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Simeon Dyankov: We are not close to the Eurozone, they will quietly cut us off

3% deficit is dangerous, he warned. It makes sense to have a conversation about progressive taxation and taxes, but there must be a stable government, he said. There is no way we can be in a chronic deficit, pointed out the former finance minister

Oct 16, 2024 10:01 125

Simeon Dyankov: We are not close to the Eurozone, they will quietly cut us off  - 1

The Bulgarian economy is more or less doing well. Former finance minister Simeon Dyankov said this to BNT.

Due to the lack of parliament and government, the debate on the macro framework for 2025 is also delayed. Lyudmila Petkova has insured herself by asking the politicians to say what the measures in the budget should be and to determine the deficit. We haven't had such a deficit for 25 years, according to Dyankov. He does not expect a serious debate on the deficit in parliament. The Cabinet should propose a 2025 budget, the former finance minister said.

Dyankov believes that the campaign promises are very generous. BGN 8 billion is the outstanding capital expenditure. Only 4 billion of the bets were realized.

3% deficit is dangerous, he warned. It makes sense to have a conversation about progressive taxation and taxes, but there must be a stable government, he said. There is no way we can be in a chronic deficit, the former finance minister pointed out. We are not so close to the Greek scenario, reassured Simeon Dyankov, but added that we still need to talk about what we are spending on.

We are not close to the Eurozone, he was categorical. We have not reached the inflation criterion. A 3% deficit will also trip us up. They will quietly cut us off, thinks Dyankov. In addition, society must also be ready to accept the euro. Politicians do not want us to enter the Eurozone, the financier suspects.

For some politicians, the conditions for the money under the Recovery and Sustainability Plan (RPS) are not comfortable, Dyankov believes. He predicts that we will take out at least 2 more loans by the end of the year and 3 more next year.