An upward revision of the International Monetary Fund (IMF)'s economic forecasr for Bulgaria has been announced in a report by the organization. The move reflects "improved sentiment and rising private consumption," the IMF says.
The country's GDP is set to grow 3% in 2016 and 2.8% next year, according to the data. According to an earlier forecase, projected growth for both 2016 and 2017 was at 2.3%.
However, the IMF was warned that "medium-term potential growth is below the average of similar European countries, constrained by the unfavorable demographic trends, slow implementation of structural reforms and, consequently, a modest outlook for private investment."
Deflation measured 1t 1.6% will be registered for 2016, down from a 0.2% inflation forecast made in April. Next year, inflation of 0.6% will be posted, compared to 1.2% in the April forecast.
Unemployment of 8.6% is expected (8.2% projected in April) which will shrink further to 7.1% (7.9% in the April forecast). The share of jobless people fell below the 10-percent mark in March.