site.bta11 Tourism Organizations Join Business Community’s Criticism of Proposed Euro Law Amendments

Eleven trade organizations from the tourism sector have expressed their opposition to a bill to amend and supplement the Introduction of the Euro in the Republic of Bulgaria Act. They have sent a letter to the Parliament Chair, the Prime Minister, the Minister of Finance, the Minister of Tourism, Parliament’s Budget and Finance Committee and Tourism Committee, and the parliamentary parties. A copy of the letter was received at BTA on Tuesday.

The Budget and Finance Committee is set to review the bill at its second reading later on Tuesday.

“From August 8, 2025, until the end of 2026, all traders in Bulgaria will be required to display their prices in both leva and euro simultaneously. This is part of preparations for the introduction of the euro. Alongside this, price increases will be banned unless justified by so-called ‘objective economic factors.’ We note that measures under the Introduction of the Euro Act foresee a price freeze for one month from January 1, 2026,” the organizations wrote.

“This is where serious concerns begin. The law does not clearly define what exactly constitutes these factors. Who will decide whether a price increase is permissible? According to the changes adopted at first reading, control authorities will have extended powers and may impose heavy sanctions. This creates significant uncertainty for businesses,” the organizations added.

“Pricing, not only in tourism, depends on numerous external factors beyond our control. These include electricity, water, heating, fuel, and rent prices, among others. Moreover, we rely on supplier prices, producer costs, equipment, and many consumables. If we accept that the second group is also under the control of the draft law, this is not the case for the first,” the tourism sector representatives stressed.

“It is clear that we cannot control our own prices when we have no control over most of the factors that determine them. Furthermore, a new increase in the minimum wage is expected, which will lead to rises in all salaries,” they added.

The organizations insist that between the first and second reading in the full House, the bill must undergo a major overhaul, with the state taking responsibility to guarantee stability of the regulated pricing factors and provide clear rules on price increases in line with the so-called objective economic factors.

The tourism sector organizations have requested a meeting as soon as possible between the bill’s sponsors, parliament, and business representatives to discuss and resolve the law’s perceived shortcomings.

The letter is signed by: the Bulgarian Hotel Association, the Bulgarian Hoteliers and Restaurateurs Association, the National Tourism Board, the Bulgarian Union of Balneology and SPA Tourism, the Association of Bulgarian Tour Operators and Travel Agents, the Bulgarian Convention Bureau, the Bulgarian Association of Establishments, the Association of Establishments in Bulgaria, the “Mountains and People” Association, the Association of Tourism Business in Bulgaria, and the NGO Hotelier’s Club.

On Monday, the Bulgarian Petroleum and Gas Association also issued a statement on the proposed changes to the Introduction of the Euro Act, suggesting a reduction of the price control period from 18 to 3 months.

In a position statement issued last week, 15 industry organizations said the government-proposed amendments contain extreme anti-market measures which “have neither been discussed with employer organizations and businesses nor subjected to an impact assessment.”

The Association for Modern Trade announced hopes that its views on the draft law will be taken into account and that the legislative proposal will be thoroughly reconsidered based on a detailed impact assessment and an evaluation of its compliance with European and Bulgarian law.