In 2023, inflation and Fed/ECB and national bank base interest rates will play a major role in the deal-making.

The national bank has recently published its 2023 forecast. It is expected the annual inflation to slow down to 4.2% at the year end subject to falling food and petrol prices. The average annual inflation will be 7.0%.

IMF projects 5.2% annual consumer prices inflation. World Bank’s prognosis is for 6.8% average annual inflation.

Bulgaria is an open economy with its foreign trade and exports mostly linked to the EU and Eurozone. Understandably the global forces impacting our country’s main trade partners will have a corresponding effect on the national economy and its growth and attractiveness to foreign investors, i.e. FDI.