site.btaParliament Ratifies at First Reading Framework Loan Agreement between Council of Europe Development Bank and Bulgaria

Parliament adopted at first reading on Thursday a bill ratifying a framework loan agreement between the Council of Europe Development Bank and Bulgaria, co-financing mechanism for programmes co-financed by the European Social Fund Plus for the 2021–2027 programming period.

At its meeting on May 8, 2025, the Council of Ministers approved the draft framework agreement, authorizing the Minister of Finance to conduct negotiations and sign the agreement, subject to subsequent ratification. The Framework Loan Agreement was signed by correspondence on June 2, 2025, in Paris, and on June 25, 2025, in Sofia. Ratification by the National Assembly is required for it to enter into force for Bulgaria, according to the bill’s sponsor - the Council of Ministers

The loan totals EUR 250 million and is granted by the Council of Europe Development Bank (CEB) under highly favorable financial conditions, without additional fees or commissions, according to the Budget Committee’s report. The loan term extends to December 31, 2029, with a repayment period of up to 20 years and the option for early repayment. The funds will be disbursed in at least two tranches, with the first not exceeding 50% of the total loan amount.

The CEB supports the absorption of EU funds by providing structural program loans that enter the central budget and help cover the national co-financing share of projects implemented under EU operational programmes.

Previously, the Bank extended a EUR 200 million loan during the 2014-2020 programming period, which financed the national contribution to 2,627 projects in the fields of social services, human resources development, education, and regional growth, the report notes.