Posted on 01 Jan 2010
The latest research by the Center for the Study of Democracy reveals that the annual revenue from organized criminal activities and corruption amounts to more than BGN 4 – 5 billion per year. This amount only includes criminal incomes from trafficking and distribution of drugs, smuggling of cigarettes and other excise goods, prostitution, corruption (related to rigging of public procurement) as well as tax and VAT fraud.1 The above estimated amount of “dirty money” in the economy excludes revenue from other illicit activities, such as financial fraud, trafficking in cultural goods, as well as money generated by
Bulgaria’s sizeable grey economy, estimated at 30% of GDP in 2009. In addition, the growing real estate market in Bulgaria made the country an attractive destination for laundering of large amounts from illicit See latest CSD publications: Organized crime in Bulgaria: Markets and Trends (Sofia, 2007); Crime without Punishment (Sofia, 2008); Corruption in Public Procurement: Risks and Counteraction (Sofia, 2007). revenues from Europe and other continents. The actual size of the inflows of “dirty money” into the country is, therefore, hard to estimate, as there are difficulties in assessing the amounts coming from abroad.