Bulgaria's gross foreign debt up 5.2% y/y to €38.7bn at end-October

By bne IntelliNews January 5, 2015

The annual growth rate of Bulgaria's gross external debt quickened to 5.2% as of end-October from 3.4% in the previous month, central bank data showed. Total foreign debt amounted to €38.7bn, equal to 96.1% of the 2014 GDP forecast.

Foreign debt increased by €1.8bn since the start of the year, €190mn of which were accumulated in October alone.

Long-term external debt climbed 11% y/y to €29.4bn due to the growth in public sector borrowing. It constituted 76% of total foreign debt and 73% of the GDP forecast. Short-term debt fell 9.5% y/y to €9.3bn, equal to 23% of GDP. The ratio of Bulgaria's short-term external debt to its foreign reserves declined to 59.4% at end-October from 70.8% a year earlier.

The external liabilities of the general government increased 32.8% y/y to €5.5bn and accounted for 14.1% of the total. Meanwhile, the private sector's external borrowing rose 1.7% y/y to €33.2bn. The public sector's foreign debt will decrease later this month due to the scheduled retirement of $1.1bn worth of dollar-denominated bonds, but it will be higher compared to its level from end-October due to the €1.5bn the government raised from four foreign banks in December. 

The foreign debt of commercial banks fell 1.7% y/y to €5.7bn, with the sector's short-term debt edging up 0.1% y/y to €4.3bn and its long-term liabilities decreasing 6.7% y/y to €1.4bn.

The foreign debt of the real economy declined 0.1% y/y to €12bn and intercompany lending related to direct investment advanced 2.1% y/y to €16bn.

Gross external debt, eop Jul-14 Aug-14 Sep-14 Oct-14
€ bn        
TOTAL 38.1 38.3 38.3 38.7
Long-term 29.1 29.3 29.1 29.4
Short-term 9.0 9.0 9.2 9.3
Public 5.3 5.3 5.4 5.5
Private 32.8 33.0 33.0 33.2
Change, yoy        
TOTAL 2.2% 2.9% 3.4% 5.2%
Long-term 7.8% 8.7% 8.7% 10.9%
Short-term -12.5% -12.3% -10.3% -9.5%
Public 25.6% 26.6% 29.4% 32.8%
Private -0.8% -0.1% 0.2% 1.7%
Source: BNB        

Related Articles

Bulgaria’s opposition BSP files no-confidence motion against government

Bulgaria’s opposition Socialist Party (BSP) filed a no-confidence motion against ... more

Bulgarian parliament overturns president’s veto on corruption bill

The Bulgarian parliament has overturned a veto by President Rumen Radev on the controversial anti-corruption law that was adopted in December despite strong objections from the ... more

Bulgarian capital mulls car ban to tackle air pollution

The Sofia city authorities have announced plans for wide-reaching measures to curb high levels of air pollution in the capital.  Bulgaria has the highest levels of PM10 concentrations in ... more