End to waste in the public sector
Deputy Prime Minister and Minister of Finance Galab Donev presented the priorities for the 2026 budget procedure, categorically stating: "This is a budget with which we are saying stop to state-funded gravy trains."
"We will be uncompromising towards the abuse of public resources. We are prioritizing capital investments and postponing non-essential projects," the Finance Minister emphasized.
Financial condition and budget deficit
Donev raised an alarm regarding serious financial imbalances:
- The deficit at the end of April amounts to 1.75 billion euros.
- Over 2.55 billion euros are awaiting payment, including 1.1 billion euros for outstanding municipal projects.
- Previous fiscal decisions, such as the advance collection of corporate tax from banks, are weighing on revenues for 2026.
New rules for public administration salaries
"Progressive Bulgaria" is putting an end to the automatic indexing of high state salaries. Key changes include:
- Linking the remuneration of members of parliament to the average salary in the public sector.
- Introducing a cap: no one in the public sector will receive a base salary higher than that of the President.
- Optimization of the administration: a 10% reduction in salary and social security costs starting September 1, achieved through staff cuts.
At the end of his statement, Donev did not fail to congratulate DARA on her success at "Eurovision," assuring that the 2027 budget includes an item for hosting the song contest in Bulgaria.