The global pet care market is foretold to improve in the forthcoming years as matched to the preceding years and will showcase better sales in various market segments. It is estimated that the global pet care market will grow at a CAGR o…
BMI View: The Bulgarian construction industry is expected to contract 1.7% y-o-y in 2016. Infrastructure
construction will be the largest market in the country's construction industry, expanding 2.8% y-o-y in 2016
and accounting for 59.0% of its total value. The development of the country's road and railway network
with the support of EU funds will continue. Tourism sector will remain a substantial growth driver, while
the limited demand and the scarcity of developments in the pipeline in the non-residential building sector
will drag downwards the entire residential and non-residential building industry as it is anticipated to
contribute about three quarters to the latter sector's total value this year.
Latest Updates And Structural Trends
? Driven by transport infrastructure projects, we forecast Bulgaria's construction industry will grow by an
average of 1.6% over 2016-2025.
? Bulgaria remains highly dependent on EU funding for infrastructure projects, particularly in the transport
sector. As such, slow EU recovery will limit the speed of Bulgaria's transport infrastructure growth.
? Improved absorption of EU structural funding will be supported by public investment projects to a certain
? World Bank will provide loans worth EUR550mn to Bulgaria for the next six years in order to support
financial stability, strengthen electricity sector and improve energy efficiency.
? We do not expect investment in renewable energy infrastructure to increase given the Bulgarian
government decided to terminate incentives for new renewable energy capacity in March 2015.
? The outlook for the residential sector is not positive, especially from 2019 onwards. The housing market
remains weak following a collapse in prices since 2008 and the high levels of indebtedness will act as a
headwind to future investment.