Bulgaria implements new financing model for major highway projects

Bulgarian Minister of Regional Development Ivan Shishkov has announced a new financial approach for major infrastructure projects to ensure completion and prevent the misuse of public funds. Under this new scheme, key projects such as the Hemus Motorway to Veliko Tarnovo and the Montana-Vidin motorway must be completed within a maximum of three years.

To protect the state budget and maintain control, the government will no longer provide advance payments. Instead, the state will implement deferred payments over a period of five to six years, contingent upon proven construction quality. This strategy aims to avoid the legal risks and financial losses associated with canceling existing unstable contracts.

The Directorate for National Construction Control (DNSK) will begin monthly on-site inspections of all major infrastructure sites. This move follows recent discoveries of fraud involving European and public funds, where false documentation was used to claim funding for unfinished projects. In response to such abuses, the mayors of Asenovgrad and Lovech have been referred to the prosecutor's office.