site.btaUPDATED GERB Is Ready to Support Conservative State Budget with 3% Deficit, GERB Leader Says

GERB is ready to support a state budget that adheres to a conservative fiscal framework and keeps the deficit within 3%, party leader Boyko Borissov said at a briefing in Sliven. Borissov was in the city to meet with GERB's youth organization. Speaking to reporters, he commented on the current budget policy and the party's position on the draft budget submitted by the government.

"If we are talking about the budget, I would like to go back to the time when GERB was preparing state budgets, when we had a parliamentary majority and were able to implement the conservative policies set out in our programme," Borissov said. According to him, budgets under GERB governments were balanced and, in several years, ended with a surplus.

Borissov compared the current situation with previous crises, including the global financial and economic crisis, the Greek sovereign debt crisis, the migration wave, and the COVID-19 pandemic, arguing that Bulgaria had managed to maintain fiscal stability throughout those periods.

Commenting on the current draft budget, Borissov said the proposed deficit of 5.7% was "above the legal limit" and, in his view, risked deepening the country's debt burden.

"Anything above 3% is a violation of the law. The Public Finance Act provides that the Council of Ministers may submit a budget with a deficit of up to 3%," Borissov said, adding that under the current framework GERB would not support the budget.

At the same time, he stressed that the party would back the budget if it were revised to restore what he described as a conservative fiscal framework. "If the government withdraws the draft, submits a conservative budget and resolves the issue by bringing the deficit back to 3%, GERB will not only support it, but will also refrain from politically attacking any spending cuts," he said.

Borissov also addressed municipal investment projects, arguing that delays in payments to municipalities and reductions in infrastructure funding were "the wrong approach" because they directly affect citizens.

"These are not funds for mayors, they are funds for the people - for streets, kindergartens, water supply systems and sewerage infrastructure," Borissov said.

Responding to a question, Borissov declined to comment on political speculation, including possible presidential candidates, saying the matter would become clear in September.

He added that GERB would continue to advocate for "prudent fiscal policy" and preserving Bulgaria's European perspective.

GERB’s leader also voiced concern over declining investment and job cuts at major companies, saying that a stable economic environment was essential for the country's development.

On energy policy, Borissov said the Belene Nuclear Power Plant project should be assessed in the context of the changing geostrategic environment, which affects the implementation of major infrastructure projects. He recalled that in recent years Bulgaria's priority had been the development of new nuclear generating capacity at the Kozloduy Nuclear Power Plant, including the planned construction of Units 7 and 8.

"These reactors belong to Bulgaria and are Bulgarian property," he said, speaking about the equipment for Belene.

Borissov also outlined several possible scenarios for the future of the Belene project, including international partnerships. Among the options he highlighted was the establishment of a joint venture involving Bulgaria and foreign partners, under which the project's assets and infrastructure would be independently valued and electricity output allocated in proportion to each partner's equity stake.

According to Borissov, such a model could provide the state with a long-term source of revenue, similar to other major energy and infrastructure projects. He added that other options included constructing new generating units in Bulgaria with the participation of US or European consortia.

In Borissov's view, selling the existing equipment would be "the least favourable option”. He stressed that energy projects should be regarded as long-term investments in Bulgaria's economy.

The controversy surrounding Desislava Atanasova is an attempt to shift attention away from the budget, Borissov said when asked to comment on allegations regarding joint flights taken by Movement for Rights and Freedoms leader Delyan Peevski and Desislava Atanasova.

Borissov said he accepts political responsibility for the period during which Atanasova was a member of GERB, but stressed that since her appointment as a judge of the Constitutional Court she has had no political affiliation with the party. According to Borissov, from the moment constitutional judges take the oath of office, they act independently of the political forces that nominated them and bear personal responsibility for their decisions.

Borissov also commented on conflicting claims made in parliament concerning travel records and alleged contacts between political figures.

"All of this is being used to divert attention from the budget, the upcoming [European] Council meeting and the sanctions," Borissov said, adding that the political context of such allegations was intended to draw public attention away from what he described as the key issues.

Former Interior Minister Daniel Mitov said one of the main responsibilities of the current government is to ensure that the Interior Ministry is not used for political purposes and that abuse of government information systems is unacceptable.

Mitov noted that access to biometric and border information systems should be granted only where there are grounds to investigate serious crimes such as terrorism and human trafficking.

He warned that the extraction or use of such data for political purposes would constitute a serious abuse of power and could have consequences for Bulgaria's international credibility, including in relation to EU and Schengen information systems.