13.10.2021

THE MOST SUCCESSFUL EXPORT PROGRAM EXPO2 OF EXPORT HUB BULGARIA IS RECRUITING APPLICATIONS FOR ITS SECOND EDITION

The second edition of the training program of Export Hub Bulgaria EXPO2 has started, and from 13.10.2020 Bulgarian companies from all sectors can submit their applications for inclusion in the completely free initiative, which aims to support the development of the export potential of Bulgarian companies that have the necessary capacity to enter international markets.

The application window is open until November 2, 2021, and companies will have the opportunity to participate in a series of lectures with theoretical and practical part, as well as to participate in open meetings with experts from various fields of business development. Each company will have its own mentor to monitor its development and progress during the program and will assist in the training process.

In the pilot edition of the training program EXPO1 in 2021 took part 15 Bulgarian small and medium enterprises - Cardinal Bytes, Biostyle, Entegra, TechnoLogica, Inoxis, Automation of Discrete Production - Smolyan, Single Seld, Europack Bulgaria M, Convoy-World, Daisy Tech, Eldjoy, Piros, Ayali Group, Inova BM, Eikhorn and Co.

After the program, the companies shared their first results, including building an effective concept and strategy, increasing productivity, exports, finding new business partners and distributors.

As part of the initiative, additional meetings were organized with sales representatives abroad of the Ministry of Economy, which presented the opportunities for entering selected markets by companies.

To apply in this edition, again a mandatory condition for the participants is to be owners/managers/commercial directors or in another managerial position, with decision-making competencies. The program will start in early 2022, and the format of the program will be hybrid.

If interested, documents for application should be submitted through the platform www.b2bconnect.bg within the specified period. The approved candidates will be invited to an online interview in which they will talk to an expert jury. Participation in the program is free.

Export Hub Bulgaria is a public-private initiative that works to increase the export potential of Bulgarian business.

Under the auspices of the Export Hub Bulgaria events are organized in the country with an international character, and full information can be found on the official website www.exporthub.bg.

Behind EHB stand:

Executive Agency for Promotion of Small and Medium Enterprises - initiator

Sofia Tech Park

Bulgarian Export Insurance Agency

Association of Industrial Capital in Bulgaria

Bulgarian Chamber of Commerce

Bulgarian Chamber of Commerce and Industry

Confederation of Employers and Industrialists in Bulgaria

Higher School of Insurance and Finance

Cleantech Bulgaria Institute for Economic Policy

M3 Communications Group

Bulgarian consulting organization

Cleantech Bulgaria

The Bulgarian Startup Association

Professional Association of Robotics and Automation BRAIT (old name Association of Business Clusters)

Software University

13.10.2021

HOW TO MAKE THE "GREEN" TRANSITION SUCCESSFUL FOR BULGARIA

How to make the "green" transition successful and fair for Bulgaria? What funds will be invested in the Bulgarian economy and will we be able to modernize our industry and production? What will be the social price we will pay and how will the affected people and regions be compensated? What is the readiness of business and local government for transformation and do we know enough about the measures and funding opportunities provided by the EC?

These and many other questions will be answered by the upcoming conference "Green Transition - Solutions and Challenges for Bulgaria" on October 15, which you can follow online HERE.

The forum will be opened by Prime Minister Stefan Yanev and EC Executive Vice President Frans Timmermans. Key participants in the event are Innovation Commissioner Maria Gabriel, Deputy Prime Minister for European Funds Atanas Pekanov, Sofia Mayor Yordanka Fandakova, British Ambassador Rob Dixon, Finance Minister Valeri Belchev, Economy Minister Daniela Vezieva, Minister of Energy Andrey Zhivkov, Minister of Transport Hristo Alexiev, Deputy Minister of Environment and Water Reneta Koleva and Deputy Minister of Agriculture Yavor Gechev.

Over 50 participants in two main panels and 4 parallel working sessions will comment on the topics "Financing the Green Transition", "Intelligent Industry, Energy and Economy", "Smart Cities and Circular Economy", "Intelligent Transport Systems and Mobility", "Innovation in agriculture and biotechnology”.

In the week in which the Bulgarian government is expected to send to the EC the Recovery and Sustainability Plan and to indicate dates for decommissioning of key energy facilities for the country, the topic of the Green Transition is particularly relevant.

At the end of July, the EC presented the largest package of reforms related to climate change, envisaging a reduction in carbon emissions in the EU by 55% by 2030 and reaching net zero emissions by 2050 compared to 1990 levels. If adopted, this plan will radically change the economies of the member states and the lives of the people of Europe.

Huge investments in the economies of the member states for modernization, innovation, green energy, education, transport, construction, but also increasing the costs for households - these are some of the opportunities and challenges that the Green Deal poses to Europe and its citizens.

Despite the serious changes that are ahead of the Bulgarian economy, the information on the topic of the Green Deal in our country is limited and fragmented. It is time to start a frank conversation to make the Green Transition successful, understandable and fair.

That is why the forum has the ambition to bring together European and Bulgarian leaders, leading experts, trade unions, business representatives, NGOs and the media to start a fair debate on the topic in the context of climate change, the need to modernize our economy, but and with a focus on the social aspects of this transformation.

12.10.2021

THE BULGARIAN DEVELOPMENT BANK OFFERS LOANS TO ENTREPRENEURS FROM VULNERABLE GROUPS

The Bulgarian Development Bank will support the representatives of vulnerable groups who want to start their own business. BDB Microfinance will lend to companies and the self-employed, including the unemployed, young people and people with disabilities. The product is also aimed at supporting social enterprises - the so-called mission businesses, the bank said.

The program will enable small and medium-sized enterprises to use an investment or working capital loan of up to EUR 50,000 (BGN 97,791) on favorable terms and with 25% lower interest rates compared to the standard conditions of BDB. The repayment period is longer than similar products on the financial market.

The guarantee resource under the BDB Microfinance program is BGN 1 million, and the volume of loans to final recipients is expected to reach BGN 5 million.

The support aims to improve access to finance for start-ups and social enterprises, as well as to support social entrepreneurship in the acquisition of tangible and intangible assets for the development or expansion of activities.

The subsidiary of BDB has entered into a guarantee agreement for the use of a portfolio guarantee with a ceiling on losses for microfinance with the Fund Manager of Financial Instruments in Bulgaria EAD (the Fund of Funds). The resource is under the Operational Program "Human Resources Development 2014-2020" (OPHRD), co-financed by the European Social Fund.

Among the most important goods created by these companies is social capital - solving social problems, job creation, and at the same time income for the entrepreneur. Social enterprises develop and implement innovations that stimulate social and economic development, offer new goods and public services and change stereotypes in the market and non-market environment. The new product of BDB Microfinance is designed for this specific segment of the country's economy, which usually remains out of sight of commercial banks and general measures and programs.

12.10.2021

APPLICATIONS UNDER THE EXTENDED MEASURE 60/40 ARE ALREADY BEING ACCEPTED

As of today, the Employment Agency accepts applications from employers for the extended until the end of the year measure for maintaining employment, known as "60 to 40".

The conditions for receiving support in the period August - December this year are similar to those that applied for the previous months of June and July.

Compensation of 60 percent of the income and social security contributions of each employee is paid to enterprises with a decrease in sales revenue during the month for which the support is provided compared to the same month in 2019.

Support in the amount of 50 percent is provided for employees in enterprises with a decline in sales of not less than 30 percent during the compared periods.

For the months of August and September, the submission of documents will be admissible until the end of this month.

For the month of October will apply in November, and for the month of November - until December 10.

11.10.2021

DISMISSAL DUE TO LACK OF PERSONAL PROTECTIVE EQUIPMENT OR FLU-LIKE SYMPTOMS

Comment

According to Art. 275, para. 1 of the Labor Code (LC), the employer is obliged to ensure healthy and safe working conditions so that the dangers to the life and health of the employee are eliminated, limited or reduced.

The Health and Safety at Work Act (HSWA) regulates the rights and obligations of all participants in the labor process regarding the provision of safety and health at work, and employees also have obligations in relation to safety and health at work.

In Art. 126 of the Labor Code regulates the obligations of the employee, and it is explicitly determined that he should appear at work in a condition that allows him to perform the assigned tasks, to comply with the rules of health and safety at work, to comply with internal rules, accepted in the enterprise, and others. Also in Art. 33 of the Health and Safety at Work Act establishes the explicit obligation for each employee to take care of his health and safety, as well as the health and safety of other persons directly affected by his activity, in accordance with his qualification and the instructions given by the employer.

The employer has an obligation to acquaint the employees with the established rules for safety and health at work. This is done by conducting safety and health at work instruction, which is prepared in accordance with the risk assessment in the enterprise. The employer should indicate to the employees that they are obliged to appear at work in a condition that allows them to perform it, including not to appear at work in case of flu-like symptoms, as well as with their obligations to use the provided Personal protective equipment.

The right of the employer to remove the employee from work is regulated in Art. 199, para. 1 LC. This provision stipulates that the employer or the immediate supervisor may temporarily dismiss an employee who is in a condition which prevents him from performing his duties. The temporary suspension from work under Art. 199, para. 1 of the Labor Code is performed by the employer in order to prevent the occurrence of severe consequences for the employee himself, as well as to protect the other employees in the enterprise.

Therefore, the fault of the employee for the occurrence of the objective obstacle to the performance of the work, which is the reason for its removal, is irrelevant.

An important point before starting the procedure for dismissal of the employee is to determine whether there are grounds for this.

Depending on the management structure of the enterprise, the employer or the immediate supervisor establishes the existence of grounds for dismissal.

In cases where the grounds for removal are established by the immediate supervisor, he should immediately notify the employer. The final assessment of the existence of grounds for dismissal is made by the employer.

The legislation does not explicitly provide for the type and form of the act through which the employer exercises his right to dismissal. It is justified to do this by issuing a special document in writing, for example by order. The written order may facilitate the proof of the grounds for removal in the event of a labor dispute related to the rights and obligations of the parties in connection with the work performed.

The provision of Art. 284, para. 2 of the Labor Code obliges the employees to use the special work clothes and the personal protective equipment for their intended purpose. Therefore, the non-fulfillment of the obligations for use of personal protective equipment is a violation of labor discipline, which can be a ground both for initiating disciplinary proceedings and for dismissal of the respective employee. In Art. 199, para. 2 of the Labor Code stipulates that the removal shall continue until the employee regains his fitness to perform the work assigned to him. Therefore, when a case is found in which an employee does not use personal protective equipment, it is possible to quickly remedy the violation by placing them, therefore his rights regarding the accrual and payment of remuneration should not be affected. However, this does not limit the employer's ability to initiate disciplinary proceedings against the employee for non-compliance with his specific obligations.

In view of the ongoing COVID-19 pandemic, it is important that employers do not allow workers or employees or outsiders who show symptoms of acute infectious diseases. Therefore, the removal of workers with such symptoms can be considered as a justified measure to limit the spread of the infection and to preserve the life and health of other employees in the company.

When a worker or employee who shows symptoms of a contagious disease, including fever and/or severe cough, appears at work, it is necessary to remove the person and take measures to establish his health condition, including expertise of working capacity. The examination of the temporary incapacity for work is performed by the health authorities in accordance with the procedure specified in the Ordinance on Medical Expertise (OME).

In the case described, the employee should be referred by the competent health authorities to determine his ability to work. The provision of Art. 16, para. 1 OME stipulates that all laboratory tests and treatment procedures (physiotherapy, X-ray therapy, etc.) of able-bodied insured persons may be performed during working hours with the permission of the employer, without issuing a sick note. In this case, the doctor who performs the examination or consultation issues an official note of insurance, which reflects the time of appearance and the time of completion of the examination (Article 16, paragraph 2 of the OME).

When the health authorities establish temporary incapacity for work, they issue a sick leave, which is a ground for using leave under Art. 162 LC and is for the period until recovery. During the use of this leave, compensation from the state social insurance is paid. The insured (employee) is obliged to present the sick leave or to notify the employer/insurer within two working days from its issuance. In cases where the attending physician or medical advisory commission has established a state of incapacity for work, but the insured refuses to be issued a sick leave, the latter must be issued and officially sent to the employer/insurer where the insured works (Art. 9, para. 3 OME). It is important to keep in mind that the insured person cannot, at his/her discretion, return to work before the expiration of the authorized leave without the permission of the attending physician or medical advisory commission, who issued the sick leave. Insurers (employers) also do not have the right to admit to work the insured (employees) who are on leave due to temporary incapacity for work (Art. 18, para. 1 OME).

When the doctor finds that there are no grounds for using leave for temporary incapacity for work and the employee can perform his/her official duties, the employer is obliged to admit him/her to work. In this case, the appearance before the health authorities can be established with an issued official note, and the right of the employee to receive his/her remuneration must not be restricted. Moreover, in the event of a labor dispute, it can be assumed that the dismissal is illegal and the employer owes compensation in the amount of the gross remuneration of the employee for the time of the illegal dismissal pursuant to Art. 214, para. 1 LC.

It should be borne in mind that according to Art. 8, para. 1 of the Labor Code, labor rights and obligations are exercised in good faith in accordance with the requirements of the laws.

Good faith in the exercise of labor rights and obligations is presumed until the contrary is established (Article 8, paragraph 2 of the Labor Code). In order not to accrue and pay the full amount of the employee's remuneration, the employer should have evidence and have established the bad faith in the performance of the rights and obligations of the person. Therefore, only when the employee has symptoms of a contagious disease and is instructed to appear before a health authority for assessment of working capacity, but the person has not complied with the orders of the employer, there is reason to apply the provision of Art. 199, para. 3 of the Labor Code, according to which during the period of removal, the employee does not receive remuneration.

Nenko SALCHEV, Head of the Labor Law and Working Conditions Department in the Labor Law, Social Security and Working Conditions Directorate at the MLSP

08.10.2021

WHAT SHOULD WE DO IF WE LOSE OUR EMPLOYMENT RECORD BOOK?

What are our rights if we lose our employment record book? Is there an institution that can help us to recover the information in it and what is the procedure for that?

According to the Ordinance on the employment record book and length of service, when the employment record book is lost or destroyed, the Labor Inspectorate issues a new one based on a written application of the employee stating that the employment record book has been lost, who lost it and data on the employers with whom he/she worked.

When the employment record book is lost or destroyed by the employee, in the new employment record book the Labor Inspectorate shall enter data on the length of service on the basis of the certificates submitted by him according to the legal requirements or other original documents containing the necessary data.

When the employment record book is lost or destroyed due to the fault of the employer, the Labor Inspectorate shall oblige him within a period not exceeding one month to present the necessary certificate for the issuance of a new employment record according to the law.

When the employee has also worked for other employers, the employer requires from them certificates in accordance with the law. The collected certificates are submitted to the Labor Inspectorate according to the inventory. Employers are obliged to issue the required certificates within 7 days of their request.

According to the Bulgarian legislation, the employment record book is the main certifying document for facts and circumstances related to the employment of the employee and is important for a number of his employment rights. The employment record book always has a public certification value. Its issuance according to a model approved by the state and the recognition of its certifying significance gives the official character of this document.

The entries in the employment record book are made by officials, within the scope of their service, in the form and in accordance with the procedure established by law. The employment record book is kept by the employee, who is obliged to present it to the employer upon request, as well as to enter new circumstances in it.

As a certifying document, the employment record book testifies to the facts reflected in it. These facts are related to the work of the employee.

Reference:

Art. 7 of the Ordinance on the employment record book and length of service

08.10.2021

COMPANIES ARE LOOKING FOR THE MOST PHARMACISTS AND HEALTH WORKERS

The number of job advertisements in September remains at the levels of July and August. In the past month there has been a slight increase in offers by 0.6% - according to the regular analysis of published job advertisements in the leading specialized sites in our country, carried out by JobTiger.

On an annual basis, the level of ads is 49% higher than reported in September 2020. The largest increase in ads last month was the sector "Health and Pharmacy", with an increase of 21%. The reason for this is the seasonal demand for medical staff for positions outside Bulgaria.

Next in growth is the sector "Administrative and service activities", where the number of ads has increased by 12%. This is the only industry in which in September there is an increase in offers on each of the job sites.

It is followed by the sectors "Logistics and Transport" (8%), "Trade and Sales" (7%), "Marketing and Advertising" (5.3%), "Accounting, Auditing, Finance" (5%), " Construction ”(3%) and“ Production ”(0.4%).

The biggest drop in ads during the month was in the hotel and restaurant sector (-12%). For the first time in 2021 we see a decline in ads in the "IT" sector: the number of proposals in September decreased by 5%, but on an annual basis it is 128% higher than reported in September 2020.

What kind of staff is needed in the "IT" sector?

With the growing popularity of the "IT" sector in recent years, we see a tendency for more and more people to focus on professional development in this industry and to take positions as junior professionals and interns in this sector.

The distribution of advertisements in the IT sector by qualification level in September shows that only 10.4% of the proposals are for positions for junior specialists or interns. The largest share of ads for experts and senior specialists with experience in the field (84.2%), and the remaining 5.4% are positions for management and management level of qualification, the analysis shows.

Share distribution of announcements by sectors

In September, it was as follows: the "Trade and Sales" sector took the lead with a 23% share of the total number of ads. It is followed by the sectors "IT" (16%), "Manufacturing" (15%), "Hotels and restaurants" (12%), "Administrative and service activities" (10%), "Logistics and transport" (10%), Construction (5%), Health and Pharmacy (4%), Accounting, Auditing, Finance (4%), Marketing and Advertising (3%) and Art (1%).

Work from home

There is still an increase in offers of work from home and/or telecommuting. In September, they increased by 6% and accounted for 11.3% of the total number of job postings.

Offering by cities

The share of job advertisements in Sofia continues to grow, amounting to 47% of the total in September. The share distribution of the announcements for the other leading regional cities is as follows: Plovdiv (10%), Varna (8%), Burgas (3.3%), Ruse (3%) and Stara Zagora (2.5%). Together, they account for 74% of all proposals in the country.

On a monthly basis, the number of ads in these cities has increased by 2%, mainly due to the increased number of ads in Sofia and Plovdiv. The dynamics of the proposals in each of the leading cities is as follows: Sofia (6%), Plovdiv (3%), Varna (-8%), Burgas (-4%), Ruse (-7%) and Stara Zagora (-4%).

07.10.2021

THE EU PROVIDES UP TO BGN 196,000 FOR MORE GRADUATES FROM VULNERABLE GROUPS

Schools, universities and NGOs will be able to apply with projects that encourage young people from vulnerable groups to complete higher education.

The approved proposals will be financed with amounts from BGN 100,000 to BGN 196,000. This is set in the selection criteria for the operation "Support of vulnerable groups for access to higher education" of the operational program "Science and Education for Smart Growth" 2014-2020 which have been published for public discussion, announced the press center of the Ministry of Education and Science.

Project proposals can support students from vulnerable groups to complete their secondary education and continue their studies at a university. Successful integration and adaptation in the academic life of first-year students from vulnerable groups will also be supported.

Among the activities that can be funded are, for example, additional training of students from vulnerable groups in the second stage of high school in order to successfully pass the mandatory and additional state matriculation exams and apply to university. High school students will be provided with a one-time financial aid to cover the costs of application fees, travel and accommodation when taking the exams at the university. Lump sums will be awarded for semester fees and accommodation for the first academic year within the project.

With European funds, mentors can be provided for freshmen from vulnerable groups. They will act as mentors, helping the adaptation and socialization of new students. They will guide them in the academic environment, will support and monitor their participation in the educational process - regular participation in classes during the first year and more.

The draft methodology is also published at the following address: http://opnoir.bg/?go=page&pageId=362 in the section "Procedures / Procedures under public discussion" on the website of the Executive Agency "Education Program".

By 12.10.2021 (inclusive) the interested parties can send proposals and opinions to the Managing Authority to the e-mail address: infosf@mon.bg.

05.10.2021

HOW TO LEARN TO SAVE SOME OF YOUR BASIC EXPENSES

There are three main items on which people tend to spend the most money. If you learn to save some of your basic expenses, in years to come you will enjoy a quiet old age. You can even save enough to retire early, start your own business, make a profitable investment or go on vacation more often.

The cost of housing, transport and food is the "invisible thief" that makes many people live from paycheck to paycheck or fall into debt. Are you familiar with this situation? Of course, we cannot exclude these costs, but we can reduce them to a reasonable level without depriving ourselves of a good standard of living.

Try to spend less in these three main areas and you will be surprised to find out how much more you can save. If you move to a smaller and cheaper apartment, go to work on foot, by bike, scooter or public transport and cook more at home and bring food to work, it will immediately have a positive impact on your wallet.

In order to achieve a "healthy" level of saving, but without becoming stingy and deprived of basic amenities, you need to show a certain amount of creativity. The goal is not to lower your standard of living, for example by buying cheap and low-quality food, but to learn to live more practically and even healthier, but at a lower cost.

Housing

Most people pay too much for their homes. There is one rule to follow when choosing a new home. It should cost up to 25% of your net monthly income. If you live alone, consider whether you will feel comfortable in a smaller home that is closer to your job. If you are married, you can move to a cheaper neighborhood, keeping the large area.

Whether you choose to live in rent or pay for your own apartment, follow this advice so that you do not suffer from financial turmoil. If your income is too low, it may be time to consider retraining, changing jobs, or another source of additional funding.

Even billionaire Warren Buffett lives in a modest house, which makes up only 0.000078% of our wealth. The American investor, businessman and philanthropist is considered the greatest investor in the history of modern financial markets. Buffett himself calls this purchase "the third best investment I've ever made."

Transport

In addition to the home, transportation is a real "bottomless pit" for money. The car is certainly an indispensable convenience, but we do not always need it every day. In many cases, people can get to work by public transport or other more environmentally friendly means, such as a bicycle or electric scooter.

It is important to have a safe car. When choosing a new car, do not be enslaved to a particular brand, but look at all available brands and models that meet your requirements. Do not forget to pay attention to the economy, and if you buy a second-hand - do not need expensive repairs.

Of course, it is best to be able to pay for the desired car immediately. If this is still not possible, you should be able to pay it off in less than three or four years, and the contributions do not seriously affect your budget. And when you get the dream car, use it wisely to save fuel.

Food

A visit to a restaurant can cost as much as a few family dinners at home. Frequent eating out can be as costly as you can afford. The good news is that it can easily be drastically reduced. You don't have to suffer for your social life - just invite your friends home more often.

Even if you don't have time to cook twisted specialties every day, there are countless ideas for easy and quick meals to prepare quickly after work. Use the strategy of restaurants - prepare preforms in the freezer (kneaded minced meat, marinated meat, frozen dough, chopped vegetables), with which you can quickly cook something that usually takes more time.

Try to cook for a few meals and choose dishes that the whole family loves. Some resourceful hosts use the weekend to cook for the coming week, enclosing more hot food in jars. So it lasts longer, and the family has a variety of meals every day.

Even if you follow only some of these tips, you will soon find that with minimal effort you can save an unexpectedly large part of your salary. And use the money saved for a sensible investment that will pay off over time, giving you a bright financial future.

05.10.2021

UNICREDIT BULBANK: LOW INTEREST RATES WILL REMAIN IN THE MEDIUM TERM

Despite rising inflation, banks expect low interest rates to remain low in the medium term. Tsvetanka Mincheva, Chairman of the Management Board and Chief Executive Officer of UniCredit Bulbank, commented on this at a meeting with journalists.

She pointed out that the pressure of rising prices provoked people to look for alternative investments, and more and more often these are savings structured products. Mincheva believes that due to the low yield on deposits, such investments are made.

"Since 2003, Pioneer funds have been offering their products through UniCredit Bulbank, and while in the beginning there was a minimum number of customers, last year their growth was 40%, and the amounts invested increased by 60%," she added.

Mincheva believes that a serious market for investment products has opened up and many investors are participating with small amounts, looking for options for medium-term and long-term investment.

Interest rate policy

According to her, the trend towards negative interest rates on deposits with individuals will not affect people whose savings are up to the guaranteed amount of BGN 196,000. She explained that the costs of the banks are related to the part that is above the guaranteed one, because it is the attracted deposits above the guaranteed level that make the banks super liquid, and the storage of money is related to the costs for them.

Mincheva is adamant that the Covid portfolio has responded steadily and sustainably, with expectations worse, but many borrowers are returning to normal levels of loan service.

Tsvetanka Mincheva confirmed that the banks are implementing measures in time.

"Those in the risk group are companies that, given the low base levels, take loans on the verge of return," she revealed, but is adamant that with the created credit models in a competitive environment, quality customers are eliminated.

According to her, the risk assessment methodology, especially in consumer lending, is being applied very carefully. Mincheva shared another impression that mortgages in Bulgaria and Central and Eastern Europe are developing at a good pace, with a better standard of living for more people to get their own homes.

Climate economy

"The transition to a new type of economy will not be easy, and for some industries it will probably be quite difficult. The regulations will become more and more and the business will have to adapt its activity to the new conditions ", pointed out Tsvetanka Mincheva.

She reminded that sustainable development goes through an assessment of the impact of business on the environment and clear indicators of what is acceptable and what is not.

"Our role as leading companies is to make this transition fair. We must not allow harm to people or companies, but together find a solution on how best to transform into more environmentally friendly solutions," said Mincheva.

According to her, banks and financial institutions are players in the economy that support this approach, especially since regulators require proactive action and will face a climate stress test by the end of next year.

Lenders must be prepared with data on how their balance sheets will be presented by 2050, and this affects the capital requirements, which will also reflect on the requirements for customers.

"Our role is important to have new valuation models - we will offer solutions to customers, and we will transform," said Mincheva.

She confirmed that for UniCredit Bulbank it is a priority to support clients and partners in their transition to sustainable business with a clear ESG strategy (for environmental, social and management practices - ed. note).

"We are ready to be with them when working with regulators, to share the risk, to look for different funding instruments, to encourage innovation. But we must be convinced that in the long run the company will have a real positive contribution to natural and social capital," said Tsvetanka Mincheva.

Strategic priorities

According to her, the first thing that is crucial for the banking sector is the speed of changing consumer habits and expectations, which is becoming faster in the market of new solutions.

The banker warned that anyone who failed to move with it would lose their competitive position.

"The second thing we should definitely point out when we talk about the development of the banking sector, of course, is the role of digitalization. The speed of change is important for the banks and those who will not adapt are doomed to failure," said Mincheva.

She said that over 90% of products and services can now be purchased remotely - via the Internet or telephone.

"This year we have a growth of 30% of mobile banking users and a 50% growth in the number of transfers - not only more customers use our mobile banking application, but they are also increasingly active," said the banker.

Mincheva is convinced that digitalization is an indisputable trend in the future of banking, but only in combination with the human factor.

"Therefore, the main focus for me in my new role is to make the bank a preferred place to work," commented the new CEO of UniCredit Bulbank.

Mincheva is of the opinion that business has its role to make Bulgaria a more attractive place for young people.

"According to economists, the demographic picture in the country is one of the most serious obstacles to economic development. The population of our country is decreasing by 50 thousand per year and this certainly puts everyone at risk of lack of skilled labor. Therefore, the only solution is to try to attract back the young people who have gone abroad by offering attractive conditions for work and development of professionals," said the banker.