BDIF Establishment, Functions and Activities
The Bulgarian Deposit Insurance Fund (BDIF) is a legal entity, established under the Law on Bank Deposit Guarantee and functioning since January 1999.
The BDIF activity aims at maintaining the stability of and the public confidence in the banking system. Its major functions include:
- determining and collecting annual premium contributions from all banks participating in the deposit insurance system;
- investing its funds in low-risk and highly liquid securities issued by first class issuers, and deposits with the Bulgarian National Bank (BNB);
- repaying in-full the insured deposit amounts of physical persons and legal entities up to the statutory limit;
- contributing to the efficient execution of the restructuring of credit institutions pursuant to the Law on Recovery and Resolution of Credit Institutions and Investment Firms;
- protecting creditors’ interests and controlling trustees’ activities under the terms of the Law on Bank Bankruptcy.
The BDIF is managed by a Management Board, consisting of five members.
The BDIF is a founding member of the International Association of Deposit Insurers as well as of the European Forum of Deposit Insurers.