Bulgaria budget deficit projected to reach 5.7% of GDP

Bulgarian Finance Minister Galiub Donev announced that the national budget deficit is projected to reach 5.7% of GDP by the end of the year, up from the current 2.8%. He attributed the increase to the policies of the previous administration and noted that the largest budget payments are concentrated in the final months of the year. Donev also addressed a recent 2.25 billion euro debt acquisition, stating the funds are designated for the Recovery and Resilience Plan and to ensure financial stability.

In addition to fiscal matters, the Minister announced a forthcoming total ban on gambling advertising, which will include the removal of billboards and neon lights to prevent addiction. He also clarified that new restrictions on homemade alcohol are intended to limit its sale in commercial establishments rather than prohibit consumption.

Opposition leader Boyko Borisov criticized the rising national debt, warning that interest payments could exceed 1 billion euros annually by next year. Meanwhile, economist Petar Ganev suggested that with better expenditure management, Bulgaria could reduce the deficit to 3% by next year and exit the excessive deficit procedure.