Bulgarian business sector to save up to BGN 200 mln from state fees

The business sector and Bulgarian citizens will save up to BGN 50 - BGN 200 mln after the adoption of a new methodology for cost-based calculation of the fees collected by the state. Currently, these funds are used by the civil servants for the allocation of the so-called additional financial incentives (AFI), announced the Minister of Economy, Energy and Tourism, Traicho Traikov yesterday after a Cabinet meeting. According to him, over the next few months, all ministries and institutions must change their fee rates so as to comply with the actual costs and eliminate this scheme for accumulating additional revenue. "For me, it was important that th Council of Ministers considered this decision by the end of the year. In fact, the final deadlines and legal details are still to be specified and therefore the methodology was adopted only at the submission stage," explained Traikov.

He refused to specify the exact amounts of the future fees and tariffs. However, he emphasised again that currently tens of millions of the collected fees were used for AFI allocation. The Minister promised that as of 2013, the administration will surely part with a definite amount of its revenues. A week ago, he said that as a result of the implementation measures for  curbing the vicious bureaucracy, the companies will be enabled to save overall BGN 313 mln per annum. According to him, the GERB (Citizens for European Development of Bulgaria) government had committed itself to drawing up a methodology for cost-based determination of the fee rates by the end of 2011, but not to change them from the beginning of next.

Meanwhile, 68% of managers in Bulgaria believe that in 2011 the administrative pressure on the business sector was considerably intensified via the increase in various state fees, thus resulting in a strong negative impact on the overall business environment, according to a survey of the BIA (Bulgarian Industrial Association) among 500 Bulgarian entrepreneurs.

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