attended by high-ranked EC experts the main directions in the changing of European policies over the new period. The minister also voiced the most essential points of this country’s stand on the regulations and their implementation in Bulgaria and the EU member-states.
The common position of Bulgaria has 4 main focuses. The first one is a demand for implementation of a Common Strategic Framework for 5 EU funds – the Cohesion one and 4 structural funds: European Social Fund, European Regional Development Fund, European Agricultural Fund for Rural Development and European Fisheries Fund. The goal of this change is a better synchronization and simpler procedures for absorption of the funds, as well as strengthening of intersectoral integration. The second focus is the implementation of preliminary conditions for the expediency of fund absorption and accordance between national and European policies. The third accent is for implementation of a territorial dimension via a coordination of the funding sources, implementation of an integrated approach for territorial and regional development, as well as allocation of regions with geographical peculiarities /urban, rural, coastal, mountainous/. The forth focus is for a strengthened territorial cooperation, as a large number of tools are used – macro-regional strategies, sea basins and European groups for territorial cooperation.
According to Minister Tomislav Donchev the Cohesion Policy for the next period will turn into a tool for seeking and guaranteeing of a better budget discipline, but also for pressure and stimulation of reforms in a series of key spheres. At the same time, due to its main goal – to reduce the differences between various regions, it will also become an instrument for a targeted investment, aiming at a quicker, wealthier and more competitive Europe. Minister Donchev gave details in an interview for Radio Bulgaria, answering the question “How much European money will Bulgaria receive in the 2014 – 2020 period?”
“We have estimated that this country will have the chance to use over EUR 8 bln. during the next programme period. These are only gratuitous funds, without the national co-financing. It is calculated by using a certain formula. A debate takes place right now on this formula’s parameters, but at the moment it shows precisely this number.”
What are the biggest challenges for the Cohesion Policy?
“Above all, at a European level now each member-state should provide real proofs that the Cohesion Policy is needed, it makes sense and works,” Tomislav Donchev explains. “The truth is that currently the Cohesion Policy is somehow under pressure. The reason – a series of countries have been most generously funded for decades and now those create problems with their unstable economies and unbalanced budgets. Besides that the challenges are related to the reforms in the Cohesion Policy, aiming at an accent on the results. Bulgaria supports all this and we try to achieve it here too. The other dimension of the Cohesion Policy’s reform is a challenge too – it has to be turned not only in a tool for reducing of differences between regions, but also a tool that has to invest in a more connected, more coordinated and united Europe that is above all more competitive. This is the great challenge not only for Bulgaria, but for the entire Old Continent.”
What does it mean for Bulgaria? “A huge part of the funds will be invested for instance in small and medium-sized companies for innovations,” the minister said. “We have estimated that this money will be no less than EUR 2 bln. for the next programme period. We expect 30 percent of the EU financial framework for the 2014 – 2020 period to be allocated to the Cohesion fund. This means investments in heavy infrastructure – roads, railroads and the water sector. We expect 25 percent of the budget framework to go to the European Social Fund. The rest of the money will go to the European Regional Development Fund. I expect the overall sum for Bulgaria to be no less than EUR 2.8 bln.
Tomislav Donchev underlined that Bulgaria is satisfied to a great extend with this money and it will absorb them to the maximum. He reminded that the absorption pace of this country for the 2007 – 2013 period is now closer to the average for the EU. 20 percent of the EU funds are paid at the moment, the certified and recovered by the EC are 15 percent and the negotiated are 66 percent. “This country’s position is a better one under all these criteria now,” the minister is convinced. Bulgaria managed to pay and recover as much EU funds in 2011, as since the beginning of 2007. In his words these are good results. Commissioner in Regional development Johannes Hahn confirmed that fact during his recent visit in Sofia, saying that this country has managed to catch up over the past year.
English version: Zhivko Stanchev
