The leading 500 companies from the information technology and communications sector (ITC) in Bulgaria are forecast to generate about 12 per cent of the country's gross domestic product (GDP) in 2004 by the analytical agency CBN - Pannoff, Stoychev & Co.
This increase reflects a doubling of ITC's importance to domestic GDP since 1995, when the sector generated less than six per cent of GDP, according to CBN's data.
Although 2003 was considered by CBN to be the most successful year for Bulgaria in the information technologies sector, the prospects for 2004 look far better. Last year, the country registered a growth rate of 29 per cent for imported software and 40 per cent in hardware imports. Bulgaria's IT market ranks in the Top 3 in South-Eastern Europe.
The total size of the domestic IT market is estimated at $250 million, with over 100 000 computers being sold here in 2003.
Information technologies and communications are showing increasing share in the GDP growth of every modern economy, according to a recent report by the European Commission.
The newest forecast for EU GDP growth in 2004 is 1.8 per cent, while the ITC sector is expected to grow at 3.2 per cent.
The total world ITC market has reached 2.235 trillion euro in 2003, of which the US accounts for 32 per cent, followed by Western Europe with around 30 per cent.
Meanwhile, the BBC broadcast a report on Monday, saying that Denmark is the best place in the world for starting an e-commerce business with its Nordic neighbours not far behind. The ranking was based on a report by the Economist Intelligence Unit (EIU).
The report has pointed to increasing global demand for mobile phones and faster internet connections, as well as cheaper and easier-to-use products and software. The EIU considers that improvements in the speed and ease of using IT is making it easier for companies to use the Internet for commercial purposes.
To speed things up even further, firms need to cooperate with local governments, the ITC industry and other businesses, the EIU said. This has already happened in Nordic countries, helping push four of the region's states into the top five places in the e-readiness rankings. What sets these countries apart, according to the EIU, "is the extent to which the Internet has reshaped business transactions," something which is still in its initial phase in Bulgaria. Another boost was "the eagerness with which citizens have incorporated Internet usage into their daily routines and the extent to which governments have driven developments."
While the EIU, singled out Singapore as a world leader in offering broadband Internet connections, and highlighted the close links between the government and industry, the report also identified Mexico and Romania, respectively ranked 39th and 50th, as two countries where "proactive governments and smart businesses can use the Internet to improve services and create new opportunities".
They also point out that India, South Africa and Bulgaria which have managed to develop "niche" industries based on software production and outsourcing services.
- Business Staff
This increase reflects a doubling of ITC's importance to domestic GDP since 1995, when the sector generated less than six per cent of GDP, according to CBN's data.
Although 2003 was considered by CBN to be the most successful year for Bulgaria in the information technologies sector, the prospects for 2004 look far better. Last year, the country registered a growth rate of 29 per cent for imported software and 40 per cent in hardware imports. Bulgaria's IT market ranks in the Top 3 in South-Eastern Europe.
The total size of the domestic IT market is estimated at $250 million, with over 100 000 computers being sold here in 2003.
Information technologies and communications are showing increasing share in the GDP growth of every modern economy, according to a recent report by the European Commission.
The newest forecast for EU GDP growth in 2004 is 1.8 per cent, while the ITC sector is expected to grow at 3.2 per cent.
The total world ITC market has reached 2.235 trillion euro in 2003, of which the US accounts for 32 per cent, followed by Western Europe with around 30 per cent.
Meanwhile, the BBC broadcast a report on Monday, saying that Denmark is the best place in the world for starting an e-commerce business with its Nordic neighbours not far behind. The ranking was based on a report by the Economist Intelligence Unit (EIU).
The report has pointed to increasing global demand for mobile phones and faster internet connections, as well as cheaper and easier-to-use products and software. The EIU considers that improvements in the speed and ease of using IT is making it easier for companies to use the Internet for commercial purposes.
To speed things up even further, firms need to cooperate with local governments, the ITC industry and other businesses, the EIU said. This has already happened in Nordic countries, helping push four of the region's states into the top five places in the e-readiness rankings. What sets these countries apart, according to the EIU, "is the extent to which the Internet has reshaped business transactions," something which is still in its initial phase in Bulgaria. Another boost was "the eagerness with which citizens have incorporated Internet usage into their daily routines and the extent to which governments have driven developments."
While the EIU, singled out Singapore as a world leader in offering broadband Internet connections, and highlighted the close links between the government and industry, the report also identified Mexico and Romania, respectively ranked 39th and 50th, as two countries where "proactive governments and smart businesses can use the Internet to improve services and create new opportunities".
They also point out that India, South Africa and Bulgaria which have managed to develop "niche" industries based on software production and outsourcing services.
- Business Staff
