site.btaUPDATED Finance Minister Favous Keeping Present BNB Governor until Inflation is Contained and Common Candidate Found

Deputy Prime Minister and Finance Minister Assen Vassilev said in a Bulgarian National Radio interview that in his opinion as Minister of Finance, it is a good idea to keep the present management of the leadership of the Bulgarian National Bank (BNB), at least until the inflation processes are controlled and the parties in the government coalition agree on a common candidate. 

"We are in favor of not opening a third procedure for electing a BNB governor," he said. "The BNB Governor must have an absolutely impeccable reputation. The entire banking system rests on the shoulders of this one man and his authority," added Minister Vassilev.

Whether a procedure will be opened will be decided by the Budget Committee in Parliament, added Vassilev. Asked how he would work with Lubomir Karimanski in the future, as they are in a legal dispute, Vassilev said that one does not interfere with the other.

Regarding a post on Karimanski's social media a few days ago and whether the fiscal reserve is at a minimum, the Finance Minister commented that as of Friday night it was over 8 billion leva. The minimum is 4.5 billion leva and Bulgaria has not gone below it, said Vassilev.

'If a price cap is set on certain goods, they will disappear from the shelves,'' Vassilev commented on the BSP's proposal to have a cap on some household prices. ''Complex measures are needed, we also have proposals, all are in the Ministry of Finance and are being evaluated,'' he explained, adding he expects a joint anti-crisis package in two weeks and that energy prices for citizens have been controlled.

''We are the only country in the European Union that has been paying the prices from July last year for electricity for households,'' he added. According to him, almost 4 billion leva have been returned to companies, which is the largest compensation package. The sources for electricity are mostly Bulgarian and their cost has not increased much, added Minister Vassilev. According to him, the compensations for gas are much smaller because it is imported. Vassilev expects a big movement and inflationary pressure in food. There is another approach, said Minister Vassilev and clarified that it is possible to provide targeted funds to compensate for the increase in prices.