BUSINESS in Bulgaria is suffering the consequences of the inefficiency of the judiciary, reform of which is proceeding at too slow a pace.
This is one of the findings in the 2003 White Paper on the business climate in Bulgaria, compiled by the Bulgarian International Business Association (BIBA), and handed last week to Deputy Prime Minister and Economy Minister Lydia Shuleva.
This is the eighth consecutive year that BIBA has compiled a White Paper on the topic.
The increase of court fees put an additional burden on those wanting to appeal against against tax and administrative acts, the White Paper said.
The evidence system applied to commercial and administrative acts has become antiquated, while the lack of specialist courts is an obstacle to fast and fair decisions on commercial disputes.
However, according to the White Paper, the amendments to the constitution adopted last year regarding the immunity of magistrates should be seen as a positive step towards the implementation of efficient control over the judiciary.
In general, foreign investors said the economic climate in Bulgaria stood out for its stability, decreasing unemployment rates and accelerated harmonisation of Bulgaria's legislation with that of the European Union.
According to the White Paper, the remarkable size of foreign investment in 2003 is a serious guarantee of boosted economic growth in future.
As for tax policy, international business in Bulgaria has changed its attitude to positive, particularly in relation to the optimisation of dialogue with the Ministry of Finance.
For the first time, the White Paper analysed the health care and education systems.
State support for health care was too limited, the report said. While EU member states allocated 8.2 per cent of GDP to health care, Bulgaria had committed to invest 4.3 per cent of GDP, considerably lower than in other countries in Central and Eastern Europe, where the equivalent allocation was 6.2 per cent.
Regarding education, the paper recommended that the state direct its policy towards investing more in human resources, provision of funds for students and researchers.