Bulgaria’s Economy Grew 3% in Q2, 2016

The Gross Domestic Product (GDP) of Bulgaria increased by 3% in the first quarter compared to the same period of the previous year, flash estimates of the national statistics body show.

Flash estimates are “the earliest picture of the economy according to national accounts concepts, which is produced and published as soon as possible after the end of the quarter, using a more incomplete set of information than that used for traditional quarterly accounts,” as defined by the Eurostat Handbook on quarterly National Accounts.

For the second quarter of 2016 (April-June), the flash estimates suggest GDP was BGN 21.753 B.

Gross value added (GVA) for that period amounted to BGN 18.538 B.

“In the structure of GDP by the expenditure approach the largest share has the final consumption (77.7%), which in nominal terms amounted to BGN 16.894 B,” NSI says.

“In the second quarter of 2016 gross capital formation is BGN 4.689 B and has a share of 21.5% in GDP. The external balance (exports minus imports) has a positive sign.

Q2 growth was 0.7% if compared to the first quarter of this year, with GVA increasing by 0.4% over the second quarter, according to seasonally adjusted data of the National Statistical Institute (NSI).

On an annual basis, at seasonally adjusted data, GDP increased by 3% in Q2 compared to the same quarter of the previous year, while GVA went up 2.5%.

As regards the expenditure components of GDP, the final consumption registered a positive economic growth by 2.0%.

Gross fixed capital formation decreased by 4.5% compared to the same quarter of the previous year.

Exports and imports of goods and services increased by 2.0 and 2.2% respectively.

The foreign direct investments and the EU funds would stimulate economic growth. They may pull the country’s economy and cause a modest GDP growth to the tune of 1%-2%, but there are no indications about forthcoming large-scale projects and payments. In other words, stability is the word that is relevant for these sectors, too.

Source: http://www.novinite.com/; http://bnr.bg/