They will most likely start with a regular budget and if they have common sense, they will start finishing the legislative program, which is included in the PVP, so as not to lose a serious amount of money. The remaining payments for Bulgaria are 2.5 billion euros, and we have not done much work. And now the parliament went on vacation, leaving a few things unfinished. So if they want to get something done by June and not lose this money, that will be the other thing. It remains to be seen how the situation in the Middle East will develop. This was commented by the senior economist at the Institute for Market Economics Lachezar Bogdanov in the BTV emergency studio.
Everyone is talking about oil, but they are forgetting other things, such as aviation fuel, natural gas, fertilizers, etc. A lot of destroyed supplies and economic value are happening right now, he emphasized and added that we are waiting to find out at the end of April what will be the hottest in order to make decisions.
If inflation goes up the elevator - our salaries go up the stairs, and when this happens, people are left breathless, said the chief economist of the Confederation of Bulgarian Trade Unions Lyuboslav Kostov.
Yes, we have an average inflation, but those goods that we consume most often become a little more expensive. The entire pricing chain should have been clarified. Unfortunately, we have not achieved anything for 6-7 months. We have several crises that we have to fight, in the conditions of no budget and no government. The next finance minister will have to make two budgets, because by the time the elections are over, by the time a cabinet and budget are formed, it will be time for Budget 2027. I can't imagine how people's incomes will be adequately targeted, since they should come first. People's incomes are present in all party programs. The fairness of elections is not measured through machines or through paper, and then when the spotlights go out, explained the trade unionist.
Last year, personnel costs increased by 20% on an annual basis in the entire public sector, some by 30%, 40% or more. However, incomes cannot grow if the economy does not grow, Bogdanov pointed out.
Despite inflation since Covid, the average salary has doubled. Currently, Bulgaria has the lowest unemployment rate in the entire EU. So the first priority before income should be what gives income - to have economic growth, he emphasized.
According to him, there is a risk that due to political instability and populism we will end up with both no income growth and a recession, as happened in Romania and Greece.