Finance Minister: Bulgaria's entry into Schengen and the euro area are major goals for the government

The Bulgarian government has set the country's accession to the Schengen area and the entry into the euro area and the Organisation for Economic Cooperation and Development as its main goals, Finance Minister, Assen Vassilev, said on November 2 at a meeting with a delegation of leading American companies, which was also attended by US Ambassador to Bulgaria Kenneth Merten. Members of the delegation included representatives of companies in the areas of defence, healthcare, cybersecurity, energy, construction and telecommunications, among others, the Finance Ministry said.

Bulgaria’s entry into Schengen would automatically lead to an economic growth of 3 per cent as it would remove the current obstacles to trade development due to logistical bottlenecks at the border, the minister said.

He said that Bulgaria will participate in the construction of the North-South infrastructure corridor, which will connect the Mediterranean with Northern Europe, Moldova and Ukraine from Greece via Bulgaria and Romania. According to Minister Vassilev, this project is key for connectivity in Southeast Europe and over 6 billion euros will be invested in it.

Our full membership in the euro area and the Organisation for Economic Co-operation and Development will contribute to the economic development and prosperity of our country, Assen Vassilev noted and assured that the Bulgarian institutions are doing everything possible to make this happen. He explained that he expects these processes to lead to economic growth and visibility of Bulgaria, as well as to the country’s full inclusion in the European institutional framework. According to his forecasts, the results of this could be commensurate with the GDP growth of 6-8% per year and the increase in foreign direct investments that took place in the period 2004-2007 after Bulgaria’s accession to NATO and the EU.

The Minister of Finance briefed the American businesses on the competitive advantages of Bulgaria as an investment destination and expressed his hope that their representative offices would open in this country soon. He stressed that Bulgaria maintains a low public debt of 22% of GDP - the second lowest in the EU and a deficit within 3%. According to him, the 10% flat tax and stable tax outlook make the country competitive for investments. In addition, we have our own energy infrastructure, which ensures low energy prices, he said.

Bulgaria ranks among the EU leaders in export growth and industrial production. The development of a number of industrial sectors is a significant advantage for doing business here, the Finance Minister assured. He also pointed out that the size of wages in Bulgaria is going up rapidly and noted that the country is an attractive and predictable place for investment, which offers many advantages, but cheap labour is not among them. Assen Vassilev shared his hope that this meeting would be the beginning of a real partnership and the next level of the Bulgarian-American relations.

President Radev held talks with representatives of leading American companies

Yesterday, November 1, President Rumen Radev also met with representatives of 15 leading American companies. US Ambassador Kenneth Merten also participated in the meeting. During the talks, the President stressed that the bilateral partnership in investments and technology transfer is the key element of the strategic cooperation between Bulgaria and the United States.

Radev highlighted Bulgaria's economic advantages in terms of geographical location, business conditions, and human potential.