- Political stability
- Fiscal affairs
- Monetary policy
- Regulated markets
- Privatisation
- Macroeconomic developments
submited on 13.02.2015 in category Macroeconomic developments | Monetary policy | Political stability | Privatisation | Fiscal affairs | Regulated markets
The annual GDP growth for 2014 will be between 1.4% and 1.5%, or similar to the expectations expressed by the Ministry of Finance and the European Commission for growth close 1.4% according to analysis by Industry Watch.
2014 will be the first year of steady growth in consumption, investment and employment after several years of stagnation.
In the fourth quarter gross domestic product of Bulgaria grew by 0.3% compared to the previous (third) quarter, according to flash estimates of NSI, based on seasonally adjusted data. Official statistics show that economic growth slowed down in the last quarter of the year.
On the one hand, consumption accelerated, posting a growth of 0.9% compared to the third quarter. Conditions on the labor market gradually improve, as employment increases. This in turn contributes to consumer spending. After several years of restrictions, in 2014 the Bulgarians increased their spending on consumer durables such as furniture, household appliances and electronics. The higher consumer acitivity is one of the reasons why imports also increased more rapidly - by 4% compared to the third quarter.
Investments reported growth as well, but the increase happened at a slower pace in the fourth quarter - 0.3% compared to the third quarter.
In the fourth quarter demand in our major trading partners picked up which explains why exports surged by 7% compared to the third quarter.