Dublin, Sept. 02, 2024 (GLOBE NEWSWIRE) -- The "Bulgaria Construction Market Size, Trends, and Forecasts by Sector - Commercial, Industrial, Infrastructure, Energy and Utilities, Institutional and Residential Market Analysis to 2028 (H2 2024)" report has been added to ResearchAndMarkets.com's offering.
The construction industry in Bulgaria is expected to decline marginally in real terms by 0.5% in 2024, owing to increasing inflation rates, ongoing political crisis, elevated costs for raw and construction materials, supply chain disruptions, and a decline in foreign direct investment (FDI).
According to the National Statistical Institute (NSI), the construction industry's value add fell marginally by 0.1% year-on-year (YoY) in Q1 2024, preceded by an annual growth of 0.7% in 2023. According to preliminary data of Bulgaria National Bank, the total FDI in the country fell by 63.8% YoY in the first five months of 2024, decreasing from BGN3.1 billion ($1.7 billion) in January-May 2023 to BGN1.1 billion ($605.5 million) in January-May 2024.
On a positive note, however, in December 2023, the 2024 Budget was approved with an expenditure of BGN10 billion ($5.2 billion). Of the total BGN1 billion ($523.5 million) was allocated for municipal projects, and BGN8.7 billion ($4.6 billion) for projects related to road and railway infrastructure and defense; this is likely to provide an impetus to the industry's growth in the short term.
Over the remainder of the forecast period, between 2025 and 2028, Bulgaria's construction industry is expected to recover and record an annual average growth rate of 4.2%, supported by investment in transport, renewable energy, and industrial sectors.
In March 2024, the domestic mining company Ellatzite-Med announced its plan to invest BGN1.2 billion ($650.4 million) in mining, exploring, and expanding its copper processing plant in Etropole from 2025 until 2041. Previously, in December 2023, the local company Avesta Battery and Energy Engineering (ABEE) announced a plan to invest BGN2.1 billion ($1.1 billion) in the construction of a 10GWh battery gigafactory in Stara Zagora, and a recycling facility in Burgas by 2028.
Growth over the forecasted period will also be supported by the country's plan to add 5.9GW of power capacity by 2031, of which 4.9GW will be through renewable sources. In February 2024, the government approved the GREENABLER project with a total cost of BGN1.6 billion ($877.5 million). This project will include the reconstruction of 720km of 400 kilovolts (kV) of power lines across the country and the reconstruction of the Hemus to Stara Planina power line stretching 888km; construction on the project is scheduled to begin in 2024.
The Construction in Bulgaria - Key Trends and Opportunities to 2028 (H2 2024) report provides detailed market analysis, information, and insights into Bulgaria's construction industry, including:
- Bulgaria's construction industry's growth prospects by market, project type and construction activity
- Critical insight into the impact of industry trends and issues, as well as an analysis of key risks and opportunities in Bulgaria's construction industry
- Analysis of the mega-project pipeline, focusing on development stages and participants, in addition to listings of major projects in the pipeline.
This report provides a comprehensive analysis of the construction industry in Bulgaria. It provides:
- Historical (2019-2023) and forecast (2024-2028) valuations of the construction industry in Bulgaria, featuring details of key growth drivers.
- Segmentation by sector (commercial, industrial, infrastructure, energy and utilities, institutional and residential) and by sub-sector
- Analysis of the mega-project pipeline, including breakdowns by development stage across all sectors, and projected spending on projects in the existing pipeline.
- Listings of major projects, in addition to details of leading contractors and consultants
Key Topics Covered:
1 Executive Summary
2 Construction Industry: At-a-Glance
3 Context
3.1 Economic Performance
3.2 Political Environment and Policy
3.3 Demographics
3.4 Risk Profile
4 Construction Outlook
4.1 All Construction
- Outlook
- Latest news and developments
- Construction Projects Momentum Index
4.2 Commercial Construction
- Outlook
- Project analytics
- Latest news and developments
4.3 Industrial Construction
- Outlook
- Project analytics
- Latest news and developments
4.4 Infrastructure Construction
- Outlook
- Project analytics
- Latest news and developments
4.5 Energy and Utilities Construction
- Outlook
- Project analytics
- Latest news and developments
4.6 Institutional Construction
- Outlook
- Project analytics
- Latest news and developments
4.7 Residential Construction
- Outlook
- Project analytics
- Latest news and developments
5 Key Industry Participants
5.1 Contractors
5.2 Consultants
6 Construction Market Data
For more information about this report visit https://www.researchandmarkets.com/r/r83ogb
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