World Country Guide

Business Profile

Economy
Bulgaria has a strong agricultural sector, in which the main products are wheat, maize, barley, sugar beet, grapes and tobacco, although its relative importance has declined in recent years. Attar (oil) of roses is exported from the Valley of Roses near Kazanluk to perfumers across the world. The country is also one of the world’s leading wine exporters. Mineral deposits include coal, iron ore, copper, manganese and zinc. Coal, supplemented by gas supplied by pipeline from the Russian Federation, meets most of the country’s energy requirements. Manufacturing industry is concentrated in engineering, metals, chemicals and petrochemicals and, more recently, electronics and biotechnology. Bulgaria is a major producer of bulk carriers and forklift trucks. In the service sector, tourism and road transport are both important foreign exchange earners. In general, Bulgaria has suffered the usual problems experienced by centrally planned economies adjusting to market conditions. Successive governments have followed the path taken by other former Communist governments, under which most of industry and agriculture was privatised, trade liberalised and reforms of the fiscal and banking systems instituted. However, some key privatisations (tobacco, telecoms, banking) have already - or are - experiencing difficulties, possibly threatening the stability of the government. The value of the Bulgarian Lev was fixed to the Deutschmark by the currency control board created in 1997; it is now linked to the Euro. The economy grew at a healthy 4.3 per cent in 2004; inflation has been brought down to single figures. In 1990, Bulgaria joined the IMF, which has had a major influence on the country’s economic policy, along with the World Bank and the European Bank for Reconstruction and Development. Bulgaria has applied to become a full member of the EU and expects to join in 2007. The Russian Federation, Germany, Italy and Greece are Bulgaria’s major trading partners.

Business
Suits and prior appointments are necessary. Interpreters can be organised through tourist agencies. If arranged in advance through foreign trading organisations, services are free. It is common for the visiting business person to offer hospitality to the contact in Bulgaria. Office hours: Mon-Fri 0900-1730.

Commercial Information
The following organisation can offer advice: Bulgarian Chamber of Commerce and Industry, 42 Parchevich Street, 1058 Sofia (tel: (2) 987 2631; fax: (2) 987 3209; e-mail: bcci@bcci.bg; website: www.bcci.bg).

Conferences & Conventions
The National Tourist Information Centre (see Contact Addresses section) can offer advice.