MISSION
Effective protection of public financial interests, in compliance with the principles of legality, objectivity, publicity, and transparency.
VISION
A modern and efficient Public Financial Inspection Agency, committed to safeguarding public financial interests and the financial interests of the European Union, while applying the highest corporate and professional standards.
WHO WE ARE
The Public Financial Inspection Agency (PFIA) is an administration under the Minister of finance created in 2006 after the implementation of a significant reform in the sphere of Public Internal Financial control (PIFC).
The primary objective of PFIA is to protect public financial interests through expost financial control for legality and compliance with regulations governing budgetary discipline, financial and accounting activities of organizations and individuals within its scope. The Agency also aims to protect the financial interests of the European Union by conducting financial inspections of contracting authorities and beneficiaries of EU-funded programs and agreements, including under the Recovery and Resilience Plan of the Republic of Bulgaria.
PFIA performs a sanctioning function upon identifying violations – uncovering damages and holding responsible individuals administratively and financially accountable. The Agency is also the competent authority for enforcing administrative penalties in the field of public procurement.
In carrying out its activities, PFIA strives to earn high public trust and fosters an organizational culture based on the principles of legality, objectivity, professionalism, confidentiality, effectiveness and efficiency, publicity, and transparency.
A BRIEF HISTORY OF FINANCIAL INSPECTION IN BULGARIA
Financial and economic control in Bulgaria dates back to 1879, with the establishment of the Ministry of Finance by Decree No. 1 of Prince Alexander I Battenberg on July 5. A specialized structure – the Financial Inspectorate - was created to oversee the activities of state institutions.
On March 27, 1900, Minister of Finance Petko Karavelov submitted Report No. 371 to Prince Ferdinand I, proposing the Regulation for Financial Inspectors, which was subsequently approved. This regulation defined the organization and functions of the financial inspection carried out by the Ministry of Finance.
Art. 1. The Minister of Finance exercises supervision through the Financial Inspectorate over all institutions and officials accountable to him, in accordance with Articles 41, 43, 44, and 47 of the Budget Accountability Act, approved by Decree No. 7 of January 8, 1885...
Art. 30. Financial inspectors are appointed by decree upon the proposal of the Minister of Finance, in accordance with the Civil Servants Act...
On June 19, 1901, Prince Ferdinand I approved the Law on Inspection by Decree No. 114. This law laid the foundations for financial inspection, defining its principles, powers, appointment criteria, audit procedures, and measures for addressing irregularities, many of which remain relevant today.
On March 3, 1921, Tsar Boris III approved the Financial Inspection Act by Decree No. 20, replacing the 1901 law. It was adopted by the XIX Ordinary National Assembly on February 21, 1921.
Art. 43. Only individuals with higher education in law, finance, or administrative sciences may be appointed as financial inspectors, provided they have served at least three years in positions such as state attorneys, senior subordinates, expert appraisers at the Ministry of Finance, auditors in ministries, first-class financial managers, or first-class customs administrators...
On January 19, 1949, the Presidium of the Grand National Assembly enacted the Financial Control Act by Decree No. 57 (published in State Gazette No. 16 on January 22, 1949):
Art. 1. All institutions, enterprises, organizations, associations, and private individuals handling public assets (funds, valuables, materials, movable and immovable property, etc.) are subject to financial control. This control is exercised by the State Control Commission and the Ministry of Finance, according to regulations approved by the Council of Ministers...
On November 4, 1960, the Financial Control Act was enacted by Decree No. 408 of the Presidium of the National Assembly:
1. The Minister of Finance exercises financial control over all institutions (ministries, committees, departments, people's councils, etc.), enterprises, and organizations...
3. Financial control by the Ministry of Finance is carried out through audits and inspections conducted by designated control bodies within the Control and Audit Directorate...
On February 9, 1996, the Public Financial Control Act was enacted by Decree No. 17, repealing the previous law:
Art. 1. (1) This act regulates the organization, powers, and activities of public financial control.
(2) Control is exercised by the Minister of Finance through the bodies of public financial control...
Art. 6. (1) A “Public Financial Control” unit is established under the Ministry of Finance, functioning as a unified structural entity with legal personality and an independent budget, consisting of a central office and regional departments...
On October 27, 2000, the XXXVIII National Assembly adopted the Public Internal Financial control Act, repealing the 1996 act:
Art. 1. (1) This act regulates the scope and implementation of Public Internal Financial control, as well as the organization and powers of the bodies exercising it.
(2) Public Internal Financial control is managed and implemented by the Public Internal Financial control Agency...
Art. 5. (1) The Agency is an administrative body under the Minister of Finance... It has regional units with the status of territorial directorates...
On April 21, 2006, the Public Financial Inspection Act was adopted and published, repealing the previous act. It was developed in line with Bulgaria’s commitments during EU accession negotiations under Chapter 28 “Financial Control”:
Art. 1. This Act shall define the objectives, the tasks, the principles and the scope of the public financial inspection activity, as well as the statute and functions of the Public Financial Inspection Agency, hereinafter referred to as the "Agency".
Art. 3. Public financial inspection shall be governed by the principles of legitimacy, objectivity, ex-officio and confidentiality.
The Agency operates under the Minister of Finance.
By decision of the Council of Ministers in 2017, June 19 was declared the professional holiday of the financial inspector.