Small and medium enterprises /SMEs/
As a result of the substantial change in the property of the
enterprises-liquidation or splitting in 90s, as well as setting up new
companies, total number of the business units, which functions in Veliko
Turnovo municipality in 2003 is 4.123, 99% from them with prevailing
During the last years the number of the newly registered companies is
lower and merely one permanent level of active business units is
maintained. The entrepreneurship activity in the municipality is about the
average for the country, which can be approved with the density of the
companies. The number of the certified enterprises is higher than most
districts in Bulgaria, which is a prerequisite for maintaining and
developing further the activity after the membership of Bulgaria to EU.
The main part of the enterprises in Veliko Turnovo Municipality in
accordance with the employed people falls into SMEs category-99,1%. The
greatest share is that of micro enterprises-90,9%. Small enterprises
records greatest growth during the last years and the employed people
there are 7.12%, while in the middle enterprises the employed people are a
bit higher than 1%.
One of the most dynamically developing branches in the municipality
following the national tendency is "Operations with immovable property",
where falls 7,3% of the active companies.
Sales net incomes come up to 947 063 thousand BGN. Private sector has main
contribution. There is a tendency of increasing the share of sales net
incomes in private sector for 4-years period-2000-2003.
Contrary to the aggregated branch group greatest share of these incomes is
of "Trade and services" branch-57%, which includes wholesale and retail,
following "Industry" branch-23%. Sales net incomes of the provided tourist
services are increased-from 12 545 thousand BGN for the year 2000 to 15
297 thousand BGN for the year 2003.
There is growth of the unemployed in the basic areas of the economy on the
territory of the municipality, as the greatest employment growth is in the
agriculture-15%, following the services-14% employed and industry-8%.
There is a tendency in increasing the number of employed people in the
main sectors of economy on the territory of the municipality, with growth
Business and market infrastructure
In Veliko Turnovo municipality the following business structures branches
are set up: Commerce chamber, Veliko Turnovo Chamber of commerce and trade,
Wine producers chamber, Union of private entrepreneurs "Vazrajdane" and
Veliko Turnovo municipality follows the tendency of general validity for
almost all the country of the increasing significance of commerce, as
result of the inflow of huge foreign commercial chains. In small populated
areas the problem with the market infrastructure is treated not as a
necessity for enlargement, but mainly in the direction of European
likeliness and enhancement of accessibility, services providing quality
and sites aesthetization. Town retail markets and the shops network in the
municipality is another element necessary in order to find market for
consumer goods, while there is a tendency to modernize them towards
improvement of the necessary equipment, eco laboratory, information and
other services in compliance with the European practice.
The level of the provided business services is not satisfactory, although
there is a growth during the last years. The employed in the business
services at the municipality for 2003 are 62 per 10.000 citizens, with the
figure of 183 per 10.000 for the country. This sector of the municipal
economy has very huge resource for further development in respect to the
rich potential of the municipality and the future membership of Bulgaria
to EU. Evidence of this is the increased investment in times during the
Development of the information and communication technologies
Comparatively good is the level of using information technologies, mainly
Internet. The number of companies, providing and using its capacity is
continuously increasing, while the network access is used mainly for
market observation and data collection. In a view to partial researches
Internet is used mostly for marketing monitoring, study and comparison
with competitive companies, data acquisition for new tendencies in the
Many enterprises have their own Internet pages, but only some of the
company web-pages are interactive, most offer products advertisement,
catalogues and price lists without feedback, small is the number of
companies, which offer or use e-commerce.
Basic indicators of the business units
Commercial activity in Veliko Turnovo Municipality is implemented by
public catering sites, shops network for food and non-food goods, markets,
services studios, offices.
The processes of restructuring and shifting towards market principles,
leading to breaking the monopoly right of the public sector, are running
most intensively in the area of commerce and services.
The distribution of commercial sites is uneven. Shops for food goods and
small public houses exist mainly in small communities and in the quarters
located in the surroundings of the towns
Tourism conditions and resources
Dynamic structural changes occur in the tourist sector, defined sometimes
as "Tourist industry". The basic share of tourism still continues to be
the recreative and cognitive tourism, but with more complex and changing
dynamically configuration of the requested tourism types and with great
diversity of the related services with them.
Veliko Turnovo municipality and the adjacent region have at their disposal
very good potential for the all year development of diverse tourism
forms-they can be defined by the existence of natural and anthropogenic
recreation conditions and resources: favourable climate forms, unique
relief, natural and historical sights, preserved folklore artistic crafts.
The potential of the town is in the development of modern tourist industry,
which offers cognitive, cultural, congress, rural and eco tourism. On the
territory of the municipality is concentrated one of the biggest
concentrations of cultural and historical monuments in the country. At the
same time most of the rural regions have no other alternative for
development but this type of tourism. The sustainable development of this
type of tourism has the possibility to enliven the underdeveloped parts of
the territory of the Municipality and to transform them into better place
to live. During the last years the number of the tourists from Germany,
France, England, Israel, Holland, USA, Scandinavian countries and Japan to
Veliko Turnovo increases. There were established many agencies, family
hotels, guest houses and sports clubs, which provide services in this area.
The estates purchase in the communities turns to be very popular for the
citizens of Europe. Unfortunately, the successful development of tourism
and its alternative forms is endangered seriously by the lack of subsidies,
from the processes of restitution and other.
Municipality has remarkable tourist attractions, related to folklore,
customs, traditional crafts /for example Samovodska market place/, as well
as periodic and episodic events such as /fairs, holidays, congress events
and others/. The business visits and meetings are not only source for huge
incomes, but they are developing intensively in the big towns.
The hunting tourism in the region is traditionally well developed. The
fields for hunting in the district are managed mainly by hunting and fish
Veliko Turnovo Municipality adopted a program for development of
sustainable tourism in correspondence with the town priorities, as the
town is awarded with a special distinction for sustainable development of
EU for 1997. The municipality has at its disposal sufficient capacity for
accommodation places and sheltering means, the total amounts to 45. The
accommodation fund provides 5508 beds. Catering establishments-585,
restaurants-79, snack bars-209 and cafes-68.
The natural resources as a whole can not be treated as unique and it their
use the municipality faces serious competition from other municipalities
and districts. This fact supposes combination of both main resources for
the formation of integral product in order to be achieved uniqueness and
In the area of commerce, services and tourism the absolute number of units
has been increased from 2.866 for 2000 to 3.144 for 2003, the increase is
with 1,096 times and respectively the sales net incomes are 1,709 times.
Long term assets have variable growth, but the increase of the relative
share of the area towards total long-term assets for municipality is from
45,20 for 2000 to 55,13% for 2003 or they are 9,93%. Increased is the
number of occupied and employed people. These changes illustrate
development of the activities in the area in one positive direction
regulated, either from the increase of long-term assets and by the
increase of units and of the employed people in these activities. The
result is increase of the net incomes from sales with 266.155 thousand BGN
in comparison to 2000 and 2003.
Income annualized from accommodation in Veliko Turnovo Municipality in
2003 amount to 2,275 million BGN, which is 0,73% from night spending in
Bulgaria. By using other data for other regions in Bulgaria, can be
assumed that the total amount of the incomes from tourism is 2 to 2,5
times higher from the accommodation incomes /4-5 million BGN/, while if
the non-included activity from statistics is assumed, it is possible these
incomes to be times higher /9-10 million BGN/.
Data from Territorial statistical Bureau and National Statistical
Institute confirms the evaluation for the amount of the total incomes from
tourism. At the same time they assigned small share of tourism in the
municipal econonomy-9,4% from the active companies, but only 1,2 % from
sales incomes. Simultaneously with the small size of the companies, the
sector is three times smaller from the average sales value per one
employed and 2,5 lesser profit per one employed.
The traditional connection between the town and the village is preserved.
Well developed is the network of inhabited areas on the overall territory.
The physical environment in the populated areas is amortized, public
utilities and the engineer network are in poor condition. The production
territories are underdeveloped and they are developed with old fashion and
unattractive and amortized buildings, which can hardly be modernized and
used. The residential complexes are still under construction and are not
developed, the panel buildings do not meet the regular requirements for
living comfort. The public buildings for culture, education, health care
located in the villages and the non-completed construction of cultural
sites are not in good condition. The public green places are insufficient,
abandoned and they undergo the processes of aggression.
Environment state and ecological conditions.
The complex evaluation of the particular factors, reflecting on the
quality of the environment illustrates that Veliko Turnovo Municipality is
characterized with good quality of the environment.
The air quality
Among the factors that cause air pollution on the territory of the
municipality are the car transport, boiler installations of the industrial
enterprises and consumer heating during the winter period.
At the moment the first stage of the gasification process of Veliko
Turnovo is towards completion, which will have remarkable effect in
improving the air quality. Large companies -causing pollution by emitting
harmful substances into the ambient air undergo reconstructions towards
shifting to gas because up to the present moment they use conventional
fuel as source of energy.
Monitoring on air condition in Veliko Turnovo is implemented periodically
by monitoring the following air pollutants: sulphur dioxide /SO2/,
nitrogen dioxide /NO2/, ozone, H2S, lead aerosol, dust and dust-PM 10, as
for the period 2001-2004 the following tendencies can be observed:
The average levels of sulphur dioxide keep permanent tendency towards
decrease. The highest level is reached during the heating period and the
basic reason for this is the work of the local steam -boiler installations
and consumer heating. This pollutant is expected to have lower level after
the gasification of the big towns.
The pollutions with nitrogen dioxide are relatively permanent and are in
safe norm. During the period 2001-2004 sporadic exceeding over the limits
are registered in towns as result of the outdated car park.
The average concentrations of H2S have temporary character due to
The tendency towards decrease of the yearly concentrations of lead
aerosols on the territory of the whole region remains because the
production and use of lead petrol has been stopped and control system over
the quality of the used oils is introduced.
Dust particular matter /total suspended particular matter and dust PM10/
continues to be the most harmful pollutant on the territory of the
municipality, as the tendency is towards keeping the traditional high
level of pollution on the territory of Veliko Turnovo. All probes shows
exceeding over the average annual and average daily norm. The cause for
the high levels of dust is that the street network is not cleaned
regularly, as well as the wide use of solid fuel /wood and coal/. On the
territory of Veliko Turnovo Municipality two stationary units for air
The impact of industry and agriculture is insignificant and it is with
territorial local scope. Unfortunately there is a lack of local purging
facilities in most industrial enterprises.
As a whole the territory of Veliko Turnovo Municipality is with good
ecological parameters, which can be characterized with favourable soil,
micro-climate and sanitary conditions.
The condition of the surface and ground water of the municipality depends
on the concentration of urbanistic units and industrial activities, as
well as on the extent the sewage and purifying infrastructure are
Yantra river has important place in the national network for surface
quality control. The quality composition of Yantra water and its
tributaries is control by monthly monitoring from the National System for
The analysis of the accumulated data illustrates that the rivers in Yantra
basin were with good oxygen regime and indicators responding to the
regulations of water treatment plant.
The surface water in the observed locations were out of the normal indexes
on the following indicators: nitric acid-the maximum is reached in the
summer months, when the high temperatures quicken the processes of
nitrification and denitrification: phosphates and insoluble substances,
because of the direct flow into the water reservoirs of residual water
from the populated areas.
The share of the water treatment plant for 2003 is scarcely 23.1% for the
district. Corresponding to the EU regulations, there should be constructed
new water treatment plants, which should comply with the European
standards and requirements.
The final termination of water pollution of Yantra river from the
non-purified grey water from Veliko Turnovo will be dissolved when second
urban water treatment plant will be constructed, for the rest of the
populated areas- with the construction of local water treatment plants for
grey water in correspondence with the EU agreement.
The public and the institutions should be more concerned with the problems
of water pollution, because water is vital resource.
Waste is direct pollutant of air, water and soil, which can cause
immediate risk to human health, therefore solving waste problems connected
with waste management seems to be one of the serious ecological problems.
On other hand waste is valuable energy and raw material source and waste
minimization and reuse leads to natural resources preservation.
Waste management condition is under improvement by including great number
of populated areas in the organized collection and transportation of
consumer waste and overall equipment of the populated areas with waste
containers. The consumer waste treatment from Veliko Turnovo is granted to
concession within 15-years term after completed competition.
The main problem concerning the consumer waste of Veliko Turnovo
Municipality is Consumer waste depot in Sheremetiya village. The depot
capacity is going to be exhausted very soon. The decision is Regional
depot to be constructed, for this aim a regional association of 6
municipalities is registered. The alternative of this decision is the
construction of contemporary plant for utilizing and processing the
Lands and Soils
The implemented analyses on the territory of Veliko Turnovo municipality
under the monitoring program of Ministry of Environment and Water for the
period 2001-2004 do not report soils contamination with heavy metals and
pesticides over the permissible concentration. There are not any
agricultural lands, which to be permanently deteriorated, polluted and
inappropriate for agricultural production.
The use of junk and pesticides is in the norms. Annually examination is
made on the condition of the warehouses and stored unfit pesticides.
The most significant effect to reduce the harmful effect on people's
health and the soils contamination is the construction of Centralized
municipal warehouse of forbidden, unfit, with expired term pesticides and
other toxic substances.
To implement the tendency towards ecological environment improvement all
opportunities for environment protection of EU funds, the enterprise for
environment activities management, funds of republican budget as well as
own funds of the municipal budget will be used .
Noise as factor of the environment is getting to be topical question,
because it can be harmful to man's physical and mental state by its
permanent and general presence. The unfavourable acoustic environment of
Veliko Turnovo in the vicinity of busy roads and highways is based on the
increasing car traffic, inappropriate urban decisions with the lack of
self-defence of the population, insufficient traffic capacity.
In Veliko Turnovo Municipality the observed places for measuring the noise
level are 30. The accumulated data illustrates that in most of the
observed places the measured noise level exceeds the admissible sanitary
norms of 55-60 decibel.
Differences concerning life conditions exist between the populated areas
of Veliko Turnovo municipality, regarding the specific character in their
development. Leading is the role of the economic development, but
important is significance of the social factors. Sustainable human
development conception is in the human development index. Health,
education and economic indicators for the development are stated. The
equality of these indicators means that in spite of the incomes, important
is the role of education and healthcare as correcting factors.
Human development index includes three components: the expected life
expectancy, combined education index /literacy of the population,
enrolling in the three educational grades/ and economic component.
Veliko Turnovo Municipality is over the average in all indicators, close
to the maximum grades. Regarding the combined educational index Veliko
Turnovo Municipality has the highest educational index. /6th place in the
country/, regarding the economic component-9 place. Veliko Turnovo
municipality is stated as very developed in accordance with the total
index of human development.
Incomes averagely per person of household for Veliko Turnovo
Municipality are higher in comparison with these for the country, while
there is a tendency of increasing their nominal meaning.
The basic sources of incomes are salaries, pensions and the individual
farms, while in the structures of the incomes the share of the incomes of
salaries and individual farms increases.
Comparatively high percentage of the consumer expenses for meal and for
maintaining the households
Concerning the demographic development of the municipality the
population in the urban areas is in more favourable condition with the
reproduction potential in comparison to the population in the rural areas
In the town of Veliko Turnovo is concentrated approximately 76,5% of the
population of urban territories of the municipality. The population of the
town is with high labor potential and high educational level.
The educational level of the population of Veliko Turnovo municipality
is high and is with a tendency towards increasing the number and the share
of highly educated persons. In Veliko Turnovo municipality the share of
the highly educated people is higher in comparison to the average level of
As result of the economic growth and the effectiveness of the municipal
policy on the employment in Veliko Turnovo Municipality, the level of the
unemployment in Veliko Turnovo Municipality reached the lowest level from
5 years -7,49%. The reported rates are lower in respect to national level
as to November 2004-11,74%. Dominant in the structure of the unemployment
is the group of persons with special secondary education. Still high is
the relative share of the unemployed youth with secondary education. The
lack of competence and practical skills turned to be the main problem when
Basic factor for the permanent decrease of the unemployed people in Veliko
Turnovo Municipality is the municipal policy directed towards providing
jobs, by participation in national programs and projects on micro and
macro level. In terms of structural reform and the decreasing labor taking
productions, effective passive and active measures are necessary in
overcoming the unemployment, which to preserve the favourable
tendency-decrease of the unemployed citizens of Veliko Turnovo
Veliko Turnovo Municipality maintains optimized and well functioning
network of schools of general education and professional schools in the
following directions-tourism, economy, light industry, electronics,
In the area of high education, Veliko Turnovo Municipality can be
characterized by Veliko Turnovo University "St. st. Cyril and Methodius",
which is the second biggest in Bulgaria and inherited the educational and
cultural traditions of the prominent Turnovo School of letters from 14
century. Veliko Turnovo Municipality provides education in humanitarian
and economic profiles, in 7 departments: philological, department of
history and law, art, pedagogical, orthodox-theologian, department of
economy and philosophical department. The number of students, which are
educated in Veliko Turnovo University is over 10 000 in more than 60
subjects. Annually on the occasion of the day of Bulgarian students,
Veliko Turnovo Municipality awards Academic award at the rate of 5 000
Euro to a student.
In Veliko Turnovo is located the biggest and the oldest High Military
School in Bulgaria-"Vassil Levsky" National military high school.
Important characteristic of the population is its educational level. The
population with high educational level /high, college and secondary
education/ for Veliko Turnovo Municipality is 53,2% of the population at
the age of 7 and older, which is over the average for the country /52,0%/.
For the period between the last two censuses /1992-2001/ there is absolute
and relative increase of the population with high, high special /college
graduates/ and secondary education. More than half of the people with high
education are in Veliko Turnovo.
Implementing the cultural policy of the municipality, the most important
events with international, national, regional and local significance can
International folklore festival
International eco festival
International festival " Balkan folk "
International seminar in painting "Veliko Turnovo", "Miniature graphic"
and "Wood plastics"
National exhibition of the pedagogues-artists
National bread fair
National commemoration of the Independence day
Municipal festivities of amateur art works and other
The basic trend in the work of the local authorities is synchronising the
work of the NGOs on local, regional and national level and stimulating
common initiatives for sustainable partnerships for the benefit of local
communities for developing working mechanisms for civil participation in
the processes of decision taking and achieving more effectiveness of the
local authorities and the development of the region. On the territory of
the municipality about 62 NGOs are working actively with different scope
of work and missions, although they differ in their activity they
contribute directly or indirectly to local community.
For the period 2000-2004 Veliko Turnovo Municipality in partnership with
NGOs implemented projects at the total amount of over three millions in
different spheres of public life-health care, education, social
activities, local government, culture and tourism.
International relations and town-twinning
For the period of more than thirty years the Municipality signed contracts
and memoranda for partnership and understanding with cities and
municipalities from all the continents in the world except Australia. Its
sister cities are Toledo-Spain, Krakov-Poland, Asti-Italy,
Poltava-Ukraine, Shopron-Hungary; Tver-Russia,Serres-Greece,Nish-Serbia
and Montenegro,Golden-Colorado - USA, Colognia Tovar-Venezuela,