Some of the attractive sectors for investments next year will be agriculture, industrial production and business services.

“The market for investment projects in 2014 will keep growing but at a moderate rate”, said Maya Alexova, Head of the Financing Department within Corporate, Investment and Private Banking Division of UniCredit Bulbank at the conference for investment projects and real estate market BalREc. She also explained that these more moderate expectations for the investment market are based on GDP growth forecasts varying between 1 and 2% for the coming year.

“There are good projects, but they are isolated cases, while next year again the main consideration of banks in making decisions to finance investment projects will be the financial stability of the investor, good structure of the project and taking reasonable risks”, commented Maya Alexova. It is expected that the prospective sectors for investments in 2014 will be agriculture, the mining industry, electronics and optical equipment and business services, including outsourcing.

In the field of real estate next year banks will be interested in financing and refinancing of office and commercial premises, residential projects with good quality and good location. Apart from that, there is demand for city-based hotels or hotels not showing any strong seasonal dependence.

“The reason for banks to finance business hotels more is to be found in the predictability of their revenues, while the approach towards the tourist business is more conservative due to the irregular cash flow depending on the season”, commented Ana-Maria Barakova, Head of Real Estate Financing at UniCredit Bulbank. She also explained that business hotels bring fast return to banks, while the peak in investments in tourist hotels was reached in 2008. Positive development in the tourism and hotels sector as well as new foreign players entering the market is expected.

More information for media:

UniCredit Bulbank, Identity & Communications Department

Viktoria Blajeva, Phone: + 359 2 9264 993, wjlj/ebwjepwbAvojdsfejuhspvq/ch

Ekaterina Ancheva, Phone: + 359 2 9264 963, flbufsjob/bodifwbAvojdsfejuhspvq/ch

Magdalena Ivanova, Phone: + 359 2 9232 528, nbhebmfob/jwbopwbAvojdsfejuhspvq/ch