Hidden Crisis: Central Bank Reveals How Wage Hikes and Pensions Are Draining Bulgaria’s Finances

The Bulgarian National Bank (BNB) has identified a clear trend of fiscal deterioration in Bulgaria between 2020 and 2024, primarily due to the sharp rise in expenditures for employee compensation and pensions. These costs, which account for a significant share of the state’s current budget spending, are expected to continue putting pressure on public finances because of the growing use of automatic indexation mechanisms.The findings are part of the BNB’s report titled "Analysis of Bulgaria's Fiscal Position in the Period After 2020," which evaluates the fiscal balance in relation to the country’s broader economic cycle....Weiter zum vollständigen Artikel bei Novinite Weiter zum vollständigen Artikel bei Novinite