Bulgaria Set to Adopt Euro as 21st Eurozone Member

Deep News
02/10

Bulgaria will officially join the eurozone on January 1, 2026, becoming its 21st member state. The Bulgarian government has announced a dual currency transition period from January 1 to January 31, 2026, during which both the lev and the euro will hold legal tender status. Starting February 1, 2026, the euro will become the sole legal currency in Bulgaria.

Since joining the European Union in 2007, Bulgaria has prioritized eurozone accession as a key governmental objective. Following sustained adjustments, the country met the EU's convergence criteria in 2025 across areas including public finances, inflation rates, exchange rates, and legal frameworks. Bulgaria's entry into the eurozone presents both challenges and opportunities. On one hand, it may face increased difficulties in coordinating macroeconomic policies in the short term and potential price fluctuations during the currency transition. On the other hand, it is expected to facilitate trade and investment, improve financing convenience, create a more stable external economic environment, and foster deeper integration into European industrial and value chains. Additionally, membership will enable Bulgaria to access liquidity support from the European Central Bank during future economic or fiscal difficulties, thereby enhancing its external debt repayment capacity to some extent.

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