Montana District

Montana Montana DistrictDistrict

Welcome to Montana.Welcome to Montana.

Advantages of Montana DistrictAdvantages of Montana District

Financial stability in BulgariaFinancial stability in Bulgaria;;

Low rateLow rate of corporativeof corporative taxes;taxes;

Qualified labor force;Qualified labor force;

Lower average wageLower average wage;;

Strategic geographic location;Strategic geographic location;

Business friendly regional administration.Business friendly regional administration.


Ivaylo PETROV – District Governor of Montana district

Geographic positionGeographic position Montana district is a geographical centre of the Bulgarian Montana district is a geographical centre of the Bulgarian

North – WestNorth – West;;

TerritoryTerritory – 3 635 – 3 635 sqsq. . kmkm;;

To the North Montana district has a natural frontier with To the North Montana district has a natural frontier with Romania through the Danube river and Serbia to the WestRomania through the Danube river and Serbia to the West;;

The second largest artificial lake in Bulgaria called “Ogosta” The second largest artificial lake in Bulgaria called “Ogosta” is situated on the territory of the districtis situated on the territory of the district;;

The highest peak in Montana district is KomThe highest peak in Montana district is Kom ( (2016m)2016m);;

Here you can find one of the most Fertile areas of Bulgaria Here you can find one of the most Fertile areas of Bulgaria ““ZlatijataZlatijata” – ” – known as the granary of Northwest Bulgariaknown as the granary of Northwest Bulgaria;;

Excellent climateExcellent climate – – warmly summerwarmly summer ( (toto 40° 40°CC) ) and cold winterand cold winter ((toto - -2525°°C)C);;

PopulationPopulation – 1 – 15555 889999;;

MunicipalitiesMunicipalities – 11 – 11 ;;

Administrative centreAdministrative centre – – MontanaMontana (45 350 (45 350 peoplepeople),), which is which is situated situated 100 100 ккm from the capital city Sofia – the largest city m from the capital city Sofia – the largest city in Bulgariain Bulgaria (1 (1 165 503165 503 people).people).



Eurocorridor №4, road Е -79 Vidin - Sofia – Kulata; Eurocorridor №7, the Danube river and the port of Lom.


European transport corridorsEuropean transport corridors

We must emphasize the importance of the Danube port in Lom for the development of Montana and in general of Bulgaria. This is the most direct route for transporting goods from Western Europe, Russia and Ukraine to Bulgaria and Greece.




TaxesTaxes

Corporate income tax Corporate income tax 10%10%

Personal income taxPersonal income tax 10%, flat rate 10%, flat rate

Sole trader taxSole trader tax 15%15%

Withholding taxes Withholding taxes

Levied on any dividends and liquidation shares Levied on any dividends and liquidation shares 5%5%

VAT VAT 20%20%

Bulgaria ensures the lowest stake of direct taxation in the European Union, both for corporate and personal income tax.

Source: Ministry of FinanceSource: Ministry of Finance

Firms in Bulgaria pay local taxes for the property owned as well as tax for garbage. They are different in different municipalities. For Montana Municipality garbage tax for companies is 1% on estimated value of buildings.

Macroeconomic outlookMacroeconomic outlookThe inflation in Bulgaria for 2009 is 2.5%. Unlike our neighbors in the EU Greece and Romania here we observe fiscal discipline and therefore we have economic stability. Bulgaria applies a currency board agreement based on which the Bulgarian Lev (BGN) is pegged to the Euro at an exchange rate of BGN 1.95583 per EUR 1.

ManufacturingManufacturing;;

Wholesale and retail trade, repair of motor vehicles, Wholesale and retail trade, repair of motor vehicles,

motorcycles, personal and household goodsmotorcycles, personal and household goods;;

Construction;Construction;

Agriculture, forestry and fishing;Agriculture, forestry and fishing;

Transporting, storage and communications. Transporting, storage and communications.

The economics of Montana district is based on micro, The economics of Montana district is based on micro,

small and medium-size enterprises.small and medium-size enterprises.



Leading Economic sectors in Montana DistrictLeading Economic sectors in Montana District


Leading Firms in Montana DistrictLeading Firms in Montana District AVA SPORT LLC – design and production of parachute belts and harnesses AVA SPORT LLC – design and production of parachute belts and harnesses

and related accessories;and related accessories; JSC MRAMOR BERKSTONE – Manufacturing – facing materials for JSC MRAMOR BERKSTONE – Manufacturing – facing materials for

construction;construction; BALKAN JSC – design and production of metal products, furniture and BALKAN JSC – design and production of metal products, furniture and

warehouse equipment, compact pallets, tubular and wire constructions;warehouse equipment, compact pallets, tubular and wire constructions; Berg Montana Fittings Ltd. - manufacture of plumbing parts, pipes and Berg Montana Fittings Ltd. - manufacture of plumbing parts, pipes and

castings - Spanish property companycastings - Spanish property company Cross Ltd - design and manufacture of bicycles;Cross Ltd - design and manufacture of bicycles; Gala Ltd - producers of chicken products;Gala Ltd - producers of chicken products; Monbat - manufacture of batteries;Monbat - manufacture of batteries; Metalstroyinzhenering - metal structures;Metalstroyinzhenering - metal structures; May Ltd - design and manufacture of women's clothing;May Ltd - design and manufacture of women's clothing; Trimona JSC - production of casual and sports shoes and accessories;Trimona JSC - production of casual and sports shoes and accessories; Ireli - production of children's wooden toys, mainly for IKEA;Ireli - production of children's wooden toys, mainly for IKEA; Ekotera - organic cultivation of fruitEkotera - organic cultivation of fruit; ; The last major investmentThe last major investment – “ – “Montana hydraulicsMontana hydraulics” ” the property of BERG the property of BERG

MONTANA FITTINGS EAD MONTANA FITTINGS EAD – – for production of hydraulics cylindersfor production of hydraulics cylinders– – the firm the firm applying for the award “Investor of the year” for Bulgaria.applying for the award “Investor of the year” for Bulgaria.



EnergyEnergyIn the past few years as a result of European In the past few years as a result of European

directives and state policy (discount at buying) directives and state policy (discount at buying) the design and commissioning of parks for the design and commissioning of parks for energy production from renewable energy energy production from renewable energy sources are current. For their implementation a sources are current. For their implementation a funds from some European programs are funds from some European programs are provided. For example:provided. For example:

Entered into service hydropower as well as design Entered into service hydropower as well as design and construction of new ones;and construction of new ones;

Completed solar parks in the municipality of Lom, Completed solar parks in the municipality of Lom, and prepared in Montana and Vulchedrum;and prepared in Montana and Vulchedrum;

The design of wind farms in Montana and Georgi The design of wind farms in Montana and Georgi Damyanovo. Potential for such parks exist in Damyanovo. Potential for such parks exist in Berkovitsa and Varshets municipalities.Berkovitsa and Varshets municipalities.



AgricultureAgriculture There are opportunities for development of irrigated agriculture;There are opportunities for development of irrigated agriculture;

Development of environmentally growing raspberries, strawberries in Development of environmentally growing raspberries, strawberries in the municipalities of Montana, Berkovitsa and Gerogi Damyanovo the municipalities of Montana, Berkovitsa and Gerogi Damyanovo which production is mainly for export;which production is mainly for export;

The region has many small livestock farms raising cows for milk. On The region has many small livestock farms raising cows for milk. On 25 November 2010 the Prime Minister of Bulgaria Mr. Boyko Borisov 25 November 2010 the Prime Minister of Bulgaria Mr. Boyko Borisov opened the largest farm with a capacity of 2200 cows in the village opened the largest farm with a capacity of 2200 cows in the village of Dobri dol in the region of Lom municipality. The farm is made with of Dobri dol in the region of Lom municipality. The farm is made with funds from the EU programs;funds from the EU programs;

Montana has excellent conditions for development of ecological Montana has excellent conditions for development of ecological agriculture;agriculture;

Here in the rich and fertile area, called “Zlatiyata” are registered Here in the rich and fertile area, called “Zlatiyata” are registered among the highest in Bulgaria fields of wheat, corn, barley, among the highest in Bulgaria fields of wheat, corn, barley, sunflower.sunflower.



Labor ForceLabor ForceOnOn 31.12.2009 г. 31.12.2009 г. the population of Montana district is the population of Montana district is 155 899 155 899 peoplepeople..

Educational structureEducational structureEducational structureEducational structure

10,9% 11,0%

12,6%

14,0%

0%

2%

4%

6%

8%

10%

12%

14%

2007 2008 2009 2010

UnemploymentUnemploymentUnemploymentUnemployment

RegionRegion TrimesterTrimester 2009 2009

II IIII IIIIII IVIV

BulgariaBulgaria 288288 301301 298298 310310

MontanaMontana 228228 236236 238238 248248

Average wages inAverage wages in EuroEuroAverage wages inAverage wages in EuroEuroStructure of populationStructure of populationStructure of populationStructure of population


5%4%

37%

32%

14%

8%

High

Colege graduate

Secondary

Pimary

Elementary from1st to 3 rd grade

Withouteducation

17%

62%

21%

0-18

18-65

over 65


Professional educationProfessional educationThe network of vocational education and training in Montana covers 12 vocational schools, 2 high schools, The network of vocational education and training in Montana covers 12 vocational schools, 2 high schools,

2 high schools, 2 special / support /schools and a private vocational college. During the 2008-2009 2 high schools, 2 special / support /schools and a private vocational college. During the 2008-2009 school year there are 21 professional fields such as:school year there are 21 professional fields such as:

• forestry;forestry;• design;design;• electronics and automation;electronics and automation;• Electrical engineering and Energetics;Electrical engineering and Energetics;• use of computers;use of computers;• Metalworking and Mechanical Engineering;Metalworking and Mechanical Engineering;• motor vehicles, ships and aircraft;motor vehicles, ships and aircraft;• Landscaping and floriculture;Landscaping and floriculture;• Environmental protection;Environmental protection;• Manufacture of articles of wood;Manufacture of articles of wood;• Production of textiles, clothing, footwear and leather goods;Production of textiles, clothing, footwear and leather goods;• Food and beverages;Food and beverages;• Secretarial and office work;Secretarial and office work;• Agriculture;Agriculture;• Business management and administration;Business management and administration;• Civil Engineering and Geodesy;Civil Engineering and Geodesy;• Accounting and taxes;Accounting and taxes;• Finance, banking and insurance;Finance, banking and insurance;• Hairdressing and beauty services;Hairdressing and beauty services;• Chemical products and technologies;Chemical products and technologies;• Hotels, restaurants and catering.Hotels, restaurants and catering.



Friendly administrationFriendly administration In district administration of Montana the standard on qualityIn district administration of Montana the standard on quality ISO ISO

9001:2008, also ISO 27001:2005 for quality and information security 9001:2008, also ISO 27001:2005 for quality and information security are introduced;are introduced;

High quality, fast and transparent administrative services for High quality, fast and transparent administrative services for business;business;

Meetings with business in Montana - to share problems and find Meetings with business in Montana - to share problems and find solutions;solutions;

Introducing information systems of services for business;Introducing information systems of services for business;

Support and promote public - private partnershipsSupport and promote public - private partnerships.



Montana District ProjectsMontana District ProjectsAn important factor for the development of Montana district is the An important factor for the development of Montana district is the

implementation of projects, co-financed by EUimplementation of projects, co-financed by EU.. Here are Here are some of themsome of them::

Road Montana - LomRoad Montana - Lom,, rehabilitated by Phare CBC Bulgaria- Romania rehabilitated by Phare CBC Bulgaria- Romania;;

Industrial park, Montana;Industrial park, Montana;

A town purifying station for polluted waters MontanaA town purifying station for polluted waters Montana;;

Regional depot for solid wasteRegional depot for solid waste, , MontanaMontana;;

The municipality administrations have been very active in applying for The municipality administrations have been very active in applying for individual projects through this funding such a financing.individual projects through this funding such a financing.

Firms from Montana district have access to EU funds. There is Firms from Montana district have access to EU funds. There is a good mastering a good mastering of resources under Program for development of rural regions. That program of resources under Program for development of rural regions. That program gives possibilities for modernization of rural economy, for improvement of gives possibilities for modernization of rural economy, for improvement of lifelife..

Forthcoming is reconstruction and renovation of (E 79) Vidin – Montana – Vratsa – Forthcoming is reconstruction and renovation of (E 79) Vidin – Montana – Vratsa – Botevgrad in high – speed first class road;Botevgrad in high – speed first class road;

Rehabilitation of road Rehabilitation of road ІІ 81 ІІ 81 Berkovitsa– Sofia – at the territory of Berkovitsa Berkovitsa– Sofia – at the territory of Berkovitsa municipality section “Petrohanski prohod” and “Yonchovi hanove” – Blagovo.municipality section “Petrohanski prohod” and “Yonchovi hanove” – Blagovo.



TourismTourism Recreation and spa tourismRecreation and spa tourism in the regions of Varshets and Berkovitsa;in the regions of Varshets and Berkovitsa;

Mountaineering in Berkovitsa townMountaineering in Berkovitsa town;;

Eco-tourism in Chiprovtsi townEco-tourism in Chiprovtsi town, , Georgi Damianovo village and Berkovitsa townGeorgi Damianovo village and Berkovitsa town;;

Rural tourismRural tourism;;

Berkovitsa is an attractive place for tourism and recreation. Since 1974 the town has been Berkovitsa is an attractive place for tourism and recreation. Since 1974 the town has been a national a national health resort,health resort, attractive with mild and sunny wintersattractive with mild and sunny winters, , cool summerscool summers, , fresh fresh mountain air, clear water and healing mineral mountain air, clear water and healing mineral springs in the vicinity. springs in the vicinity.

Varshets Varshets – – The town of healthThe town of health! ! It is declared as a national resort in 1950 . The town is It is declared as a national resort in 1950 . The town is located in the northern slopes of the West Balkan Mountains about 400m. altitude and it located in the northern slopes of the West Balkan Mountains about 400m. altitude and it is wonderful place for recreation, sport, climatic and spa. The greatest wealth of is wonderful place for recreation, sport, climatic and spa. The greatest wealth of Varshets and the region are numerous mineral springs gushing with strong curative Varshets and the region are numerous mineral springs gushing with strong curative effect of its waters. Their strength has been known since antiquity. effect of its waters. Their strength has been known since antiquity.



CultureCulture Radichkov - the writer of the Bulgarian North West. He was Radichkov - the writer of the Bulgarian North West. He was

nominated two times for Nobel Prize for literaturenominated two times for Nobel Prize for literature; ; The first Bulgarian community centre in the town of LomThe first Bulgarian community centre in the town of Lom;; The Roman fortressThe Roman fortress;; The Tchiprovtsi carpetsThe Tchiprovtsi carpets;; International festivalInternational festival “ “Diko IlievDiko Iliev”;”; MonasteriesMonasteries::

• Tchiprovski monasteryTchiprovski monastery – – fromfrom 10 10thth centurycentury;;• Klisurski monasteryKlisurski monastery – – created in the first half ofcreated in the first half of 13 13thth century – third by size in Bulgariacentury – third by size in Bulgaria;;• Lopushna monastery;Lopushna monastery;• Dobri dol monastery.Dobri dol monastery.


Advantages of Montana DistrictAdvantages of Montana District

Low rate of corporative tax;Low rate of corporative tax;

Qualified labor force – 65% have professional Qualified labor force – 65% have professional education;education;

Low average wages – 248 euro for MontanaLow average wages – 248 euro for Montana;;

Strategic geographic location – geographical Strategic geographic location – geographical center of North West Bulgaria;center of North West Bulgaria;

Business friendly regional administration.Business friendly regional administration.



Montana Montana DistrictDistrict


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Montana District