Sofia and Bucharest Recognized in FT’s Tech Cities of the Future Ranking

In the first edition of the Tech Cities of the Future 2020/21 ranking, published by fDi Intelligence (Financial Times) and The Next Web, Sofia and Bucharest have made it into the Top 25 cities in Europe for startups, innovation, and investment attractiveness. Among 76 cities evaluated across the continent, Bucharest ranks 7th, while Sofia comes in 20th.

The ranking assesses performance across five pillars: economic potential, innovation and attractiveness, foreign direct investment (FDI) performance, cost-effectiveness, and startup environment. While major cities like London, Paris, and Dublin dominate the top positions, the inclusion of Sofia and Bucharest shows that Southeastern Europe is beginning to gain international recognition as a tech and innovation hub.

Sofia’s strong points include its cost-efficiency and a city-backed digital and innovation strategy, officially presented in 2019 and adopted in 2020. Though the city is placed 17th specifically in FDI strategy, the broader recognition reflects steady growth in tech readiness and global appeal. According to the Sofia Investment Agency, this inclusion is a positive step toward solidifying Sofia’s role as a modern business and technology destination.

The article notes that despite challenges in areas like digital connectivity and skills (as seen in Bulgaria’s lower ranking in the Digital Economy and Society Index), cities like Sofia are showing continuous improvement. With better policy alignment, growing local ecosystems, and improved access to resources, these cities are increasingly relevant to investors and founders looking for high-potential, cost-effective startup destinations.

The report’s broader implication is clear: smaller European capitals with long-term digital strategies can compete globally, especially as businesses search for smart, affordable, and collaborative innovation environments.