site.btaGERB-UDF Sceptical of Government's Price Reduction Measures

The GERB-UDF political party will support the legislative amendments proposed by Progressive Bulgaria at first reading at the committee level, aimed at containing growing prices in the country, but remains sceptical of the proposals of the ruling party GERB-UDF MP Vladislav Goranov said before the start of the ad hoc parliamentary budget and finance committee, at which two bills aimed at reducing price pressure in Bulgaria were adopted at first reading on Tuesday.

Goranov added that the party does not agree with the motives behind the bills, according to which the introduction of the euro is the main reason for the acceleration of inflation in the country.

"We disagree with the reasoning that the introduction of the euro is the main inflation booster and we are convinced that in fact the automatic increase in wages and expansionary fiscal policy led to what is happening with prices," Goranov said, adding that the caretaker government did not control these processes within the framework of existing legislation.

According to him, the proposed legal changes stand out with several by-laws, postponing the actual implementation of the laws by 3 to 6 months, which does not correspond to the speed with which the government proposes to act.

Goranov stated that the current legislation also contains sufficient instruments allowing the state to act, including measures proposed by GERB in the past.

"We, the former [GERB-led] government, proposed similar measures. In fact, even now the legislation contains enough tools for the state to act. The state is not the one to set prices, but sometimes, when you give advance signals and create high expectations in people, what will happen today, happens," Goranov said.