Greek companies to open branches in Bulgaria

With the difficult financial situation in Greece, many Greek businesses are looking for a way to circumvent banking restrictions and rising taxes.

Vassilis Korkidis, president of the National Confederation of Hellenic Commerce, said thousands of Greek companies have applied to move their headquarters to Bulgaria because of the controls on cash flows imposed in June.

He said the Greek government had failed to cope with the negative consequences of financial control, which will cost the Greek economy €3bn. Further, rising taxes and upcoming tough economic reforms will make many companies consider moving to neighbouring countries.

According to media reports, at least 60,000 Greek companies are looking to open subsidiaries in Bulgaria, Albania and Cyprus.

Bulgaria is the major producer of Greek knitwear and garments with a 57% share of production outside Greece, according to the Hellenic Fashion Industry Association.

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