Bulgaria sets 2027 poverty line at 443 euros and reforms minimum wage

The Bulgarian government has approved a new poverty line of 443 euros for 2027, representing a 13.4% increase (52.37 euros) compared to 2026. This adjustment is expected to automatically increase various social benefits, including assistance for people with disabilities, families with children, heating subsidies, and social pensions. An additional 93 million euros has been allocated to cover these increased social support costs.

In a separate legislative development, the Bulgarian Parliament's labor commission has approved a new formula for determining the minimum wage. This reform replaces the previous model, which automatically set the minimum wage at 50% of the national average gross salary. The new mechanism will instead balance four socio-economic indicators: cost of living and purchasing power, income levels and structure, general wage growth, and labor productivity. Under this new system, the minimum wage is projected to fall within a corridor between 620.20 and 672.80 euros.