At the invitation of the Regional Governor of Stara Zagora, the Fund of Funds (FoF) participated in the working meeting “The State, Local Authorities and Business – Partnership for Sustainable Regional Development”, which brought together representatives of the executive and legislative authorities, local government, public institutions, businesses and employers’ organisations.
During the meeting, the Chairperson of the Management Board of the Fund, Alexander Georgiev, presented the results achieved through the implementation of financial instruments in the Stara Zagora region during the previous programming period, as well as the financing opportunities available until 2030.
Particular focus was placed on the Urban Development Funds (UDFs) and the “Capped Portfolio Guarantee for Circular Economy”, highlighting the opportunities they will provide for supporting public and private investments in the region. Special attention was drawn to the public resource of EUR 117 million allocated to the Southern Urban Development Fund, intended to support projects, including in the municipalities of Stara Zagora and Kazanlak. With the mobilisation of at least 30% private capital by the selected financial intermediary, the total resources of the fund are expected to exceed EUR 150 million.
The opportunities provided under the “Capped Portfolio Guarantee for Circular Economy” to support enterprises investing in energy and resource efficiency were also presented. Part of the resources under the instrument is already available on the market through UniCredit Bulbank AD and the Fund for Sustainable Cities Consortium (through United Bulgarian Bank AD), selected as financial intermediaries under the first procedure for the implementation of the instrument. The instrument is expected to build a financing portfolio of more than EUR 500 million in support of projects related to energy efficiency, the use of renewable energy sources, more efficient resource utilisation and waste reduction, thereby contributing to enhanced business competitiveness and the transition to a circular economy.
It was also noted that the Just Transition Fund will play a key role in supporting the regions of Stara Zagora, Pernik and Kyustendil, for which significant financial resources have been allocated. In this regard, nearly EUR 600 million in the form of loan and guarantee instruments has been allocated for implementation through the Fund of Funds.
During the discussion, specific results achieved by the Fund of Funds in the Stara Zagora region were presented. During the 2014–2020 programming period, financial instruments provided financing for 150 projects in the region amounting to nearly EUR 70 million (public and private resources), reaffirming the Fund of Funds as a key partner for both the implementation of public investments and the development of local businesses.
Examples illustrating the impact of the financial instruments included the reconstruction of Stara Zagora Zoo, the renovation of the Geo Milev Drama Theatre, the Summer Theatre and the Central Municipal Market, the modernisation of the water supply and sewerage infrastructure, the construction of a new manufacturing facility in the Zagore Industrial Zone, as well as the development of electric vehicle charging infrastructure across Southern Bulgaria. These projects demonstrate how financial instruments successfully combine public and private capital in support of modern infrastructure, a competitive business environment and sustainable economic development.
The participation of the Fund of Funds in such forums forms part of the institution's consistent policy of promoting partnership between the state, local authorities and businesses. Through its financial instruments, the Fund of Funds not only provides access to public resources but also mobilises substantial private capital, creates conditions for investments with long-term public benefits and contributes to the sustainable development and competitiveness of Bulgaria's regions.
