Improving the efficiency and quality of public investments in Bulgaria

In accelerating economic development, creating demographic upswing, and reducing inequality, infrastructure represents a foundational need. It enables the flow of goods, people, and information and provides services which are at core of economic growth and resilience. Good infrastructure investment relies on standardised procedures, robust appraisal frameworks, and sound value-for-money criteria to avoid fragmented planning, reduced inefficiencies, ensure correct allocation of public funds to generate the greatest public benefit.  

In Bulgaria, these principles of good infrastructure are key to reaching the long-term infrastructure goals set out in the National Development Programme BULGARIA 2030, including more transport connectivity, digital connectivity, circular economy, and low-carbon infrastructure. Through a previous TSI, OECD analysis identified challenges in the existing public investment management system in Bulgaria, including fragmented decision-making and inconsistent appraisal tools across government.

Reforms in Bulgaria have begun, including establishing a centre of excellence for investment management. However, government-wide methodology and legal basis for standardised project appraisal still need to be fully developed. Thus, Bulgaria will be working with the European Commission and the OECD to develop a legal basis and a project selection methodology with guidance to support Bulgaria improve its public investment management.

This project will help Bulgaria assess public investment proposals more strategically and consistently. This will help prioritise resources to where they are most needed in transport connectivity, digital connectivity, circular economy, and low-carbon infrastructure, thus contributing to the National Development Programme BULGARIA 2030. 

Strengthening Bulgaria’s public investment management system can yield consistent, transparent, and good value-for-money in public investment decisions. This can be achieved through a unified methodology, a legal basis, better assignment of roles, and more capacity across government. Together these improvements support Bulgaria’s strategic long-term fiscal goals for nationally funded projects, as well as EU objectives.  

The main deliverables of the project include:

• A study visit and peer exchange with other EU member states on approaches to public investment management.

• Advice for Bulgarian officials on a legal basis to implement a revised public investment management methodology.

• A best-practice methodology for project selection, prioritisation and appraisal, suited to Bulgaria, based on EU and OECD best practice. 

• Capacity building workshops delivered to officials across the Bulgarian government, focused on implementing the best-practice methodology.