There are only a few days left until the European Commission's report, which will determine whether Bulgaria will be able to meet the requirements for a budget deficit of up to 3%. The executive director of the European Foundation for the Improvement of Living and Working Conditions, Ivaylo Kalfin, commented on the topic on bTV.
When asked whether Bulgaria could present a budget with a deficit of up to 3% within a month, Kalfin replied: “Theoretically, everything is possible, but politically it is not so possible.“
He pointed out that we should wait to see what the government will propose.
“These measures that were announced are unlikely to save it new funds. In addition, there are expenses that need to be made related to the implementation of European projects if we want to get our money back later. And that is why there was a question of increasing the debt“, said Kalfin.
According to him, the budget will remain incomplete by the end of the year.
“By the end of this year, it will be, let's say, a lame budget anyway. This is not a full budget, it is not a normal budget for half a year to be adopted. Especially with the burden already inherited, not only from the beginning of the year, but from past years.“
Commenting on the allegations about the heavy legacy from previous administrations, Kalfin stated:
„Every new person who comes into politics, including, justifies himself with the previous ones. We have seen this every time there has been a change of government in Bulgaria.“
According to him, the real problem is the lack of stable governance in recent years.
„What is bad is that for 5 years Bulgaria did not have a stable government. Nobody thought about 3-4 years, 5 years ahead. That is why laws were adopted by the parliament that were – let's please some group.“
Regarding the measures to limit expenses, Kalfin commented that reducing party subsidies will not have a serious financial effect.
„This will not have a big fiscal effect, it will rather have a signal, a political effect, that the parties themselves are tightening their belts.“
He also touched on the topic of motherhood, emphasizing that the conversation should not be conducted through the prism of budget savings.
„This topic should be discussed, but not from the perspective of budget expenses and saving money.“
According to him, Bulgaria has the longest motherhood in the European Union.
„It should be looked at through the prism of the prospects of a young woman to develop her career, to work, or the other is to stay at home after the children grow up a little, to lose any chances for development.“
Kalfin noted that in order for such a choice to be possible, quality public services are needed.
„For this thing to happen, there must be public services that take care of this care. And this is not just about taking care of children, it is about taking care of the elderly.“
Regarding administrative reform, Kalfin pointed out that every new government starts with promises to cut the administration.
„The Minister of Finance always announces a 10% cut in the administration. It is growing gradually anyway, new structures are being opened.“
He drew attention to the Prime Minister's words that the leading criterion should be the quality of services.
“Not the budgetary effect of the reduction of the administration, but the effect of improving the quality of the administrative service. If this happens, it is indeed a very good thing to do.“
Kalfin called for the reform not to be measured solely by the number of employees laid off.
„Make an administrative reform that is not related to firing more people, but to improving public services.“
Commenting on the data on inflation, which according to preliminary estimates reached 7% on an annual basis in May, he stated that it is too early to look for results from the actions of the cabinet.
„This government has not yet had time to adopt its own measures that will then be seen in the economy.“
According to him, the main reason for the price increase is external factors.
„The big reason for the price increase is related to the war in Iran and the Middle East east.“
Kalfin pointed out that according to the analyses, the most effective measures are aimed at people with low incomes.
„The best measures are related to compensating people with low incomes. And not with horizontal measures, such as reducing the excise tax on gasoline.“
Kalfin also commented on the foreign policy activity of Prime Minister Rumen Radev, and regarding the idea of abolishing visas for the US in exchange for extending the stay of American military aircraft, he stated:
„Regarding some kind of ultimatum to the United States, I don't think that's serious. And no one has declared it an ultimatum.“
According to him, this is a request that has not yet received a positive response.
„The Prime Minister said that he asked the American president to abolish visas in exchange for the military aircraft remaining.“
Kalfin expressed hope that the conflict in Iran will end as soon as possible.
„I hope that this conflict in Iran will end as soon as possible. So it's difficult to talk about ultimatums and anything like that.“