site.btaUPDATED Sofia Deputy Mayor Ivan Vasilev Resigns Following Change of Municipality's Servicing Bank

Sofia Deputy Mayor for Finance Ivan Vasilev has resigned. "I have informed the Mayor of Sofia Municipality of my desire to resign from the position of Deputy Mayor for Finance and Healthcare. I have personally explained my reasons to the Mayor of Sofia," said Vasilev in a Facebook post.

He added that he will remain in his post until the issue related to the change of the municipality's servicing bank is resolved.

Since 1996, Sofia Municipality’s financial operations, including its nearly BGN 3 billion municipal budget and budgets of individual borough administrations, have been managed by Municipal Bank PLC, a privately owned bank despite the name suggesting otherwise

On Tuesday, Municipal Bank formally notified Sofia Municipality that it is terminating the servicing contract with the municipality.

Two weeks ago, a report by Sofia Mayor Vasil Terziev to the Sofia Municipal Council proposing to terminate relations with Municipal Bank, and seek another servicing bank was blocked. Blagovesta Kenarova, a municipal councillor from Continue the Change, called for postponement, pointing out the proposal lacked transparency, cost analysis, fee comparison, and a clear bank-selection methodology.