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North-Western Region Profile

   Area and geography: an area of 10 288 sq. km (9.3% of the country's total area), the smallest of the 6 regions in Bulgaria. As its name implies, the region is situated in northwestern Bulgaria. The Iskar river bounds the region to the east, the Timok river to the west, the Danube river to the north, and the Balkan mountain range to the south. The northern border is a natural one. It coincides with the state frontier with Romania. The biggest Bulgarian ports are at Lom, Vidin, Kozlodui, and Oriahovo. The trade routes to Central and Eastern Europe pass thorough Vidin and Oriahovo. The main border crossings are at Oriahovo (Romania) and Vrashka Chuka (Serbia and Montenegro). Many settlements in the eastern part of the region are strongly influenced by the town of Pleven in neighbouring North-central region. The region is broken down into 3 sub-regions, which have a total of 32 municipalities and 395 settlements between them. The main centres are Vratsa, with a population of 74 000 people, followed by Vidin and Montana.

   Climate: The climate is moderate, except in the region's southern parts which are mountainous. The average July temperature reaches 20°C and the average January temperature - 0°C, the temperature declining from north to south. The average annual rainfall amounts to 600 mm. In the winter northeasterly winds prevail, which blow the snow cover off the crops.

   History: In ancient times Thracian tribes inhabited this region. Following the Roman conquest, many important military and trade centres such as Bononia, Raciaria, Montanezium were established. After medieval Bulgaria was divided in 1375, this area was part of a separate autonomous Bulgarian state called Vidin kingdom. This state lasted until 1396. Under Ottoman rule many important trade routes to Serbia and Austria crossed this territory both on the Danube River and by land.

   Population: The Northwest region has the smallest population – only 6% of the country’s population or 555,368 inhabitants in 2006. The population density is also the lowest – 49.2 persons per sq. km as against country’s average at 70.7 persons per sq. km. Population growth rate is negative, with the least optimal age group and a marked emigration trend of young population and attendant depopulation. The lowest relative share of economically active population – only 6% of the nation’s total.

   Employment rate: The employment rate in 2002 is below the average for the country with 38.0%.

   Unemployment rate: The unemployment rate, equal to 16.9% in 2002, is at the national average of 16.8%, but is not one of the lowest figures in the country, as the unemployment rate is higher in the North-West, North-East and South Central regions. Both female and male unemployment are higher than the national average. Several programs are running in this region aimed at retraining the unemployed population and finding them a job. The main obstacles hindering the latter objectives are the low education level of the unemployed and the lack of new job opportunities.

   Distribution of employment: The services sector is the largest employer, with 40% of the active population working in this area in 2000, although this is below the national average. Industry employs 33% of the active population which is the highest share in this sector amongst the Bulgarian regions. The main factor behind this is the high employment level in the food and textile industries. Persons employed in agriculture account for 27% of the regional total, which is very slightly above the national average.

   Industry: Within the region itself industry is the leading sector. The overall industrial output accounts for 5.2% at a national level. The following branches of industry are present there: power-generation, food industry, machinery and equipment, construction materials, sewing, apparel making and textiles, plastics, food-processing, drinks and agriculture.

   GDP: The Northwest Region contributes around 6.6% of the nation’s aggregate added value. The region’s per-capita GDP is 11% lower that the nation’s average. In 2003 the private sector’s share of the overall market turnover was 41%. The Northwest Region’s share of the net revenue from sales of enterprises at a national level is 2.5%

   Development of the regional economy: Bulgaria's only nuclear power plant, Kozlodui, is sited here, supplying some two fifths of the country's total electricity production. It has been the catalyst of development in a region which is highly peripheral to the main centres of economic activity. An important prerequisite for future economic development is the regional stability around the border areas at Vidin, Oriahovo and Vrashka Chuka. A second important regional advantage lies in its fertile soils and good climate, which favour the development of ecological agriculture, tourism, and other economic activities. The region's specialisation in agricultural production confirms the existence of copious natural resources. Furthermore, its high industrial capacity and skilled labour force are also among the region's positive aspects. The greatest potential is in the energy sector and in the chemical and food industry. The quality and quantity of ores and minerals in the region do not allow for the development of mining.

   Infrastructure and urban development: The poor condition of municipal roads impairs the transport services received by the local population and the transiting tourists. Port infrastructure is old and worn out. The telephone network density in the Northwest Region is good. However, the operational communication lines are insufficient which necessitates modernization and extension. Water pipeline ducts and adjoining equipment are old and worn out. The region is significantly underdeveloped in terms of completion of drainage systems in settlements and waste-water purification plants.

   Environment: The problem of environmental pollution is particularly serious in the frontier and mountainous areas of the region. A shortage of water and the lack of protection for forested zones are also among the region's weaknesses. Environment conservation is underdeveloped and the existing facilities are old and obsolete. With only a limited amount of water at its disposal, the hydroelectric potential is estimated to be small in proportion to the size of the region. In addition, the only hydroelectric power plants, Petrohan and Gorni Lom, are situated in the Balkan Mountain. Thus, the hydroelectric power is not used optimally. The Iskar, Archar, Lom, and Danube rivers are used predominantly for irrigation and industrial purposes. The water supply to the population comes from the artificial lake Ogosta. To a large extent, this helped to solve the problem of the shortage of drinking water. The thermal mineral springs at Varshets are also an important part of the region's water resources.

   Protected territories and landmarks: The houses in the region, the unique biosphere reserve of Chuprene, the gorgeous Belogradchik Rocks, the rock formations at Borov kamak and Chuturite, and lots of magnificent caves (Magura, Venetsa) are just a few of the landmarks which are worth seeing in this region. Remnants of Medieval fortresses and ancient castles are also some of the tourist attractions.

The volume of foreign investment remains small in the North-West region. However, the North-West region has the potential to grow into an international transport junction with highly developed infrastructure, competitive economy, and sustained balanced development. At present, the region does not have the requisite financial and human potential to effect product and technological renovation. The existing natural resources are conducive for the development of environment-friendly agriculture and alternative tourism (rural, ecological, and spa tourism).
One of the major competitiveness factors for the region is its geographical location that can be used to develop economic sectors to serve international transport (road, railroad and river shipping). The peripheral location of the region may be turned into a competitive advantage through implementing an economic zone and constructing inter-regional and trans-border cooperation networks with other regions and neighbouring countries. The implementation of economic zones in Vidin and Vratza would provide the momentum for economic recovery and employment generation for the region.

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