Delayed payments, tight project preparation deadlines and uncertainty over available funding are hampering municipal investment projects, officials said at a forum held as part of the Annual Meeting of the National Association of the Municipalities in the Republic of Bulgaria here on Monday.
During a panel discussion, government representatives, mayors and the Bulgarian Development Bank called for clearer funding rules, long-term planning and more predictable payments.
Regional Development Minister Ivan Shishkov noted that the government aims to restore regular payments under the Municipal Investment Programme and work with municipalities to prioritize projects based on regional needs.
Deputy Minister Pavleta Pelovska reported that more than 560 payments worth EUR 101 million had been processed in one month, covering over 300 municipal projects. Of the 3,492 projects included in the programme, agreements have been signed for 2,370.
Delyana Ivanova from the Bulgarian Development Bank pointed out that the bank expects to pay a further EUR 10 million for projects already financed through the bank. She added that the bank also manages EUR 330 million for projects under Bulgaria’s Recovery and Resilience Plan, where construction cost increases and the lack of approved price indexation remain challenges.
Montana Mayor Zlatko Zhivkov commented that municipalities expect EUR 720 million to be allocated to the programme in the next state budget, including EUR 100 million for water supply infrastructure. He called for prompt payment for completed and verified work.
Pavlikeni Mayor Emanuil Manolov warned that delayed state transfers force municipalities to postpone payments to contractors or use their own funds, putting pressure on local budgets and risking delays to other projects.
Participants agreed that predictable funding, realistic deadlines and better coordination between the state and municipalities are essential to completing infrastructure projects on time and to the required quality.
Delayed Payments, Unclear Funding Hinder Municipal Investments 2026 THE NEWS FROM BULGARIA – NEWS AGENCY 2009-2025 2026-10-12 13:45:20
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BULGARIA NEWS – NEWS AGENCY 2009–2026 2026-10-12 13:45:20
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