Home » Business » Prof. Chavdar Nikolov: At least BGN 5 billion of the loan is not seriously justified – 2024-09-08 12:44:39

Prof. Chavdar Nikolov: At least BGN 5 billion of the loan is not seriously justified – 2024-09-08 12:44:39

/ world today news/ Minister of Finance Vladislav Goranov announced his work as risk minister. Especially in the way he defended or rather did not defend the need for the new 16 billion loan.

A man of his rank cannot get anyone to vote for credit without explaining what he is going to use it for. I mean, his argument is only about a fraction of that amount. No matter how we consider BGN 16 billion, at least BGN 5 billion of them has no serious justification. I guess with that money they hope to buy old fighter jets, which by the way is the better option, the other is that there are commissions hidden in them for deals that we don’t suspect. We know from experience that our politicians take commissions wherever they can.

I’m not an expert on arms procurement, I would say – and thank goodness. But voices are heard in the circles of the current government, according to which we can receive these fighters as a donation. Especially the models we focused on, despite the fact that they are from 25 years ago or more – F 16, F 18. As much as I do not understand military equipment, I think that we should not buy the F 16 at all, the F 18 is more -acceptable, but I still think there is a way to get them as support from allies. Since we do not have any information about this, we can only guess what is happening and what is being said in the ministerial offices.

In general, I am adamant that taking on such a large loan of billions is not justified without an accurate calculation and plan for its absorption, as well as for its repayment. Yes, we need new loans, I have been talking about them since 2008, but please, let it be written for what and how, there should be tables, a breakdown of the figures, by dates, by years, that is. as is done in these financial circles. Everything else is out of order.

The behavior of the Minister of Finance Vladislav Goranov, to whom questions are directed for days about this 16 billion BGN new debt, is insulting. He should resign. However, it is not about BGN 5, not even BGN 500,000. I admit, we have had finance ministers who were market fundamentalists, such as Simeon Dyankov, others who barely understand finance, such as Ivan Kostov, but we do not remember such an outrage as today. The positive example is Muravey Radev, he understood his work, he made a good tax system.

So Vladislav Goranov must go, because with his actions he is dragging the prime minister and the entire government down. Otherwise, we will find ourselves in the steps of the Greek scenario, and if you put 2-3 years ahead – the reality will not be any different. As they say: who ate-ate, who drank-drank…

Democracy cannot stand such behavior of the rulers – to remain silent.

My prediction for Wednesday this week, when the new credit proposal will be voted on in the parliament, is that GERB’s coalition partners will not take this risk, they will not plunge headlong into the unknown. Unless some big secret is hidden behind these BGN 16 billion. However, there cannot be such a thing under the democratic regime, which we have managed to achieve to some extent for all these years. Because democracy is supreme transparency, there can be no formula for it: vote for me because I order you to or take this loan because I tell you to.

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Professor Chavdar Nikolov, public finance expert.

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