Opening a bank account in Bulgaria

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In recent years, Bulgaria has become one of the most attractive destinations for investments. The country is renowned as a center of operations for foreigners’ businesses as a result of numerous reasons such as:

• Political and business stability 

• Bulgaria enjoys one of the most stable political and economic environments in Southeastern Europe 

• Government financial indicators are remarkable, not only in the region, but also on a pan-European scale 
• Bulgarian economy maintains its excellent performance despite global challenges  
• Bulgaria’s credit rating outlook according to Moody’s is stable (09.10.2020) 
• Bulgaria is a member of some of the most prestigious political organizations 

• European Union member since 2007 

• NATO member since 2004 
• WTO member since 1996 

• Stable currency – Bulgarian Lev has been pegged to the Euro since the adoption of the currency in 2002 

• The most favorable tax regime in the EU 

• Bulgaria is possibly one of the most favorable locations in the EU in terms of doing business  
• Currently, Bulgaria has a 0% tax rate for regions with high unemployment 
• VAT rate is 20% 
• Dividend taxation rate is 5% 
• Bulgaria has signed over 50 Double Tax Treaties 

• Very competitive cost of doing business 

• One of the most competitive costs of labor in Central and Eastern Europe  
• Cost of electricity is 67% that of the European average 
• Bulgaria has top-quality office space at Europe’s most competitive rental cost level. 

• The required capital for the registration of a limited liability company in Bulgaria is 1 euro 
• There is a unified register of companies “The Trade Register” and the registration takes 3-7 days 

Even if you are not looking to conclude business or to invest in Bulgaria, there is a great gain to be obtained from opening a bank account with a Bulgarian Bank. 

Via the opening of a bank account in Bulgaria, you will position yourself on the EU map allowing you to easily transfer money to other EU countries. With the implementation of DIRECTIVE (EU) 2015/849 OF THE EUROPEAN PARLIAMENT AND OF THE COUNCIL of 20th May 2015 on “the prevention of the use of the financial system for the purposes of money laundering or terrorist financing”, fund transfers from third countries to EU countries have become troublesome. More so, from some third countries that have not implemented or are not enforcing anti money laundering measures or measures against terrorism financing.  

Furthermore, in Bulgaria, you can opt for one of the twenty- three commercial banks operating in Bulgaria provide the full range of banking services such as the opening of an accrual account, the opening of a current account, online banking amongst other. Most of the banks can also issue an electronic token and you can operate with the bank account from all over the world. 

Here is brief overview of the limits on fund transfers: 

• There are no limits or restrictions on the monthly amount of incoming fund transfers. In addition, there are no limits on the amount of a single incoming fund transfer transaction. 
• When it comes to outgoing fund transfers, there are no limits either. However there is a legal requirement for the banks to require from their customers to fill in a standard declaration on the source of the funds for every outward fund transfer over BGN 30 000 (approx. EUR 15 000). Along with the declarations on the source of funds, the bank requires the invoices for the said payment(s). 
• The limits for E-banking transfer can reach EUR 150 000 (for a single outward fund transfer). 

The required documents for the opening of a bank account in Bulgaria are the following: 

1. For foreign legal entities 

• Official documents certifying the registration, existence and representation of the company (from the Trade Register in the country of registration) 
• Copy of the Articles of Association 
• Know your Customer questionnaire 

• Beneficial ownership declaration 
• Valid ID document of the representative of the company 
• Declaration of Political engagement (by the representative) 
• Declaration on the source of income 

1. For Non-resident individuals 

• Know your Customer questionnaire 
• Beneficial ownership declaration 
• Valid ID document 
• International Passport 

• Declaration of Political engagement 
• Declaration on the source of income 

At this initial stage, you are not required to visit the bank. The preliminary check of documents by the banks may take up to one month.  

Our team of dedicated professionals at Eurofast Global Bulgaria, is always ready and happy to support you and your business interests in Bulgaria. With our expertise in this area and our long-standing business relations with most of the banks in Bulgaria, we could make the process of opening a bank account in Bulgaria smooth, easy and with minimal engagement from your side. 

Don’t hesitate to contact our Country Manager – Mr. Ioannis Kesisis at sofia@eurofast.eu

Eurofast is a regional business advisory organisation employing local advisers in over 23 cities in South East Europe & Middle East . The Organisation is uniquely positioned as one stop shop for investors and companies looking for professional services in South East Europe & Middle East.