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Bulgaria’s business climate improved slightly in July, with the strongest positive movement recorded in the construction sector, while services reported a decline, according to data from the National Statistical Institute (NSI).

Photo: Stella Ivanova

Bulgaria remains among the weakest performers in the European Union when it comes to the number of fast-growing innovative businesses, according to data from the European Scaleup Institute and the European Commission. The figures place the country near the bottom of the EU ranking for the number of scaleup companies relative to its population, highlighting a continuing challenge in developing firms that can drive long-term economic growth.

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In June, Bulgaria’s overall business climate deteriorated, with declines reported in industry and construction, while retail trade and services registered improvements, according to the latest National Statistical Institute (NSI) survey.

Photo: Stella Ivanova

The "Podkrepa" Confederation of Labour is preparing protests in response to the proposed 2026 state budget, warning that real income growth is set to turn negative. Atanas Katsarchev, chief economist of the union, criticized the draft budget, saying half-hearted policies yield no positive results.

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Bulgarian business is riding a wave of momentum in the second quarter of 2025, with newly established companies growing by 7.3% - a pace faster than the EU average of 4.6%. According to Eurostat’s latest figures, Bulgaria is emerging as an increasingly dynamic player on the European entrepreneurial map. Yet, alongside this boom, the country also faces warning signs: bankruptcies in several sectors have risen, reminding that optimism is tempered by real risks.