site.btaBalkan Regional Connectivity and Competitiveness in Focus at Green Transition Forum

Balkan countries hold significant economic potential, with Bulgaria, Romania, Greece, and Turkiye encouraged to harness it through investments to improve regional connectivity, participants in a panel on Balkan competitiveness agreed at the Green Transition Forum 5.0: Competitiveness and Innovation in Central and Eastern European Countries, held at the Sofia Event Centre on Tuesday.

The forum, now in its fifth edition and dedicated to green innovation and sustainability, runs until June 20, organized by Green Transition Forum and Dir.bg, with BTA as media partner. Tuesday marked the second day of the event.

Viktor Gugushev, Chair of the Board of the Bulgarian-Romanian Chamber of Commerce and Industry, said the Balkans have long been underestimated but possess significant prospects. In a world marked by geopolitical and economic turmoil, he said, the Balkan states could begin to play a much greater role.

Gugushev added that the main challenge for the region is improving connectivity, and business representatives need to exert “gentle pressure” on governments to address this issue.

“We believe the potential between Bulgaria and Romania has long been overlooked. As a chamber representative, I can say there has been something of an economic renaissance between the two countries in recent years,” Gugushev said.

According to Brandusa Ioana Predescu, Romania’s Ambassador to Bulgaria, regional connectivity is clearly insufficient, but achievements made in recent decades should be acknowledged.

She cited growth in bilateral trade between Bulgaria and Romania, which has approached EUR 10 billion in recent years.

Predescu said that while further improvements in connectivity are needed, the situation is not as unfavourable as it seems, noting there are now two bridges over the Danube and four ferry links. She pointed to the expected adoption of the euro in Bulgaria as further proof of regional progress.

“Bulgaria will soon adopt the euro, which is a fantastic step not only for citizens but for companies. Transaction costs will disappear. Romania has no such plans at present. For you, this means more business—this single step eliminates all transaction costs, opening huge new development opportunities,” she said.

She observed that within the European Union, “we are an island of peace,” yet people still complain about difficulties.

“Our hardships are vastly less than those in the countries near us, where people die and war is part of daily life. So let’s recognize what we have achieved and how much we have accomplished for the prosperity of our citizens,” Predescu said.

“Let’s put ego aside and congratulate each other, since we are, after all, neighbours. Yes, there is competition between us, but we work within a unified framework of rules, and very soon Bulgaria and Greece will share the same currency. I hope Romania will join that group before long,” the ambassador said.

According to Krasimir Yakimov, Deputy Minister of Innovation and Growth, the region faces the crucial task of demonstrating the potential of a connected, sustainable and competitive Balkans.

He said this depends on timely and pragmatic decisions and on the trust between friendly neighbouring countries, as well as a shared vision.

Yakimov pointed to major opportunities for joint projects in the region, including artificial intelligence and digital connectivity.

“We know the first supercomputer in Southeast Europe is in Bulgaria, and within months, construction will begin at Sofia Tech Park on one of six artificial intelligence factories in the European Union,” he said, adding that Bulgaria and Romania are discussing new bridge and ferry links.

Ruse Mayor Pencho Milkov said the Danube should be seen as Europe’s largest motorway—a strategic advantage.

He said the region’s economic influence could grow considerably given ongoing geopolitical trends.

“We in the Balkans must stop seeing ourselves as at the edge of Europe—we are now at the beginning of Europe,” he said, noting that major food supply chains heading into northwestern Europe now pass through the region.

Milkov stressed that Romania and Bulgaria have realized the need for mutual cooperation, adding that, if both countries work together, the region could become one of the world’s key players.

Borislav Kostadinov, fund director at Finance in Motion, said Bulgaria and Romania benefit in the region by being EU members, ensuring market transparency, which helps private business respond more quickly with a clearer outlook, and create scale.

Veselin Todorov, founder of VVT Engineering, said all observers recognize the Balkan region’s huge potential and current role as “Europe’s gateway,” but specific steps need to be taken to realize it. Improved connectivity, reduced bureaucratic burden, harmonized regulations, and focus on the circular economy are required, he said.

Svetoslav Mladenov, CEO of Smart Solar Technologies, said there is significant economic potential in the region, especially in Turkiye, Romania and Bulgaria. He called for investment in an innovation hub built through regional cooperation on a public-private partnership model.

Mila Nenova, CEO of Invest Bulgaria Agency, said the region is developing rapidly, with Greece and Romania now among Bulgaria’s five largest trading partners.

She said there is strong interest in the Balkan region and Bulgaria specifically, but what every business expects is improved speed of investment processes. This has driven legislative changes to promote investment in Bulgaria, easing some administrative procedures.

Nenova noted that the Invest Bulgaria Agency website will soon launch a new feature to provide information about available industrial zones and plots.

Momchil Boyadzhiev, CEO of Bulmarket Group and Astra Finance, said the region’s potential is immense. He cited the example of transporting goods from China via Turkiye, and potentially through Bulgaria and Romania towards Central European countries. Boyadzhiev described problems related to rail freight, stressing the need to modernize infrastructure and its use to increase the region’s competitiveness.

Daniela Boycheva, managing director at CTP Bulgaria, said when countries share common business values, connections can be formed to the benefit of all—for example, one company may be based in one country, have a warehouse in another, and suppliers in a third.

More than 3,500 participants from over 30 countries are attending the five-day Green Transition Forum 5.0 at Sofia Event Centre, which runs until June 20. The forum gathers EU commissioners, ministers, MEPs, Nobel Prize laureates and top executives from global companies to discuss a range of topics including energy security, sustainable finance, digitalization, and innovation in the CEE region. Prime Minister Rosen Zhelyazkov, former Italian prime minister Enrico Letta, and Professor Daron Acemoglu—2024 Nobel laureate in Economics—are among the keynote speakers.