Bulgarians fear collateral damage

“What will the Bulgarians do if Greece goes bankrupt?" The affair unsettles Sofia weekly Kapital, which points out that five of the thirty banks in Bulgaria are Greek-owned and that Greece has long been an important economic partner. “Faced with the possible bankruptcy of our neighbour,” Kapital warns, “one must not react as if in a war among tribes: everyone will lose." Since ten percent of Bulgaria’s exports, mainly in textiles, wood and metal, go to Greece, the crisis has changed the stakes. "A lot of foreign investors have always looked on south-east Europe as a whole, and not on any specific country," emphasises Kapital, which fears Bulgaria’s proximity to Greece will lead to a fall in foreign investment, particularly in the construction and energy sectors. However, Bulgaria’s financial system has proved to be stable so far, according to the analysts: "Our government has witnessed the consequences of Greece’s policy and has brought in a more rigorous national fiscal discipline," the weekly writes.