Bulgaria’s Parliament will convene on Friday, August 16, to vote on President Rosen Plevneliev’s veto on a controversial budget revision.

Last week, Plevneliev announced he had imposed a partial veto on the Law on Amending and Supplementing the State Budget Act for 2013, saying the Socialist-led coalition government had not shown enough transparency in its use of public money.

The budget revision provides for a new loan in the amount of BGN 1 B to be used as a buffer for the fiscal reserve in 2014, when Bulgaria must make new payments on its foreign debt. Other funds will be slated for the overdue money for the business and for social measures.

Economic growth is revised down to 1% from the original figure of 1.9%, while deficit increases by BGN 493 M, accounting for 2% of forecasted GDP, as opposed to 1.4%.

In defending his veto, the president explained that the package of social measures included in the budget update constituted a very small share of the earmarked expenses.

Plevneliev pointed out that there was insufficient information about how the new debt of BGN 1 B would be spent.

He noted that he failed to see serious plans about policies and reforms in support of competition and economic growth.

The ruling Bulgarian Socialist Party and Movement for Rights and Freedoms have exactly 120 MPs out of 240.

But to overcome a presidential veto, an absolute majority of at least 121 MPs is needed.

The Socialists and the Movement will thus have to rely on votes by ultranationalists Ataka, or the opposition center-right GERB, with the latter case being highly unlikely.