Series:CSD Economy Papers

Privatisation Funds - the Bulgarian Model, 1997

Privatisation Funds - the Bulgarian Model, 1997

Author(s): Mira Prohaska / Language(s): English

The privatisation funds are specific investment companies. In this sense as the first representatives of this type of economic entity they will have their own importance for capital market development in Bulgaria. In their role as instruments for 'mass' investment their establishment is associated with the application of the programme for mass privatisation. In addition, the privatisation funds are a separate group of issuers which will supply the capital market with "goods" (their own shares - although at the initial stage they are a little immobile) of which the quality will be determined by the funds' successful performance.

Institutional and Policy Framework for the Development of Capital Market in Bulgaria, September 1997

Institutional and Policy Framework for the Development of Capital Market in Bulgaria, September 1997

Author(s): Author Not Specified / Language(s): English

The existing legal and institutional framework and available technical facilities in the Bulgarian capital markets do not work very efficiently towards supporting a fully developed securities market. The necessary legislation, institutions and technical facilities must be put in place, so that, over time, a market will develop which will be able to absorb the volumes normal for a country of the size of Bulgaria and, potentially, international trades. The following discussion presents specific issues that need to be addressed, so that said purposes could be met.

The Reform in the Bulgarian Banking System

The Reform in the Bulgarian Banking System

Author(s): Ivan Tabakov / Language(s): English

The economic reforms that were launched in Bulgaria following the democratic changes in late 1989 are meant to carry out the transition from a centrally planned, to market oriented economy. The banking reform is one of the chief preconditions for the organization of a financial system that conforms with market economy principles, which can facilitate the overcoming of the crisis and restoration of macroeconomic stability. The process of institutionalization of the banking system in the country was supposed, within a relatively short period of time, to settle several critical groups of questions. Most notably these were: to lay the foundations of the money and foreign exchange market; to secure stability and trust in the financial institutions; to encourage competition between them. The highlight of the reform of the financial and credit system was the transformation of the Bulgarian National Bank from an instrument of centralized planned management and a banking monopoly, into a central banking institution in a position, through its independent monetary policy, to guarantee the stability of the national currency and the viability of the banking system in Bulgaria.

Unemployment, Poverty, Social Security: the Bulgarian Experience, June 1993

Unemployment, Poverty, Social Security: the Bulgarian Experience, June 1993

Author(s): Georgi Shopov / Language(s): English

The rapid pace of political and economic changes over the last three years have faced Bulgaria with a great variety of challenges. The transition to a democratic society and a market economy, which is taking place under a deepening economic crisis, has caused - or, rather, made obvious - a number of acute problems. Against this background, unemployment and poverty proved to be the social problems with the highest conflict-generating potential.

'Brain Drain' in Transition of Science

'Brain Drain' in Transition of Science

Author(s): Daniela Bobeva / Language(s): English

The paper analysis the reasons why Bulgaria is one of the specific cases of science development and 'Brain Drain'. Bulgaria is one of the countries with the largest share of unemployed with higher education - 17% of all unemployed. The unemployment promotes the emigration attidues among scientist. The data indicates that the Bulgarian science personnel is ageing. Less and less young people work in the research institutions. Special measures are needed in this respect on the part of the government for encouraging young people. Before the reforms Bulgaria used to have a highest standard by the indicator "employed in science per capita".

Measurement of aggregate economic activity by means of composite indicators

Measurement of aggregate economic activity by means of composite indicators

Author(s): Valentin Tchavdarov,Evelina Radeva / Language(s): English

The Agency for Economic Cooperation & Development /AECD/ experts have begun to asses three barometers of aggregate economic activity since March 1992: economic activity barometer, economic expectation barometer and diffusion index. In that paper we share our experience on the assessment of composite indicators and their utilization in analyzing performance of Bulgarian economy on macro level.

Economic reform in Bulgaria

Economic reform in Bulgaria

Author(s): Spartak Keremidchiev,Todor Gradev,Stephan Kyutchukov,Todor Popov,Reneta Indjova,Todor Radev / Language(s): Bulgarian

At the beginning of 1991 the Bulgarian economy had almost reached the point of collapse. This was due to the economic policy of 1990, combined with the negative effects of the Persian Gulf crisis. On this background a project for one-year "stand-by" credit for Bulgaria from the IMF was prepared. The agreement was signed in February 1991 and confirmed by IMF on March 15. Under these circumstances the use of the IMF resources was the only possibility for partial recovery of the country's hard currency reserves, and this possibility could certainly be used only under the specific conditions required by IMF.

Bulgarian Fiscal Policy in the Stabilization Program

Bulgarian Fiscal Policy in the Stabilization Program

Author(s): Nikolai Gulubov / Language(s): English

The first changes (after the most important political change on November 10, 1989) toward a pluralistic society and market economy appeared in 1990. In that year for the first time Bulgaria began its fiscal year (which coincided with the calendar year) without a budget prepared and approved by Parliament - due to the complicated economic and political situation. In 1990 alone. Parliament voted the state budget twice (the second budget was an updated version of the earlier one and its basic indicators were even worse). The actual implementation, in turn, was a less successful version of the second budget. This tradition was followed throughout 1991 and will obviously prevail as well in 1992.

The Treatment of Non-Monetary Contributions, February 1992

The Treatment of Non-Monetary Contributions, February 1992

Author(s): Author Not Specified / Language(s): English

This material has been published as part of the “Issues in Bulgarian Law” series prepared by the Law Reform and Comparative Law Program, a project of the Center for the Study of Democracy in Sofia, Bulgaria.

Inflation in Bulgaria - Methodology of Measurement and Tendencies in Its Development during 1991 - 1992

Inflation in Bulgaria - Methodology of Measurement and Tendencies in Its Development during 1991 - 1992

Author(s): Maria Zetcheva / Language(s): English

Price liberalization occupies a central place in every stabilization program. Its purpose is to reach a rational relative price structure and thus to eliminate the imbalance between the solvent demand and supply of goods and services, set up in the terms of administrative valuation of prices. By removing price level control arises a possibility of unfolding hidden inflationary processes in the economy. The choice of a liberalization scheme is an important problem in this aspect. It is to direct the completion of price liberalization process so that an optimum effect is reached.

Bulgarian financial markets during 1991 - 1992. Institutional mechanisms, role and results of monetary policy

Bulgarian financial markets during 1991 - 1992. Institutional mechanisms, role and results of monetary policy

Author(s): Nikolay Gueorgiev,Nikolay Gospodinov / Language(s): English

The radical transformation of the nation's economic system requires that a new financial system facilitating the functioning of today's market economy to the utmost degree should be created. The consolidation of the banking system through the enlargement of existing commercial banks aiming at a higher degree of their stability is now under way.

Privatization and Foreign Debt Conversion in Bulgaria

Privatization and Foreign Debt Conversion in Bulgaria

Author(s): Author Not Specified / Language(s): English

Investigating Efficiency of Western Consulting Firms Advising East-European Companies

Investigating Efficiency of Western Consulting Firms Advising East-European Companies

Author(s): Author Not Specified / Language(s): English

According to the agreed research methodology during the Budapest meeting in January 1994, the Bulgarian research team carried out the following activities: - A team of researchers was formed mainly from the CSD: Dr. Daniela Bobeva - Director of the Economic Programme of the Center for the Study of Democracy, Jordan Markov - research fellow, Julia Dobreva- research fellow, Sonya Dilova - research fellow. The team prepared the draft questionnaire for the survey of the companies (first phase of the project). This questionnaire was approved by the other countries participating in the project. - Eighty-five standardized interviews were carried out in the first phase of the ACE Research Project "Investigating the Efficiency of West-European Consulting Companies Working for East-European Companies". The aim of the survey was to evaluate to what extent the practice of using foreign or domestic consultants was spread among Bulgarian state owned companies. The survey gave an opportunity to compare the efficiency and acceptance of foreign and Bulgarian consulting companies. The main results of the survey were presented to the other teams in the project.

Unemployment and Labor Market in Bulgaria

Unemployment and Labor Market in Bulgaria

Author(s): Yordan Hristoskov / Language(s): English

A number of measures for the stabilization of the economy and the building up of the appropriate institutional and legislative framework of market economy and parliamentary democracy have been introduced with the aid of international financial institutions and various programs for technical assistance. The liberalization of prices, the cuts in state subsidies for the economy, and the creation of a credit and currency market were the first preconditions for a transition to market economy.

Article on Undeclared Work from SYSDEM Correspondent: Bulgaria

Article on Undeclared Work from SYSDEM Correspondent: Bulgaria

Author(s): Pobeda Loukanova,Tihomir Bezlov / Language(s): English

The Article, published in May 2007 by the European Employment Observatory, debates on undeclared employment and the grey economy in Bulgaria. The authors, Tihomir Bezlov, Senior Researcher at the Center for the Study of Democracy and Pobeda Loukanova, Senior Researcher at Institute of Economy at the Bulgarian Academy of Sciences, argue that the absorption of the Structural Funds demands proper tax behaviour of companies and transparent management. This defies the interests of the correct taxpayers to those evading taxes. It was the businessmen from the first group who launched a campaign against the shadowy sector with the traditional involvement of the professional unions. The high social security contributions are constantly the focus of debates organised by the professional unions. The Government on its part has serious political problems instigated by the grey sector expansion thus reducing the means for social expenditures. These more important reasons induce the 2007 campaign for rethinking the recently applied approaches for limiting the grey economy in Bulgaria.

Corporate Governance and Control in Bulgaria. Summary Report

Corporate Governance and Control in Bulgaria. Summary Report

Author(s): Author Not Specified / Language(s): English

This report is aiming at presenting the state and specific problems of corporate governance and control in Bulgaria. It has been elaborated as part of the project "Corporate Governance Initiative in Bulgaria" with the financial support of the Center for International Private Enterprise, an affiliate of the U.S. Chamber of Commerce. The project is mainly targeted at facilitating the introduction of contemporary standards of corporate governance and procedures that are to guarantee responsibility and accountability, transparency in the economy and control mechanisms within companies. The report has been drawn on the basis of data from sociological surveys (carried out by Vitosha Research Agency for the Center for Economic Development) as well as publications of international organizations and specialized editions. The conclusions for Bulgaria presented in the report are based on the information from a qualitative sociological survey on the corporate governance problems. The survey was carried out in late January 1999 using the discussions-in-focus-groups method. Participating in the discussions were representatives of branch ministries, the Privatization Agency, Center for Mass Privatization, Securities and Stock Exchanges Commission, Bulgarian Stock Exchange - Sofia, managers of enterprises and investment companies, investment intermediaries, investors. organizations, individual shareholders, journalists.

Corporate Governance Initiative for Bulgaria - Action Plan

Corporate Governance Initiative for Bulgaria - Action Plan

Author(s): Author Not Specified / Language(s): English

The present action plan contains practical measures and proposals for the improvement of the corporate governance in Bulgaria. It was prepared by the expert group, working on projects within the Corporate Governance Initiative in Bulgaria. A substantial part of the proposals were induced by the results and analyses presented in the Corporate Governance Assessment Report:2000, other expert opinions have also been used for the regulatory changes and improvement of the practice in that aspect.

Postprivatization Behavior of Enterprises in Bulgaria, 1994

Postprivatization Behavior of Enterprises in Bulgaria, 1994

Author(s): Author Not Specified / Language(s): English

BULGARIAN SMALL AND MEDIUM-SIZED ENTERPRISES AND THEIR PARTICIPATION IN THE ABSORPTION OF THE STRUCTURAL FUNDS OF THE EUROPEAN UNION

BULGARIAN SMALL AND MEDIUM-SIZED ENTERPRISES AND THEIR PARTICIPATION IN THE ABSORPTION OF THE STRUCTURAL FUNDS OF THE EUROPEAN UNION

Author(s): Author Not Specified / Language(s): English

After Bulgaria joins the EU in 2007 the country will receive access to the Structural Funds (SF) and the Cohesion Fund of the European Union (EU), which are the main instruments for reducing the economic and social disparities within the Union. The effective management of these proceeds entails good knowledge of the EU Funds’ requirements and thorough preparation at national, regional and local levels both by the public and private sectors, including the small and medium-sized enterprises (SMEs). In 2000 in Lisbon, the European Commission and the EU Member States agreed upon the ambitious goal that by 2010 the European Union would have to become the most dynamic knowledge-based economy in the world . The instruments and mechanisms to achieve this goal have been outlined in the Lisbon Strategy of the EU. In 2005, an interim review on the progress of the Lisbon Strategy was done, based on which it was concluded that the Union was falling behind in some of its basic parameters, and that the gap between the EU and the leading innovative world economies of the United States and Japan was broadening.

The Insurance Market in Bulgaria, September 2004

The Insurance Market in Bulgaria, September 2004

Author(s): Author Not Specified / Language(s): English

At the end of august 2004, the second consecutive survey was conducted to study and assess the insurance market and services in Bulgaria in one year period. The survey was representative of the country’s adult population. The size of the two-stage cluster sample was N=1000 covering the whole territory of the country. Information was collected by the method of the face-to-face in-home interview.