Announced on August 17 by the Bulgarian National Bank (BNB), Bulgaria witnessed a remarkable upswing in its Foreign direct investment (FDI), reaching €1.8 billion in H1 2023. This constitutes 1.9% of its GDP, a substantial leap from €916.1 million during the same period in 2022, which BNB initially reported lower and later adjusted. Equity contributions, encompassing the real estate sector, grew to €259.6 million, up from €223 million the previous year. Meanwhile, reinvested profits skyrocketed to €1.48 billion, a significant hike from H1 2022’s €591.5 million. On the downside, a net outflow of €6.1 million was observed in foreign real estate investments, with Russia receiving €7.3 million. Debt-related investments also saw a decline, standing at €59.9 million, compared to €101.7 million in H1 2022.
The leading foreign investors were the Netherlands, Austria, and Belgium, while Italy and Romania experienced net capital withdrawals. In a related note, Bulgaria’s foreign investments ascended to €209.3 million, slightly trailing the amount from the previous year.