Macro Analysis /
Bulgaria

Bulgarian Economy Q4 2019

  • Q4 GDP growth remained higher than the EU average

  • Unemployment and HICP inched up

  • Positive balance of Services led to a Current Account surplus of EUR 2.5bn in 2019 (2.1% of GDP)

First Financial Brokerage House
29 May 2020
Q4 GDP growth remained higher than the EU average figure; unemployment and HICP inched up Q4 non-seasonally adjusted GDP growth remained at 2.9% YoY, fuelled by consumption growth and investments. Most sectors grew on annual basis with industry contributing the most. Positive balance of Services led to a Current Account surplus of EUR 2.5bn in 2019 (2.1% of GDP). Dec’19 HICP grew to 3.1% mostly on food and beverages price increase. Unemployment rate started increasing on lower active population. State revenue kept increasing but capital expenditures led to a deficit of BGN 1.1bn. Government debt stood at 19.8% of GDP and Bulgaria now ranks second on the indicator in Europe. Yields on newly issued government bonds continue to decline. FDI’s were negative in Q4 while increasing by 17% for the whole 2019.