April 14 (SeeNews) - The executive vice president of the European Commission Valdis Dombrovskis said that Bulgaria could receive financing of 10.4 billion euro ($12.4 billion) under the European Union's programme for recovery following the coronavirus pandemic, local media reported.
"This sum includes 6.3 billion euro in grants. We, however, must be sure that these funds will be invested in a way that would ensure a sustainable and long-term economic recovery," public radio BNR quoted Dombrovskis as saying in an interview on Tuesday.
According to Dombrovskis, Bulgaria certainly has more work to do on its national recovery strategy before submitting it to the Commission for approval, especially in the parts concerning green economy goals and social inclusion.
EU member states have until the end of April to present their national recovery plans but this is an indicative deadline, Dombrivskis noted. It is the responsibility of Bulgarian authorities to decide when to submit the final national recovery plan, he said adding that the earlier an EU member state is ready with its plan, the faster it will get approval and absorb the funds.
"Whether the plan will be improved and submitted now or by the next government is up to Bulgarian authorities," he added.
Bulgaria's ruling centre-right GERB party won the April 4 general election with 26.18% support, but forming a new government coalition in the new fragmented parliament in which a total of six parties and coalitions will enter will be a hard task. The new National Assembly will convene for its inaugural session on Thursday.
The EU’s long-term budget, coupled with NextGenerationEU, the temporary instrument designed to boost the recovery, will be the largest stimulus package ever financed through the EU budget. A total of 1.8 trillion euro will help rebuild a post-coronavirus Europe, according to data published on the website of the European Commission.
Dombrovskis also said that despite political and economic uncertainties in Bulgaria, 2024 is still a realistic year for the adoption of the euro, given that the country fulfils the Maastricht criteria and additional commitments for eurozone entry.
There are countries that will not be able to meet those criteria after the coronavirus crisis, mainly due to their debt, but Bulgaria is not among them, Dombrovskis noted.
In July 2020, the European Central Bank (ECB) accepted Bulgaria and Croatia to the Exchange Rate Mechanism (ERM II), the mandatory training grounds for euro adoption, and established close cooperation with the national banks of the two countries, which also simultaneously joined the EU's Banking Union.
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