Sat, Feb 11 2012

Credit crunch hits Bulgaria’s customs revenues, health fund

Mon, Apr 20 2009 12:05 CET 1360 Views
Credit crunch hits Bulgaria’s customs revenues, health fund

Photo: Julia Lazarova

National Customs Agency revenues have contracted by 130 million to 140 million leva a month since the beginning of 2009, agency deputy director Krassimir Nikolov was quoted as saying by Bulgaria’s mass-circulation daily Trud.

In a report on April 18 2009, the newspaper quoted Nikolov as saying that value added tax revenue had fallen by about 30 per cent.

Between 70 and 80 per cent of customs revenues come from fuels, metals, ores and industrial goods, and the commodity exchange prices of these had fallen the most, Nikolov said.

Nevertheless, the Agency promised to meet its annual target of nine billion leva, he said.

A day earlier, another mass-circulation daily, 24 Chassa, reports the findings a poll by the MBMD agency on the effects of the financial and economic downturn.

According to the MBMD poll, one in three Bulgarians report was reporting losses because of the crisis and 44 per cent expected the crisis to affect them seriously.

The financial crunch had risen to fifth place among Bulgarians' concerns, the polling agency said.

The blow to employment was worst in Bulgaria’s small towns and villages, the MBMD poll said.

On April 16 2009, Trud said that the Health Insurance Fund was in the red because many people were not paying contributions, Bulgarian news agency BTA reported.

Close to 922 000 did not do so in February. Some companies forced employees to go on unpaid leave, others laid off employees by "mutual consent" so that they could not register as unemployed immediately and could not have health insurance contributions paid by the state.

The newspaper said that the contributions of pensioners, students and children were not paid regularly either.

Because of the financial and economic crisis, what is known as the Fund's "grand reserve" of 400 million leva with central Bulgarian National Bank had been blocked. Instead, the Fund's Governing Board could unblock the "small" reserve of 240 million leva for contingency expenses.

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