BCCI advises companies in relation to the negative impact of COVID 19

In reaction to the extreme situation that was declared in Bulgaria from 13 March for one month due to the COVID19 the Bulgarian Chamber of Commerce and Industry took respective measures and actions for informing adequately the business circles.

Meetings with the President of the Republic, the Government and respective ministers took place during the week and a set of measures was elaborated. Still more measures are to be introduced.

The Bulgarian CCI supports the proposed by the State mechanisms for supporting the economic entities in relation to the negative impact of COVID 19:

•  a mechanism to support employment within 3 month in companies that has been aggravated due to the coronavirus situation – payment of 60% of the salaries by the state.  Companies could apply for this support through a transparent procedure at the Employment Agency.
• increase the capital of the Bulgarian Development Bank with 500 mln BGN for realizing two instruments for legal entities:
  1) issuing portfolio guarantees to commercial banks that will reduce the capital burden on them and allow flexibility in relation to clients that are facing shortage of equity;
  2) through the intermediation of commercial banks the Bulgarian Development bank or its venture capital company to participate  temporarily in redemption of capital of companies that need it. This measure will provide free financing to the companies since the interest on the capital is zero.

Tackling the negative results of COVID 19 in short term the Bulgarian CCI suggested:

• Ensuring the movement of goods and raw materials along the trans-European corridors not to hinder the import and export
• Checking all delayed payments on national and municipal level for companies and elaboration of a plan for their execution as soon as possible.
• Opening a hotline for companies to signal cases of delayed payments from the state to the business. Shortening the periods for payments form the state to the businesses

The Bulgarian CCI counts on the constant dialogues with the Government because health is crucial but life of businesses is very important and the economy should not stop. Excessive restriction of economic activity, blocking of cities may cause closing of enterprises, dismissing of employees, restricting import and export and will thus inflict insurmountable damage to the Bulgarian economy.

The Bulgarian Chamber of Commerce and Industry advises member companies how to prepare for the coronavirus as employers and how to instruct employees, including the implementation of flexible working time and distant work as a precaution.

BCCI provides electronic services to companies – for certificates of origin, force majeure certificates, ATA carnets, certificates from the Trade register for companies, registration etc., demand/supply inquiries, consultations, translation of documents etc.

BCCI is pproviding regular information for companies regarding the recommendations of WHO, Ministry of Health, Ministry of labour and social affairs and Ministry of Foreign Affairs in Bulgaria in BCCI`s info channels, as well as numerous articles and links provided form partnering organizations: Eurochambres, European Commission, ICC, World Trade Center Association, Silk Road Chamber of International Commerce.

Useful links:

We face twin ecological and digital transitions - and Europe is going to lead the way, Ursula von der Leyen

EU`s response to COVID-19

How Chinese companies responded to coronavirus

Quarantined trade: Covid-19 to cost USD320bn of trade losses every quarter 

Coronavirus outbreak: USD26bn weekly in trade spillovers