BDB will support Bulgarian rose processors

The Bulgarian Development Bank has created a new product with preferential terms to help small and medium-sized businesses.The "Support for Rose Processing" programme will provide working capital financing to micro-, small and medium-sized companies in the rose processing sector facing serious difficulties and reduced liquidity. The volume of the programme is BGN 20 million. Direct loans of up to BGN 1 million will be granted with a term of up to 3 years, a simplified financing scheme and minimum collateral requirements, including a pledge of rose oil.

Bulgarian rose oil is renowned as one of the most sought-after and expensive on the international market, but in recent years the industry has faced problems that have led to the accumulation of large stocks of the valuable product.

Among the reasons are competition from producers in neighbouring countries who export at lower prices, as well as a waning interest in high-end cosmetics and perfumes due to the COVID-19 pandemic. The sector is also hampered by pro-inflationary pressures - increase in labour, electricity and fertilizer prices.After studying the problems and needs of the rose processors in Bulgaria, the BDB will help save the traditional business of our country.

Supporting struggling micro-, small and medium enterprises is part of the BDB Group's updated strategy for 2021-2023. It affirms the Bank's priorities for faster recovery of SMEs, accelerating economic growth and job creation after the COVID-19 crisis.