The grey economy in Bulgaria is the largest in the EU and accounts for 30 percent of the country’s GDP. The Criminal Code prohibits various types of corruption, including extortion, trading in influence, facilitation payments and bribery of foreign officials. Companies face demands for facilitation payments and bribery when registering businesses or accessing public utilities.
Efforts to combat corruption in the civil service have not been systemic, but only targeted at individual cases (BTI 2016).
The Code of Administrative Procedure is aimed at limiting opportunities for corruption and establishing an efficient system of administrative justice. Money laundering is addressed in the Measures against Money Laundering Act. A significant majority of citizens perceive the judicial independence to be fairly bad or bad (JS 2017). The Constitution of Bulgaria protects freedoms of speech and of the press, which are generally respected in practice (HRR 2016).
With these reforms in place, the government will have a powerful tool to eliminate corruption in its institutions, and billions of dollars lost to corruption will be invested in education, healthcare, and other public services.
Three-quarters of businesses pay for security in Bulgaria (ES 2013).
Every year the country loses 14 and 22 percent of its GDP or $7 to $12 billion due to corruption. Notwithstanding, dealing with imports and exports is far less costly and time-consuming than the regional average (DB 2018). Since its inception in 1995, the Corruption Perceptions Index, Transparency International’s flagship research product, has become the leading global indicator of public sector corruption. According to the Center for the Study of Democracy based in Sofia, the oligarchy in Bulgaria controls all key public institutions. Bulgaria Corruption Rank The Corruption Perceptions Index ranks countries and territories based on how corrupt their public sector is perceived to be.
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The index offers an annual snapshot of the relative degree of corruption by ranking countries and territories from all over the globe.
And Bulgaria will finally be able to address country’s two other biggest issues: the informal economy and poverty.
There is a moderate to high risk of corruption when dealing with Bulgaria’s tax administration. Corruption has been an issue for the government for decades which has hindered economic and social development in the country. This report examines the practice of lobbying and the attempts to regulate it in 19 European countries and within the three core EU institutions.
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© Transparency International 2020. Concerns exist that the growing and nontransparent concentration of media ownership, corporate and political pressure, and government control of media resources is leading to a decrease in pluralism in the media environment (HRR 2016; BTI 2016). Bulgaria has signed the New York Convention of 1958 and is party to the International Center for the Settlement of Investment Disputes (ICSID). To address these weaknesses and to respond to EU criticism, the government established a specialized anti-corruption body in each branch of the government, with inspectorates under the Council of Ministers and all regional offices to deal with allegations of corruption (NiT 2015). Bulgaria, Europe's 'most corrupt country,' cracks down - again Bulgaria is seen as the EU's most corrupt country. For this institution to be effective however it needs to specialize only in anti-corruption efforts, be autonomous, accountable, and transparent, and possess sufficient human resources.
Facilitation payments and gifts are formally prohibited, but do occur frequently. The judiciary remains the least trusted institution in Bulgaria; corruption is widespread and undue political and business influence is common (ICS 2017; GRECO 2015). It comes at a time when public…. Allegations of corruption and influence peddling have only been investigated following internal and external pressure (HRR 2016). The anti-corruption unit embedded in the Ministry of Finance’s inspectorate has only limited powers to address corruption in the customs and tax administration (EUACR 2014). Preventing corruption in government contracting through independent monitors. There is a high risk of corruption when dealing with Bulgaria’s police.
The IME study also argues in favor of establishing an independent anti-corruption institution in the prosecution system.
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