Bulgaria’s Regional Development Minister Ivan Shishkov has announced that all payments linked to construction projects using the old indexation methodology will be suspended, marking a significant shift in infrastructure financing policy.
Speaking to Nova TV, Shishkov said the decision follows the introduction of a new inflation-linked construction indexation framework approved by the government on December 15, 2025. He explained that previously allocated funds were now being reconsidered, particularly in relation to large-scale highway projects.
He pointed to planned adjustments involving significant advance payments, including around 1 billion leva earmarked for the Hemus highway alone. He also cited similar issues connected to the Montana-Vidin road project, suggesting that in practice some infrastructure works had not progressed as expected.
According to Shishkov, the ministry will now halt all disbursements under the former system. He said that “when you give an advance and you are not ready to start building, it is one thing. When you give an advance and you have the opportunity to start building the next day, it is completely different.”
The minister has also ordered an inspection of sections of the Hemus highway after video footage showed flooding in a recently commissioned stretch. The footage was released by Nikolay Popov, the father of a 12-year-old girl who died in a road accident. The highway section in question had been opened to traffic at the end of last year.
