What would I love about Bulgaria if I was a German investor looking for a new investment location

The close proximity: Bulgaria is only 2.30 hrs away from Germany by a flight from any major German airport – whether Berlin, Frankfurt or Munich. It is well connected by air and by road as well. And it is only about 1500 km away by road from Munich for instance.

I would love the fact that Bulgaria is an EU-country as this will make my investment safe and predictable. The EU-membership is a key prerequisite about reliability of the country and a guarantee that my business is protected from variety of possible risks that can endanger it anywhere else. The free movement of goods, capitals and people would make me feel comfortable and will save additional costs for me. The goods that I produce will be transported easily and the fact that repatriation of profit between Bulgaria and Germany is also free and I would be able to transfer profits of my Bulgarian daughter company whenever necessary will ease my business additoinally.

The macroeconomy: The country has demonstrated a sustainable financial and economic stability and has achieved enviable by many European countries macroeconomic indicators such as one of the lowest governmental debts in the EU of only 19.6% to the GDP, unemployment rate of only 5%, 3.2% inflation rate. The GDP growth rate is 3.2% for 2018 and the IMF has lifted Bulgaria's GDP growth forecast to 3.3% for 2019. The credit rating of the country is BBB positive (Fitch), BBB- positive (S&P).

I would highly appreciate this powerful competitive advantage about the Bulgarian currency lev is pegged with the Euro in a currency board and there is literally no currency risk for my business, unlike in many other countries from CEE. The country has performed so good that it has even answered to all requirements and has effectively taken its initial steps to the Eurozone. And that means trust and confidence.

The tax-system is among the very best in the EU with 10% corporate tax and 10% personal income tax on flat basis. The tax on dividends for legal entities is 0% and for individuals comes up to only 5%. VAT is only 20%. The costs for production are lower than in Germany and than in many CEE countries – starting from the prices of industrial electricity, water, gas, industrial properties, transportation.

The incentives. The attractive package of incentives includes financial support for the construction of public infrastructure up to the border of the investment site, financial support for training and professional qualification – reimbursement of up to 25% of the eligible costs, reimbursement of the obligatory social insurance contributions made by the company for the new jobs created with the investment period amounting to 17.4% of the gross salary and tailored-made incentive solutions with regard to the amount and specifics of every investment.

The human factor: people have great professionalism and nature. In more than 100 German, English and Mathematics high schools, in more than 76 private schools and in more than 359 technical schools and in 5 Technical and Software universities in the entire country they teach languages, engineering and IT majors. Today, more than 50 000 people are employed by the automotive industry and more than 30 000 people are employed by the IT industry. Together with the tourism sector, the automotive and the IT sector form the core economic power of the country. Although salaries grow constantly the same are still comparatively lower than those in Germany and people are loyal and motivated to develop themselves in the German companies in Bulgaria.

The connectivity: the infrastructure in the country is modern and constantly developing with 5 PAN-European corridors crossing the country, with 2 major highways, 4 International Airports, 5 international seaports and river ports. The country provides close proximity and excellent road connection to important markets for the German industry and its strategic geographic location is a natural competitive advantage.

The state governmental support: Germany is No. 1 strategic partner for Bulgaria – it is the largest trading partner of Bulgaria with over 8.3 Billion Euro annual trade exchange (2018) and one of the leading countries with largest contribution for the FDIs in the country. That makes the smooth functioning of the German business in Bulgaria a top priority for the Government. If any possible issues may arise in the course of work, the same are treated with utmost care by the state institutions in order to be resolved as fast and as effectively as possible.

The automotive sector: The companies that have preferred Bulgaria as suppliers for the automotive industry are about 300 today and their number continues growing every year. They form quite an impressive network of collaboration and every new member steps into a well-developed and well established market.

The IT sector: Did you know that Bulgaria has one of the fastest internet speeds in Europe? In addition, today we have more than 12000 IT companies and the turnover of the IT industry increases with 20 % per annum while 80% of it is formed by an export of software products and innovation. Bulgaria has become an IT hub of the Balkans with big international players operating there.

The German community: today there are more than 5000 German companies operating in Bulgaria and the German Community in the country is well-grounded. This German community has developed an entire German ecosystem in the country – starting from the German Kindergartens, German Schools, German Gymnasiums, German technical faculties at the Technical Unis, German-Bulgarian Chamber of Commerce and Industry, German legal advisors, Local newspapers in German language, German car dealerships, German pubs and even German Christmas Markets. The German culture is further enhanced by the thousands German-speaking people all over the country.

• The leisure time: Bulgaria is a country that is a dream for a German expat‘s leisure time – unlimited variety of options for the days, the weekends and the holidays. The taste of the Bulgarian food along with the modern cuisine options from all over the world in high-quality restaurants is something specifically valued by the German expats. Bulgaria is among few countries in the world that offers all possible tourism options within minutes or hours of short road trips: summer tourism at the 378 km sand beaches and amazing seaside resorts – few of them purely German ones as TUI or Maritim, reachable in 4 hours drive from the capital city of Sofia, winter tourism with many ski slopes in 4 different mountainous resorts with variety of 5-star hotels, and what we are exceptionally proud of – countless of SPA-resorts as Bulgaria is the second richest country with natural thermal mineral water in Europe. The cultural and historical tourism is highly valued by the Germans in Bulgaria as well.The golf tourism is especially attractive for the German expats looking for internationally certified golf playgrounds.

So many reasons that will win me for Bulgaria if I myself was a German investor! Don't you think?