The Government Support to SME sector and the CSR in Bulgaria

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1 The Government Support to SME sector and the CSR in Bulgaria Milen Bankov Deputy Executive Director Bulgarian SME Promotion Agency Moscow, June

2 Bulgarian SME Promotion Agency Role To be a working link between public administration, business and NGO s To be the entrepreneurs partner for successful business development and strengthening their competitiveness WHO DO WE HELP? Pre-start ups, start ups and well-established Bulgarian SMEs at domestic and foreign markets Foreign companies 2

3 Bulgarian SME Promotion Agency 3

4 4 SME sector in Bulgaria The SMEs account for companies 99 % of total enterprises are SMEs 79 % of employment, 75 % of the turnover 61% of the value added of the private sector 54 % of total exports 73% of imports of private businesses. SMEs are most active in the area of trade and repair of motor vehicles, manufacturing, hotels and restaurants, and real estate, renting and business activities. 1/3 Women entrepreneurs and managers in Bulgaria More than 60% of SME managers have higher education (this is higher than the average percentage for most European countries).

5 Programmes supporting the SME sector in Bulgaria SME technological development and innovations National Innovation Fund Information, Consulting services & Training Programmes Trade Promotion programme 5

6 National Innovation Fund The financial instrument to increase the competitiveness of the Bulgarian economy through support to R&D and innovation process Beneficiaries - innovative, export companies aiming at the implementation of new technologies and expanding their markets The NIF s management and the administration are assigned to 6 Up to 80 % of the costs for innovation and technological development are covered by the fund

7 Information, Consulting & Training 7 Economic and market information Reply to foreign companies inquiries Match-making services for SMEs Access to the Bulgarian companies data base Consulting on marketing, finance, planning & management, HR development, export promotion, QMS, environment protection etc. Entrepreneurial skills and staff training Creation of Business support networks

8 SME Internationalisation Programmes National participations on international trade fairs Business missions, Delegations, Economic forums, Bilateral business meetings Information and consulting on exports Foreign markets research studies Advertisement 8

9 CSR Development Quality Standards - SMEs find it difficult to develop and introduce QMS. Environmental Management The National Environmental Management and Audit Scheme. The National Eco-Labelling - 1/3 of the companies certified for ISO 14001:1996 aresmes Certificates ОHSAS Energy Efficiency National Energy Saving Programme Three-Year National Action Plan 9 Energy Efficiency Fund

10 CSR Development SMEs perceive the introduction of international quality standards as a necessary precondition to survive on the market and to improve their competitiveness. The impetus for CSR in Bulgaria is given by MNC and EU funded projects 10

11 Scope of CSR implementation Health and Safety at Workplace A Work Conditions Fund is established at the Ministry of Labour and Social Policy Social Dialogue Agreement signed between the Confederation of Independent Trade Unions, the Confederation of Employers and Industrialists and the Government Environmental Responsibility 11 The agency responsible for protection against all forms of environmental pollution is the Ministry of Environment and Water

12 CSR Initiatives How to integrate CSR into business - the first national conference on CSR, July Conference on the European social model October The national award for socially responsible companies- an annual competition for SMEs and large companies operating in Bulgaria. is one of the organizers. The ENGAGE Award - employee engagement award EU funded projects on promoting CSR in different Bulgarian industries They involved the government, employers and trade unions to explore how CSR can improve the industry's competitiveness on international markets. 12

13 Bulgarian SME Promotion Agency Thank You for Your Attention! Sofia 1000, 1, Sveta Nedelya Sq. tel: (359 2) fax: (359 2) web-site: 13

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