Bulgaria Q2 GDP Growth at Over 1-Year Low

The Bulgarian economy grew 2.7% year-on-year in the second quarter of 2026, easing from a revised 2.9% in the previous quarter, according to preliminary estimates. This marked the weakest pace of growth since Q1 2024, as final consumption growth slowed to 7.6% from 8.0%, while gross fixed capital formation eased to 8.0% from 8.5%. Within net external demand, exports continued to decline but at a softer pace, falling 2.8% compared with a 7.3% contraction, while imports rose 6.9%, moderating from 8.2%. On a quarterly basis, the economy grew 0.6% in the second quarter, down slightly from 0.7% in the previous period and marking the weakest growth since Q3 2025.

The Bulgarian economy grew by 3.1% year-on-year in the first quarter of 2026, exceeding the preliminary estimate of 2.9% and slightly accelerating from a 2.9% expansion in the previous quarter. The expansion was primarily driven by stronger investment activity, with gross capital formation accelerating sharply (18.7% vs 12.0% in Q4), while gross fixed capital formation gained at a softer pace (9.1% vs 12.1%) and overall final consumption softened slightly (7.8% vs 8.1%). Net trade continued to weigh on growth, as exports of goods and services fell (-7.4% vs 0.7%), while imports rose albeit at a softer pace (8.2% vs 11.1%). On a quarterly basis, the economy expanded 0.7% in Q1, in line with preliminary estimates and easing from 0.8% in Q4.

The Bulgarian economy grew 2.9% year-on-year in the first quarter of 2026, unchanged from the previous period, according to preliminary estimates. Net external demand contributed positively to overall growth, as exports of goods and services rose 0.4% after stagnating in Q4 2025, while import growth slowed to 6.4% from 11.1%. However, gains were partly offset by a slowdown in domestic demand. Final consumption growth eased to 6.9% from 7.9%, while gross fixed capital formation moderated to 8% from 11.6% in the previous quarter. On a quarterly basis, the economy expanded 0.7% in Q1, matching the pace recorded in Q4 2025.