In the second quarter of 2019, the Bulgarian economy grew by 3.5% on an annual basis, thus maintaining a positive growth rate compared to the previous three months. This is indicated by the September issue of the report on the economic prospects of the European Union countries, published by KBC Group, which owns United Bulgarian Bank in Bulgaria. Although the rate of increase slows down by 0.4 percentage points to 0.8%, in 2019 Bulgaria's gross domestic product will increase by 0.1 percentage points from a year earlier to 3.2%, after which it will decrease by as much in 2020. The analysis emphasizes on the decrease in investment activity in Bulgaria. However, KBC reports that strong consumption in the country will be a sufficient factor to keep the economy from "significantly cooling down". If Brexit leads to a 50% drop in imports of European goods into the UK, Bulgaria will be one of the least affected countries, analysts state. The country's exports will decline by only 0.27% under this scenario.

Companies with sales revenue of over BGN 16 million annually, asset values on the balance sheet over BGN 8 million and staff of more than 50 people and whose sales in cash are less than 5% of revenue, may choose to use sales management software (SUPTO), which creates a standardized audit file, the National Revenue Agency reported. Companies that choose this mode must submit to the NRA their standardized audit file once a year, for each calendar year, by the end of January of the following year. These rules are recorded in the amendments to Ordinance H-18/2006, promulgated in the State Gazette, issue 75 / 24.09.2019.

As a result of the collapse of British travel firm Thomas Cook the Bulgarian tourist industry is expected to incur multi-million losses, along with a wave of hotel closures after the end of the summer season. Hotel owners have called for state support, demanding exemption from corporate tax for a certain period but for now no such measures are planned. In Bulgaria Thomas Cooks works with 58 hotels and owes some EUR 36 million. According to experts of the Institute for Assessments and Analyses in Tourism losses for the industry will add up to BGN 100 million. Also, the collapse will affect directly the business of the two charter airports in Varna and Burgas. Each summer Thomas Cook brings to Bulgaria between 350,000 and 450,000 tourists, making the company a market leader alongside German TUI. Thomas Cook has accounted for between 30 and 50% of flights to the Bulgarian seaside. Nearly 55% of hotels in the Sunny Beach resort work with the British travel firm.There are about 6,000 tourists of the company currently staying in Bulgaria, executive director of Astral Holidays, an official representative of Thomas Cook Group in Bulgaria, said in the statement.

A South Korea-based company is considering an investment of over EUR 1.5 billion in a production facility for batteries for electric vehicles in Bulgaria, economy minister Emil Karanikolov said. The unnamed company is exploring three countries as a possible location for its new plant. The planned facility will likely produce batteries for several automotive companies, Karanikolov noted, without disclosing further details.

Bulgarian farming group BG Agro said that its wholly-owned unit BG Agro Skladovo Stopanstvo has acquired and absorbed BG Agro Rastitelna Zashtita and BG Agro Trade Company. BG Agro owned 100% of both BG Agro Rastitelna Zashtita and BG Agro Trade Company. BG Agro has been actively restructuring its units in the past few years. Earlier this year, BG Agro's unit Agrosmart BG absorbed BG Agro General Toshevo, Agriculture, Agroair and Agrotil. In December 2018, BG Agro Trade Company absorbed BG Agro Innovation and Investment and Bulport, while BG Agro Rastitelna Zashtita absorbed BG Agro - Shumen.

The European Bank for Reconstruction and Development (EBRD) said that its board has approved a project envisaging the investment of EUR 10 million in preferred equity in Czech bottler Karlovarske mineralni vody (KMV), which is active in several countries in Central and Eastern Europe, including Bulgaria. Outside the Czech Republic, KMV is active in the Slovak Republic, Hungary, Bulgaria and Austria. In 2017, KMV acquired Bulgarian bottling company Quadrant Beverages, which is the official bottling company of PepsiCo products in Bulgaria. KMV, established in 1873, is the biggest producer of mineral and spring water in the Czech Republic. The company bottles mineral and spring water of the Mattoni, Magnesia and Aquila brands and exports them to more than 20 countries worldwide.

The Bulgarian Stock Exchange said that it has terminated on Wednesday the listing of the issue of shares of bankrupt Health and Wellness REIT, in line with a recent decision by the financial regulator to remove the REIT from the public company register. Health and Wellness REIT's registered capital amounts to some BGN 44.6 million. The company's capital consists of 4,460,148 shares with a nominal value of BGN 10 each.

Bulgarian medical consumables producer Momina Krepost said that local company Medical Supplies has increased its stake in the company to 28.31%. Following the transaction, Medical Supplies holds a total of 478,696 Momina Krepost shares. Earlier this month, Momina Krepost said that local drug maker Sopharma has sold 94,636 shares in the company for an undisclosed price on September 11, cutting its stake to 65.07%. Earlier this year, Sopharma sold 22.45% interest in Momina Krepost to Medical Supplies. Momina Krepost shares last traded on the Bulgarian Stock Exchange at a price of BGN 3.16. Momina Krepost specialises in the production of single-use medical consumables, such as syringes, needles, oxygen masks, hazardous waste containers, etc.

The federal government in Berlin on Tuesday evening approved a €380 m (£336 m, $418 m) six-month loan for German charter airline Condor, which belongs of the bankrupt Thomas Cook group. The airline said it was now on the lookout for a new owner, who could be either a “strategic investor or a financial investor.” Half of Condor’s loan was put up by the state of Hesse, where Condor is based, and the other half by the German government. Economy minister Peter Altmaier said the government is in talks with the European Commission, which needs to approve the loan. Thomas Cook folded on Monday, after failing to secure bailout cash from Chinese conglomerate Fosun and a number of other firms. Its collapse has put 22,000 jobs at risk worldwide, of which 9,000 are in the UK. Frankfurt-based Condor, was founded in 1956, and flies eight million passengers a year. The company’s reported operating profit of €43 m and turnover of around €1.8 bn in 2018.

A U.S. House panel unveiled bipartisan legislation this week that would authorize $1 billion for small and rural wireless providers to replace network equipment from companies including Huawei Technologies Co Ltd and ZTE Corp that lawmakers say pose a national security risk. The legislation is similar to a bill approved in July by the U.S. Senate Commerce Committee that would authorize about $700 million in grants to remove Huawei equipment, in a bid to boost the security of the U.S. telecommunication network’s supply chain. The top Democrats and Republicans on the House Energy and Commerce Committee said in a joint statement the bill would protect the “nation’s communications networks from foreign adversaries by helping small and rural wireless providers root-out suspect network equipment and replace it with more secure equipment.” The panel will hold a hearing on the bill Friday. Huawei did not immediately comment. About a dozen rural U.S. telecom carriers that depend on Huawei for network gear were in discussions with its biggest rivals, Ericsson and Nokia , to replace their Chinese equipment, sources familiar with the matter told Reuters in June.

Samsung Display plans to spend 13 trillion won ($11 billion) to upgrade a South Korean liquid crystal display (LCD) plant so it can manufacture more advanced screens, Yonhap news agency reported on Tuesday. Samsung Display, a unit of Samsung Electronics Co Ltd and an Apple Inc supplier, will announce the investment next month, Yonhap said, citing unidentified industry sources. It did not mention a timeframe for the investment. A spokeswoman for Samsung Display, which operates two LCD production sites in South Korea and one in China, said nothing had been decided on its future investment plans. South Korea’s panel makers have been struggling to cope amid slower LCD demand for TV and smartphones as well as rising competition from Chinese rivals and a shift by major clients to organic light emitting diode (OLED) panels. In August, Samsung Display said it was looking at suspending one of its South Korean LCD production lines due to a supply glut. LG Display last week announced a voluntary redundancy program for domestic production line employees amid mounting financial losses. Samsung Electronics has said it spent 500 billion won on its display business during the April-June quarter.