National regional development strategy



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Priority 4.3. Improving the quality of life in the rural areas

Specific objective 1: Promoting the development of the local infrastructure, the renovation of the villages, offering local basic services and protection of the cultural and natural heritage

Specific objective 2: Promoting the public-private partnership for the implementation of local development strategies.

ASSESSMENT OF THE RESOURCES, REQUIRED FOR ACHIEVING THE OBJECTIVES OF THE STRATEGY

The general expert assessment of the resources for achieving the objectives of the regional development at national level, set in the NRDS, includes the main sources for public funding of the regional development:

- National funding (state and municipal budgets, as well as financial resources from other sources - public funds, state and municipal enterprises, foundations, associations and others.);

- EU funds;

- Funds from international financial institutions;
The main financial sources are formed by the first two basic sources - national public funding and resources from the EU funds. The funds from international financial institutions, having mainly nature of borrowings, are presented in addition to the first two sources.

Calculating the indicative resource for achieving the objectives of the NRDS, a total estimated financial framework of 20.1 billion BGN for Bulgaria, in line with the cohesion policy for the new programming period 2014-2020, is taken as a base. The calculations for financing from the EU funds and the state budget are based on levels of co-financing, presented in the European Commission's proposals for new regulations of EU Structural Instruments (October 2011). The expenditures, financed by the municipalities, are estimated on the basis of data on capital expenditures in the local budgets for 2011 and 2012 (Source: Ministry of Finance). The allocation of the resources, necessary for achieving the objectives and the priorities of the NRDS in the areas of NUTS 2 level for 2020, is based on an objective approach, taking into consideration the population of the territory of the region (data from 2011). This approach is complemented by the principle of the solidarity and the concentration of resources to the most disadvantaged areas, whereas more funds are planned for areas, experiencing serious difficulties for the restructuring of the regional economies, adapting to the changes and overcoming the consequences of the global financial and economic crisis. The following distribution of the indicative funds in the areas of NUTS 2 level is suggested: for Northwestern region (NWR) - 2,334.3 million BGN, for the North Central region (NCR) - 2,372.5 million BGN, for the Northeastern region (NER) - 1,764.5 million BGN, for the Southeastern Region (SER) - 1,968.1 million BGN, for the South Central region SCR) - 4075.9 million BGN and for the Southwestern region (SWR)- 3896.2 million BGN. 53.5% of all the estimated funds are allocated to the three less developed regions - NWR, NCR and SCR, which represents 10% more than the funds of the others, relatively developed regions.






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