Bogdan Bogdanov Record growth of foreign direct investment

Bogdan Bogdanov Record growth of foreign direct investment

Six priority projects have been approved in the last month

The Bulgarian economy is developing well, we are currently seeing record growth in foreign direct investment. This is what Bogdan Bogdanov, the Minister of Economy, said in the programme ‘Hello, Bulgaria’ on ‘Nova TV’.

‘Nearly BGN 7 billion were invested in the first 10 months of the year. This is over 50% more compared to the same period in 2022,’ Bogdanov said. He also commented on an investment plan for the production of parts for electric cars in the amount of EUR 600 million, which is expected to be implemented in 2024. ‘We take into account the specific parameters, the terrains on which it can be implemented,’ the minister said.

Bogdanov reported that 6 more priority projects have been approved in the last month, 4 of them in Northern Bulgaria. ‘We have investments in Pleven, Razgrad, Shumen, Targovishte, priority projects of over BGN 100 million. These are investors who are already in Bulgaria and developing their business successfully,’ Bogdanov said.

In the minister’s words, Bulgaria will provide aid for investment projects up to the maximum thresholds allowed by the EC — a percentage based on the amount of capital expenditure. ‘Depending on the region — between 30% and 60% — the state could provide aid for a respective investor to cover the capital costs,’ Bogdanov said.

According to the minister, Bulgaria is competitive despite the lack of labour. In this respect, access to the labour market for third-country nationals has therefore been facilitated. ‘40-50% of these people start working here and subsequently go to work in another EU country, this is a problem of our legislation that we need to change,’ Bogdanov said.

He stressed that about 100 000 people could be directly involved in Bulgaria. In the long term, incomes must rise so that Bulgarians can return to the country and work here, the minister said. In his words, Bulgaria is one of the first countries in terms of income growth. The goal is a smooth decline in inflation, Bogdanov said.

The Minister said that there was a damage of BGN 1 million to the LB Bulgaricum due to incorrect pricing of products. ‘We are seeing products being sold below cost on contracts that have been signed with certain food chains, which is quite worrying,’ the minister said.

You can watch the whole interview here.