Inflation in our country reached 5.3% on an annual basis.
"The market is not able to control prices in a way that reduces consumption, and the inflation that we are observing now is precisely consumption. In addition to external factors, there are also internal ones. Already at the beginning of the first half of the year, the budget has strong concerns that it could reach a deficit of more than 3% by the end of the year", said BNB Board of Directors member Lyubomir Karimanski in "Denyat ON AIR". According to him, the concerns about the budget deficit are mostly related to VAT.
"The state's largest source of taxes is lagging behind drastically. This means that revenues will not happen. Towards the end of the year, much more spending is being made. They are using the capital program as a buffer. What praises were there when we entered Schengen for exports - and it is lagging behind and is less compared to last year", Karimanski added for Bulgaria ON AIR.
We are not simplifying regulations
Being an exporter of products depends on the quality and price of a service, he is categorical.
"We must face the problems - if we cannot be competitive with prices, we will not achieve the growth we want. We are not simplifying our regulations, but creating new ones. "You can't have a people's store in one of the richest areas in Plovdiv, and the Northwest has its eyes wide shut," the guest commented.
According to him, regulators should be able to distinguish between a monopoly structure and a price increase that has no market logic.
"We have expenses for Bulgarian posts, according to the Euro Law, expenses increase from the perspective of capacity. Bulgaria is not only changing its currency, but also its monetary policy. Bulgaria has not had a monetary policy for many years, but has been in a currency board," explained Karimanski.