How is money flowing out of Bulgaria? For March alone, the trade deficit is 1.426 billion euros. The second record in history after the one for December last year.
This was noted on "Facebook" by Vladislav Panev.
That is, the state takes out loans, distributes them for public procurement and for salary increases in the administration, and then everything goes to purchases of imported goods. In the end, the taxpayers will pay the bill.
How long can this last before they serve us a portion of increased taxes? Not much. That is why expenses must be cut. There is a benefit from increasing imports if we mainly buy machinery and other investment goods. So that in the future this leads to better competitiveness of the economy. However, the exact opposite happens. GDP growth (on paper) is due to consumption. We spend money that we haven't earned.
Therefore, the only measures that can work in the long term are lower budget expenditures and more freedom for business, including from unnecessary regulations. The exact opposite of what the new government is doing with the new price laws.