Vazrazhdane MP Dimo Drenchev criticized the government over the lack of structural reforms in the budget and the way proposals for changes to the social security and pension systems had been presented. On the BNT program “Talk Now,” he said that savings should be sought by cutting the state administration, agencies and ministries, rather than by reducing funding for people who care for their loved ones.
The proposal to amend the Personal Assistance Act prompted his sharpest criticism. Drenchev noted that there are around 90,000 personal assistants in the system and that measures are needed to address the costs, but they should be discussed in advance. “We have a problem. There is a leak in the social security system and some measures need to be taken,” the MP said.
According to him, limiting funding for personal assistants would save around €50 million annually. He compared this sum with the €1.1 billion he cited for five anti-aircraft missile systems and said that the state should not cut spending on people who care for sick relatives while allocating significantly more to defense.
The government has already withdrawn the bill to amend the Personal Assistance Act following criticism from the opposition and reactions from mothers of children with disabilities. The governing parties announced that they would prepare a new version after consulting representatives of the affected families. They said the aim was to curb abuses without disadvantaging people who genuinely need support.
Drenchev described the withdrawal as the result of poor communication. In his view, the proposals had been presented without sufficient discussion and debate, making them difficult to adopt even if some of the ideas had been well-founded.
The MP confirmed that Vazrazhdane would once again submit a proposal to abolish the second pension pillar. According to him, funds from mandatory social security contributions should go to the National Social Security Institute instead of being managed by private pension companies.
Drenchev also linked his criticism of the budget to the change in the outlook for Bulgaria’s credit rating. Standard & Poor’s confirmed the country’s rating at BBB+/A-2, but changed the outlook for the long-term rating from positive to stable. According to the MP, this was an assessment of the lack of structural reforms, while data published by BNT showed that the rating itself had been confirmed and that the outlook for its development had been changed.
As possible sources of savings, Drenchev pointed to cuts to agencies and ministries. He said that the budget changes expected by credit rating agencies should be structural rather than limited to reducing spending in the social security system.