Foundation for Local Government Reform
Innovative practices in Bulgaria
Sharing innovations for improving local self-government
Establishment of Private Initiative Development Centers in the Region of East Rhodopes Mountains
Regional Economic Development and Investment Agency - Kardjali
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Background
The level of unemployment in the region of East Rhodopes Mountains is very high. The average educational level is rather low. In the area there is not sufficient information about the present economic situation in the country. Some of the leaders demonstrate conservative and undemocratic way of government. All these factors are leading to the increase of the migration process and fast desertion of the region. For the time being in the East Rhodopes Mountains region there do not exist any business and information centers or trade associations. This increases the level of importance and significance of the newly established Private Initiative Development information centers in the five Rhodopes Mountains Municipalities.
Practice
The Regional Economic Development and Investments Agency - Kardjali, together with the Balkan Forum Civic Association establishes and develops five information and consulting centers. They are based in the Municipalities of Ivailovgrad, Krumovgrad, Kirkovo, Zlatograd and Karjali. The working personnel includes trained professional people from the following fields: economics, law, social activities, philology, agriculture, as well as people graduated from technical universities in Bulgaria. The centers began to function eight months ago and up to this moment have been visited by more than 350 citizens who searched for consultant, informational or financial assistance. The Regional Economic Development Agency successfully mediates in the realization of direct contacts between citizens and credit institutions.

The citizens of the different municipalities initiate monthly discussion meetings with the participation of municipal representatives, experts from various fields and businessmen. During the 42 meetings held so far, the average presence of people is 30. The subjects discussed are connected with particular problems: how to start and run a private company; company registration; human resource management; relations with credit institutions; legislative base; company accountancy etc. During the meetings the participants receive information materials connected with the topic of the meeting.

The Centers are working mainly with young people from the region and trying to stimulate their active participation and convince them to start a business of their own. They also organize specialized meetings and training for young people - First steps in a new business . The Centers provide information for current competitions encouraging young people to take part in the initiatives.

The Private Initiative Development Centers strive for:

- opening more possibilities for work employment;

- regulation of the migration by stimulating alternative employment;

- transparency in the ongoing activities, programs and decisions of the local authorities about privatization and infrastructure projects;

- providing information about the existing problems;

- solution of the problems concerning disadvantaged people;

- implementation of public initiatives connected with civic education and training.

The five Centers report for their undertaken initiatives to the main organizational office in the town of Karjali. The gathered information is processed and synthesized by experts. The Centers are provided with timely information about legislative changes, requirements for credit application, as well as for proposals from Bulgarian and foreign companies and institutions for sale-trades and investment possibilities.
Results
The implementation of the project increases the level of access to information of the population and the real possibilities for business development. The Private Initiative Development Centers stimulate the liberty of ideas and support the solution of the existing difficulties. As a result of the systematic efforts, numerous companies from the region are realizing successful business contacts with other companies round the country and from Europe, which encourages the enlarging of the potential markets and the release of the companies` production, respectively. Over 40 companies have obtained qualified assistance and consulting about receiving operative grants and credits from different bank institutions.
Innovator: Anita Tagarova
Publication Date: 15 September 1999
Nominations: 11
Anita Tagarova
Executive Director
Karjali - 6600
23 Trakia Blvd., bl. Nov Zhivot , entr. B, floor 1
Tel:0361/38385
Fax:0361/22721

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