In brief
In Sofia, Bulgaria’s Finance Minister Galab Donev presented the 2027 draft budget, which projects a 3.5 % GDP deficit that is expected to shrink over the next two years and a debt level of 31.4 % of GDP. The package focuses on tightening revenue collection, anti‑tax evasion, and reducing administrative costs, while maintaining wage levels and investments. A competing estimate from a separate source lists the deficit at 3.4 % of GDP, showing a modest disagreement on the exact figure.
In an emergency meeting in Sofia on 12 November 2027, Finance Minister Galab Donev addressed employers and unions, announcing a draft budget for that year that the government says will restore fiscal sustainability while safeguarding income support and investment. The audience, composed of representatives from major business and workers’ associations, was told that the plan includes measures to improve revenue collection, curb tax and social‑security‑contribution evasion, and cut administrative burdens for businesses and citizens.
Donev emphasized that “fiscal consolidation requires efforts from all of us, which is why dialogue with you is of key importance.” He commended the social partners for voicing their positions on the 2027 budget as well as the budgets for the National Health Insurance Fund and the Public Social Security.
The plan projects a cash‑basis deficit of 3.5 % of gross domestic product for 2027, narrowing to 3.1 % in 2028 and to 2.4 % in 2029, according to the medium‑term budget forecast. In contrast, a related estimate from the European Commission’s budgeting body puts the 2027 deficit at 3.4 % of GDP, reflecting a slight variation in the projected shortfall.
Total revenue, grants and donations under the Consolidated Fiscal Programme are expected to range between 35.6 % and 36.1 % of GDP over the 2027‑2029 period, while Consolidated fiscal programme expenditure is forecast to fall from 43.5 % of GDP in 2026 to 39.6 % in 2027, then to 38.9 % in 2028 and 38 % in 2029. The government projects its debt level to reach EUR 44.3 billion, or 31.4 % of GDP, in 2027, with a provision for new borrowing of up to EUR 8.6 billion.
Deferred budget entries show that the minimum monthly wage is projected to stand at EUR 660 in 2027, and the government aims to maintain investment priorities. The plan was framed within the context of the European Union’s Excessive Deficit Procedure, under which Bulgaria is currently under scrutiny to stabilise its public finances.
Donev underscored that the 2027‑2029 budget framework takes into account the recommendations for stabilising public finances in the medium and long term, and that corrective measures can still be implemented in the current year. The Finance Minister also highlighted that the goal is to build a “budget of responsibility” that reflects the government’s determination to address inherited public‑finance conditions and accumulated imbalances, while aligning with sectoral policy objectives.
Opposing viewpoints were not highlighted in the meeting; however, the juxtaposition of the deficit figures from BTA and the European Commission’s estimate suggests a small disagreement on the exact baseline, a point that may shape future negotiations with the European Union and domestic stakeholders.
