Grey Economy in Bulgaria Decreased in 2013 – Deputy FinMin

The grey economy in Bulgaria decreased in 2013, according to Deputy Finance Minister Lyudmila Petkova.

Petkova, chair of the public council on the restriction and prevention of informal economy, and Vasil Velev, Chair of the Bulgarian Industrial Capital Association, presented Tuesday the results of a project titled "Restriction and Prevention of Informal Economy" under the "Human Resources Development" operational program.

One of the main goals of the project is to calculate a composite index "Bringing grey economy into the light" on an annual basis as of 2010.

The abovementioned index increased in 2013, meaning that the share of the grey economy decreased, according to reports of news.bg.

"In the first five months of 2014, the collection of excise duty on tobacco products and alcohol improved," Petkova boasted.

She noted, however, that VAT collection was still unsatisfactory, which had caused the government to focus efforts on a reverse-charge mechanism.