In the first quarter of 2017, the yield on deposit rates in Bulgarian banks fell to a historically low level. Nevertheless, the amount of money kept in accounts looks quite impressive for a small country – BGN 64 billion. One of the reasons for the popularity of deposits among Bulgarians themselves, according to local experts, is the unwillingness to invest in potentially more profitable, but also riskier enterprises.

Foreigners living in Bulgaria have little choice. Having a Bulgarian bank account is a prerequisite for obtaining and extending a residence permit (residence permit, permanent residence, DVR). You will also need it for doing business in Bulgaria, shopping Bulgarian Real Estate, car and other more everyday needs and operations. Recall that it is not necessary to be physically present in Bulgaria to open a bank account. If necessary, specialists of MC "Window to Bulgaria" will do it for you with a power of attorney.

However, it is hardly advisable to keep a large amount of money in a Bulgarian bank for a long time (unnecessarily) today. According to the official data of the Bulgarian National Bank (BNB), at the end of March 2017, the average interest on term deposits up to 1 year dropped to a record 0.29%. Despite the fact that last year at this time it was 0.77%. At the moment, only three banks in Bulgaria have an interest rate on deposits for a period of 1 year or more above above 1%. The top three were "Bulgapo-amepiĸancĸa ĸpeditna banĸa", "Interneshn'l Acet Banka" and "TB ai Banka". Since last year, the interest rates on deposits of "DCK" and "Payfeisenbank" have not changed, but their offers are the lowest on the market today – 0.05%.

They are followed by "Obedinena bulgapcĸa banĸa" (OBB) with an indicator of 0.08%, "Toĸyda banĸ" (0.70%) and "Cociete Zhenepal Eĸsppesbanĸ" (0.20%). The most significant reduction in the interest rate since last year occurred in "Πpva Invecticionna banĸa" (0.80%), "Teĸsim Banka" (0.70%) and "Centalna ĸoopepativna banĸa" (0.60%).

But low rates on deposits in Bulgarian banks also have a positive side – they are reliable and able to offer very attractive interest rates on loans. For the purchase of real estate, a car, including for foreigners living in Bulgaria. This will be discussed in detail in one of our next publications. Subscribe to the news of MC "Window to Bulgaria" on the website and (or) Facebook page.

Based on materials: money.bg