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Bulgaria Faces Recession Risk, Debt Spiral Warning as Fiscal Council Urges Spending Cuts

Дата публикации: 06-10-2026 13:03:00

Bulgaria's Fiscal Council has called for fiscal consolidation, spending cuts and structural reforms in the 2027 budget, warning that the country faces a growing risk of recession and a potential debt spiral.
The recommendations were issued as part of the ongoing 2027 budget procedure and cover the State Budget Act, the medium-term budgetary forecast, the National Health Insurance Fund (NHIF) budget and the State Social Security (SSS) budget, drawing on the Council's proposals and opinions on the respective budgets for 2025 and 2026.
The Fiscal Council recommends pursuing a balanced budget through structural reforms and achieving fiscal consolidation.
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