Bulgaria’s trade deficit is an important economic indicator that reflects the difference between imports and exports of goods and services. Recent data show that this deficit continues to grow, calling into question the sustainability of the Bulgarian economy and its competitiveness on the global stage.
According to NSI data, Bulgaria’s foreign trade balance with EU countries more than doubled in the first seven months of the current year.
Our country’s deficit grew by nearly a third (32.7%) annually, reaching BGN 6.724 billion. If we look at the statistics for July, it is clear that the overall foreign trade balance (FOB exports – CIF imports) is also turning negative. It is worth BGN 787.8 million.
Compared to the period from January to July of the previous year, the value of exported Bulgarian goods is 2.9% lower. Their total value amounts to BGN 49.684 billion. The data for July, however, show a 7.4% year-on-year increase, with total exports of goods amounting to BGN 7.861 billion.
Exports of goods from Bulgaria showed insignificant growth. From January to July, it grew by 0.3% compared to the same period of the previous year. The total value of exported goods for the period under review amounted to BGN 56.408 billion. In July, however, the total export of goods increased by 9.6% compared to the previous year. Thus, their total value amounted to more than BGN 8.649 billion.
Trade with European partners
Bulgarian goods were exported for trade with EU countries worth BGN 31.982 billion in the first seven months of the current year. Imports were higher and amounted to BGN 32.363 billion. Thus, the reported deficit for the period under review amounts to BGN 381.1 million. Still, the news can be seen as good, as for the same period last year it was more than twice as high – BGN 905.6 million.
Trade with third countries
The NSI data also show that from January to July this year exports of goods from Bulgaria to third countries decreased by 1.9% compared to the same period in 2023. Its total value amounts to BGN 17.702 billion. Bulgaria’s main trading partners are Turkey, the USA, Serbia, the Republic of North Macedonia, China, the United Kingdom, and Egypt. Together they account for 51.% of our country’s exports to third countries.
In July, however, exports grew by 11.2% compared to a year earlier and amounted to BGN 2.808 billion.
Bulgaria’s imports of goods from third countries in the first seven months of this year grew by 8.3% year-on-year, or a total of BGN 24.045 billion. The largest value volume of goods was imported from Turkey, China, Egypt, and Ukraine.
In July, imports rose by 26.5% year-on-year to BGN 3.964 billion.
Bulgaria’s foreign trade balance with third countries for the period was negative and amounted to BGN 6.343 billion. In July alone, the deficit in trade with third countries also increased to BGN 1.155 billion.
Bulgaria’s trade deficit remains an important economic problem that requires close monitoring and proactive measures by the government and businesses. To achieve sustainable economic development, the country needs to focus on strategies to increase exports, reduce dependence on imports, and create a stable and competitive economic environment.