site.btaLegislation Amendments Target Unjustified Price Spikes until End-2026

A bill to amend and supplement the Introduction of the Euro in the Republic of Bulgaria Act was submitted to the National Assembly by the Council of Ministers Monday. It stipulates that retailers in Bulgaria may not raise the prices of goods or services, unless there are objective economic factors to do so, until the end of the next financial year 2026. Retailers who do not comply with these requirements may face financial penalties, which will depend on their turnover for the previous financial year.

The amendments stipulate that the period of dual pricing of goods and services in leva and euro will start on August 8, 2025, and end on December 31, 2026. The requirement not to increase prices unreasonably will apply during this period as well.

The explanatory memorandum to the bill says that the problem with the current arrangements is that the ban on unjustified price increases covers only the period of dual circulation, which is one month, but not the longer period of dual price marking. The dual circulation period, i.e. the period during which payments can be made in leva and euro, will last one month from the beginning to the end of January 2026.

The proposed amendments to the Act expand the definition of objective economic factors. According to the amendments, these are factors related to the production, circulation and sale of goods and services that are beyond the trader's control, including increases in the prices of raw materials and supplies, increases in the prices of electricity and natural gas, increases in fuel prices, increases in the minimum wage, increases in taxes, force majeure circumstances.

In case legal entities and sole traders allow speculative price increases, they face a penalty of 0.5% of the turnover for the previous financial year. In case of repeated violation face a penalty of 1% of the turnover for the previous financial year, the bill provides.

The powers of the Commission for Consumer Protection and the National Revenue Agency are also expanded. The two organizations will have the right to request from any natural or legal person, within deadlines set by them, any information that is relevant to the checks being carried out, including the prices for a period determined by the official, the starting date (no earlier than January 1, 2024), the method of pricing, delivery and production prices, each of the components included in the final selling price of the goods or service.

In case of non-compliance with these texts, legal entities and sole traders face a financial sanction of BGN 5,000 to BGN 100,000 for a first offence. In case of repeated violation the fines would range from BGN 10,000 to BGN 200,000.

The Council of Ministers may lay down rules and conditions introducing temporary measures to counteract excessive price increases for goods and services, the draft law further says.

At the proposal of the Health Ministry and the National Council on Prices and Reimbursement of Medicinal Products, the Council of Ministers may introduce measures to counter the excessive price increase of medicines and medicinal products that are not reimbursed by the National Health Insurance Fund.

The period of dual pricing for taxi services is to start on October 31, 2025, according to the bill.