Bulgaria Construction Industry Report 2025: Output to Grow by 3.9% in Real Terms this Year, Supported by Inflation Decrease and PPI in Infrastructure and Energy Projects - Forecast to 2029 - ResearchAndMarkets.com

The "Bulgaria Construction Market Size, Trends, and Forecasts by Sector - Commercial, Industrial, Infrastructure, Energy and Utilities, Institutional and Residential Market Analysis to 2029 (H1 2025)" report has been added to ResearchAndMarkets.com's offering.

The construction industry in Bulgaria is expected to grow in real terms by 3.9% in 2025, supported by an increase in the construction production index, a rise in the total value of loans awarded for real estate operations and a decline in the inflation rate, coupled with public and private sector investments in infrastructure and energy construction projects.

According to the Statistics Austria (NSI), the average construction production index grew by 5.1% year on year (YoY) during the first eleven months of 2024. Moreover, the construction industry's value add grew by 6.4% YoY in Q3 2024, preceded by Y-o-Y growth of 2.2% in Q2 and 0.3% in Q1 2024, according to the latest data released by the NSI. Furthermore, the average value of loans awarded for real estate operations grew by 12.5% YoY in the first nine months of 2024.

However, a decline in Foreign Direct Investment (FDI) and weak building permits issued are expected to put pressure on the construction industry performance over the short to medium term. According to the Bulgarian National Bank (BNB), the FDI in the country decreased by 56.2% YoY in the first eleven months of 2024.

Over the remainder of the forecast period, between 2026 and 2029, Bulgaria's construction industry is expected to record an annual average growth rate of 4%, supported by investments in transport, renewable energy, and industrial sectors. Under the Transport Connectivity Program 2024-2027, the government reported that seven projects worth BGN414 million ($225.1 million) are currently being evaluated as of October 2024.

Of the total seven projects, five projects are for the construction of railway and port infrastructure and the other two are for the construction of a railway connection with Plovdiv airport and for the development of the Plovdiv railway junction. In December 2024, the government reported that the construction work of a new Danube bridge near Ruse is expected to start by mid-2026. With an investment of BGN4.6 billion ($2.5 billion), the construction is expected to be completed by 2030.

In January 2025, the government revealed that it is planning to develop the telecommunication network with an estimated investment BGN468.8 million ($254.9 million) with the help from the National Recovery and Resilience Plan (NRRP), benefiting over 350,000 Bulgarians by enhancing optical connectivity in 140 municipal centers and connecting at least 700 base stations. The construction industry's growth will also be supported by the European Union (EU) funding of BGN2.3 billion ($1.2 billion) to support climate transition in the country by 2027.

Under this, more than 2,190ha of the area will be rehabilitated to develop industrial areas and construct renewable energy source capacities and help the country to reach the EU 2030 climate and energy targets, which aims to reduce greenhouse gas emissions by 55% compared to 1990 levels, with the climate-neutral economy by 2050.

Scope

• Historical (2020-2024) and forecast (2025-2029) valuations of the construction industry in Bulgaria, featuring details of key growth drivers.
• Segmentation by sector (commercial, industrial, infrastructure, energy and utilities, institutional and residential) and by sub-sector
• Analysis of the mega-project pipeline, including breakdowns by development stage across all sectors, and projected spending on projects in the existing pipeline.
• Listings of major projects, in addition to details of leading contractors and consultants

Reasons to Buy

• Identify and evaluate market opportunities using our standardized valuation and forecasting methodologies
• Assess market growth potential at a micro-level with over 600 time-series data forecasts
• Understand the latest industry and market trends
• Formulate and validate business strategies using the analyst's critical and actionable insight
• Assess business risks, including cost, regulatory and competitive pressures
• Evaluate competitive risk and success factors

Key Topics Covered:

1 Executive Summary

2 Construction Industry: At-a-Glance

3 Context

3.1 Economic Performance

3.2 Political Environment and Policy

3.3 Demographics

3.4 Risk Profile

4 Construction Outlook

4.1 All Construction

• Outlook
• Latest news and developments
• Construction Projects Momentum Index

4.2 Commercial Construction

• Outlook
• Project analytics
• Latest news and developments

4.3 Industrial Construction

• Outlook
• Project analytics
• Latest news and developments

4.4 Infrastructure Construction

• Outlook
• Project analytics
• Latest news and developments

4.5 Energy and Utilities Construction

• Outlook
• Project analytics
• Latest news and developments

4.6 Institutional Construction

• Outlook
• Project analytics
• Latest news and developments

4.7 Residential Construction

• Outlook
• Project analytics
• Latest news and developments

5 Key Industry Participants

5.1 Contractors

5.2 Consultants

6 Construction Market Data

7 Appendix

For more information about this report visit https://www.researchandmarkets.com/r/wtaq0r

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