Bulgaria and the euro: Household deposits in banks increase

Deposits in Bulgarian banks by households and non-profit institutions serving households at the end of July 2025 added up to 94.3 billion leva, an increase of 12.2 per cent compared with July 2024, central Bulgarian National Bank (BNB) said in a regular monthly report.

This followed 11.2 per cent annual growth in such deposits in June 2025, according to BNB.

Bulgarian banks have reported significant increases in deposits as a recent trend as the country is set to use the euro as of January 1 2026. The European Union’s finance ministers approved on July 8 the final steps that will see Bulgaria use the euro as its currency from the beginning of next year.

BNB’s August 25 report said that at the end of July 2025, deposits of the non-government sector increased by 10.8 per cent on an annual basis, following 10 per cent annual growth in June 2025.

Deposits of non-financial corporations were 7.8 per cent up in July 2025 compared with July 2024, after an annual increase of 6.1 per cent in June 2025.

Deposits of financial corporations increased by 14.1 per cent annually in July 2025 , following annual growth of 30.5 per cent in June 2025.

In May 2025, ahead of the official decision by the relevant European institutions approving Bulgaria’s euro accession, the Association of Banks in Bulgaria appealed to the public to put their unbanked cash – estimated at the time to add up to several billion leva – into banks ahead of the country joining the euro.

In accordance with the law, the conversion of bank accounts from leva to euro will be carried out on the day of the introduction of the euro, January 1 2026.

All funds in leva in current, deposit, savings and other accounts in local banks will be converted into euro free of charge on the day of the introduction of the euro, at the official exchange rate (BGN 1.95583 to EUR 1). No currency conversion fees will be charged.

All accounts will retain their International Bank Account Number (IBAN).

In accordance with the principle of continuity, the introduction of the euro will not affect the validity and effect of existing agreements with customers (for loans, accounts, deposits and other banking products and services) that contain references to the lev, and no signing of new agreements will be required.

Major Bulgarian banks are offering to customers to deposit funds in cash free of charge up to September 30 2025. This may be done at cash desks of the bank or at ATMs capable of accepting deposits, with a limit of 4000 leva a day for the latter method of deposits.

Earlier in August, Bulgarian Posts said that it is training more than 3000 employees to work with the euro and to handle the exchange of leva into euro at post offices.

From January 1, Bulgarian Posts will exchange leva for euro in more than 2200 post offices in small settlements where there are no banks offering this service.

An individual will be able to exchange up to 1000 leva at the post office. For a sum between 1000 and 10 000 leva, the individual will have to make an advance request and wait for up to three working days. The service will be free until the end of June 2026.

For reliable official information on Bulgaria’s transition to the euro, the Association of Banks in Bulgaria has a Q and A, in English.

The official evroto.bg website has an English-language version, while the European Commission made available on July 8 a Q and A on Bulgaria’s changeover to the euro.

(Image via the website of Bulgarian National Bank)