12.04.2012

I do not jeopardize the country's financial stability, said Deputy Prime Minister and Minister of Finance Simeon Djankov on BNT. This is how he commented the reaction of the Bulgarian National Bank from 11 April to the draft Silver Fund Law adopted earlier that day by the Council of Ministers. "I do not think that BNB reaction has stabbed me in the back. If I were the BNB governor, I would write the same letter. They have one major task, i.e. the stability of the Banking system. We have two tasks, namely financial stability of the state and financial stability of the pension system". According to the Finance Minister it is important that the Government has sought the opinion of the European Central Bank about the amendments to the Silver Fund Law which will become clear during the deliberations in Parliament. Minister Djankov made a comparison between the amendments proposed with regard to Silver Fund resources and the practices applied by seven of the EU member states having similar structures which invest roughly about 70% in government securities. Time will show who is competent. I do not want to breach laws but nowhere is said now that BNB may invest in government securities, said the Finance Minister. He supposed that this move of the BNB could be inspired by the commercial banks because of the Government's attempt to control loan interests.

As to the 2013 pension increase, the Finance Minister said it would depend on the inflation rate. "One other increase is discussed for next spring but it is too early to talk about any percentages for everything depends on the development of the economy", said Minister Djankov. He added that the assumed growth for 2012 is 1%, and should it reached 2%, then it would be possible to increase pensions. The Finance Minister assured that there was no connection between the pension increase and the forthcoming parliamentary elections in 2013. "Every day is a day of election, i.e. if you do something good, the opposition will always say it is due to the elections", he said and explained that the minimum pensions would be raised from BGN 136 to 145 as from 1 July. In the middle of next year, in May or June, all pensions will be increased according to the Swiss rule. There are possibilities and an additional increase outside the planned one is being discussed.           

As to the construction of unit 7 of NPP Kozloduy, the Deputy Prime Minister said that the Government had decided to begin with a contract rather than an intergovernmental agreement. The potential investors will go through a procurement procedure which is possible to take place as early as this term of office.