Raphael Oni
The European Commission and European Central Bank have given Bulgaria the green light to adopt the euro currency starting January 1, 2026. This milestone makes Bulgaria the 21st country to join the eurozone.
Bulgaria meets the necessary economic criteria, including inflation stabilization, low debt-to-GDP ratio, and manageable budget deficit. Adopting the euro will lower borrowing costs, attract foreign investment, and facilitate cross-border trade. Bulgaria will also gain a seat on the European Central Bank’s rate-setting Governing Council.
The EU leaders will endorse the decision in June. EU finance ministers will set the conversion exchange rate for the Bulgarian lev into the euro in July. The country will technically prepare for the transition over the rest of the year.
Some Bulgarians have expressed concerns about potential price increases due to the currency switch. EU Economic Commissioner Valdis Dombrovskis emphasized the importance of ensuring price transparency and combating abusive price hikes, citing minimal price increases in previous eurozone expansions.
With this approval, Bulgaria is set to join the eurozone, leaving only six EU countries outside the single currency area: Sweden, Poland, Czech Republic, Hungary, Romania, and Denmark. None of these countries have immediate plans to adopt the euro due to political or economic reasons.
