By Clive Leviev-Sawyer of the Sofia Globe
Foreign direct investment in Bulgaria in the first seven months of 2014 stood at 825.3 million euro, the equivalent of 2 percent of the gross domestic product (GDP), according to data from the Bulgarian National Bank (BNB).
In the same period of 2013, the figure was 1.07 billion euro (2.7 per cent of GDP), but the original amount reported by BNB last year was 802.5 million euro, which was revised upward later.
Investment in equity, including in the real estate sector, stood at 107.9 million euro (compared to 631 million euro in January-July 2013) and re-invested earnings accounted for 93.8 million euro (versus 51 million euro in the first seven months of last year).
Receipts from real estate investments by foreign companies totalled 68 million euro, compared to 85 million euro during the same period of last year.
The central bank data showed 623.5 million euro in investment inflows, recorded as the change in the net liabilities of Bulgarian companies towards their foreign investor owners, compared to 388.8 million euro in the first seven months of 2013. Such financial flows include financial loans, suppliers’ credits and debt securities, BNB said.
By country, the largest direct investment in Bulgaria in January-July came from the Netherlands (368.4 million euro) and Austria (116.9 million euro). The largest net negative flows for the period were towards Luxembourg (an outflow of 30.2 million euro).
According to preliminary figures, Bulgarian investment abroad stood at 195.3 million euro in the first seven months of this year, compared to 198.2 million euro in the same period of last year, BNB said.