Why Bulgaria

Political and business stability

  • Bulgaria is a member of the European Union, NATO and WTO.
  • The stability of the currency is supported by the currency board, pegging the Bulgarian lev to the euro at the level of 1.96.
  • Bulgaria has one of the lowest government debts in the European Union (18.9 % of GDP) and one of the lowest budget deficits (-1.5%) as of 2013.

Low cost of doing business

  • Bulgaria has the most favourable tax regime in Europe. Corporate income tax rate is 10%, the lowest in the EU. Personal income tax is 10 %, flat rate. Industries in high-unemployment areas are granted 0% tax rate.
  • There is a 2-year VAT exemption for imports of equipment for investment projects over €5 million, creating at least 50 jobs.
  • Depreciation time for computers and new manufacturing equipment is 2 years.
  • 5% withholding tax on dividends and liquidation quotas (0% for EU tax residents).
  • Bulgaria has one of the most competitive costs of labor in Central and Eastern Europe.
  • Favorable office rents and low cost of utilities. Bulgarian cost of electricity for industrial users is 70% of the European average.

Strategic location

Located at the heart of the Balkans, Bulgaria is a strategic logistics hub. Ease of transportation of cargo is provided by

  • Five Pan-European corridors (IV, VII, VIII, IX, X) which pass through the country.
  • Four major airports: Sofia, Plovdiv, Varna and Burgas
  • Two main seaports: Varna and Burgas
  • Numerous ports along the Danube River

Access to markets

Due to its location Bulgaria provides direct access to the following key markets:

  • European Union – zero tariff market with population of 500 million
  • CIS – still not well penetrated market with a high potential
  • Turkey – zero tariff market of near 80 million population
  • Middle East – a market with high purchasing power
  • North African market

Human resources

  • Work force is well educated, highly skilled and multilingual.
  • 62.2 % of the total population is in working age (approx. 4.6 million).
  • 60.000 students annually graduate from 51 universities.
  • 98% of the high school students study a foreign language (usually English) and 73% study a second language (mainly German, French, Spanish, Russian).
  • 94% of the schools have Internet access.

Source: InvestBulgaria Agency (IBA)

Проект BG161PO003-2.4.02-0091-C0001 „АКБ – катализатор на автомобилната индустрия в България“ е финансиран по Приоритетна ос 2, Операция 2.4.1: „Насърчаване на бизнес кооперирането и клъстерите“ на Оперативна програма „Развитие на конкурентоспособността на българската икономика” 2007-2013, съфинансирана от Европейския съюз чрез Европейски фонд за регионално развитие и от националния бюджет на Република България.