20.04.2022

FOREIGN INVESTMENT IN BULGARIA DOUBLED IN THE FIRST TWO MONTHS OF THE YEAR

The net flow of direct investment in the country for the period January - February 2022 was positive in the amount of EUR 408.1 million, or 0.5% of the gross domestic product, increasing by EUR 205.6 million (101.5%) compared to the corresponding period of the previous year. This is shown by the preliminary data of the Bulgarian National Bank.

In February 2022 alone, the flow was positive and amounted to EUR 141 million, compared to a positive flow of EUR 146.6 million in February 2021.

Equity investments, which include transferred and withdrawn cash and in-kind contributions of non-residents to and from the capital and reserves of Bulgarian companies, as well as receipts and payments on real estate transactions in the country, are positive and amount to EUR 71.9 million for the first two months of the year.

It is 189 million euros higher than in January-February 2021, when it was negative at 117 million euros.

The net investment of non-residents in real estate amounted to EUR 2.6 million in the first two months of this year, with a positive net flow of EUR 0.5 million in January-February 2021.

According to preliminary data, the reinvested earnings, showing the share of foreign investors in the current profit or loss of companies, is positive and amounts to EUR 94.3 million compared to a positive value of EUR 409.4 million for January - February 2021.

The net flow of investments in debt instruments, which reflects the change in net liabilities between foreign-owned companies and foreign direct investors in financial, bond and trade loans, was positive and amounted to EUR 241.9 million, with a negative value of EUR 89.8 million for January - February 2021

The largest net positive flows of direct investment in the country for the first two months of this year came from Switzerland (143.5 million euros), Luxembourg (68.1 million euros) and Germany (67.4 million euros), and the largest net negative flows flows to Italy (EUR 22.6 million) and Belize (EUR 3.2 million).

BNB statistics also show that the net flow of direct investment of Bulgarian citizens and companies abroad in January-February 2022 amounted to EUR 44.7 million (0.1% of GDP, compared to EUR 40.6 million in January-February 2021).