Bulgaria is facing serious economic and financial challenges. One of the main problems is the lack of clear and official data on the country's financial situation.
"The only thing that is certain is that there is no official information in the end and this is exactly what gives rise to these rumors", commented former Minister of Economy Nikola Stoyanov in the studio of "Denyat ON AIR."
Regarding the question of whether Bulgaria will be able to achieve a 3% deficit, Stoyanov expressed optimism that this is possible, but only if we deal with the efficiency of the revenue side of the budget and if the leaks in social payments are eliminated. According to him, there are many areas in Bulgaria where state aid is abused, such as disability pensions, and that if abuses are limited, social spending can be maintained and the budget can be more balanced.
"The truth is that more funds are needed everywhere. And ultimately, that is what the government is for, to prioritize where and how much should be given," Stoyanov told Bulgaria ON AIR.
When it comes to the issue of state regulation of food prices, Stoyanov believes that a ceiling on mark-ups for essential products could be a useful measure. He recalls that such a measure was proposed during the second caretaker government. However, Stoyanov emphasizes that the problem is not only in prices, but also in distrust in the state's constancy as a regulator. Bulgaria has already gone through periods in which such efforts were unsuccessful precisely because of a lack of consistency and continuity in political decisions.
"The main problem is ultimately in the political instability, which has existed for years and in the parliament, social payments were abused and inflated without any basis", Stoyanov pointed out.
The guest is convinced that the political instability in Bulgaria will not pass without consequences. He emphasized that frequent elections and the lack of stable governance lead to negative economic consequences, such as delays in important projects, inflating social payments without a real basis and missed opportunities to absorb funds from various funds, including the recovery and sustainability plan. All this burdens the budget and may lead to a deeper financial hole that will not disappear without leaving its price.