Bulgaria: 98 Percent of Government Deals Corrupt

Published: 10 June 2013

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Just two percent of companies win 98 percent of all public procurement deals in Bulgaria, the head of BORKOR, Bulgaria’s state anti-corruption and organized crime agency, said in an interview with Bulgarian National Radio, the Sofia News Agency reported.

In transparent societies, business deals in which the government purchases a product are done through an open bidding process, where the company with the best specifications at the lowest price wins the business. The obvious lack of such a system in Bulgaria imposes a costly drain on public funds.

The government tender data comes out of an analysis by BORKOR of deals organized by major state-owned companies. The largest irregularities were found in the energy and railway industries, the Sofia News Agency reported. Eleonora Nikolova, BORKOR’s director, told Bulgarian National Radio that the anti-corruption body had recommended amendments to Bulgaria’s Public Procurement Act that would address corruption.

Widespread government corruption is nothing new to Bulgaria. In February 2013, exorbitant utility bills blamed on corruption by government and energy companies sparked massive protests, culminating in the resignation of the government.

The country ranked 75th on Transparency International’s Corruption Perception Index for 2012; Greece was the only EU country with a higher level of perceived corruption in the survey.