Bulgaria's rating is upgraded from B to A4, in a 2017 forecast of Coface the global trade credit insurer.

Bulgaria is one of six European countries whose assessment has been upgraded in the quarterly update to its assessment of 160 countries.

The recovery "is confirmed thanks to moderate growth and the continued consolidation of the banking sector there."

Coface also notes that "in Central Europe, Estonia, Bulgaria, Serbia and Hungary are continuing to see their risk assessments improving."

This is the first time since June 2015 that Coface has upgraded more assessments than downgraded.

For Bulgaria, however, the upward trend in the assessment does not eliminate high risks in politics and intercompany indebtedness.

The new assessment shows the country "becomes ever more stable" in terms of its business environment.

As many as 52 000 of some 400 000 companies in Bulgaria run the risk of not being able to carry out payments, Coface estimates.