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Martin Dimitrov: Galab Donev's claims about a 7.4% deficit are not confirmed by facts

The real problem is that the PB has no action plan. If they don't control the budget deficit now, they won't be able to cope, the economist said

Снимка: БГНЕС

There are no facts that so far confirm the 7.4% deficit announced by the Minister of Finance. This was stated to the Bulgarian National Radio by the MP from "Democratic Bulgaria" Martin Dimitrov, specifying that the European Commission's forecast is for a 4.1% deficit for 2026 and this is the reason for recommending the excessive deficit procedure:

"Galab Donev's claims have not yet been confirmed by facts. By making such bombastic claims, a full analysis of where this deficit comes from should be presented to the public. The data that I trust on this occasion are from the European Commission. This is the second time this has happened to Mr. Donev, and this is an additional reason for me to distrust his approach. I would like to remind you that he was acting prime minister when the 2023 Budget proposal prepared by his government talked about a 6.6% deficit, and at the end of the year the deficit was 2%. This makes me think that since he spoke about a large deficit then, and the reality was different, we are probably witnessing something like that now.

The real problem is that the government of "Progressive Bulgaria" does not have a structural action plan in the budget sphere, he pointed out.

"This plan should have started by limiting theft and stopping corruption practices. If they do not control the budget deficit now to be below 3% this year and below 2.5% next year, they will not be able to cope. ... Bulgaria is currently in a golden moment".

A budget cannot be restructured with some facade changes, the drain must be stopped and rules must be introduced for everyone, Dimitrov emphasized and pointed out that the example of healthcare and the draft law of the State Duma on the introduction of mandatory public procurement in private hospitals that work with public resources is very indicative.

Martin Dimitrov pointed out that the government of Rosen Zhelyazkov has allowed a large deficit in 2025 and taken out huge loans of over 18 billion leva:

"When these funds are taken as loans and poured into the economy, this increases demand and raises prices. Therefore, one of the reasons we want the deficit to be limited is not just the health of public finances, but also limiting inflation".

The reform must start with the vacant positions in the administration and with those working in the administration who have reached retirement age, he pointed out and added that he does not agree with the EC's recommendation for a change in taxation by eliminating the flat tax:

"If our goal is rapid development, in order to catch up, taxes should not be touched. The tax system cannot lead to equalizing people's well-being. If progressive taxation is introduced, the sure effect of this will be a gray economy. By raising taxes, they will hit the development of the economy and growth. And when there is no growth in the economy, salaries do not grow".

In the program "Sunday 150" The MP also commented on the "Baba Alino" case, announcing the position of the SB that the actions of everyone in the case should be examined and whoever bears any blame must bear it:

"GERB and DPS owe an answer to the public as to why they failed to find the truth on this topic, failing 11 meetings of the parliamentary committee in the previous National Assembly, in which the chairman of the State Security Agency was supposed to be heard on this case".