Eurozone

The Ministry of Finance has made public the draft Law concerning the implementation of the euro in the Republic of Bulgaria, inviting public discourse. The objective of this initiative is to facilitate the seamless integration of the euro into Bulgaria and enhance transparency and understanding regarding the adoption process of the unified European currency within the nation.

In a proactive move towards preparing Bulgarian citizens and businesses for the adoption of the euro, the Ministry of Finance has unveiled a comprehensive information website dedicated to the impending transition. Еврото.бг, the newly launched platform, aims to furnish users with reliable and timely updates on all facets of Bulgaria's integration into the Eurozone.

So how are we doing?

Greek banks estimate that interest rates will remain high, namely between 2.7% and 3% in 2024-2026, keeping interest income at high levels for the following years as well.

Interest income increased by 51% to 8.1 billion euros in 2023, contributing the bulk of organic revenue of €10.4 billion.

Prime Minister Kyriakos Mitsotakis has proposed issuing Eurobonds to finance the EU's defense, an idea which seems to be shared by the South but not by the North. 

Bulgaria's strides towards adopting the euro have garnered recognition and praise from the eurozone countries. A statement issued at the recent summit of eurozone nations commended Bulgaria's efforts on the path to euro adoption and urged continued commitment until all convergence criteria are met.

Greece will this year complete the sale of its outstanding stakes in five banks bailed out during last decade's debt crisis and raise record revenues from state asset sales, its finance minister told Reuters.

Data released by Eurostat reveals a notable deceleration in wage growth across the European Union (EU) and the eurozone during the final quarter of 2023. While the average hourly wage in the EU increased by 3.8%, representing a marked slowdown from the previous quarter, Bulgaria saw a notable rise of 11.9%, according to the latest figures.

Jean-Francois Dauphin, the head of the International Monetary Fund (IMF) mission in Bulgaria, has expressed confidence that Bulgaria's accession to the Eurozone by 2025 is a realistic goal. The IMF's assessment comes as part of its regular evaluation of Bulgaria's economic performance, which forecasts a 2.7 percent growth rate for the country's economy this year.

Bulgaria is on track to meet the inflation benchmark required for Eurozone membership by September, according to Finance Minister Asen Vassilev. Speaking at a conference focused on the currency union, Vassilev expressed confidence in Bulgaria's ability to fulfill the necessary criteria within the specified timeframe.