Bulgaria's property market will defy the global credit crunch, according to Martin Gikov of UniCredit Bulbank. In spite of a large British and Irish withdrawal from Bulgaria's property market, Gikov projects that Bulgarian property prices will appreciate by up to 20% this year, partly because of the growing interest from Russian and Scandinavian property buyers. UniCredit Bulbank denied reports of a speculative bubble in domestic lending, and stated that mortgage credits rose by 67% in 2007, compared to 2006 figures.

Homes Overseas Magazine Editor's comment
The Center of Economic Development (CED) has predicted that Bulgaria's economy will grow by 6% in 2008. This will be largely fuelled by continued growth in the industry and services sector, while the country's agricultural industry has recovered from its recent downturn. Furthermore, foreign direct investment is expected to reach around €6bn, up from last year's €5.5bn. Bulgaria's growing economy should continue to boost the property sector across parts of the country.