Sofia, Bulgaria: An Introduction green, modern, developing July - - PowerPoint PPT Presentation

Sofia, Bulgaria: An Introduction

green, modern, developing

July 2018

Nadia Soultanova

Head of Investment & Business Development Sofia Investment Agency

“Sofia is quickly catching up on the more mature ecosystems. The general spirit and forward-looking attitude

• f

people and startup companies is a great motivator. Sofia has some of the best tech talents in Europe at the moment and in general is a great place to live.”

Timo Railo, co-founder of Appzio, a Sofia-based start-up

AGENDA

SOFIA INVESTMENT AGENCY BULAGRIA OVERVIEW SOFIA OVERVIEW MOVING TO SOFIA LIVING IN SOFIA WORKING IN BULGARIA

Sofia Investment Agency

Sofia Investment Agency is part of the general administration of Sofia Municipality

SUPERVISORY BOARD (City Council Members) MAYOR OF SOFIA

Sofia Investment Agency’s mission is to support Sofia to develop as an attractive and preferred place to start and grow a business by local and foreign companies.

Our services include:

Information and analyses relevant to establishing business activities in Sofia Facilitating contacts and networks with potential partners, public authorities, research and educational institutions Practical assistance in setting up a business in Sofia Aftercare programme to grow your business once you are here

Bulgaria at a glance: Geography

7.1 million people 111 K sq. km European Union Member State NATO member state

Bulgaria at a glance

Interesting facts about Bulgaria: Mountainous country 3000+ hot mineral springs Cultural heritage sites from ancient Thracians, ancient Rome, Byzantium

Bulgaria in the European Union

Bulgaria is an European Union member country since January 1, 2007

• Part of the common labor market i.e. Bulgarian citizens can freely move and work in all EU countries
• Not part of the Schengen agreement i.e. travel freely within the EU but borders do exist.

Trade with other countries in the European Union:

• No VAT
• No duties imposed
• 4 day ground delivery & next day air delivery
• Most goods pass the border with an invoice only

BLACK SEA

Bulgaria: Ground and Sea Transport

Bulgaria: GDP Growth

Real GDP Growth, %, 2017

GDP: 53.2 Billion (2017) GDP per capita: USD $ 7 240 (2017) GDP growth: 3.6% (2017) Forecast for 2018 @ 3.5%, driven by consumption and export.

Currency

The fixed rate is in effect since 1997. The Bulgarian lev was initially pegged to the Deutsche Mark. The fixed rate will remain in place until Bulgaria enters the Eurozone and adopts the Euro. No added currency risk. Fixed exchange rate to the EURO

Bulgaria English Proficiency Index 2017

Global Peace Index 2018

Source: Institute for Economics & Peace

Bulgaria ranks 26th in the world in terms of peace and safety

1/6

OF BULGARIA’S INDUSTRIAL PRODUCTION

40%

OF BULGARIA’S GDP

52%

OF FDI TO BULGARIA

1.3 M

POPULATION (2017)

• ut of 7.1 M

21.6%

OF BULGARIA’S WORKFORCE

x 2.3

NATIONAL GDP per capita USD 7 240 vs. 16 650

5-7%

ANNUAL GROWTH IN GDP

Sofia at a glance

Sofia is the capital of Bulgaria and its largest city.

Sofia Urban Development Planned

New brand hotels opening in Sofia by 2020:

Sofia economy by sectors*

*Value added at factor costs, Sofia 2016 (in%)

Promising Industries in Sofia

90% of the technology companies in Bulgaria 72% of the Bulgarian IT professionals 40 000 people employed average monthly gross salary 3 times higher than the average for the city 2.1% of the total export of Bulgaria (78% growth since 2011) 6% of Sofia’s economy 11 000 university students in IT related majors 10+ software schools and academies

Information Technologies

Share of IT sector in Sofia’s Economy

Growing Start-up Ecosystem

11 investment funds 10 + Incubators Over 30 Digital events Over 10 software schools

Growing Start-up Ecosystem

Sofia Success Stories

Sofia: Population

65% of the population is in working wage Population of Sofia grew by 120 000 people (2003 – 2016)

Sofia workforce by year

40 000

DAILY COMMUTERS

Sofia: Workforce

Sofia Economy

Digital Connectivity

27th of 162 countries in the world in broadband internet speed. 9th in the world for speed of mobile internet.

• Average speed of 17.54 Mbps.
• 96% - 4 Mbps Broadband Adoption (IPv4) in Sofia
• Broadband subscription costs from 8 EUR-36 EUR

(10-100mbps) per month No roaming fees for calls or mobile internet within the European Union.

Sofia Airport

Connecting Flights from Sofia

SOFIA - MOSCOW 1 -2 Flights /Day 3 hours flight duration

Sofia - Connectivity

Tourism

In In Top 3 cities in Europe in visitor growth - 9.4% (2009-2016)

Education

Population aged 16 and over by education level in Sofia

23 23

universities

45%

• f the population

speaks English

63 63

research centers + several independent software schools

51% %

• f the population

holds university degree 110 0 000 university students or 40% 40% of all students in the country

Sofia: Universities

University

Sofia University University of National and World Economy New Bulgarian University Technical University Sofia University of Mining & Geology Sofia University of Architecture, Civil engineering & Geodesy University of Finance Business & Entrepreneurship Medical University National Sport Academy University of Forestry Higher School of Transport Todor Kableshkov American University in Bulgaria (Blagoevgrad) Southwest University Neofit Rilski Plovdiv University Medical University Plovdiv 24 000 21 430 12 000 9 202 2 000 5 000

• approx. 1 000

8 000 10 000 N/A N/A 1 116 12 600 15 000 4 000 Students

Employer tax rates

Employer social security tax rates Maternity leave 12 + 12 months (small employer contribution) Paid vacation 20+ days Other social benefits

Why Sofia?

So Sofia ia In Inves estm tmen ent t Ag Agen ency

12 Gen. Gourko St, Sofia, Bulgaria contact@investsofia.com investsofia.com +359 2 980 04 67 / +359 2 986 45 32 / SofiaInvestmentAgency Sofia Investment Agency @InvestSofia