The Bulgarian government announced the withdrawal of the budget project for 2026, as well as the budgets for the State Social Insurance (SSI) and the National Health Insurance Fund (NHIF), in response to massive protests across the country. These demonstrations, some of the largest in recent decades, were triggered by dissatisfaction with the increase in taxes and social insurance contributions for the private sector, while funding for the public sector was increased.
Tens of thousands of people took to the streets in Sofia and other major cities, demanding the resignation of the government. Critics of the budget project highlighted corruption in the management of public finances, arguing that the proposed measures could worsen the situation. The government will initiate a new budget procedure, and the Minister of Finance, Temenuzhka Petkova, has scheduled discussions with unions and employers to adjust the budget. This budget will be the first calculated in euros, coinciding with Bulgaria's entry into the eurozone on January 1.
Sources