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Smolyan District Smolyan District CHEPELARE > DEVIN Population (2014) 115,101 Borino > Area (sq. km) 3,192.8 DOSPAT Banite > Number of settlements 242 SMOLYAN MADAN > Share of urban population (%) 55.3 RUDOZEM NEDELINO ZLATOGRAD Overview he development of Smolyan District’s economy in the district as a result of the high negative natural Thas faced serious challenges throughout the years increase of the population and the number of people following the crisis. The district still has high levels of who have left. Good school education is a key factor economic activity, but unemployment is among the of development: the district has the best performance highest in Bulgaria. There are insufficient domestic and at state matriculation exams after the capital city and foreign direct investments, the utilisation of EU funds also an increase in the number of university graduates has lagged, and poor infrastructure has remained a neg- relative to the population aged 25–64 years. With re- ative factor in economic development. Local taxes in gard to crime rates, Smolyan is the safest district in Bul- the municipalities of Smolyan District are relatively low, garia, and there have almost been no crimes against but local administrations could perform much better. the person. Cultural activities have developed for the Highly negative demographic trends have been formed past year. ECONOMIC DEVELOPMENT SOCIAL DEVELOPMENT Weak Unsatisfactory Average Good Very good Weak Unsatisfactory Average Good Very good Income and Living Conditions Demography Labor Market Education Investment Healthcare Infrastructure Security and Justice Taxes and Fees Environment Administration Culture Smolyan District 93 ECONOMIC DEVELOPMENT Income and Living Conditions Infrastructure The gross domestic product per capita reached 7,230 The challenges before the transport infrastructure of BGN in 2012 in Smolyan District. The economy recovered Smolyan District are dominated by the predominant more slowly in 2011 and 2012 compared to the country’s mountainous topography of its territory. No highways or average rates. Incomes in the district are among the top major roads cross the district and there is no rail trans- ones in Bulgaria, which is due to the higher economic port either. Nonetheless, the road network density has activity, higher incomes from self-employment and the been close to the national average and the condition of relatively high compensations and benefits. The slow re- roads improved in 2013 and 2014 – almost half of them covery, however, impacts the level of salaries the growth were in good condition in 2014 (49.5%). of which lagged behind the country averages from 2010 Households’ connectivity to the Internet has improved: to 2013. 55% of households had Internet access in 2014. Internet The relative share of people living below the district’s use, however, continued to lag behind the country av- poverty line has fluctuated a lot in time; it was 14.1% in erage and a little over half the people aged 16–74 had 2012, or considerably lower than the country average. used the Internet for the past 12 months in 2014 (52.3%). The main reason for that was the drop of the median in- come in 2012, which automatically entails a lower pov- erty line in the district. On the other hand, the share of people living in material deprivation is high: it reached Taxes and Fees 45.9% in 2012. Local taxes in the municipalities of Smolyan District are relatively low compared to the country average. Chepelare Municipality features higher tax rates: the immovable property tax for companies and the tax on Labour Market the sale of immovable property are 3‰, and 3% re- Smolyan is the district with the highest economic activ- spectively, in 2015. These taxes are 1.9‰ for immovable ity of the population – 59.6% in 2014. This demonstrates property and 2.5% for selling immovable property, re- both relatively high employment and high unemploy- spectively, in the district centre of Smolyan. The munici- ment. Employment in Smolyan District has recovered in palities of Madan and Zlatograd have the lowest rates of recent years and it reached 48% in 2014. Unemployment these taxes. decreased from 2012 to 2014 but remained among the There are several municipalities in Smolyan District that highest in Bulgaria – 19.4% in 2014. The demographic impose high annual waste collection charges – Ned- trends intensify the labour market’s problems. The de- elino (18‰), Devin (16‰), Madan (13‰) and Zlatograd mographic replacement rate was the lowest in the (11‰). The rate of these charges is lowest in Smolyan country in 2014 – 46.6%, which means that there were Municipality, 3‰, and it is 6 to 7‰ in the municipalities approximately 47 people aged 15–19 who were to join of Chepelare, Dospat and Rudozem. the workforce, per 100 people aged 60–64 who were to leave it. Administration The municipalities of Smolyan District have lagged in e- Investment services and the provision of one-stop services. In the No serious inflow of FDIs has been noted in Smolyan rendering of e-services, the municipalities of Banite and District, which poses one of the biggest challenges be- Smolyan performed well in 2015, while the municipali- fore the district’s long-term growth. Expenditure on ties of Banite and Chepelare did well in provision of one- acquiring FTAs increased in 2013 and reached 141 m stop services. The territories included in cadastral maps BG but remained lower than the country average when constituted almost one third of the district’s territory weighed against the population. The utilisation of EU (32.1%) in 2014, with the territories of the municipalities funds by the district’s municipalities has lagged behind of Devin and Smolyan almost fully included. the country’s average rates, and the total amount paid Smolyan District has lagged in the Active Transparency reached almost 53 m BGN as of 31 January 2015. Rela- Rating of local government bodies by the AIP Founda- tive to the population, the municipalities of Smolyan, tion. The best-performing municipalities are Devin and Rudozem and Borino are the best examples of EU fund- Zlatograd in 2015, and the municipalities of Borino, sutilisation – 28 m BGN, 5 m BGN, and 1,7 m BGN re- Dospat, Nedelino and Rudozem received the lowest spectively. grades. 94 Regional Profiles 2015 SOCIAL DEVELOPMENT Demography Smolyan is the second smallest district in Bulgaria – its population, is relatively good, but the district has prob- population was 115,101 in 2014. Slightly over 55% of lems with the number of health professionals. The infant the population lives in towns. The number of citizens mortality rate is among the lowest in Bulgaria – 2.7‰ has considerably shrunk throughout the years. The rea- in 2014. sons for this were the steady negative trends in both the natural increase and the net migration rate of the popu- lation. The rate of natural increase has deteriorated in re- Security and Justice cent years (–7,8‰ in 2014), and the negative net migra- According to official data, Smolyan District is the most tion is more clearly expressed than in the other districts secure district in Bulgaria – 2 crimes against the person- in Bulgaria (–11.6‰ in 2014). ality and 29 crimes against property per 10,000 people The age dependency ratios have aggravated in recent were registered in 2014. This is almost three times bet- years. There were almost 1.8 times more people aged ter than the country average. It could also be concluded 65+ than children (aged up to 14) in 2014; they were from the data that courts work relatively efficiently and also about 30% of the working population (aged 15–64). quickly. The share of criminal cases heard by the District When related to the country average, these ratios dem- Court and closed in the first 3 months was 96% in 2013. onstrate that the demographic challenges are mainly in The share of pending criminal cases was low as at the the birthrate. The lowest birthrate in Bulgaria is regis- end of 2013 – 6.7% compared to the country’s average tered in this district – 6.4‰. of 8.5%. The judges’ workload is also relatively low in Smolyan District – 6.2 cases per judge, per month, com- pared to the national average of 8.3 cases per judge, per Education month. Smolyan District ranks first in the country in the num- ber of teachers in proportion to the population – 11 stu- dents per teacher were registered in 2014. The net en- Environment rolment rate of the population (grades 5th through 8th) Emissions of carbon dioxide are at their lowest level in has remained among the highest in Bulgaria (82.4% in Smolyan District in comparison with the country (barely 2014). Both the share of repeaters (0.3% in 2014) and the 4.8 t/sq. km in 2013). There are practically no enterprises share of dropouts from primary and secondary educa- on the territory of the district that pollute the air. House- tion (0.4% in 2013) have been among the lowest in Bul- hold waste collected per capita of serviced population garia. Smolyan District was only outranked by the capi- has increased, but it remained below the country aver- tal city in 2015 in performance at the state matriculation age in 2013 – 386 kg per capita. exams: its average grade was 4.37, and barely 2.5% of Slightly more than 69% of the district’s population lived students failed. in settlements with public sewerage systems in 2013, Smolyan District faces more challenges with the number and almost 40% had access to public sewerage systems, of university graduates. Even though the relative share connected to waste water treatment plants. Although of people with tertiary education (aged 26–64) has in- the municipality of Smolyan commissioned a new waste creased in recent years (to 21% in 2014), it still lags be- water treatment plant financed by EU funds in 2010, the hind the best-performing districts in Bulgaria.
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