Bulgaria: NSI Reports Improvement of Business Climate in March

In March, the country's overall economic situation has been improving for the third consecutive month since the beginning of 2021, making up for the deterioration at the end of the previous year, according to the latest survey of the National Statistical Institute (NSI).

There was an improvement in the business climate in March in all observed sectors - industry, construction, services and retail trade.

The overall business climate indicator rose by 2.1 percentage points in March compared to February, when it rose by 1.8 points. Thus, the business benchmark resumed its bounce from record lows last March and April (during the first pandemic lockdown), when the business climate index collapsed dramatically by nearly 50 points. In April 2020, it approached only 4.4 points from its record low since February 1997 amid the financial and economic crisis under the rule of the Videnov cabinet.

The index determining the business climate in industry increased in March by 2.1 percentage points after stabilization in February, with the latest NSI survey reporting an improvement in the assessments and expectations of industrial entrepreneurs for the business situation of their enterprises. According to them, there has been some acceleration in the supply of production sector with orders in the last month, which is not accompanied by increased expectations for the production activity over the next three months.

A major factor hampering the development of this sector is still related to the precarious economic environment, followed by insufficient demand at home and abroad.

In terms of sales prices, industry managers do not expect a rise in the next three months.

In March 2021, the indicator "business climate in construction" increased by...