Fifty-five per cent of employers in Bulgaria said that a decrease of tax and social security burden in 2008 would allow an increase in the salaries.

Some 37 per cent of the employers interviewed, said that the decrease would also decrease the grey economy, Bulgarian Industrial Association (BIA) research showed.

Twenty-six per cent planned to invest the money saved from taxes in production.

According to 73 per cent of the employers, 2007 was a successful year, while only 10 per cent said that the year was bad.

Less than 50 per cent of the Bulgarian business said that the country’s EU accession had a positive impact, but 15 per cent were convinced that the accession was a negative factor.

In 2007, 42 per cent of companies invested in equipment modernisation, 26 per cent invested in buildings and 22 per cent in environment, quality and human resources management systems.

Production energy efficiency, environment, health and labour safety and hygiene requirements feature among the main investment problems for businesses in Bulgaria. Interviewed said they would count mainly on EU funds for the resolution of these problems.

Fifty-eight per cent of companies were ready to apply for EU funding, while 24 per cent were having second thoughts. From those who would apply for funding, 45 per cent said they would need consultancy to prepare the application documents, while 22 per cent expected they did not have the required amount of co-funding.