Business Industry Capital
Bulgaria
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BNB Exchange Rates
(15.05.2019) |
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EUR |
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1.95583 |
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GBP |
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2.25526 |
USD |
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1.74223 |
CHF |
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1.72975 |
EUR/USD |
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1.1226* |
ECB exchange rate |
Basic Interest Rate |
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as of 01.05 |
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0 % |
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Financial news |
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Bulgaria climbed one position to 18th in the global Manufacturing Risk Index - 2019. The survey was conducted by the consultancy company Cushman & Wakefield, whose partner for Bulgaria is Forton. The Cushman & Wakefield Manufacturers' Risk Index estimates the countries by 20 different criteria and thus forms the final ranking in three categories with weight, general terms, operating costs and risk respectively. The report covers 48 locations worldwide, considered to be the most suitable for expansion or repositioning among global manufacturers. Bulgaria has traditionally been among the top 20 countries in the country thanks to low operating costs and good conditions for industrial production. In recent years, Bulgaria has consistently established itself on the map of global manufacturers, especially in the field of automotive components. New companies are entering the country, but the already еstablished ones are growing in the market, which puts Bulgaria in a very competitive position. Acquisitions, mergers, and partnerships with high-tech companies and technical institutions (colleges and universities) pave the way and accelerate the trend of moving from labor intensive to high-tech manufacturing. Another factor driving change is the rising labor costs in traditional industrial areas combined with a shortage of skilled labor, as is the case in Bulgaria.
The average gross monthly wage in Bulgaria has increased by an annual 12.2% to BGN 1,208 in the first quarter of 2019, data from the National Statistics Institute (NSI) showed. On a quarterly comparison basis, the average gross monthly salary rose by 3.2% in the January-March period. The highest average wage, of BGN 2,930, was registered in the information and communication sector, followed by the finance and insurance sector with BGN 1,994. The lowest gross salary, of BGN 729, was recorded in the sector of accommodation and food services. In comparison with a year earlier, the average monthly wages in the public sector grew by 10.7% in the first quarter, while the private sector saw an increase of 12.6%. Source: Capital
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Companies |
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The Bulgarian unit of German vehicle access systems manufacturer WITTE Automotive has finalised the expansion of its plant in Ruse worth over BGN 20 million. The official opening of the new production and logistic facilities was held on May 11. The expansion of the plant will open some 350 new jobs, increasing the company's total headcount to over 1300. WITTE Automotive Bulgaria achieved turnover of over EUR 100 million from the operation of its plant in Russe. Turnover is expected to rise to EUR 180 million by 2022 on the back of the expansion of the manufacturing facilities. WITTE Automotive entered the Bulgarian market in 2009. The company supplies carmakers with latches, hinges, lock sets and door handles.
Philip Morris International, the manufacturer of the iQOS tobacco heating unit, will invest in the creation of a call center in Bulgaria, Managing Director for Southeastern Europe, said. The new call center is expected to be operational in the third quarter of 2019. The company has not yet decided whether it will be in Sofia or another city in Bulgaria. Initially 100 jobs will be created. The call center will take over part of the work currently under way in Greece and Italy. Within a year, their number is expected to increase to 200. The Bulgarian office, which will respond to customer inquiries, will initially respond to the Bulgarian and Greek markets and from next year to the Italian one. The company has production in the neighboring Greece. Last year, Philip Morris International announced they would invest EUR 300 million in their factory in Aspropyrgos, where cigarettes were made before, and now the smokeless HEETS tobacco is produced. The same product is made at the company's base in Italy. It has more productions in Romania.
Teletoll JSC, which is owned by Cypriot offshore and startup, has become the second national provider of electronic toll collection services. Until now, the only service provider was Intelligent Traffic Systems JSC. The contract between the Road Infrastructure Agency (RIA) and the Teletoll joint-stock company, specially registered in February this year, was signed on May 14, the National Authority announced. Within 10 days of signing the contract, Teletoll has to prove interoperability with the Electronic Toll Collection System to begin service provision. It is only after the compatibility has been established that the contract with the national service provider enters into force. If the service is not ready to deliver within the specified time limit, the time limit shall be extended until the actual demonstration that the interoperability has been achieved. The road agency and the toll management did not say what is the commission for the supplier from the tolls and the sold electronic vignettes. According to the normative documents, the maximum commission is 7%. Source: mediapool.bg
Bulgarian Telecommunication Company (BTC), which operates under the Vivacom trademark, will be announced for sale by the end of the year. The Telecom has hired Lazard bank for a consultant on the deal, the Mergermarket specialty reported. According to the publication, the French telecom Orange is one of the potential bidders. It is recalled that the French company had an interest in BTC in 2016. A procedure for the sale of BTC is soon expected. It is possible that the collection of bids for BTC will begin in the autumn and end at the end of the year, sources say. The sale initiative came from VTB. BTC is mainly owned by Bulgarian businessman and Russian bank VTB. In 2016 they bought BTC for EUR 330 million. There was a restructuring of the telecom's obligations. Last year, BTC repaid its EUR 400 million bond loan ahead of schedule. The company pulled out its bonds from the official list of traded securities on the Irish Stock Exchange, where they were registered for nearly six years. Debt refinancing was made through a bank loan of EUR 345 million with a syndicate of more than a dozen financial institutions. For the year 2017, BTC’s consolidated revenues were BGN 854 million, and the profit was BGN 73 million. Source: 24 chasa
ICGB, the project company developing the Gas Interconnector Greece-Bulgaria, has picked Greece's J&P-Avax to buid the gas link for EUR144.8 million. Initial interest in the restricted procedure was expressed by 11 Bulgarian and foreign companies and consortia. Construction works should be completed in 18 months. Earlier this week ICGB said it has selected Greece's Corinth Pipeworks Industry to supply line pipes for the project under a one-year term contract. In April the J&P-Avax submitted the lowest offer in the construction tender followed by a consortium named IGB-2018, comprised by Italy's Bonatti and Bulgarian construction companies GP Group and Glavbolgarstroy International. Another three candidates were overtaken by J&P-Avax in the second stage of the tender procedure - consortium Max Streicher - Terna/ICGB, consortium Spiecapag Trace IGB 2018, and joint venture CPP-AKTOR.
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Bulgarian Industrial Association
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World
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Europe |
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Britain’s unemployment rate fell to its lowest since the mid-1970s in early 2019 as employers hired in the run-up to the original date for Britain’s EU departure, but there were signs that Brexit was beginning to weigh on the jobs boom. The rate edged down to 3.8% in the first quarter, its lowest since the three months to January 1975, the Office for National Statistics said on Tuesday. Unemployment dropped by 65,000, the most in more than two years. But employment growth slowed to 99,000, well below a median forecast of 135,000 in a Reuters poll of economists, and wage growth lost momentum too. The numbers could just as easily be a minor blip in the recent run of strong jobs and earnings growth, he also said. Britain’s labour market has remained resilient as Brexit has neared, helping households whose spending has driven an otherwise fragile economy.
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America |
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Venezuela has announced the lifting of foreign exchange controls on banks for the first time in 16 years, but some observers are skeptical the measure will do much to lift the shrinking economy. Few people lined up at money exchange windows in private banks in Caracas on Monday. One man, Rodolfo Gutiérrez, said Venezuela’s hyperinflation is so severe that many people find it hard to buy dollars and are focused on buying whatever food they can. Economist Asdrúbal Oliveros says some private institutions struggle to do international transactions because of U.S. sanctions imposed in a campaign aimed at pressuring President Nicolás Maduro out of office. The exchange controls were imposed by Maduro’s predecessor, Hugo Chávez, following an attempted coup in 2002 Source: Associated Press
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Asia |
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China's ongoing construction of the world's largest social credit system will help the country restore social trust, but Chinese analysts also urged the government to soon release regulations to improve data protection over concerns about privacy leaks. If drivers fail to pay a parking fee, this might be recorded in the future social credit system, according to the Beijing Municipal Commission of Transport in early May. Beijing also released revisions on its code of conduct for subway passengers, proposing that "uncivilized" behavior, including eating on the train, would be added to individual credit information. People in Zhejiang who frequently change jobs with "malicious intent" might be included in the social credit report, according to the Zhejiang Province Human Resources and Social Security Department.
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Indexes of Stock Exchanges 14.05.2019 |
Dow Jones Industrial |
25 532.05 |
(207.06) |
Nasdaq Composite |
7 734.49 |
(87.47) |
Commodity exchanges 14.05.2019 |
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Commodity |
Price |
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Light crude ($US/bbl.) | 61.29 |
Heating oil ($US/gal.) | 2.0500 |
Natural gas ($US/mmbtu) | 2.6600 |
Unleaded gas ($US/gal.) | 1.9700 |
Gold ($US/Troy Oz.) | 1 295.60 |
Silver ($US/Troy Oz.) | 14.80 |
Platinum ($US/Troy Oz.) | 858.50 |
Hogs (cents/lb.) | 90.05 |
Live cattle (cents/lb.) | 106.72 |
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Geo Milev |
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Georgi Milyov was born on January 15, 1895 in Radnevo (Stara Zagora district) in teachers’ family. Even in the childhood he was interested in the literature and arts. In 1927 his first poem was printed in the children’s newspaper Slaveiche (Nightingale). As a student in the Stara Zagora high school he published manuscript newspapers, made collections decorated by himself, wrote humorous, patriotic and intimate rhymes, signed by Geo Milev, Geo Kasabbov, Georgi Milich, Geo Milich. His student’s poems were influenced by the work of P.P.Slaveikov, whom Geo Milev considered as a tutor in the poetry and aesthetics. He also translated poems from Russian. Later he studied Philology in the Sofia University and then continued his education in Leipzig. In December 1913 his first works were published in the magazine Listopad (Fall of the Leafs). In July 1914, after the First World War began, he left for London where get acquainted with the English literature and studied English. He came back to Germany to continue studying but there he was suspected to be an England’s spy. He was arrested in Hamburg by the German police but as there were no evidences he was freed. In 1915-1916, together with N.Ikomomov he organized in Stara Zagora a theater group, which had a few performances. In March 1916 he was called to serve his military service in the School for Reserve Officers in Kniazhevo. Being a senior sergeant he was sent in 34th Troayn regiment, placed near Doiran, fighting against English and Italian. He was appointed commander of the reconnaissance detachment in the town. On April 29, 1917 his position was discovered by the English and gun fired. Milev was badly injured in the skull and lost his right eye. After several operations abroad and returning to Sofia, Geo Milev started publishing the Vezni (Scales) magazine (1919-1922), which became a tribune of the symbolism and expressionism in Bulgaria. In 1924 the Plamak (Flame) magazine came off the press. There Geo Milev published his poem Septemvri (September), because oh which the magazine was confiscated, and Milev brought to court. In January 1925 the magazine is banned. On May 14,1925 Geo Milev was sentenced to one year’s imprisonment, a fine of 20,000 leva and deprived of civil and political rights for 2 years. He decided to appeal the sentence in the Court of Appeal, but on May 15 he was arrested by the police and vanished. He was murdered and buried in a common grave.
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