Ministry of Finance of the Republic of Bulgaria
SIMEON DJANKOV: I WOULD LIKE TO RAISE ALL INCOME BY 3-5% FROM APRIL
We have achieved a very favourable interest rate of 4.25% and the demand was strong. The great interest from the Middle East has been unexpected but that means that Bulgaria's image is good in the region and that there is huge liquidity there, the Deputy Prime Minister and Minister of Finance Simeon Djankov reported in an interview for 24 Chasa (24 Hours) daily. According to him the direct budget effect of the successful Eurobond issue a week ago would be that BGN 62 million of debt payments would be saved on an annual basis. The Minister stated that the success of the issue was due to a well done homework, careful choosing of the moment and a little luck.
The Finance Minister commented also the possibility for raising all income, adding that the growth could be 3-5%. He clarified that to the 2% EU average growth we should add 3% in order to reach the EU average. Djankov specified that technically easier would be the increase to take place in March-April next year, the necessary precondition being the optimization of expenditure in the ministries.