Bulgaria: Privatization, Risk and Reality

Bulgaria is one of the Eastern European countries attempting to convert from a Central Planned Economy to a free market capitalistic one. Numerous problems have arisen that have prevented this transition from being completed. These problems parallel many of those faced by other nations attempting this transition. This article investigates Bulgaria's attempt to privatise its commercial and industrial enterprises. The key problems concerning investment and risk are identified. Potential solutions are offered that may allow Bulgaria to accomplish its goal of moving towards capitalism and prosperity.