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Bulgaria’s EU Funds Absorption: Maximizing the Potential!

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  • Iana Paliova
  • Mr. Tonny Lybek

Abstract

This paper focuses on EU structural and cohesion funds assistance to Bulgaria during the 2007–13 program period. Initial weaknesses resulted in a low absorption rate, which was mitigated by increasing advance payments; applying electronic application and reporting procedures; simplifying and unifying tender processes; and strengthening the role of international financial institutions and banks in project preparation, evaluation and monitoring. The possible impact on growth and potential output is briefly discussed, while the risks of improper absorption are acknowledged. Valuable lessons have been learned, but it is recommended that additional steps be taken for the next program period 2014–20.

Suggested Citation

  • Iana Paliova & Mr. Tonny Lybek, 2014. "Bulgaria’s EU Funds Absorption: Maximizing the Potential!," IMF Working Papers 2014/021, International Monetary Fund.
    • Handle: RePEc:imf:imfwpa:2014/021
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    Cited by:

    1. Zaman, Gheorghe & Georgescu, George, 2014. "Absorbţia fondurilor structurale şi de coeziune în Romania: bilanţul perioadei 2007-2013 şi lecţii pentru exerciţiul financiar curent [The absorption of structural and cohesion funds in Romania: ba," MPRA Paper 56144, University Library of Munich, Germany.
    2. Georgiana Raluca Ladaru & Maria Cristina Padure & Eugen Prioteasa, 2014. "The analysis of absorption rate of structural funds for the 2007-2013 programming period. The case of Romania," International Conference on Competitiveness of Agro-food and Environmental Economy Proceedings, The Bucharest University of Economic Studies, vol. 3, pages 213-223.
    3. Stoyan Tanchev & Mariyan Terziev, 2018. "EU funds and economic growth in Bulgaria," Economic Thought journal, Bulgarian Academy of Sciences - Economic Research Institute, issue 1, pages 72-83,84-94.
    4. Kalina Durova, 2018. "The impact of European Union funds on the economies of the Central and Eastern European countries," Economic Thought journal, Bulgarian Academy of Sciences - Economic Research Institute, issue 1, pages 95-112.
    5. Nozharov, Shteryo, 2016. "Social Costs of the Inefficient Management of the EU Funds for Bulgaria," EconStor Conference Papers 148052, ZBW - Leibniz Information Centre for Economics.
    6. Gligor Delia Anca Gabriela, 2015. "The Effect Of Structural Funds On Regional Competitiveness In The New Eu Countries: The Case Of Romania And Bulgaria," Annals - Economy Series, Constantin Brancusi University, Faculty of Economics, vol. 1, pages 225-235, January.
    7. Shteryo Nozharov, 2014. "Model of Effective Management of Bulgarian Public Administration Managing EU Funds," Economic Alternatives, University of National and World Economy, Sofia, Bulgaria, issue 4, pages 64-77, December.

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