-
Lubomir Lubenov, Anelia Lyubenova
BULGARIA’S FINANCIAL MARKETS IN AGRIBUSINESS – SIZE, STRUCTURE AND DEVELOPMENT TRENDS
Summary:
The aim of the study is to establish the size, structure and financing trends of Bulgaria’s agribusiness. Improving the liquidity and turnover of short-term assets of farms is a goal of paramount importance because it also improves profitability. This necessitates diversification of the sources and instruments to finance the operating capital, such as credits, leasing, factoring, forfeiting, etc. At micro- and macro-level, the provision of information for financial management purposes should be improved to facilitate the access to public and corporate financial markets of short-term and long-term funds for the agribusiness. Public financial markets in Bulgaria’s agribusiness grew steadily from over BGN 1 billion/year during the first reference period of the common agricultural policy of the EU (2007–2013) to BGN 4 billion/year at the end of the 2014–2020 period. They also played an important role in generating reciprocal company financing of over BGN 3 billion/year of over BGN 7 billion/year of all financing in the sector. Structurally, short-term financing accounts for more than 2/3 to 3/4 of all financing.
-
Nikoleta Karamileva
CLIMATE INVESTMENTS IN BULGARIA – POTENTIAL AND EMPIRICAL EVIDENCE
Summary:
The study aims to establish the relationships between produc¬tion and climate indicators in order to design a financial weather instrument in order to reduce the volatility of the financial performance of farmers in the region of Dobruja. For this purpose, a simulated weather derivative was designed and approbated making the relevant assumptions and constraints to mitigate the negative effects of changes in the levels of precipitation, the drought frequency, and the increasing climatic amplitudes on cereal crops. Its effectiveness is assessed taking into account the varying temperature and production and business performance of the agricultural producers. Last but not least, the study presents a critical review of the conditions required for the operation of this type of financial market in our country.
-
Lubomir Lubenov, Anelia Lyubenova, Ivailo Hristakov
FINANCIAL ISSUES AND FUNDING IN THE BULGARIAN BEEKEEPING SECTOR
Summary:
The aim of the study is to establish the amount of funding in Bulgarian beekeeping and their trends. The goal is achived through an analysis of the tendencies and the main sources of financial means. The study analyses the financial support from European and national funds (the National Beekeeping Program, the de minimis scheme, the Rural Development Program) for over BGN 18 million and from commercial banks and own sources for over BGN 3 million. Together they form financial markets for over BGN 21 million a year in Bulgarian beekeeping. The European and state financial resources intended for Bulgarian beekeeping from the country's membership in the EU are increasing in absolute terms, but are decreasing relative to the total funds. Bulgarian beekeeping has gained access to additional funding, which is not proportionate in comparison with other sectors. Additional financial support is needed per hive for the ecosystem pollination service in order to ensure biodiversity and food security in the EU. The financing of the Bulgarian beekeeping will continue to grow steadily.
