Inflation in Bulgaria to fall to 3% in 2024, IMF forecasts

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Recent years, especially the pandemic and the war in Ukraine, have shaken all economies in the world, but countries close to Russia and Ukraine have suffered the most economically.

The United States is, of course, the best-performing leading economies, with GDP this year expected to exceed even pre-pandemic years.
The eurozone is also recovering, but slowly because Russia conflicted with Ukraine,

China is also struggling with a weak post-Kovid recovery and their economy is down 4.2% from pre-pandemic.

The receding aftermath of the pandemic and war and high-interest rates are the main factors limiting growth. Nevertheless, the IMF believes the world remains resilient to shocks and will avoid a recession.

Specifically for our country, in 2023, the average annual inflation in Bulgaria will finish at 8.5%,

The IMF’s growth forecast for the Bulgarian economy this year has improved slightly and now stands at 1.7% – up 0.3 percentage points from April, remaining in the range between 1.4 and 1.9%.

For the upcoming 2023, it is estimated to drop to 3 percent. Which is extremely good news.

One only has to bear in mind, however, that the IMF’s forecast was made before the outbreak of the conflict in Israel, which is yet another additional source of risks to the global economy