The MP from "Democratic Bulgaria" Martin Dimitrov described as dangerous for Bulgaria the plan for a budget deficit of about 5% in 2027. According to him, the document sent to the European Commission sets a deficit of 4.3% of the gross domestic product, but the one-time revenues from the tax on excess profits must be added to it.
„They are talking about completely different and inconsistent things. The fact that the plan sent to Brussels announced a deficit of 4.3%, to which if we add the one-time revenues from the excess profit tax, which will not be repeated because they are not systematic, we are talking about a deficit of 5% for 2027, which is a dangerous plan for Bulgaria,“ said Dimitrov in the program “Good Morning, Europe“ on Euronews Bulgaria.
Dimitrov: Deficits have started to increase again
According to the MP, the high deficits have been controlled, but the trend towards their new increase began in 2025. He linked the large deficit to pressure to increase taxes and social security.
As examples, he cited the increase in the maximum social security income, the minimum social security thresholds and the tax on excess profits. According to him, this creates a risk that the next budget decisions will lead to new tax and social security burdens.
The budget plan has been sent to the European Commission
The Ministry of Finance announced that the budget plan for 2027 has been sent to the European Commission within the deadline of October 15. It includes measures to limit spending, reduce the budget deficit and reduce new government debt compared to previous years. The government indicates that no change in the basic tax rates is planned, but the plan includes a one-time contribution on excess profits in certain sectors.
The amount of 4.3% for 2027 also coincides with the European Commission's spring forecast for Bulgaria's budget deficit. The Commission indicates that the deficit is expected to remain above 4% until 2027, including due to defense spending and automatic mechanisms in social spending.
What measures does Dimitrov propose
Martin Dimitrov stated that significant reforms are needed to reduce the deficit. He indicated as one of the possible steps the establishment of false decisions of the TELK. According to him, the ruling party from “Progressive Bulgaria“ do not foresee sufficiently serious changes.
The parameters of the budget plan are yet to be developed in the draft state budget for 2027, which should determine the specific revenues, expenditures and measures to limit the deficit.
Sources: euronews.bg, bnrnews.bg, bta.bg