The outsourcing market in Bulgaria is currently estimated at EUR 100 M to EUR 150 M a year, but has the potential to go up over 10 times, according to Economy and Energy Minister, Traicho Traikov.
Traikov spoke Thursday during a conference titled "Bulgaria on the World Outsourcing and Offshore Map," at the Sheraton hotel in downtown Sofia. The event was organized by the American Chamber of Commerce in Bulgaria, the Bulgarian Investment Agency and Colliers International, gathering over 300 politicians, experts, local and international businessmen.
"Outsourcing is literally export of production; the concept of taking internal functions of a company and giving them for execution to an external company. Offshore is the moving of production and services to countries with lower labor cost and/or better investment and tax climate, Traikov explained.
The Minister announced Bulgaria ranks 1st in Europe and 13th in the world by outsourcing, citing a March research of the international research agency "ATKearney."
Traikov pointed out as main factors the country's location, qualified work force, quality education and low taxes, adding encouraging the outsourcing market is key for attracting foreign investors.
The Minister gave as example his own institution studying opportunities to give the activities related to the management of the "Competitiveness" operational program to an outside business.
"Every time I notice someone not doing their work, I tell them we will pay someone else to do it, and it is always effective," Traikov joked.