site.btaBulgaria Records Second Lowest Rate of Government Guarantees in EU in 2022

Bulgaria recorded the second lowest overall rate of government guarantees in the European Union in 2022 with 0.36% of GDP, show Eurostat data published on Wednesday. Only Ireland recorded a lower rate with 0.21% of GDP.

The most common form of contingent liabilities in the EU countries is government guarantees on liabilities, and occasionally, on assets of third parties. In 2020 and 2021, government guarantees provided in the EU increased substantially following the onset of the COVID-19 pandemic. In 2022, the level of government guarantees was further influenced by the ensuing energy crisis, following the Russian aggression against Ukraine.

In 2022, the highest overall rate of government guarantees was recorded in Finland (19.1% of GDP), Italy (16.3%), Germany (15.5%), Austria (15.2%) and France (13.5%). On the lower end of the scale, rates of less than 1% of GDP were recorded also in Czechia and Slovakia.