One hundred percent of the German investors were reinvested in Bulgaria
German investors do not regret investing in Bulgaria and 100% of them said last year that they would invest here again if given the choice. In previous years, it was somewhere around 70-80%, and now everyone is unanimous that if they were asked if they would invest in Bulgaria again, they would answer with “yes”. I think that Bulgaria has more advantages than disadvantages ì and our task is to advertise ourselves a little more aggressively, to show what we have as potential, because we are no worse than other countries. That’s what he said Dr. Mitko Vasilev, chief manager of the German-Bulgarian Chamber of Industry and Commerce, in the program “In Development” with host Veronika Denisova.
If in the year 2000, the commercial exchange of goods between Bulgaria and Germany was for 1.4 billion euros, then for the last year it reached a record 11.2 billion euros, and this is an absolute record in bilateral relations. The good news is that Bulgaria’s export to Germany of 6.2 billion euros is ahead of exports from Germany.
“This speaks well for Bulgaria, and for several years we have secured a positive trade balance with Germany. This is also due to the German investors who have entered Bulgaria, produce here, create jobs, and part of the production they export to Germany is covered as the Bulgarian amount and supports it”.
The Bulgarian and German economies are like jumping vessels and the problems and crises that occur in Germany are also reflected here. But despite this, the Bulgarian size continues to develop ahead of schedule, and this is very happy.
“If Bulgaria were to be accepted into the Schengen area and introduce the euro, the prospects would improve a lot,” the interlocutor emphasizes.
One of the problems that worries German business recently is the lack of qualifications, but it is not just qualifications, but labor in general. Inefficient administration also hinders the better development of German business, shared Dr. Vasilev.
According to the interlocutor, when a German investor came here, he shouted to him that the infrastructure should be known to him and that he should start working and deal with what he came for, and not waste time on other activities.
“On the other hand, Bulgaria has its advantages in that the tax system is very attractive and the cost of labor is low.”
Bulgaria is quite centralized and most things happen in Sofia, but Plovdiv has attracted a lot of investment, also Varna and Burgas are interesting destinations, and recently Ruse and Stara Zagora. Two German companies from the automotive industry chose to invest in Ruse. Recently, we were also in Stara Zagora, where I made a very good impression on the attitude of both the municipality and the business. This year a business delegation from Bavaria is coming to visit Sofia and it could be Stara Zagora. It would be good if other cities from Bulgaria had more chances, the guest provided.
Commenting on the role of the community in attracting investors, the interlocutor points out that they must show that they are a loyal partner, help the investor especially when they take their first steps, in every way take away from him the bureaucratic difficulties and obstacles that he encounters.
“When they feel the attitude, German businessmen work faster and something happens”.
German business is socially responsible, climate and environmental friendly and cares about its employees.
The interlocutor gives an example of the “Metro” chain, which entered the Bulgarian market in the mid-1990s. Now they said that this non-payment of taxes for them simply cannot happen, because right away from the notes and invoices there is a direct connection with the National Revenue Agency and it was known what their turnover is, you can’t even raise a question about hiding VAT or any other taxes. In this regard, they are quite strict and follow the rules of the game, stressed Dr. Vasilev.
You can watch the whole conversation in the video.
See all the guests of the “Development” show here.