SHADOW ECONOMY: BULGARIA IS THE EU'S GOLD MEDALIST
The shadow economy in Bulgaria is the most prevalent compared to all EU countries, it was announced based on the findings of the round table titled "Tackling the informal economy and undeclared work", organized by the Centre for Study of Democracy and the University of Sheffield.
Illegal business in the EU amount to 18.5% in average, while in Bulgaria it has reached 31.2% of the GDP, according to a study from last year. The shadow economy includes both the gray segments and the entirely illegal activities, experts said.
According to data from 2013, nearly 5% of Bulgaria's population is involved in undeclared work. About 30% of people who have a second job, do not declare the income from it. There are also cases where people have signed contracts for a certain amount but receive money on the side above that wage. Such practices were admitted by 13.8% of the respondents. 16% of them admitted that they buy goods from the informal sector, thus products that do not have all necessary legal documents.
Sectors of the economy in which the gray sector is the most significant, are those of tourism, food industry, production of goods, construction and real estate.
Young people are the most vulnerable group of workers who succumb to such practices. Last year payments "by hand" increased by 10%, and became one of the most serious problems of Bulgaria's economy.
Копирано от standartnews.comThe shadow economy in Bulgaria is the most prevalent compared to all EU countries, it was announced based on the findings of the round table titled "Tackling the informal economy and undeclared work", organized by the Centre for Study of Democracy and the University of Sheffield.
Illegal business in the EU amount to 18.5% in average, while in Bulgaria it has reached 31.2% of the GDP, according to a study from last year. The shadow economy includes both the gray segments and the entirely illegal activities, experts said.
According to data from 2013, nearly 5% of Bulgaria's population is involved in undeclared work. About 30% of people who have a second job, do not declare the income from it. There are also cases where people have signed contracts for a certain amount but receive money on the side above that wage. Such practices were admitted by 13.8% of the respondents. 16% of them admitted that they buy goods from the informal sector, thus products that do not have all necessary legal documents.
Sectors of the economy in which the gray sector is the most significant, are those of tourism, food industry, production of goods, construction and real estate.
Young people are the most vulnerable group of workers who succumb to such practices. Last year payments "by hand" increased by 10%, and became one of the most serious problems of Bulgaria's economy.
