A note from AIBEST's Chairman

Bulgaria continues to make steady progress as a competitive digital and business services destination in Southeast Europe. While the broader environment is evolving, the country maintains important advantages - strong talent retention, improving innovation capabilities and a growing visibility on the European technology map. Recent milestones, including joining Schengen in 2025 and preparing to adopt the euro in 2026, further reinforce this direction. Bulgaria ranks in the global top ten for regulatory quality and public services in the World Bank’s B-Ready assessment and leads the region in the Global Services Location Index. These results highlight areas where the country performs well and demonstrate the sector’s potential to build on this foundation. The sourcing industry remains one of the country’s fastest-growing and most resilient sectors.

In 2024, the 833 BPO, ITO and R&D companies generated a 7.6% annual increase in operating revenue. BPO continued to drive the largest share of the market, while R&D strengthened its footprint and moved further into high-value activities. Employment stabilised at more than 105,000 full-time professionals, reflecting the maturity of the sector and its continued importance for Bulgaria’s modern labour market. Expanding R&D operations and record profitability underscore the sector’s growing contribution to the national economy. Bulgaria’s momentum in innovation is becoming sector accounts for 9.6% of GVA—placing Bulgaria among EU leaders—and large-scale initiatives such as the BRAIN++ supercomputing project and plans for an AI gigafactory signal strong ambitions in deep tech and AI. International investors remain highly engaged, with ownership evenly split between domestic and foreign shareholders from 45 countries. Bulgarian companies also maintain a broad global presence, with secondary offices across Europe and USA. To unlock its full potential, Bulgaria must continue investing in talent and education. Although 15,000 tertiary graduates in 2024 held profiles suitable for the industry, the demand for advanced digital, engineering and AI-related skills continues to outpace supply. Strengthening STEM pathways and modernising curricula are essential steps toward sustaining future growth. A stable and predictable policy environment will be equally important. Clear long-term priorities, incentives for innovation and support for R&D activities are critical to maintaining competitiveness and attracting new investment. As Bulgaria advances toward becoming a regional AI and technology hub, coordinated efforts between government, industry and academia will determine the pace of progress.

The sourcing industry remains one of Bulgaria’s strongest engines of growth—internationally connected, innovation-driven and strategically positioned for the next wave of technological transformation. With the right conditions, Bulgaria can achieve a new level of competitiveness and secure its place among Europe’s leading digital economies. Real progress will come from working together. By strengthening cooperation through associations like AIBEST and uniting the capabilities of companies, institutions and talent, Bulgaria can accelerate its trajectory and secure its place among Europe’s most competitive digital economies.