15.02.2022
OPIC IS PREPARING A PROCEDURE FOR ENERGY EFFICIENT TECHNOLOGIES IN SMES
The Managing Authority of the Operational Program "Innovation and Competitiveness" 2014-2020 (OPIC) prepares documentation for announcing a procedure for Energy Efficient Technologies in SMEs. The funds are from the tranche for 2022 of the REACT-EU instrument and amount to about 70 million euros (136,226,120 BGN) and are planned to be used to restore the investment activity of enterprises, seriously hampered by restrictive measures in connection with COVID-19, and find it difficult to cope with the transition to a green economy. Support for SMEs will also contribute to the achievement of climate goals, as required by the REACT-EU Regulation.
The prepared measure aims to increase the investment of SMEs in energy efficient technologies. This is particularly important in the context of rising electricity and gas prices. It will also contribute to the achievement of the overall cumulative goal of energy savings for the period 2021. - 2030, enshrined in the Integrated Plan in the field of energy and climate of Bulgaria.
The indicative date for announcing the measure is the end of March 2022.
11.02.2022
IS IT WORTH INVESTING IN AGRICULTURAL LAND?
Investments in this sector not only complement the rich palette of security opportunities and savings growth, there are also a number of advantages.
The pandemic of the last two years has triggered a series of crises that have had a serious impact on economic life and financial flows. Global supply problems, economic recovery in 2021, rising energy prices have awakened the monster of inflation. However, all this comes at a time when the savings of companies and individuals are growing once again, banks have huge reserves, at least at the beginning of the new year continue to give low-interest loans, but also increase fees for account maintenance and deposits. These accumulations affect savings, create worries about where and how to save them until this perfect storm passes. Some of this capital was invested in the real estate market, which led to its strong dynamics and rising prices, and others were invested in cryptocurrencies. Many investors used their money to buy shares in companies traded on stock exchanges, thus providing a temporary haven for their funds.
Avalanche growth
While high-risk dynamics are emerging in other markets, agricultural land and the agricultural business are proving to be an undervalued asset. In recent years, investment here has grown exponentially. Agricultural land is bought not only for the production of various crops, which are sold at a profit on world markets. But it also has sustainable and predictable potential for development.
According to data from the National Statistical Institute for the period from 2010 to 2020 (there are still no statistics for 2021) the fields in Bulgaria have risen almost four times - from BGN 279 average price per decare to BGN 1,042. In Northeastern Bulgaria black earth even reaches prices of BGN 1,470 per decare. The pandemic does not directly reflect on the land market and according to preliminary estimates of the Bulgarian Association of Agricultural Landowners (BAAL), the persistent trend of rising prices continues last year.
Hidden benefits
Investing in agricultural land and agricultural business not only complements the rich palette of opportunities for security and growth of savings and financial capital. But there are a number of advantages. After Bulgaria's accession to the EU, investments in this market have proven to be one of the most stable. In addition to profits from rising land prices, but also cash flows from rents and subsidies from EU funds. For rent alone, for example, for the period from 2018 to 2021, revenues have increased from BGN 49 to BGN 57 per decare, according to BAAL data.
Land users - due to political and economic uncertainty and probably for purely savings reasons, are increasingly resorting to buying land. This creates a constant demand, but with a shortage of supply, which turns this real estate into a valuable asset.
European subsidies, access to technology, information and education have created a rich stratum of farmers that is a worldwide phenomenon. In addition, there is predictability and self-regulation in the agricultural land market among business organizations that maintain a high professional standard. There are active branch organizations in Bulgaria that protect the interests of investors before the institutions.
Opportunities
If someone is interested in buying agricultural land, but does not have enough time, money and knowledge, here is a working solution - shares or stakes in companies that invest in agricultural land. It is important that they are traded on a regulated market (stock exchange) and are as transparent as possible to ensure the peace of mind of depositors.
Another opportunity is to start an agricultural business and become one of the successful farmers. However, for this you need to find the right place and location, consolidated territory. And to gain the trust of people who have land and are willing to sell or rent it for a long enough period of time. In some western countries there are programs for early retirement of farmers, with which the state buys farms and resells them to those wishing to engage in agricultural business. In Bulgaria, however, you have to do it yourself.
What are the advantages of the agricultural business?
You can produce products that are always in demand and supported by European funds and the state. You also own real estate that you can sell at a profit at any time. According to national statistics in Bulgaria, the average increase in the price of agricultural land in the last decade is over 10% per year.
What are the disadvantages?
Owning an "open-air factory" and being dependent on climatic conditions and change is hardly the safest investment. But there is a solution for this and successful farmers are proving it. Probably the most difficult part is entering the agricultural business. How can the people you rely on trust you to rent you their land if you do not have a history and experience as a farmer. How do you persuade older people, for whom the earth is valuable, to let you manage it? The solution is to buy an agricultural business and secure a history, rented land, and why not own land. However, there is no ready solution for this endeavor either. Some begin to search through acquaintances, friends and find. Here, however, you are also facing the competition of large farmers and landowners who are constantly growing their business.
Profits with prospects
Like any economic sector, this one has peculiarities, and its players have a distinctive behavior and profile. There are several types of sellers of agricultural business:
In any case, you need to be prepared and react quickly if you want to invest in the agricultural business, because interest is growing. The profit realized by some farmers per decare of land can be from BGN 50/decare to over BGN 100/decare, depending on their ingenuity, knowledge and skills. Farmers who work with 100,000 decares of land can earn between BGN 5 million and over BGN 10 million a year. And this perspective gives a wide range and opportunities for the price of owning such a business.
Source: Manager magazine
08.02.2022
IN WHICH SECTORS ARE MOST SOUGHT AFTER WORKERS
At the end of January 2022, we see a rapid recovery in the number of job postings. It has increased by as much as 70%, as compared to January 2021 this increase is 55%, according to a study by JobTiger.
Two-digit and three-digit increase in ads is observed in all industries. The largest growth was in the construction sector (108%), followed by production (93%), marketing and advertising (91%) and accounting, auditing, finance (85%).
In the other sectors the growth of advertisements is as follows: "Administrative and service activities" (76%), "Health and pharmacy" (75%), "Hotels and restaurants" (72%), "Trade and sales" (67%) , Logistics and Transport (21%) and IT (20%).
On an annual basis, again, in almost every sector we see a double-digit increase in job advertisements. It is highest for the Hotel and Restaurant sector (163%) and lowest for the Logistics and Transport sector (6%).
The share distribution of the announcements by sectors:
After taking the lead in December, the IT sector lost first place with a share of 17% and again ranked second after Trade and Sales (21%).
They are followed by the sectors "Production" (15%), "Administrative and service activities" (11%), "Hotels and restaurants" (10.6%), "Logistics and transport" (6%), Construction (5.3%), Accounting, Auditing, Finance (4.8%), Health and Pharmacy (4.2%), Marketing and Advertising (3.6%) and Art (1%).
Work from home
Proposals for work from home and/or telecommuting have increased by 51% compared to December, and their share in the total number of ads is 14.9%. Again, as in previous months, they are most numerous in the IT sector (66%), followed by Administrative and service activities (15%) and the outsourcing industry (14%) and Trade and sales (5%).
Ads with a requirement to have a green certificate
The number of proposals required for a green certificate (certifying a completed cycle of vaccination against COVID-19 or its disease) is 170. Although their number is gradually increasing, they still represent only 0.6% of the total number of ads.
Supply by cities
The proposals in the capital occupy a share of 49% of the total number, and in the other cities the distribution is: Plovdiv (10%), Varna (8%), Burgas (3%), Ruse (3%) and Stara Zagora (2%).
Together, the ads in these cities make up 75% of the proposals in the country.
08.02.2022
THE UNEMPLOYED HAVE DOUBLED THE NUMBER OF PEOPLE WHO HAVE STARTED WORKING SINCE THE BEGINNING OF THE YEAR
5360 are newly registered unemployed across the country in the first week of February - according to data from the National Statistical Institute and the Employment Agency.
For the period January 31 - February 6, 3,288 people came to work through the labor offices.
The results of the specialized labor market monitoring show that since the beginning of the year the newly registered unemployed exceed 30,000 people.
For the period January 3 - February 6, the number of employed through the Labor Offices is twice less - 14,540 people. In the last observed week from January 31 to February 6, most were registered in the Labor Offices in the districts of Sofia, capital, Plovdiv and Blagoevgrad.
At the same time, those who started working in this period are mostly also in the capital and Plovdiv region, as well as in Pleven.
04.02.2022
ACCELERATION AND START-UP FUNDING FUND TO SUPPORT START-UPS
Konstantina Voynova, expert in the Financial Instruments Department of the Fund of funds, Yavor Gochev, Investment Manager at Innovation Capital, and Kamen Bankovski, Investment Manager at Vitosha Venture Partners, talk more about the activities, results and mechanisms of the Fund for Acceleration and initial funding in the podcast "Fund of Funds: Mission Funding" hosted by Zhivka Popatanasova.
The Acceleration and Initial Funding Fund supports entrepreneurship and the growth capacity of small and medium-sized enterprises. It improves the access of young and developing entrepreneurs to financing and the transition of the Bulgarian economy to one based on knowledge, said Konstantina Voynova.
"The projects are financed under the Operational Program for Innovation and Competitiveness with a resource from the European Regional Development Fund, as well as from a national resource," she said.
She added that the resource the organization manages and provides is nearly 71 million euros. The Acceleration and Initial Funding Fund is divided into 3 parts. The first two funds are Innovation Capital and Vitosha Venture Partners. The third fund is called New Vision 3 and it supports companies in a slightly more advanced start-up. The first two funds also support companies that are in the early stages of development, such as pre-seed and acceleration.
"Since its inception, the funds have provided or will provide funding in a very short time to more than 130 companies," she added.
Together with the mobilized private resource, the funds that reach the final recipients are nearly 43 million euros.
The main task of the fund, says Yavor Gochev, is to manage the funds and find the best prospects for companies that will benefit from financial support and develop sustainable businesses that will grow.
"We are talking about venture capital here and we do not rule out the possibility that some of these companies will fail and go bankrupt," he said.
Kamen Bankovski says that when investing in such companies, the funds often try to find out whether a certain business with secured capital will be able to reach the next stage of development quickly enough. This stage can be to achieve sustainability - the company to place products or services on the market well enough to sustain its operations, to develop and continue to grow, or to show good enough indicators to be financed again by another fund.
03.02.2022
HOW TO PROTECT YOURSELF FROM SKIMMING DEVICES - EASY RULES FOR SAFE MONEY WITHDRAWAL
Skimming devices placed in ATMs can be identified if users carefully inspect the machines before using them.
The international financial services provider Euronet advises following a few simple rules to minimize the risk of fraud when withdrawing funds from ATMs. The company's experts emphasize that 80% of all payments in Bulgaria are in cash and therefore it is crucial that consumers are well informed on how to use an ATM safely and protect their money.
Check for skimming devices
Skimming devices are card readers that are installed in the ATM and can be disguised in such a way as to look like part of it. The devices in question steal the data on the card and subsequently the money in it can be easily withdrawn by fraudsters. The first basic rule before users put their card in the ATM is to try to move the keyboard to see if it is part of the machine, or on the original is placed a fake. An important step in checking the ATM device is to try to move the plastic part around the bank card slot. Another golden rule is that when entering the PIN code, always cover the keyboard with your hand in case an illegal camera is placed around.
Carefully choose the location of the ATM and estimate the withdrawal time
Euronet advises avoiding withdrawing money from ATMs in locations that do not appear to be safe enough, such as empty dark streets and places without any security measures. In addition, using an ATM device at night is not recommended unless it is located in a busy area.
Keep the note
And machines make mistakes. The ATM receipt is proof of a transaction, so consumers must keep it in case a case arises. Another reason not to throw the note in the trash next to the ATM device is that it contains a lot of important data. If information such as your name and account number falls into the wrong hands, you can get into serious trouble. Criminals will certainly find a way to use this data for fraud.
Ask the experts
If you are concerned that the ATM may have security issues, then be sure to contact the machine operator. The contacts should usually be written on the device itself. Most customer service centers are available around the clock to resolve various cases, so it is better to seek help instead of taking risks. You need to do the same, not only if you are worried about the security of the ATM, but also if you have a problem with withdrawing money. In this case, it is important to note that the reason may not be the machine you are using, but your bank card. So contact both the ATM operator and your bank to make sure everything is in order.
03.02.2022
INVITATION FOR PARTICIPATION IN PUBLIC DISCUSSION AND PUBLIC CONSULTATIONS OF THE DRAFT PROGRAM FOR CROSS-BORDER COOPERATION BETWEEN BULGARIA AND SERBIA 2021-2027
In connection with the preparation of the final version of the Cross-border Cooperation Program INTERREG IPA Bulgaria-Serbia 2021-2027 for official transmission to the European Commission (EC), as well as pursuant to Art. 14, para. 2 of Decree № 142 of the Council of Ministers of 2019, the Ministry of Regional Development and Public Works invites to participate in a public discussion of the draft program, which will be held on February 22, 2022 at 15:00. The discussion will be conducted remotely through the WebEx application in real time.
Those wishing to take part in the public discussion should send the following information: three names, e-mail and institution/organization they represent (if any) by February 15, 2022 to ma_ipacbc@mrrb.government.bg
After the expiration of the specified deadline, those who wish to participate in the event will receive the details for inclusion in the WebEx meeting of the e-mails specified by them.
The Ministry of Regional Development and Public Works will continue to perform the functions of the Managing Authority of the Cross-Border Cooperation Program between Bulgaria and Serbia in the next programming period 2021-2027. The project of the INTERREG IPA Bulgaria - Serbia 2021-2027 program has been published for public consultations on the Public Consultation Portal www.strategy.bg and on the website of the Ministry of Regional Development and Public Works www.mrrb.bg.
You can submit comments and opinions on the published draft of the program by March 4, 2022 in the office of the Ministry of Regional Development and Public Works at the address: Sofia, St. St. Cyril and Methodius № 17-19, as well as in electronic form at the e-mail address: ma_ipacbc@mrrb.government.bg.
03.02.2022
THE SOCIAL PROTECTION FUND OF THE MLSP WILL FINANCE PROJECTS FOR MODERNIZATION OF SOCIAL SERVICES
The Social Protection Fund (SPF) of the Ministry of Labor and Social Policy is raising funding for project proposals of municipalities and private providers for the modernization of the material base of social services and support for the activities of social enterprises.
The projects will be financed in two directions. Under Component 1, the SPF will finance proposals for the acquisition of fixed assets and current maintenance of the material base for the provision of social services, as well as for the construction of a new or for reconstruction and modernization of the existing material base for the provision of social services. A total of BGN 800,000 will be provided for financing projects in this area. Project proposals will be accepted until March 31 and will be ranked and approved by April 30.
Under Component 2, the Social Protection Fund will provide funds to support the implementation of social activities and/or to achieve the social goals of social enterprises entered in the Register of Social Enterprises. The approved proposals will be funded with a total of up to BGN 50,000. The projects will be accepted until April 30, and will be approved and ranked until May 31.
The announcement and the application documents are published on the following website address: http://mlsp.government.bg/fond-sotsialna-zakrila - section "Documents".
03.02.2022
WHEN AND WHY WE NEED AN EMERGENCY FUND
No matter how good a budget plan we have, extraordinary expenses are a part of life that is not under our control. They may be related to the need for unexpected repairs, urgent purchase, medical treatment, job loss.
The reasons are various, but the solution is one - to create an "emergency fund" that will protect you from taking (quick) credit. That is why at the very beginning of our working career we should start thinking about setting aside funds for an emergency fund.
What is the emergency fund
The emergency fund is an essential part of our financial protection in unforeseen circumstances. An important factor for any emergency fund is liquidity. You need to be able to get the amount you need as quickly as possible to deal with the situation. One option is to keep money in your home and the other in a bank account. You can make a combination of both, provided you are not tempted to use the cash for other things.
Keeping the amount at home provides us with quick access to funds, but there are security risks. In the event of a natural disaster or robbery, you would not have the fund at the time you need it most. When depositing money in a bank, a high level of protection is ensured at the expense of their liquidity. You need to be sure that you will have access to the funds within 1-2 days, as well as be careful about bank fees.
It should be able to cover your needs for a period of about 6 months. The minimum is 3 months, but the more solid amount you manage to set aside, the calmer you will look to the future. Of course, the amount in this fund should not be too large (for more than 12 months), because uninvested money does not bring profit. As you know, in Bulgaria for a long time now you do not earn interest on savings or current accounts.
How to save for the fund
If you have not saved so far and do not have an emergency fund, now - during the pandemic - it is a very good idea to start. With an emergency fund, you would be more comfortable with inflation and recession, as you will have a "financial cushion". The emergency fund is a buffer between you and life not only in times of crisis, because surprising events can happen at any time and it is good to be prepared for them in advance.
Even if they save regularly for their long-term goals, some people do not envisage this financial buffer in their personal planning and resort to their savings in case of extraordinary expenses. And in this way they move away from achieving the goals they have set for themselves. The other important rule is that the allocation of funds for the emergency fund should be provided before a person directs any savings to investment products.
When you save for an emergency fund, there are no limits on the amounts - you can collect in small installments each month or arbitrarily with different amounts. And if you have had to use your emergency fund, your first goal is to restore it to its original size. If you lose your income and have to live with this money for a long time, try to limit your expenses so that the amount reaches you for as long as possible. In addition, you need to look for a new source of income so that you do not have to resort to loans.
02.02.2022
PHILIPS IS LOOKING FOR LOW-PAID WORKERS FOR ITS PLANT IN ROMANIA
The Dutch manufacturer of consumer electronics and home appliances Philips is looking for 100 unskilled workers for its factory in Orastie, Romania. Employees will assemble coffee machines and electric toothbrushes, the Romanian newspaper Ziarul Financiar reported.
Unskilled workers assembling parts receive the lowest salaries in Romania - less than 2,000 Romanian lei (400 euros) net per month.
The company reports a turnover of over 1.1 billion lei (231.8 million euros), a net profit of 42.5 million lei (8.8 million euros) and has more than 1,400 employees, according to the website of the Ministry of finance.
Founded about 21 years ago, according to information provided by Philips, the factory in Romania was taken over by the Italian company Saeco in 2009 and is one of the two production units in Europe of the Dutch giant specializing in the production of automated coffee machines. Electric toothbrushes under the Sonicare brand are also assembled there, Romania Insider writes.
Romania needs investments to give it a better place in international production chains and help it avoid the middle-income trap, said Daniel Dayanu, a member of the National Bank of Romania and head of the Fiscal Council.
At the same time, such investments will allow for better wages and reduce workers' emigration, Dayanu added.
