Text size

OECD: Second wave of Covid-19 will shrink the Bulgarian economy by over 8%

published on 6/12/20 7:05 PM

Photo: capital.bg

The Bulgarian economy grew before the pandemic, but in 2020 it is facing its most serious contraction since the late 1990s. In the most favourable scenario with the epidemic subsiding by the summer, its production will shrink by 7.1% in 2020, and in 2021 the economy will grow.

However, if the country is hit by a second wave of coronavirus, it will shrink its economy by about 8% this year and by another 0.3% in 2021. This is indicated by the forecast of the Organization for Economic Cooperation and Development for Bulgaria (according to the European Commission by 7.2% and according to the government by 3%).

According to the analysis, a restart of the economy may require more political support. Unemployment could rise, especially if the government's wage subsidy scheme ends in July without being replaced by new employment policies.

Последвайте ни и в Google News Showcase, за да научите най-важното от деня!

Radio Bulgaria News coronavirus economic growth economic recovery epidemic second wave

More from category

GERB says it will only hold negotiations with the participation of party leaders on the formation of a cabinet

“ There will only be negotiations among party leaders if they are for the formation of a ruling majority and a regular government,” GERB party declared at a briefing after a meeting of GERB’s executive commission, in regard to a possible meeting..

published on 11/25/24 1:05 PM

Homeless people in Ruse to receive a free hot meal

For the 13th consecutive year, homeless people in the town of Ruse will receive a free hot meal during the winter months. The social kitchen of the Bulgarian Red Cross opens its doors again in the biggest Bulgarian city on the Danube River. It has a..

published on 11/25/24 12:02 PM

Ministry of Transport proposes the division of railway routes into three lots

Experts from the Ministry of Transport and Communications are proposing the division of Bulgarian State Railways (BDZ) into three lots. According to them, this is a first step toward a more efficient and modern railway transport system, reported..

published on 11/25/24 11:48 AM