Bulgaria adopts euro amid celebration and anxiety over inflation | Business and Economy News
Move comes nearly two decades after the Balkan country entered the EU as hope for stability clashes with fear of rising prices.
Published On 1 Jan 2026
Bulgaria has officially adopted the euro, becoming the 21st country to join the single currency nearly two decades after entering the European Union, a move that has led to both celebration and anxiety.
At midnight on Wednesday (22:00 GMT), the Balkan country abandoned the lev, its national currency since the late 19th century.
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Images of Bulgarian euro coins lit up the central bank’s headquarters in Sofia as crowds gathered in freezing temperatures to mark the new year.
“I warmly welcome Bulgaria to the euro family,” said Christine Lagarde, the president of the European Central Bank.
Some residents welcomed the change with optimism. “Great! It works!” said Dimitar, 43, speaking to The Associated Press after withdrawing 100 euros from a cash machine shortly after midnight.
Successive Bulgarian governments have backed euro adoption, arguing it would strengthen the country’s fragile economy, anchor it more firmly within Western institutions and shield it from what officials describe as Russian influence. Bulgaria, with a population of about 6.4 million, remains the poorest member of the EU.
Divided public
Yet public opinion has long remained split. Many Bulgarians fear the euro will drive up prices while wages stagnate, worsening living standards in a country already struggling with political instability.
In a televised address before midnight, President Rumen Radev described the euro as the “final step” in Bulgaria’s integration into the EU.
However, he criticised the absence of a public referendum on the decision.
“This refusal was one of the dramatic symptoms of the deep divide between the political class and the people, confirmed by mass demonstrations across the country,” Radev said.
Bulgaria recently plunged into further uncertainty after anticorruption protests toppled a conservative-led government in December, pushing the country towards its eighth election in five years.
“People are afraid that prices will rise, while salaries will remain the same,” a woman in her 40s told the AFP news agency in Sofia.
At city markets, vendors listed prices in both levs and euros. Not everyone was worried.
“The whole of Europe has managed with the euro, we’ll manage too,” retiree Vlad said.