Ministry of Transport, Information Technology and Communications

Over the last three months we have achieved a lot more than it had been achieved in the last three years. This was stated by Minister of Transport, Information Technology and Communications Danail Papazov during a presentation of the rehabilitation measures during undertaken in the past 100 days at the two ailing state enterprises - Bulgarian Posts and BDZ.

Minister Papazov informed that this is the first time as much funds from the company’s compensation for the universal service provided in economically unprofitable areas have entered Bulgarian Posts. A Decision will be presented tomorrow to the Council of Ministers for the provision of 6.5 million levs toBulgarian Posts for the compensation of the social services provided in 2011. Parallel to the actions of the government for the provision of funds for the subsidy from previous years, the management of the Posts has been implementing a recovery plan. The plan includes new profitable activities, as well as developing a new Classifier of Positions in order to eliminate the differentiated payment for identical positions depending on the region in the country.

The plan for the restructuring of BDZ has resulted in reduction of the debts of the company from 700 million levs to 670 million levs at the end of the year. "It is possible that next year BDZ will have an accounting profit” – predicted Minister Papazov. He reported that in the recent months there is a significant growth in freight transport - up to 30,000 tons per day.

The dialogue with the creditors of BDZ, which was impaired in past few years, has been resumed. There have been negotiations for restructuring the debt to foreign creditors of the railways and extension of the period of the agreement for its payment.

Minister Danail Papazov announced that a reform has begun at the Executive Agency "Road Administration" and a new executive director is to be appointed in days.