Economy Minister Alexander Pulev (left), Rheinmetall representative Pascal Schreyer (right)
Bulgaria’s government will continue talks with German defense giant Rheinmetall to resolve problems surrounding a planned joint project with state-owned arms manufacturer VMZ Sopot, Deputy Prime Minister and Economy Minister Alexander Pulev said after a meeting with representatives of the company.
Pulev said the government had identified several major issues in the mechanism prepared for the project, including the lack of a founding agreement and the absence of an officially established joint venture between VMZ and Rheinmetall.
According to him, the previous administration, mainly GERB, failed to secure financing for the large-scale investment despite commitments made earlier. “Despite generous promises, there was no money in the central budget,” Pulev said, adding that the project also lacked detailed calculations, financial justification and a comprehensive analysis.
The deputy prime minister also criticized the way negotiations with construction companies had been conducted, saying that direct talks had been held with companies including Hydrostroy and Glavbolgarstroy without public procurement procedures.
