The MPs approved, at first reading, the update of the state budget. As of 1 July a differentiated VAT rate is being put in place – for bread VAT will be zero, for natural gas supplies – 9% instead of the current 20%. VAT on wine and beer served at bars and restaurants will be 20%, up from 9%, a reduction that was introduced during the pandemic. Pensions are to go up as well.
The budget is calculated at an economic growth of 2.9% and an annual inflation rate of 11.9%, even though, according to the National Statistical Institute, annual inflation now stands at over 15%.
The most heated debates in plenary were over the increase in the debt limit to EUR 5.1 billion. Deputy Prime Minister and Minister of Finance Assen Vassilev gave as the reason for this the need to revolve old government debts.
The financial situation in the country is critical, Finance Minister Temenuzhka Petkova says. Which means that the good news – the slowing inflation rate (on an annual basis) and Bulgaria’s full accession to the Schengen area at the beginning of the..
Moody's Ratings has affirmed Bulgaria's long-term and short-term rating at Baa1 with a stable outlook. The affirmation of Bulgaria's Baa1 rating reflects the rating agency's expectations that Bulgaria's debt and creditworthiness indicators will remain..
On January 27th, government securities for 150 million euros (300 million leva) will be offered on the domestic market , the Bulgarian National Bank (BNB) announced. The bonds will have a maturity of 7 years and an annual interest rate of 3.25%. On..
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