IwatchBulgaria.com

You are in Home > News > Fiscal affairs

Could student loans be efficient
From banks’ perspective the providing of state guarantees on credit, granted to students, would limit to a large extent two of the significant problems, which the market practice is facing with this credit segment. Students are borrowers, who are typically associated with high degree of risk – mainly due to the more difficult as...
Inflation, deflation, stagflation
The central bankers have put themselves in very uncomfortable situation, in order to defend the latest cutting of the key interest rates. A consensus has formed that the financial crisis increases recession risks, and therefore – inflationary pressure will inevitably decline. If central bankers look only at consumer prices, this...
Too big to fail or to be saved
When a year ago the first signs for liquidity issues of the American banks emerged, the dominating expectations were that the crisis will affect particular segments of the financial sector, but not the entire financial system. With the aim to improve liquidity the Federal Reserve decided to act aggressively, lowering the target ...
Is the Bulgarian industry about to disappear
The most reliable statistics about the development of material production in Bulgaria in our opinion is the NSI data for foreign trade. In the twelve months before June the export is growing at 20%, measured in euro (some EUR 2.5 billion more), in comparison with the previous 12-month period. Bulgaria tends to become even more o...
Risks before the financial health of Bulgarian households
Theoretically examined, upward price dynamics, combined with rising cost of the credit resource could in begin to reflect unfavorably on the household financial wealth – in other words, on their ability to service their current debt and on their marginal propensity to take on more credit. Although the monetary statistics has in ...
Could the high economic growth in Bugaria be kept
On the day of the Lehman brothers bankruptcy the Bulgarian official statistics reported GDP data for Q2 2008. The contrasts between the bad news on the capital markets and the good news of the 7.1% growth shocked the broad audience. What is more, a month ago the NSI forecasted (based on preliminary data) that the real growth for...
Effects of BNB credit restrictions one year later
Exactly one year ago BNB decided to raise minimal required reserves to 12% of the deposit base, with the aim being to reduce the probability of overheating. The foundation of this decision is the rationale that the rapid credit expansion leads increasing inflationary pressure and expanding current account deficit. In the state ...
How to reduce the social insurance burden – four advices for policy makers
There are several possible ways to reduce the social insurance burden. Each one will produce the same effect – decreasing the difference between employer’s labor expenses and the employee’s net payment, while being a different mechanism. 1/ Direct reduction of the mandatory contributions’ rate. The rate is so high right now (mo...

<First page

Last page>