site.btaInnovation Minister Pulev Updates Parliament on Bulgarian Development Bank

The Bulgarian Development Bank (BDB) received BGN 2 million in interest income while it had BGN 22 million in expenses only for salaries, caretaker Innovation and Growth Minister Alexander Pulev said during Question Time in Parliament on Tuesday. He was answering a question by MP Dragomir Stoynev (BSP) on the recent dismissal of two members of the BDB Supervisory Board.

The BDB gave 3 or 4 loans a month, had BGN 2 million in interest income and 22 million in salary expenses, according to the caretaker minister.

The two members of the BDB were dismissed because of "zero strategy and zero vision", Pulev said. The state has been harmed by consultancy contracts amounting to BGN 1 million for a BGN 1 billion bond issue being prepared. The previous minister of innovation and growth, Daniel Lorer, had given verbal permission to launch the procedure, but there was no written authorisation, Pulev said, adding that he has referred the matter to the competent authorities.

The BDB has been making an operating profit since 2018. Its income comes from 700 old loans. A small part of them are bad, but the others sustain the credit institution and “pay the salaries of Mr. (Kiril) Petkov's team,” Pulev said.

As the principal of the state-owned Bulgarian Development Bank, the caretaker Minister of Innovation and Growth dismissed by his own decision in early December two members of the Supervisory Board of the Bulgarian Development Bank - Valentin Mihov and Vassil Shtonov.

Now the members of the BDB Supervisory Board are Rosen Karadimov, Delyana Ivanova and Stamen Yanev.