SOFIA – In his inaugural address to parliament, the newly appointed Bulgarian Prime Minister Rosen Zhelyazkov emphasized that his cabinet’s primary goal is to enhance the quality of life for citizens, prioritizing education, healthcare, and labor market development. Zhelyazkov also highlighted the importance of successfully pursuing Bulgaria’s entry into the eurozone, coordinating efforts to enhance European integration with the Western Balkans, and bolstering national and energy security through modernization of the Bulgarian military and improved defense capabilities.
Upon taking office, Finance Minister Temenuzhka Petkova affirmed the government’s commitment to restoring stable public finances, as reported by the Ministry of Finance. During the transition of power, outgoing Deputy Prime Minister and Finance Minister Lyudmila Petkova indicated that the budget for 2024 had been finalized with a deficit of 3%, meeting one of the essential criteria for eurozone membership. “Concerning the price stability criterion, we anticipate the official inflation data to allow us to submit a request for extraordinary convergence reports to the European Commission (EC) and the European Central Bank (ECB). It would be beneficial for the request to be submitted by the end of January. These are the discussions we are having with the EC and ECB, which are expecting this from us,” stated Lyudmila Petkova.
Acting Prime Minister Dimitar Glavchev expressed optimism that Bulgaria will soon be recognized as having met the final criterion for eurozone entry—price stability—during the power transfer ceremony at the Council of Ministers. He noted that assurances given in the summer of 2024 indicate that Bulgaria’s accession to the eurozone could be finalized by year-end.
While Bulgaria is not yet fully compliant with the price stability criterion for eurozone membership, it is on the verge of meeting the inflation requirement, according to an analysis from the “United Bulgarian Bank” (UBB). Dr. Emil Kalchev, the bank’s chief economist, analyzed inflation data through November and suggested that Bulgaria could satisfy the price stability criterion by early this year.
The legislative framework for adopting the euro in Bulgaria was completed in August of last year. The specific date for introducing the euro and the official exchange rate between the lev and the euro will be determined by a unanimous decision from both Bulgaria and the eurozone countries during a meeting of the European Union Council scheduled for January 16-17.
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