New residential buildings completed in Bulgaria in the second quarter of 2019 increased by 10.5% on the year to 632, the National Statistical Institute (NSI) said. The total useful space of newly built dwellings decreased 2.5% year-on-year to 201,700 sq m in the period between April and June, NSI added. The highest number of completed residential buildings in the review period was in Varna - 101. Plovdiv and Burgas followed with 63 and 56 new residential buildings, respectively. Houses constituted 75.9%% of all new residential buildings in the second quarter of the year.

In June, the Industrial Production Index, seasonally adjusted, decreased by 1.9 per cent compared with May 2019, according to preliminary data of the National Statistical Institute released on Thursday. In June, the working-day adjusted Industrial Production Index fell by 3.6 percent year-on-year. Year-on-year, the seasonally adjusted Industrial Production Index decreased in the mining and quarrying industry (12.5 percent), in electricity, gas, steam and air conditioning supply (1.3 per cent) and in manufacturing (1.2 per cent). The most significant decrease was registered in the manufacture of tobacco products by 33.4 per cent, in the manufacture of leather and related products by 13.8 per cent, in the manufacture of wood and of products of wood and cork, except furniture; manufacture of articles of straw and plaiting materials by 9.8 per cent, and in the manufacture of paper and paper products by 8.1 per cent. On annual basis in June, the Industrial Production Index calculated from working day adjusted data declined in the mining and quarrying industry by 20 per cent, in electricity, gas, steam and air conditioning supply by 4.6 per cent and in manufacturing by 1.7 per cent.

Piraeus Bank Bulgaria said that it is seeking approval from its shareholders to merge into Eurobank Bulgaria, which recently acquired a majority stake in the bank from Greece's Piraeus Bank. Piraeus Bank Bulgaria shareholders will vote on the proposal at a general meeting scheduled for September 9, the lender said earlier this week in an invitation for the meeting. Eurobank Bulgaria wrapped up the acquisition of Piraeus Bank Bulgaria in June. The two lenders hold a combined market share of 11.5% in terms of retail banking, and 9% regarding wholesale banking, making them the fourth largest player on both segments, according to data disclosed by the competition regulator earlier this year. In November 2018, Eurobank signed an agreement to acquire Piraeus Bank Bulgaria. The value of Piraeus Bank Bulgaria's shares is EUR 75 million and the transaction will have limited effect on Eurobank's common equity tier 1 capital, Eurobank Bulgaria said at the time.

Industrial organisation Şişecam Group continues its investments in Bulgaria where it operates in flat glass, automotive glass, glassware and chemicals business lines. Şişecam Flat Glass plant, in Targovishte, fired the flat glass furnace, which has been renewed with an investment of EUR 42-million. At the ceremony Şişecam Group vice chairperson and CEO Professor Ahmet Kirman said that its investment in Bulgaria reached EUR 600-million in total. “Our group contributes to the Bulgarian economy with the employment of about 3 250 people as a result of our operations… As Şişecam Group, we continue our operations with Şişecam subsidiaries Trakya Glass Bulgaria SPJSC, Şişecam Automotive Bulgaria SPJSC and Paşabahçe Bulgaria SPJSC as well as Solvay Sodi in which we have ownership interest.”

Svilengrad has attracted a large US investor who will invest nearly BGN 300 million in a large tourist entertainment complex. It will be located on a plot of 143 decares, just after Kapitan Andreevo border checkpoint, next to the Maritza motorway. The luxury complex will include a large hotel, games rooms, SPA center, swimming pool, two restaurants, shopping areas. The Bulgarian representative of the American Fund - BC Industries SPLTD, received a building permit from the municipality this week and started construction. The company paid BGN 396,000 for the acquisition of property and BGN 36,000 for approval of an investment project. The complex has a total built-up area of 61,000 sq. m. Svilengrad has been selected by US investors after a thorough economic study by an independent English consulting firm, announced the chief architect of the municipality, Anastas Karchev. Analysts have identified Svilengrad as the best place to invest.

After correction in the tender documents, the Financial Supervision Commission has issued an authorization of the tender offer by Synergon Holding JSC - Sofia, for the purchase of 43,879 shares of the capital of Svetlina JSC - Sliven through the investment intermediary Aval In JSC from the other shareholders of the company. Synergon Holding acquired 32.08% of the voting shares after the first tender offer and already controls 90.08% of the capital of Svetlina and has to make another proposal to the minority shareholders in order to acquire the remaining 9.92%, as under the Public Offering of Securities Act (POSA). It also provides for a tender offer when one owner acquires more than 90% of the capital. Unlike the first proposal, which is compulsory, this is done only at the request of the majority owner and enables him/her to write off the company from the register of public companies after its expiration.

Bulgarian supermarket chain Fantastico said that several new stores will open doors on August 10 at its commercial complex in Sofia, following an investment of BGN 2.7 million. In addition to Fantastico's supermarket, the company's commercial complex will feature a pharmacy under the Subra brand, eyewear retail store Grand Optics, dietary supplements store Health Store, and others, Fantastico said in a statement. Following the new openings, the total investment in the commercial complex amounts to some BGN 19.9 million. The Fantastico supermarket chain consists of 42 stores, which employ over 3,100 people.

Madrid will have a new neighborhood located in the north of the city by 2044. Over 27,000 people are expected to live in about 10,500 residential buildings. The administrative buildings will be 345, three skyscrapers with offices will be built, one of which will be 70-storeys high and will be among the tallest buildings in Spain. This envisages a project of the municipality of the Spanish capital. Construction activities will begin at the end of 2020, be phased in and will include the creation of 500,000 square meters of green space. The municipality is about to approve the changes to the General Plan to start the procedures for organizing the construction. The neighborhood is likely to be called Madrid Nuevo Norte, extending over an area of more than 3 million square meters, making it the largest urban project in Spain and one of the largest in Europe. Over 60% of the area is reserved for activities related to services such as offices, shops, hotels and restaurants, and 35.46% for housing. Another 1.3 million square meters will be used to develop public transport, green areas and streets. The project is estimated to be worth around EUR 9.5 billion, of which over EUR 7 billion will be provided by the Distrito Castellana Norte consortium behind the project.

Applications for U.S. unemployment benefits declined for the second time in three weeks, indicating the labor market is holding steadfast in the face of slower global demand and trade tensions. Jobless claims fell to 209,000 in the week ended Aug. 3, according to Labor Department figures released Thursday that were better than the most optimistic projection in Bloomberg’s survey of economists. The four-week average, a less-volatile measure, was little changed and near the lowest since April. The level of claims adds to signs that that the labor market remains strong, a characterization that Federal Reserve officials repeated in their last policy statement. Job gains moderated to a still-solid 164,000 in July and the unemployment rate remained near a half-century low. Claims are hovering just above a 49-year low of 193,000 in April and the latest reading compares with the average reading of about 218,000 this year. Continuing claims, reported with a one-week lag, dropped by 15,000 to 1.68 million in the week ended July 27.

Indonesian President Joko Widodo reaffirmed that the country's capital would be moved to Borneo island from sinking and traffic-clogged Jakarta. "Our country's capital will move to Kalimantan Island. The location can be in Central Kalimantan, East Kalimantan or South Kalimantan," Mr Joko said, using the Indonesian name for Borneo. "All aspects are being studied thoroughly so that the decision will be in line with our national vision for the next 10, 50, 100 years," he said. The city of Palangkaraya and an area near oil-rich Balikpapan have been considered as among the likely site for the new capital. Experts said unlike other parts of Indonesia, most of Borneo is not prone to earthquakes and volcanic eruptions. The government wants to start moving to a new capital by 2024, at the end of Mr Joko's second five-year term in office. National Development Planning Minister Bambang Brodjonegoro said earlier this year that such a move could cost up to US$33 billion. Funding will involve allowing developers to manage government-owned property in Jakarta in return for helping build the future new city, he said.