site.btaBulgaria Posts EUR 264.7 Mln Trade Deficit for July 2023, Central Bank Reports

Bulgaria's balance of payments on goods recorded a deficit of EUR 264.7 million in July 2023, compared with a deficit of EUR 329 million in July 2022, the Bulgarian National Bank said in a press release on Tuesday.

In January - July 2023, the balance on goods was negative amounting to EUR 1,518.8 million (1.6% of GDP), compared with a deficit of EUR 2,231.1 million (2.6% of GDP) in January - July 2022.

Exports of goods amounted to EUR 3,619.2 million in July 2023, decreasing by EUR 652.5 million (15.3%) from EUR 4,271.6 million in July 2022. In January - July 2023 exports of goods totalled EUR 25,623.8 million (26.8% of GDP),
decreasing by EUR 1,932.3 million (7%) year-on-year (from EUR 27,556.2 million, 32.6% of GDP). In January - July 2022 exports increased by 43.5% year-on-year.

Imports of goods amounted to EUR 3,883.8 million in July 2023, decreasing by EUR 716.8 million (15.6%) from July 2022 (EUR 4,600.7 million). In January - July 2023 imports of goods totalled EUR 27,142.7 million (28.4% of GDP), decreasing by EUR 2,644.6 million (8.9%) from January – July 2022 (EUR 29,787.3 million, 35.2% of GDP). In January - July 2022 imports increased by 46.4%, year-on-year.

Services recorded a positive balance of EUR 890.9 million in July 2023, compared with a surplus of EUR 709.6 million in July 2022. In January - July 2023, services recorded a surplus of EUR 3,556.9 million (3.7% of GDP), compared with a positive
balance of EUR 2,685.8 million (3.2% of GDP) in the same period of 2022.

The current and capital account recorded a surplus of EUR 815.3 million in July 2023, compared with a surplus of EUR 251.1 million in July 2022. In January - July 2023 the current and capital account was positive amounting to EUR 1784.8 million (1.9% of GDP), compared with a deficit of EUR 705.4 million (0.8% of GDP) in January - July 2022.

Foreign direct investment in Bulgaria (under the directional principle) increased by EUR 137.8 million in July 2023 according to preliminary data, compared with a growth of EUR 145.5 million in July 20224 . In January - July 2023 foreign direct investment in Bulgaria grew by EUR 2,058.4 million, compared with an increase of EUR 1,553 million in January - July 2022.

According to preliminary data, the net flows of foreign direct investment in Bulgaria presented according to the directional principle recorded a positive value of EUR 2,058.4 million (2.2% of GDP) in January - July 2023, growing by EUR 505.4 million (32.5%) from January - July 2022 (positive value of EUR 1,553 million, 1.8% of GDP). Foreign direct investment in Bulgaria recorded a net inflow of EUR 137.8 million in July 2023, compared with an inflow of EUR 145.5 million in July 2022.

Direct investment abroad grew by EUR 28 million in July 2023, compared with an increase of EUR 93 million in July 2022. In January - July 2023 direct investment abroad grew by EUR 358.9 million, compared with an increase of EUR 353.1 million in January - July 2022.