Bulgaria will not take out new debt until the end of the year

Bulgaria’s debt limit has been set at 2.25 billion euro, 1.9 billion euro has so far been taken out, announced caretaker Minister of Finance Valeri Belchev during his participation in the discussion “The government talking, openly!” in the government’s Facebook profile.

In the words of Minister Belchev this means that the budget this year could end in a zero balance, or even a slight surplus. That is why the country will not be taking out new debt until the end of the year. Valeri Belchev pointed out further that the inflation, which is worrying us all, is not so high, and that its rate will probably be curbed in the space of a few months. The debt limit for next year has not been set yet. The plan is to set down a ceiling, almost reaching up to the limit, but the government has not done so and it would be wise to plan for international issuance.

For the time being the caretaker cabinet is working on a budget for 2022 with a 2.9% GDP deficit. The caretaker cabinet is expected to endorse the budgetary framework for next year by 17 December, and is counting on the new parliament voting it in good time, and on the regular cabinet then “filling in” the policies by updating the law. No rise in taxes is envisaged. The caretaker government is proposing a minimum monthly pension for next year of 185 euro, but to prevent the incomes of pensioners with minimum pensions from dropping, a 30-euro supplement is envisaged for January-June, caretaker Minister of Finance Valeri Belchev added. As to the minimum monthly wage, the negotiating political parties have agreed on the sum of 355 euro. /BGNES