Bulgaria's overall business climate indicator increased 6.9 points m/m in January after going down 1.7 points m/m in the previous month, statistics office data showed on January 28. The business climate improved in all four sectors, industry, construction, retail and services.

The indicator declined in November and December due to new restrictions imposed following a continuous sharp rise of new coronavirus (COVID-19) cases. However, as the new cases started gradually falling, the indicator improved in January despite the lockdown.

In January, the composite business climate indicator in industry increased 6.1 points m/m with the expectations for the coming months and for the exports and production activity being positive.

The composite business climate indicator in construction increased 5.1 points m/m in January with optimistic assessments of the current situation and rather negative expectations for the next six months.

In retail trade, the indicator increased by 11.2 points m/m, thanks to the positive assessments of the current situation and the good expectations for the next three months and the expected sales volumes.

The composite business climate indicator in services increased by 6 points m/m in January with the expectations for the next six months being optimistic.

Bulgaria's industrial production decreased 5% year on year in November, after declining by a revised 3.1% y/y in October. Construction output decreased 4.1% year on year in November, after falling by revised 4.6% y/y in October. Retail sales (at constant prices) contracted 6.4% year on year in November, deepening from the 5.3% y/y fall in October.