site.btaBusiness Climate in Bulgaria Stagnates in March

In March 2024, the total business climate indicator remains approximately to its February level (from 22.6% to 23%), the National Statistical Institute said. An increase of the indicator was observed in the retail trade and service sector, while in the industry and construction a reduction was registered. 

The composite indicator ‘business climate in industry’ decreased by 0.5 percentage points (from 24.0% to 23.5%), which is due to the unfavourable industrial entrepreneurs’ assessments about the present business situation of the enterprises. 

The most serious difficulties for the activity remain the uncertain economic environment and shortage of labour, pointed out respectively by 45.1% and 36.2% of the enterprises. Concerning the selling prices in the industry, the prevailing part of the managers foresee them to remain unchanged over the next 3 months. 

In March, the composite indicator ‘business climate in construction’ dropped by 1.7 percentage points (from 27.2% to 25.5%) as a result of the reserved construction entrepreneurs’ assessments and expectations about the business situation of the enterprises.  

The composite indicator ‘business climate in retail trade’ increased by 1.2 percentage points (from 24.9% to 26.1%), which is due to the positive retailers’ assessments and expectations about the business situation of the enterprises.  

In March, the composite indicator ‘business climate in service sector’ increased by 3.6 percentage points (from 12.9% to 16.5%), mainly due to the improved managers’ expectations about the business situation of the enterprises over the next 6 months. Their forecasts about the demand for services over the next 3 months are also positive.