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Bulgaria to Pour BGN 1.7 B in Infrastructure in 2011

Wednesday, Oct 27, 2010

Bulgaria's government is planning a total investment of about BGN 1.7 B in infrastructure construction in 2011.

The figure was revealed by Regional Development Minister Rosen Plevneliev on Tuesday, the professional holiday of builders in Bulgaria.

Plevneliev said the BGN 1.7 B in question will come from EU funds and the state budget. Of those, BGN 1.2 B will go into roads and highways, and the rest will be invested in municipal infrastructure projects.

BGN 590 M are expected from the EU operational program Regional Development, BGN 520 M – from operational program Transport, BGN 227 M will come from state investment loans, and the rest will be straight from the state budget.

Plevneliev pointed out that the money slated for infrastructure in 2011 is twice more than it was in the peak year 2008, when the Bulgarian government allocated BGN 900 M from the budget for infrastructure.

In 2008, of the BGN 768 M absorbed for road from the state budget, BGN 400 M went for road rehabilitation, and BGN 368 M – for investment activities.

Plevneliev stressed the importance of infrastructure building for the Bulgarian economy, pointing out that the large foreign investments in real estate that fueled the local economy in 2007-2008 are going. In 2008, foreign investors poured BGN 1.1 B into Bulgarian properties whereas in 2010 so far the figure is only BGN 90 M.

Source: novinite.com