Muudis: The Bulgarian economy will shrink by 5 percent in 2009

With 5% will shrink economy this year, predicts a senior vice president and analyst at rating agency Muudis Kenneth Orchard.
Gross domestic product of the country (GDP) in 2009 will be 44 billion dollars, which is far below the level of GDP of other countries with Baa rating in the region, says the report.
In 2009 the Bulgarian economy ponyasya difficulties because of declining domestic demand, which marks a boom for many years before.
As reasons for the economic downturn highlighted the contraction of Bulgarian exports in the crisis because of the leading trading partners of our country and the tightening of lending, which push past growth of our economy.
Muudis a slightly optimistic forecast of the budget. Analysts expect the budget deficit to reach 2.7 percent of gross domestic product, which is among the lowest rates in the EU. Accrue surpluses and reserves in past fiscal years will help to offset the decline in Treasury revenues, the analysts mention of the agency.
It is recalled that the International Monetary Fund predicts 7 percent decline of the Bulgarian economy in 2009, the European Commission expected contraction of 2 percent and the Finance Ministry – 2.5% decline in GDP.

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Finance