Ruse

GDP per capita, current prices, BGN (2009) 6987 Population (2011) 234631 Employment rate of the population over 15 years 44,2 (2011) Area (sq. km.) 2803,4

Overview Ruse is located in North-Eastern . In addition to the town of Ruse, that is the district centre, it covers 82 populated areas in 8 municipalities: Borovo, Byala, , , Ivanovo, Ruse, and Tsenovo. Ruse is characterized by a favourable social environment and a standard of living close to the national average. The key geographic location of Ruse District makes it an important part of the European Union‘s Strategy, suggesting further improvement of the infrastructure in the region. The district performs around the country average in „Economy“, „Demography“, and „Education“. Problematic areas are the unfavourable business environment, insufficient facilities and human resources in the healthcare system, and environmental pollution. The main challenges facing local administrations include the absorption of funds under the EU operational programmes, improving the quality and speed of administrative services, with particular emphasis on providing a wider range of electronic services.

Weak Unsatisfactory Average Good Very Good

Economy

Business Environment

Infrastructure

Demography

Education

Health Service

Environment

Social Environment

113 Economy In 2009, GDP per capita registered a decline for the first time, following a period of nearly 10 years of steady growth, and reached values of about 22% below the national average. As a result, the employment rate in the district also plummeted: from 50.5% in 2009 (population over 15 years) to just over 44% in 2011. As a result, the unemployment rate that was at a level of 5.4% in 2009, more than doubled in the course of the next two years. In 2010, both employment and unemployment still had values more favourable than the national average. However, the deterioration of the economic situation in 2011 and the sharp decline in employment means that it would be reasonable to expect a deteriorated economic performance of the district in the near future. In the period up to 2010, foreign direct investment in the district continued to increase each year, reaching EUR 363 million. The district is characterized by a relatively large number of registered enterprises, that is mostly a consequence of its key location at one side of the Danube Bridge. Relative to the number of the local population, the expenditures for acquisition of fixed assets reached a peak of just under BGN 3,000 per capita in 2008, but then shrank more than twice over the next two years. A serious issue continues to be the low absorption capacity for funds under the EU operational programmes. At the end of 2011, the district has utilized only EUR 10 million, bringing the number to a little more than 40 euros per person of the population. Lower scores on this indicator were only reported by the densely populated districts of (city) and . A favourable impact on the district‘s economic performance is attributed to the fact that the average income per household member did not stop growing even after 2008, although the growth rate did slow down. Business Environment The results of surveys among local businesses reveal the positive rating given by companies to the level of administrative services. Nearly a third of respondents said they had used the electronic services provided by local government, with the majority of respondents giving their quality a positive rating. The level of e-services provided by local government varies, with the widest range of services available in the municipalities of Dve Mogili and Ruse. The district is lagging behind significantly in introducing integrated one-stop services, which are still at the most basic stage even in the district centre. In most of the local municipalities, the levy on household waste remains lower than the national average while fees for use of industrial goods markets are higher. On the background of most tax rates in the district fluctuating around the national average stands out the higher rate for license tax on retail trade in Ruse. Infrastructure In relation to its area, the district of Ruse benefits from a well-developed road and railway network, with the density of railway lines being almost two times higher than the national average. Near Ruse is Danube Bridge, that is so far the only road link between Bulgaria and ; this where the Danube River can be crossed by road and rail transport. The European Union‘s Danube Strategy gives special attention to improving the infrastructure of the district, and contains a number of projects for rehabilitation and expansion of the road network and modernization of railway lines. The upcoming completion of the construction of Danube Bridge 2 at , however, expected before the end of 2012, will put an end to the „monopoly“ of the bridge at Ruse and will probably reduce local traffic. Losses in the transport of water have decreased since 2006. In relation to the number of residents, the efficiency achieved in the transport of water is significantly higher than the national average. In 2010, about 35% of households had Internet access, and 41% of those aged between 16 and 74 years had used the WWW, that is in line with the national average. In 2011, both indicators increased by 8 and 10 percentage points, respectively. Demography Over the period 2001-2011, the population of Ruse has decreased by more than 12%. However, towns and villages and other urban areas in the district remain more densely populated than the national average. The proportion of urban population is about 76 per cent, making Ruse the fourth most urbanised district after Sofia (city), Varna, and . Negative trends were observed in the age dependency ratio. Both the proportion of people over 65 to those aged below 14 years and the proportion to those of working age shows ratios higher than the national average ratios. The high negative rate of natural increase of the population in the district has a negative impact on demography. On the other hand, net emigration is relatively low; in two of the last ten years, Ruse even registered positive

114 values (i.e. larger immigration to than emigration from the district) according to this indicator. The majority of newcomers to the district come from the districts of , , , and . Education The number of students and teachers in primary and secondary education has been decreasing at a rate higher than the country average, and has shrunk by 31% and 33%, respectively, over the period 2001-2011- The main reason are the negative demographic trends in the district. During the same period, 29 schools were closed in the district. According to 2011 figures, the rate of enrolment of students in Grades 5 through 8 was 81.7%. The number of repeaters is close to the national average (about 1%), and the number of school dropouts is a little over 3%, against a 2.4% average for the country. In school year 2010/2011, school leavers from the district scored near the national average at the matriculation exams in and Literature. During the next school year (2011/2012) the number of students who scored below the lowest „pass“ grade of 3.00 doubled, and the average grade score plummeted from 4.43 to 4.11. In spite of the gradual increase in the number of university students in the district (from 7 thousand in 2001 to over 9 thousand in 2011), the proportion of university graduates in the age group 25-64 remains unchanged (20.4% in 2011). This shows that only a small proportion of young people who graduated from local universities ultimately decide to pursue a career in the district. Healthcare The main problems in the field of healthcare stem from lower-than-average number of both specialists and general practitioners. In 2011, each General Practitioner had an average of 2,005 people on his patient list; the only other districts with similar indicators are , and Targovishte. By end 2010, 86% of the population in the district had valid medical insurance, that is close to the average values for the country. In the period from 2001 to 2008, the number of patients who sought hospital treatment increased by nearly 60%, followed by a trend of decline. In 2011, the ratio of the number of population to the registered medical treatment facilities reached the national average. Confidence in the healthcare system remains high, with only 5% of respondents saying they had been forced to make informal payments. Although 65% of respondents said they were satisfied with the quality of health services in the district, one in four people who had used such services in the year prior to the survey, had to leave the district in order to receive the necessary care. Environment The emissions of harmful substances into the atmosphere in relation to the area of the district remain below the national average. However, on this indicator, the district is the fifth largest polluter in the country after Stara Zagora, Varna, Sofia (city) and . The household waste generated by the population is near the country average, with a certain increase since 2007. Until 2010, a huge problem for the district was the absence of a functioning wastewater treatment plant in the district centre (the city of Ruse). The plant was commissioned at the end of 2011, but is not yet operating at full capacity. By end 2010, about 66% of the district‘s population was living in areas with access to public sewerage, that is only a little lower than the country average. Social Environment In 2009, about 17 % of the district‘s population was living below the poverty line, and 40.9 % were living in material depravity; on both counts, the district is performing better than the national average. The proportion of people living in households with low intensity of the economic activity is also low: only 4.4%, one of the lowest scores for the country. Reported crimes against the person and property remain at low levels compared to the country average, making Ruse one of the safer districts in the country. Local residents are mostly dissatisfied with the standard of living and the lack of opportunities for career advancement in the district. Housing conditions and the environment were given high ratings. Nevertheless, close to 15% of respondents said they would leave the district if given the chance. Citizens‘ opinion on the way local institutions operate is also one of the highest in the country. Schools, hospitals, and law enforcement services get the highest approval from respondents. It is worth noting the high marks given to central government structures in the district, which are well above the national average.

115 116