Alpha Research: 46.5% of Bulgarian public, 66% of businesses favour country joining euro

A total of 46.5 per cent of the Bulgarian public are in favour of the country joining the euro, 46.8 per cent are against and 6.7 per cent are undecided, according to polling by the Alpha Research agency, commissioned by the Finance Ministry, the results of which were released on June 12.

Sixty-six per cent of businesses are in favour of the country joining the euro, the polling found.

As The Sofia Globe reported at the time, the European Commission and European Central Bank convergence reports published on June 4 concluded that Bulgaria meets the criteria and is ready to adopt the euro on January 1 2026. Decisions by the relevant European institutions on admitting Bulgaria to the euro zone are expected in July.

Boryana Dimitrova of Alpha Research told a joint briefing with Finance Minister Temenuzhka Petkova that in three years, approval of the euro among the Bulgarian public had grown, in contrast to a 2022 poll by the agency that had found that 32.8 per cent were in favour and 50.4 per cent against.

Petkova said: “One thing is indisputably clear from both surveys – in the long term, the majority of Bulgarian society categorically states that the benefits of Bulgaria in the euro zone are very clear and categorical”.

“The other main theme that becomes clear from the surveys is that society needs additional information regarding the adoption of the euro in Bulgaria ,” Petkova said.

She said that the government is working purposefully to provide Bulgarian citizens with the necessary objective information. in order to dispel all concerns and tell the truth about the benefits of the introduction of the euro, so that citizens do not succumb to manipulation and false information.

Alpha Research said that the proposal for a referendum on the euro and the organised protest actions had not significantly influenced the overall attitude towards the euro zone. However, they have catalyzed certain concerns and fears – purely economic, but also concerns arising from poor information or manipulative statements on social networks.

Alpha Research’s polling found that, regarding the expected effects, in the short term, about 35 per cent of people have rather positive expectations, and 55 per cent are negative.

Among businesses, close to two thirds have postive expectations about the short-term impact.

Among the public, 48 per cent have positive expections about the long-term impact and 39 per cent are negative, while among businesses, 60 per cent have positive expectations.

The most expected positive effects are convenience of travelling and paying abroad – 61 per cent; there will be no currency exchange losses – 44 per cent; facilitated trade with other European countries – 34 per cent; and transaction costs will decrease and investment interest will increase.

Short-term expected negative effects are an increase in commodity prices – 65.5 per cent, and an increase in inflation and artificial increase in prices by dishonest traders – 56 per cent.

Frank misconceptions found by the polling are that salaries and pensions will be halved and prices will double, and that the rate at which currency will be exchanged will change.

Among businesses, 43 per cent believe that labour costs will increase.

The social groups most supportive of Bulgaria joining the euro zone are the younger and middle-aged.

Fears are concentrated among lonely elderly people, as well as among people with disabilities.

Middle-aged people with high school education, active users of social networks, express their fears most often. People who pay most often in cash experience the greatest concerns.

Business is very positive, but microbusinesses are more concerned – because of their more limited transaction options and lack of relationships with European partners, and they are worried about the purchasing power of their customers.

Fifty-one per cent of those polled have used the single euro currency in the last year – for direct cash payments, bank transactions or online payments.

A total of 51.6 per cent prefer to make transactions in euro.

About 44.7 per cent have no concerns about using the single currency , 28 per cent have some concerns but think they will cope, 23-24 per cent say they have serious concerns about how they will navigate – people from small towns who work mainly with cash.

Sixty-nine per cent per cent plan to exchange leva for euro through bank branches, with central Bulgarian National Bank gaining the most trust. Exchange offices are more preferred compared to post offices.

Sixty-seven per cent of businesses have used the euro currency and have no concerns.

A third of those polled consider themselves very well informed about the euro, and 60 per cent say they need serious additional information.

The business community, for the most part, considers itself very well informed, but in a number of areas it believes it needs additional information.

Seventy-four per cent say they do not know until when it will be possible to exchange levs for euro.

Seven out of 10 people do not know until when it will be possible to pay in both currencies.

Sixty-nine per cent do not know when and until when prices in stores will be announced in leva and euro.

The most frequently asked questions are: How will loans and leases be converted, what will be the interest rates, whether there will be exchange fees?

Fifty-nine per cent of business representatives do not know what tax returns will be like after the introduction of the euro, the polling found.

Petkova told the briefing: “Bulgarians can rest assured with their savings, not a single lev will be lost, but will be converted at the fixed rate.

“We plan to hold over 100 events throughout the country by the end of the year – meetings with citizens, local businesses and the administrations of specific settlements,” she said.

Petkova said that instructions had been sent to all municipalities and district governors, and accounting instructions for businesses had been published on the Ministry of Finance website – for annual financial statements and working with cash registers.

“Information systems must be fully adapted by the end of September ,” Petkova said.

During the period April 8-16 and May 22-28, the Alpha Research agency conducted two nationally representative surveys of public attitudes among citizens and businesses regarding the introduction of the euro in Bulgaria. The client was the Ministry of Finance. A total of1200 citizens over 16 years of age were surveyed at their homes through a direct standardized interview with tablets in April and May. Separately, 500 owners or representatives at the management level of businesses, responsible for making decisions for the development of the company, were surveyed.

(Photo: Bericht, via Wikimedia Commons)