[size=55:hsu5kd6e]BNR 24 September 2010

EU Rural Development Programme to boost standard of living

Bulgaria receives funding from the EU Rural Development Programme, which will run until 2013. The programme to the tune of 3.240 billion euro aims to boost the standard of living in the country’s agricultural regions. European funding accounts for over 2.6 billion euro. So far, some 30% of the funds have been allocated under various projects. It is worth noticing, however, that the funds absorption was delayed, which necessitated some legislative and organizational changes in the country.

How is the money utilized?

This programme enables farmers to modernize farming lands and buy new equipment. It encourages the establishment of micro businesses, as well as young people who want to set up agri-business in the rural areas. The programme also stimulates producers who farm unfavourable and hard-to-reach areas. Rural municipalities are highly interested in providing and extending main services, using EU rural development funding. The programme is intended to run 30 programmes, some of which envisaging the purchase of new agricultural machinery. The projects also foresee the construction of streets, drainage and water-supply systems, as well as interurban infrastructure of small towns and villages. The EU Rural Development Programme also funds projects for setting up and modernizing churches and social, culture and sports centers.

Here is what Bulgarian Minister of Agriculture Miroslav Naydenov said to the mayors of Bulgarian municipalities.

“You, as mayors and representatives of local power, and especially the people who live in the rural areas hold high expectations for the EU Rural Development Programme. Things should run smoothly without any faults and grave consequences,which we had to face until recently. If you manage to absorb these huge funds, people will really give you a vote of confidence”, Bulgarian Minister of Agriculture Miroslav Naydenov said.

EU funding was suspended for some time, since Bulgaria was found to have embezzled a lot of money and violated EC requirements.

Due to the recent legislative changes in Bulgaria, municipalities can receive 50% of advanced payments and 20% of interim ones to complete their projects. In this way, those who do not have sufficient means will be able to use European money.

According to Dora Yankova, Chair of the National Association of Municipalities in Bulgaria, the EU Rural Development funds are a big resource for the places lacking in investment. In the end, people expect a higher standard of living.