site.btaIndustrial Production Up by 15% in May Y/Y - Finance Ministry

August 5 (BTA) - In May 2021, industrial production in
Bulgaria grew by 15.1 per cent compared to May 2020, reads the
latest Monthly Report on Bulgarian Economy released by the
Economy Ministry on Thursday. Growth continued to be
driven by the manufacture  of  motor  vehicles, trailers  and  
semi-trailers, of machinery and equipment, and of metal  
products.

The report, elaborated by the Economic and Financial Policy
Department, presents the latest developments of main
macroeconomic indicators based on statistical data as at July
16.

In May 2021 year-on-year, the industrial  turnover from the
export  of  basic  metals  and  energy  goods increased, while
electricity, gas, steam and air conditioning supply contributed
the most to domestic turnover growth. The growth in construction
 production  slowed down significantly and a decline was
registered in building construction. At the same time,  the  
growth of  retail  trade  turnover was 24 per cent, with an
increasing contribution of retail sale of food, beverages and
tobacco.

According  to the  National Employment  Agency's data, the
registered  unemployed numbered 170,716 at the end of June,
similarly to the same month of 2018 and 2019, which is a his-
toric low for this parameter so far. The Finance Ministry's
analysts expect the downward trend in the dynamics  of  the
registered  unemployed to continue in July, followed by a
reversal of the trend in the fall months, mostly due to seasonal
 factors.
     
In June, the monthly Harmonised Indices of Consumer Prices
(HICP) inflation rate was 0 per cent, while the  annual HICP
inflation rate accelerated marginally to 2.4 per cent, largely
on the account of the increase in prices of energy and transport
 fuels in particular, as the latter reached 24 per cent
year-on-year. Core inflation decelerated by 0.1 percentage
points to 1.4 per cent.

The  rising  international  prices continued to push up nominal
growth in trade with goods in April. Export and import increased
 by  49.6 per cent and 56 per cent, respectively, from April
2020. Trade with the EU had the highest contribution to the
nominal growth.
 
Gross  external debt  reached  59.1 per cent  of projected GDP
at end-April. It increased by  0.5 percentage points from  a  
month  earlier, driven mostly by higher short-term bank credit.

Private  sector  credit  growth  accelerated  further  in  May,
 up  by  6.4 per cent year-on-year, compared to an annual
increase by 6.1 per cent at the end of April.

At еnd-May,  a  deficit  of  0.1 per cent  of  projected  GDP  
was  reported  on  the  Consolidated Fiscal Program (CFP). In
Jan-
uary-May 2021, CFP receipts increased by 16.1per cent
year-on-year.   
 
At end-May, government debt amounted  to  24.5 per cent of  
projected  GDP, compared to 21 per cent of GDP a year earlier.  
 
   
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