EC, ECB convergence reports say Bulgaria ready to join euro area on January 1 2026
The European Commission (EC) and European Central Bank (ECB) convergence reports published on June 4 concluded that Bulgaria meets the criteria and is ready to adopt the euro on January 1 2026.
The Commission said that its report, prepared at the request of the Bulgarian authorities, “marks a critical and historic step on Bulgaria’s journey towards euro adoption.”
Both convergence reports found that the country meets the four nominal convergence criteria, which are meant to ensure that a country is ready to adopt the euro and that its economy is sufficiently prepared to do so, as well implementing certain legislative requirements into its national laws.
The convergence criteria are price stability, as measured by harmonised consumer price inflation; public finances, as measured by government deficit and debt; durability of convergence, as measured by long-term interest rates; and exchange rate stability, through participation in the Exchange Rate Mechanism (ERM2).
Bulgaria has met three of the criteria for years, with the sole obstacle being high inflation. This is no longer the case, as the ECB report noted that the 12-month average harmonised consumer price inflation in April was 2.7 per cent, just below the reference value of 2.8 per cent for the criterion on price stability.
“The euro is a tangible symbol of European strength and unity. Today, Bulgaria is one step closer to its adoption as currency,” European Commission president Ursula von der Leyen said in a statement.
“Thanks to the euro, Bulgaria’s economy will become stronger, with more trade with euro area partners, foreign direct investment, access to finance, quality jobs and real incomes. And Bulgaria will take its rightful place in shaping the decisions at the heart of the euro area,” von der Leyen said.
As a result of this assessment, the Commission said that it has adopted proposals for a Council Decision and a Council Regulation on euro introduction in Bulgaria on January 1 2026.
The Council of the EU is expected to take the final decision in the first half of July, following consultations with the European Parliament and the Eurogroup of current members of the euro area.
Reactions within Bulgaria’s political establishment to the convergence reports announcement fell firmly along the battle lines drawn in recent months, but both supporters and opponents showed a clear lack of surprise with the findings of the EC and ECB reports.
Prime Minister Rossen Zhelyazkov described the reports as “another step forward on Bulgaria’s path to the euro,” but acknowledged that more work remained to be done. “This follows years of reforms, commitment, and alignment with our European partners,” he wrote in a post on X, formerly Twitter.
Former prime minister Boiko Borissov, leader of the GERB party, part of the government coalition and a long-time supporter of euro zone accession, said that the recent tension prompted by the debate on the introduction of the euro was a familiar one. “There has always been this problem in Bulgaria, when it joined the EU and Nato, when it geostrategically does away with dependencies,” he said.
The sentiment was echoed by Slavi Trifonov, leader of the ITN party that is part of the government coalition, which backs the introduction of the euro, but also has supported the idea of a referendum on it.
“Bulgaria is where it belongs, despite the fearmongering of some people and outright foolish speculation of certain parties. I remember similar ridiculous debates when the currency board was introduced, or before the re-denomination of the lev (in 1999) and they all proved completely pointless. This will be another such instance. Bulgaria will be better off and Bulgarians will live better,” he wrote in a post on Facebook.
Assen Vassilev, former finance minister and co-leader of the We Continue the Change party, said that euro accession would make Bulgaria “institutionally equal to other European nations.” He dismissed criticism that not enough has been done to dispel fears, saying that a lot of work has been done behind the scenes to prepare Bulgaria for introducing the euro.
Pro-Russian Vuzrazhdane, which has made opposition to the introduction of euro one of the cornerstones of its programme, held a protest outside Parliament on June 4 and vowed to continue opposing the euro. Its leader Kostadin Kostadinov said: “We will blow the euro zone from the inside,” calling for a boycott of all euro-denominated prices.
A notable voice absent among the politicians reacting to the announcement in Bulgaria was that of President Roumen Radev, who has recently made efforts – so far unsuccessful – to call a referendum on the timing of Bulgaria’s euro zone accession.
Reactions in European institutions were generally welcoming of the convergence reports’ findings.
Valdis Dombrovskis, European economy commissioner, said: “The euro will bring tangible benefits for Bulgarian citizens and businesses: stable prices, lower transaction costs, protected savings, more investment, and increased trade.”
“Of course, the euro is more than a currency. Following on from Bulgaria becoming a full member of the Schengen Area earlier this year, it brings Bulgaria ever closer to the heart of Europe.”
Ireland’s finance minister Paschal Donohoe, the president of the Eurogroup of euro zone member countries, said in a statetement: “The Eurogroup has consistently supported Bulgaria’s ambition to join the euro area and will continue to work closely with the Bulgarian government on the next steps of the accession process.”
“This development reflects the enduring stability and attractiveness of our common currency. I very much look forward to welcoming Bulgaria to the euro area family next year.”
European Parliament President Roberta Metsola described the findings of the convergence reports as “another big step forward for the people of Bulgaria and Europe” in a post on X, formerly Twitter.
(Photo: Steve Ford/sxc.hu)
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