Bulgaria: Ratified agreements to execute a contract to acquire eight F-16s

The Bulgarian Parliament today approved by 159 votes to 45 with 3 abstentions the ratification of two agreements to implement a contract for the acquisition of the first batch of eight F-16 Block 70 fighters and related equipment and armaments. The bill was approved in two readings.

One of the agreements has been signed between the Ministry of Defense of Bulgaria and the New York branch of the US Federal Reserve Bank (FED/NY). The other agreement is between the Bulgarian Ministry of Defense, the US Defense and Security Cooperation Agency (DSCA) and the FED/NY and concerns certain accounts related to the financing of foreign military sales by the Government of Bulgaria.

Based on the agreements, the estimated cost will be deposited into a Federal Government trust fund account for all Bulgarian contracts for the acquisition of equipment under the Foreign Military Sales (FMS) program.

The FMS program makes it possible for part of the funds paid by Bulgaria to be deposited and invested through bank and investment accounts at the FED/NY and generate income for the Bulgarian state, reports Bulgarian news agency BTA. The amount of funds that could be transferred in this way would be determined by the DSCA.

On July 11, 2019, Bulgaria signed a contract for the acquisition from Lockheed Martin of eight F-16 Block 70 multirole fighters, related support, ammunition, Sidewinder AIM 9X Block II missiles, and related hardware and services at a price of 1.2 billion. US dollars. The first two fighters were expected to be delivered in mid-2023 and the last two in the first quarter of 2024, but the pandemic delayed the implementation of the project.

Source: RES-MPE

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