Fitch Ratings has raised the outlook on Bulgaria's Long-Term Foreign-Currency Issuer Default Rating (IDR) from stable to positive. The current assessment stems from lower macroeconomic risks associated with the Covid-19 crisis, the continuing interest in joining the euro zone, as well as the support from EU funds.
In the coming years, Bulgaria is expected to be one of the main beneficiaries of EU financing, including 16.6 billion euros (27% of GDP in 2020) under the multi-annual financial framework (2021-2027) and 7.5 billion euros (12% of GDP for 2020) in the form of EU grants under the NGEU mechanism. According to Fitch Ratings, this would increase economic growth from projected 3% in 2021 to 4-5% in the period 2022-2025.
In the long run, however, Fitch also points out a number of unfavorable factors, including the demographic structure of the population.
“We are a guarantee of stability in the region,” caretaker Prime Minister Dimitar Glavchev states in an address to the Vienna Economic Forum - Sofia Meeting, 2024, the Bulgarian news agency BTA reports. Sofia is hosting the meeting of the..
In 2023, the share of young people aged up to 29 neither in employment nor in education, stands at 13.8%, as compared to 15.1% a year earlier. Compared to the other EU countries, this percentage remains high. 1/7 th of the young people who are..
Joining the Eurozone later in 2025 is a possible scenario, and at this stage, it is a more likely one, Bulgarian National Bank Governor Dimitar Radev said for BTA in Washington during the Spring Meetings of the World Bank Group and the International..
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