site.btaEuro Introduction Cannot Lead to Price Increase of Goods and Services, PM Zhelyazkov Says

The introduction of the euro cannot lead to an increase in the prices of goods and services, unless there are macroeconomic factors for this. The main principle that guides us is consumer interest protection. Inflation in the country must not to exceed 3%, Prime Minister Rosen Zhelyazkov said before signing a memorandum on cooperation with employers, trade unions, industry organizations and associations in relation to consumer protection in the process of introducing the euro in Bulgaria at the Council of Ministers on Monday.

Zhelyazkov added that this is the format in which the Bulgarian economy and government, with the help of the trade unions, builds a sustainable and predictable environment for doing business, for increasing the welfare of the people and for protecting the socio-economic rights of the people. “This is the main goal that we all aim at, and I believe we stand united on this, with the introduction of the euro in Bulgaria,” he said. “The goal is not only the deeper integration into the economic and institutional framework of the EU, the goal of this particular working relationship is an effective, smooth and uninterrupted introduction for consumers and economic operators in the country,” Zhelyazkov added.

Earlier on Monday, Prime Minister Zhelyazkov, speaking at a forum dedicated to the introduction of the single European currency in Bulgaria, organized by the Sofia Regional Administration, said that the State has the will and the necessary mechanisms for the calm and smooth introduction of the euro.

The legal framework is clear and unequivocal. The Euro Act, adopted in 2024, regulates all key aspects of the euro introduction, including deadlines, rules for currency conversion, consumer protection, etc. Zhelyazkov gave the war in Ukraine and rise in energy prices as an example of objective economic factors that would determine price dynamics. “Any price increase without the presence of price-forming elements that would objectively determine this would be considered by the State as a form of speculation,” the Prime Minister stressed.

“The purpose of the memorandum is to establish a sustainable contractual framework for our relationship. The aim is to protect the rights of consumers, transparency, organizational and technical readiness in order to strengthen the reputation, competitiveness and trust of Bulgarian businesses,” the Prime Minister said.

The memorandum was signed by representatives of the Confederation of Independent Trade Unions in Bulgaria, the Confederation of Labour Podkrepa, the Association of Banks in Bulgaria, the Association of the Organizations of Bulgarian Employers, the Alliance of the Technology Industry, the Bulgarian Association of Supplementary Pension Security Companies, the Association of Bulgarian Insurers, the Bulgarian Association of Licensed Investment Intermediaries, the Bulgarian Association of Asset Management Companies.