CABINET MAY ACQUIRE OVERDUE DEBT OWED STATE FOREIGN TRADE COMPANIES

Business | December 14, 2001, Friday // 00:00

The Cabinet suggested that it acquire overdue debt foreign states owe to state-owned Bulgarian foreign trade and engineering companies. According to Krassimir Katev, Deputy Finance Minister, this will prevent speculative bids in the privatization of these companies. Minister Katev told the parliamentary economic committee that outstanding debt is very likely to attract potential buyers. He proposed that legislators prepare the necessary legal changes to secure the debt transfer. Bulgargeomin, mining and construction company, which owes its employees a total of USD 2,2 M in wage arrears was unable to collect the USD 42 M owed to it by Libya for water drilling works. The inadequate activities of several cabinets are to blame for the failure. Iraq owes the company another USD 1,5 M and Nicaragua – a total of USD 12 M. “Algeria and Niger paid part of their debts to Bulgaria,” Deputy Finance Minister Krassimir Katev said. “We do not want these facts to be made public because of the specific political conditions in some of these countries,” Katev reiterated. Algeria owes Bulgaria USD 40 M, Niger – USD 32 M. Foreign countries’ debts to Bulgaria are over USD 2,250 BLN. Bulgaria’s biggest debtor is Iraq who owes Bulgaria almost USD 2 BLN.
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