site.btaBNB Deputy Governor: Preventing Speculation with Euro Changeover Also Depends on Conscientious Work of Supervisory Authorities

A good information campaign and the conscientious work of the control authorities would prevent speculation and limit attempts to artificially increase prices upon Bulgaria's eurozone membership, said Andrey Gurov, the Bulgarian National Bank's (BNB) deputy governor in charge of the Issue Department, who opened the banking and finance forum "The Future of Money" held on Tuesday at the Inter Expo Centre in Sofia. The event is organized by the Manager magazine.

According to Gurov, the benefits of the country's accession to the Economic and Monetary Union are being countered by targeted suggestions of a sudden rise in prices. He pointed out that these suggestions are unfounded.

"All analyses and studies show that the increase in prices as a result of joining the euro area is insignificant and is due not so much to the economic preconditions but to gaps in the regulatory mechanisms", the BNB's deputy governor explained.

According to Gurov, the inflation-related fears among the Bulgarian society about this country’s accession to the euro area, are countered by benefits from this membership, including reduced transaction costs for Bulgarian businesses and households, lower interest rates on loans, lower costs of servicing the public debt.

Gurov paid attention to the key steps Bulgaria has taken in its development over the last almost 35 years. The country's accession to the European Union and NATO were highlighted as the most significant steps in this process, which, however, is not over.