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The Ministry of War plans to offset the cost of the pandemic with more revenue from the sale of seized property, weapons and other equipment.
Deputy Prime Minister and Minister of War Krassimir Karakachanov announced that a schedule for the sale of 158 properties already exists and that the sale of unnecessary equipment is accelerating.
“We have already taken steps to sell out of need properties to increase revenue. We have prepared a schedule for the sale of 158 properties. We will also accelerate the sale of surplus property, weapons and equipment. With these actions, we hope to exceed our goals of income. ” points to Karakachanov in a written response to a parliamentary question from Hristo Prodanov (BSP).
Later on Wednesday Karakachanov told bTV that at least some properties had been sold in his time.
“Gifts are over. Every sale is public. Only out-of-need properties are offered for sale. We have over 1,000 properties. No attractive or exciting properties have been released at this time.” he said.
The Ministry of Defense has been struggling for years to sell unattractive and necessity properties and they only accumulate costs. At the same time, owners quickly find appetizing plots, and scammers are often suspected.
In recent years, the Defense Ministry has restricted its “brokerage activities,” but in the not too distant past, prosecutors have investigated various exchanges and sales.
Karakachanov writes that the Defense Ministry is trying to update the ministry’s spending by delaying new financial commitments. At the same time, he insists that major military projects will not be delayed.
“We do not foresee any postponement or cancellation of rearmament projects.” said the deputy prime minister.
The issue became relevant after Finance Minister Vladislav Goranov allowed the postponement of military projects due to the pandemic crisis. Karakachanov reacted against such an option, and Goranov did not broach the subject again. BSP leader Cornelia Ninova also had a proposal in this direction, but the military ministry insists that the projects will not stop.
“If the implementation of large investment projects is postponed or suspended, it will be impossible for the armed forces to fulfill their tasks.” Karakachanov writes.
There are currently two major projects underway: the acquisition of new armored vehicles and two patrol cars. Its total price with VAT is close to BGN 2,500 million.
If the Ministry of Defense is working on a plan, the agreements must be signed within a few months.
The project for two new patrol cars is final, even with a winner already selected. This is the German company Lursen, and there is expected to be a Bulgarian subcontractor. However, according to Mediapool sources, MO could accept the postponement of this project.
More urgent is the project to buy new armored vehicles for the Army, but it is progressing at a slower pace. MO has solicited bids from only four companies: ARTEC GmbH (Germany), Patria (Finland), NEXTER Group (France) and General Dynamics Land System – MOWAG (Switzerland), and is now evaluating them.
The project is very complex and has cycles throughout the years, making it possible to restart or modify it.
Karakachanov specifies that the two projects will not be paid in bulk, but in installments, so the budget will not be burdened with as much.
He said security challenges would increase and would be exacerbated by the pandemic.
“As long as additional resources are needed from now on for health and to strengthen the state’s resilience, providing sufficient defense resources remains a strategic imperative.” he points out.
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