The Bulgarian economy expanded 6.2% in 2007 which in nominal terms translates to 56.52 bln levs or 28.898 bln euro, preliminary data of the central bank showed on Monday.

This is the fourth year on the trot that the Bulgarian economy has grown by an annual margin larger than 6%.

GDP per capita was reported at 3,735.5 euro.

Q4 2007 economic growth was clocked at 6.9% over the year-ago period, a spurt that more than made up for the softer growth patch in Q3 when the farming sector contracted sharply.

The GDP numbers surprised most analysts who were betting for a showing of 5.5% to 6%, mainly due to concerns about subpar economic performance in the last quarter. The government had projected a Q4 rate of 6.4%.

The pleasing GDP metrics were mainly due to strong domestic consumption and solid industrial growth in 2007.

The GDP share of industrial manufacture jumped 14% to 26.5%. The biggest growth contribution came from the processing industry (+15.4%), construction (+16.9%) and production of electricity and heating energy (+17.2%).

The only decliner in terms of value added contribution to the economy last year was the mining industry.

The services industry posted a growth of 7.5%, increasing its share of GDP to 50%. Within the sector, the top performers were financial services (+34%), hotels and restaurants (+11.8), commercial intermediation (+6.6%). Transportation and telecommunications turned in a growth rate of 4.3%.

The farming industry, battered by inclement weather conditions, posted a record decline of 30% in 2007 with its GDP share shrinking to 5.1%.

The central bank also restated the 2006 GDP figure to 6.3% from 6.1% after receiving additional data form the customs administration, the balance of payments and others.

Source: news.dnevnik.bg