t-Communist government faces major problems of renovating an aging
industrial plant; coping with worsening energy, food, and consumer goods
shortages; keeping abreast of rapidly unfolding technological developments;
investing in additional energy capacity (the portion of electric power from
nuclear energy reached over one-third in 1990); and motivating workers, in
part by giving them a share in the earnings of their enterprises. Bulgaria's
new government, led by Prime Minister Filip Dimitrov, is strongly committed
to economic reform. The previous government, even though dominated by former
Communists, had taken the first steps toward dismantling the central
planning system, bringing the economy back into balance, and reducing
inflationary pressures. The program produced some encouraging early results,
including eased restrictions on foreign investment, increased support from
international financial institutions, and liberalized currency trading.
Small entrepreneurs have begun to emerge and some privatization of small
enterprises has taken place. The government has passed bills to privatize
large state-owned enterprises and reform the banking system. Negotiations on
an association agreement with the EC began in late 1991.
GNP:
purchasing power equivalent - $36.4 billion, per capita $4,100; real growth
rate --22% (1991 est.)
Inflation rate (consumer prices):
420% (1991 est.)
Unemployment rate:
10% (1991 est.)
Budget:
revenues NA; expenditures NA, including capital expenditures of $NA billion
(1991)
Exports:
$8.4 billion (f.o.b., 1990)
commodities:
machinery and equipment 55.3%; agricultural products 15.0%; manufactured
consumer goods 10.0%; fuels, minerals, raw materials, and metals 18.4%;
other 1.3% (1990)
partners:
former CMEA countries 70.6% (USSR 56.2%, Czechoslovakia 3.9%, Poland 2.5%);
developed countries 13.6% (Germany 2.1%, Greece 1.2%); less developed
countries 13.1% (Libya 5.8%, Iran 0.5%) (1990)
Imports:
$9.6 billion (f.o.b., 1990)
commodities:
fuels, minerals, and raw materials 43.7%; machinery and equipment 45.2%;
manufactured consumer goods 6.7%; agricultural products 3.8%; other 0.6%
partners:
former CMEA countries 70.9% (former USSR 52.7%, Poland 4.1%); developed
countries 20.2% (Germany 5.0%, Austria 2.1%); less developed countries 7.2%
(Libya 2.0%, Ir