24 оctober 2011

Greek companies are leaving the sinking ship of their country only to move business to Bulgaria, where labour costs are 4 times lower compared to Greece, announced GreekReporter.

Some 800 Greek companies are expected to move their business to Bulgaria by years end. According to Joanna Yanaru, head of the Greek Embassys Commerce Department in Sofia, in the last 10 years, Bulgaria has been a top destination for Greek companies.

In her words, the reasons are a low income tax rate of 10% and a quick procedure for setting up a new business. The economic presence of Greek companies has been estimated at 3 billion euro and has led to the opening of 100 000 new jobs.*

The financial and economic crisis which neighbouring Greece is facing is beneficial for Bulgaria. For instance, about 2,000 Greek companies have moved their operations to our country over the last two years, Finance Minister Simeon Djankov said in an interview for the German newspaper Die Welt. According to him, the capital attracted to Bulgaria is estimated at around 1 bn. The VAT rate in our country is 20%, while in Greece it is 26%, the flat tax rate is 10% in Bulgaria and 28% in our neighbouring country, added Djankov.**

Source:*BNR  **Klassa.bg  

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