Financial news

Slovenia, Croatia, and Bulgaria reported the highest annual growth of government debt-to-gross domestic product (GDP) ratio in the EU in the third quarter of 2014, the bloc's statistics authority said on Wednesday. The debt-to-GDP ratio in Slovenia rose by an annual 16.8 percentage points in the third quarter of last year, while in Croatia and Bulgaria it increased by 7.3 percentage points and by 6.6 percentage points, respectively, according to Eurostat data. Bulgaria also posted the highest quarterly increase of debt-to-GDP ratio - of 3.1 percentage points to 23.6% - in the July-September period of last year. The EU's average debt-to-GDP ratio was 86.6% at the end of September, up by an annual 1.3 percentage points.

Presenting the annual report on the progress in the implementation of the Operational Programme (OP) Transport, Transport, IT and Communications Minister Ivailo Moskovski said that Bulgaria needs to absorb EUR 600 million in 2015 so as not to lose funding under the OP. Moskovski said that work on absorbing the money will be a big challenge to the Ministry and the OP beneficiaries but said that every effort will be made so as not to allow any loss of funding. The Minister noted that no loss of funding under the OP was allowed in 2014, although there was one critical moment. Moskovski said that the entire available funding under the OP has been contracted. Paid out funding exceeds EUR 1,500 million, or 71-72 per cent of the OP. Nearly EUR 1,100 million have already be reimbursed to the national budget by Brussels, he said. Twenty-two investment projects are funded by the OP. Seven of them are completed.

	Mineral Fuels, Tailoring Products, Canning, Perfumery and Cosmetics, Furniture, Meat Products, Wine, Wood-processing Industry

Concessions

Modernization of the ski area near the Aleko hut on Vitosha will cost over BGN 100 million, announced the company owner of the lifts Vitosha Ski. It is willing to invest the necessary funds for the replacement of the infrastructure, which was built between the 60s and 80s of the last century. A week ago, the head of the ski federation Tseko Minev alerted that the equipment in the mountain is dangerous and is likely to suspend work within two seasons. The renovation will take between 3 and 5 years. The project of Vitosha Ski plans the change of the existing 9 lifts and a better connectivity between them. However, first must be prepared a new management plan for the park, because the validity of the old expired at the end of 2014. Then the project must go through the approval of the state authorities and only then the work can begin.

Companies

Following the adoption of amendments to the new Audit Office Act in Parliament, it was decided that the AO would inspect all commercial enterprises, of which the state holds over 50%. According to Prof. Rumen Gechev there is a risk of EU program funds in municipalities not being supervised. "What will happen to companies, of which the government holds BGN 500 million or 2 billion in major investment projects, but the government's share is less than 50%, yet amounts to 100 million, 200 million, 1 billion? This way we could end up having to audit 51 000, but not one billion," he said, giving an example. Majority party GERB responded by saying the government helped manage the companies and shouldn't waste resources. MP Menda Stoyanova commented that the majority shareholder also bears responsibility.

A private enforcement agent has put up for sale a refrigeration furniture factory under the name of Frigo HM which is located in the Bulgarian town of Slivnitsa at a starting price of BGN 4.6 million. Frigo HM is successor of factory for refrigeration furniture called Torgo. Bids can be placed until February 23, 2015 and the winner will be announced on the following day. The factory of Frigo HM has a built-up area of 49,000 square metres. Main economic activity of the company is production of refrigeration equipment. The announced public sale is asked by Slivnitsa municipality.

A new factory for processing of fruits and vegetables will be opened in the town of Pavlikeni. Total investment in production is assessed to about BGN 2.5-3 million, as part of the funds are invested in repair of the building. The factory will rent a site and buildings of an ex-Rodopa meat factory, bought some time ago. Plans are real production of cans to begin in a year’s time. 25 people will be employed permanently, as well as about 10 seasonal workers. All machines in the factory will be new. It will most probably manufacture about 1.5 tons a day. It will include frozen fruits, jams, pickled vegetables, and canned peppers and eggplant.

Prize for innovation in the category Quality of life of the National competition for innovative enterprise 2014 was handed out to a company under the name of Kurabiinica for its product Roobar. Deserts got positive feedback from 36 foreign markets. Just a year ago employees in their warehouse in Sofia’s neighborhood of Gorublqne were just 12. Sales back then were assessed to BGN 800 thousand. Last year the company sold 3 million raw bars. It has 42 employees now, while its product Roobar has stepped on four continents. Just for the last year more than BGN 300 thousand has been invested in production. Plans are this year the factory to move to a spacious site. Two production lines are working in Roobar’s warehouse. New equipment is installed around them so that stricter quality of the deserts is looked upon. Certification under ISO is imminent. Some of the machinery has been specially changed so that it fits production. The present equipment ensures production of 11 types of Roobar, which consists of organic certified ingredients and foods like whose, goji berries, maca, and baobab.

Europe

Mario Draghi called on the European Central Bank to make its biggest push yet to fend off deflation and revive the economy by unleashing a debt-buying spree of EUR 1.1 trillion. The ECB president and his Executive Board proposed spending EUR 50 billion a month through December 2016, two euro-area central-bank officials said. The plan still faces a tense debate in the Governing Council and may change before the final decision on Thursday, the people said, asking not to be identified as the talks are private. An ECB spokesman declined to comment. By urging Fed-style quantitative easing, Draghi is remodelling the ECB as an aggressive central bank that will take risks even against the wishes of Germany, the region's biggest economy. Bundesbank president Jens Weidmann and Executive Board member Sabine Lautenschlaeger have argued QE isn't needed and reduces the incentive of governments to make structural reforms.

America

The Bank of Canada (BoC) lowered its benchmark interest rate to 0.75%, as it downgraded its economic growth and inflation outlooks for Canada. The adverse effects of the lower oil prices were cited as the main reason for the move. Previously, the BoC rate had been left unchanged at 1.0% since September 2010. The announcement, along with the release of January’s Monetary Policy Report, took markets by surprise, sending the Canadian dollar into a tailspin. Before the publication, the markets only began pricing in the possibility of a rate cut, with economists insisting that the move was premature. The BoC has significantly cut its domestic growth projections in response to a sharp drop in oil prices. The Canadian economy is now estimated to expand at 2.1% in 2015, down from earlier forecasts of 2.4%. Canada's economy is now expected to reach full capacity in the end of 2016, later than was previously thought.

Asia

China will build a high-speed railway connecting Beijing and Moscow, estimated to cost 1.5 trillion yuan ($242 billion), Beijing's municipal government announced on Thursday. The length of the railway will total 7,000 kilometers. The railway will pass through Kazakhstan, and the journey will take two days, Bloomberg reports, citing the government' announcement in the Weibo social network. The railway will ease travel between Beijing and Moscow and reduce travel times, the announcement notes. According to Bloomberg, China is promoting its high-speed rail technology on an international level, adding that the construction of the railway is taking place as Russia's relations with the US and Europe cool over the Ukraine conflict.In this photo released by China's Xinhua news agency, a bullet train G80 leaves for Beijing from the Guangzhou South Railway Station in Guangzhou

Belyova Church Nativity of the Blessed Virgin Mary

The oldest Christian monument in the region of Samokov is the Belyova Church Nativity of the Blessed Virgin Mary. It is situated between the town of Samokov and the resort of Borovets. No one knows when the church was built but the woman jewelry dated to 12-13 century found here prove that the church is quite old. Furthermore, archaeologists found evidence of monks buried in the necropolis near the church from the end of 11 – early 12 century. Other findings also show that the Belyova Church existed during the Second Bulgarian Kingdom. The legend tells the temple was once a small private church of the local lord of the manor Belyo, whom the church was named after. Gradually it was expanded and the old frescos were replaced by a newer coat. Local people tell that the church was dug into the ground in 15 century so that it was protected from the Turks’ ravages. In 1869 the prominent master Nikola Obrazopisov started renovating the church. He wall-painted the icon of St. Simeon of Samokov. Simeon Popovich, as the saint was born, became Metropolitan of Samokov in 1734. Highly educated, the Bulgarian bishop lead the Christian people against the Ottomans. He was captured in July 1337, tortured, and hung on August 21, 1737 is Sofia. The pasha forbade the Christians to bury him in Sofia. The relics of the Saint were found during archaeological excavations in the Belyova Church in 1995.

On that day:  Devil's Throat cave