The Bulgarian economy is growing thanks to loans, social payments and inflation, and not because of its internal strength. This is clear from an analysis by macroeconomist Professor Dimitar Ivanov, presented on the air of the Bulgarian National Radio.
"Bulgaria has the largest increase in gross public debt relative to GDP. The rate of debt growth is the highest compared to all countries in the European Union," said Professor Ivanov.
The expert is categorical that our country is not ready for a new convergence report to the European Commission. He points to four main obstacles - the lack of a new budget law, the need for an updated medium-term fiscal forecast, outdated accounting standards and problems with reporting the budget deficit.
"The assessment will be made on the basis of an analysis of a complex economic, financial and social picture of Bulgaria, of sustainability", emphasizes Professor Ivanov. He calls for realism and honesty towards Bulgarian citizens regarding the country's readiness for membership in the eurozone.
According to the expert, the 2025 budget should go hand in hand with a program to stabilize public finances until 2028. Otherwise, "next year we will again discuss how big the hole in the budget is", he warns.
Professor Ivanov also commented on the potential risks of the United States' policy of imposing tariffs, noting that this could reduce the growth of the eurozone by 0.3% according to analysts.