[size=75:n60kjftv]novinite December 4, 2009

Brussels: Bulgaria to Stay in Recession in 2010

Bulgaria’s economy will continue to contract in the second half of this year and will fail to return to growth next year, according to the European Commission.

Representatives of the European Commission, who joined a seminar in Sofia on Friday, said they expected the country to post a higher than the average for the European Union GDP growth in 2011.

“The new Bulgarian government is continuing the economic and financial policy of the previous one,” the experts said, adding that the country has succeeded in fighting off the worst consequences of the global financial crisis.

They recommended that Bulgaria pours more investments in infrastructure and tourism.

Bulgaria, the European Union’s poorest country, is currently going through its first recession in 12 years after a three-year lending boom stalled and foreign investment dried up.

The Bulgarian government’s most recent estimate was for a 6.3% decline in 2009 and 2% next year. The International Monetary Fund expects GDP to fall 6.5% this year and 2.5% next year. EBRD forecasts GDP to fall by 1.5%, following a 6% drop this year.

This is not good news for the Bulgarians but I would think its good news for buyers, having said that it all depends on wheather owners drop the prices accordingly