From the seven million population of Bulgaria, three million people were working in 2006, Institute for Market Economics chairperson Svetla Kostadinova said.

Kostadinova took part in a discussion on overcoming new administrative barriers before businesses, part of Maritza International forum.

The number of working people was hard to determine and the figure was based on an estimate, Kostadinova said as quoted by investor.bg.

State administration has to encourage people in establishing new businesses. Administrative barriers should be taken down to a minimum, Kosatdinova said.

State Administration Minister Nikolai Vassilev told conference participants that administration and tax rules have already been reduced. Profit taxes decreased to 10 per cent and income taxes to 24 per cent.

Vassilev said that Bulgaria had become the most attractive European country concerning its tax policy.

Staff reduction in tax administratation is also needed, Vassilev said.