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Acquiring a bank

Acquiring a bank is complicated transaction. It involves all the processes of acquisition including receiving financial regulatory approvals.
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  • BULGARIA

    Inhabitants - 7,093,635 (July 2011)

    Language - Bulgarian (official) 84.5%, Turkish 9.6%, Roma 4.1%, other and unspecified 1.8%

    Currency - Bulgarian Lev (BGL), fixed to the EUR at 0.511

    Religion - Christianity

    Politics - Politics in Bulgaria take place in a framework under a parliamentary, representative and democratic republic, within whitch the Prime minister is the head of government, and whitch also has a multi-party system. Executive power is exercised by the government. Legislative power is vested in both the government and the National Assembly. The judiciary is independent of the executive and the legislature.

    Major industries - electricity, gas, water; food, beverages, tobacco; machinery and equipment, base metals, chemical products, coke, refined petroleum, nuclear fuel

  • Banks (2010) - 30 banks; 5,961 branches; 33,940 employees; assets – EUR 37,69 billion; loans – EUR 25,94 billion; deposits – EUR 23,99 billion.

    Banking regulations - Strong and efficient banking supervision, together with an effective macroeconomic policy, is vital for the financial stability of a country. Supervising the credit institutions which operate in Bulgaria is a major function of the BNB, and it aims to maintain the stability of the banking system and to protect the interests of depositors. In performing its supervisory function, the BNB sticks to the Core principles for effective banking supervision of the Basel Committee on Banking Supervision.

    The Law on the BNB, as well as the Law on Credit Institutions (LCI), along with the legal acts for its implementation, constitute the legal framework for defining the objectives and instruments of banking regulation and the rules for credit institutions’ activities. Before starting a business in Bulgaria, a local bank must obtain a license from the BNB. For this purpose the bank, its shareholders and managers must satisfy the requirements provided in the LCI and the relevant ordinances. The minimum paid-in capital when establishing a bank may not be less than BGL 10 million (~ EUR 5 million).