site.btaForeign Direct Investment in Bulgaria Drops by Almost 64% Y/Y in Jan-May, BNB Data Shows

The Bulgarian National Bank (BNB) said on its website that according to preliminary data, the net flow of direct investment in the country for January-May 2024 is positive in the amount of EUR 591.3 million (0.6% of GDP), being lower by EUR 1.043 billion (63.8%) compared to that for January-May 2023 (positive flow of EUR 1.635 billion, or 1.7% of GDP).

In May 2024, the flow was negative at EUR 110.9 million, compared with a negative flow of EUR 208.3 million in May 2023.

Shareholders' equity is positive and amounts to EUR 177.9 million for January-May 2024. It is lower by EUR 56.2 million than that for January-May 2023, which is positive at EUR 234.1 million.  

The net flow from non-residents' investments in real estate is positive at EUR 0.1 million, with a negative net flow of EUR 2.1 million for January-May 2023. 

According to preliminary data, the "Profit reinvestment" indicator (showing the share of foreign investors in the company's current profit or loss based on accounting data for the financial result) is positive and amounts to EUR 189.2 million, with a positive value of EUR 1.431 billion for January-May 2023. The net flow on "Debt instruments" (the change in net liabilities between foreign-owned companies and foreign direct investors on financial, bond and trade loans) is positive and amounts to EUR 224.2 million, against a negative value of EUR 30.2 million for January-May 2023.

The largest net positive FDI flows into the country for January-May 2024 comes from Belgium (EUR 388 million), Austria (EUR 215.4 million) and the Netherlands (EUR 124.8 million), while the largest net negative flows are to Russia (EUR 182.9 million) and Germany (EUR 118 million).

According to preliminary data, the net flow of direct investment abroad for January-May 2024 amounts to EUR 217.2 million (0.2% of GDP), compared with EUR 263.8 million (0.3% of GDP) for January-May 2023. In May 2024, the net flow is positive and amounts to EUR 9.3 million, against a positive value of EUR 49.7 million for May 2023.