site.btaBulgaria's Accession to Euro Area Remains Top Priority, Finance Minister Petkova Says at Meeting with EU Commissioner Zaharieva

Bulgaria's accession to the euro area remains a top priority and we continue to work hard for it, said Finance Minister Temenuzhka Petkova during her meeting on Friday with European Commissioner for Start-ups, Research and Innovation Ekaterina Zaharieva, who is visiting Sofia.

Petkova said that the government withdrew the 2025 budget prepared by the caretaker government and will present a new draft budget by mid-February. "Our commitment is that it should have a deficit of up to 3% of GDP, as stipulated by the Public Finance Act and required by the Maastricht criteria", Petkova noted, adding that the Ministry of Finance is analyzing revenues and expenditures and developing measures to narrow the currently emerging BGN 18 billion deficit.

Minister Petkova said that by the end of February Bulgaria will also present its National Medium-Term Fiscal and Structural Plan to the European Commission (EC). The document presents the policy vision for the sustainability of public finances and key reforms and investments until 2028.

"The EC welcomes with enthusiasm the formation of a regular government in Bulgaria and assesses the country's progress on its path towards the euro area", Commissioner Zaharieva said. 

At the meeting, Petkova and Zaharieva also discussed issues related to the economic challenges facing the European Union (EU), as well as those in the field of security. They discussed opportunities for improving the business environment and competitiveness.

Commissioner Zaharieva said that investments in innovation and start-ups are a prerequisite for high added value and achieving economic growth both in the country and in Europe, adding that they will be the focus of the European Commission in the coming years. She explained that work is underway on proposals to reduce the administrative burden for businesses, including in the area of high-risk technology innovative companies. "To unlock the potential for investment, we need to reduce the cost of risk", Zaharieva stressed.

The Commissioner said that the average level of EU public and private investment in innovation is at a good level. She called for more activity of Bulgarian universities and scientific organizations to apply for the Horizon Europe programme.