The note looks at the role the RegionalInitiatives Fund Project had in Bulgaria, which tested thesocial fund approach, as an institutional mechanisms to helpthe country protect incomes of the poor during thetransition period. Its micro-projects component funded both,social infrastructure, and innovative micro-projects. Thelatter, the most innovative, explored different approachesto employment generation, aiming to create longer-term jobs,and, foster the reintegration of disadvantaged groups, backinto society. Opportunities for income generation wereestablished by enabling the development of a businessenvironment, which would provide business services such as,training, advice, and marketing techniques. The projecttargeted ethnic minorities, socially marginal women,vulnerable youth, and disabled unemployed people asbeneficiaries. Lessons outline the need to focus on alimited number of clearly defined, and easily monitoredtypes of micro-projects for a successful outcome, andinclude as well, the need for community participation in theselection, and implementation process, embedded in theproject cycle. Furthermore, project proposals should undergoa sustainability analysis, and specific measures to ensuresatisfactory project results.
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