Bulgarian economist Georgi Ganef guaranteed the country's entry euro area As he told BNR about the current economic situation, he is not in any danger. He expressed optimism: Bulgaria You will meet the required criteria at the end based on November or December data. This will be followed by a request for an ad hoc report addressing the 2023 budget, given that 2024 figures are not yet available.
When discussing the budget year at the end of the year, Ganef acknowledged some uncertainties. He noted that there could be challenges for finance ministers before the end of the year. However, he disputed claims that revenue collection has not been successful, apart from potential shortfalls related to recovery and resilience programs. He attributed some of the damage to the Bulgarian budget to the actions of two political forces that he believes have caused serious problems.
Ganef Another revenue concern is that expected non-tax revenues, such as non-tax revenues from state-owned enterprises and real estate, will not be achieved, he noted. He said approximately $300 million is expected to be added to the budget from these sources, which will help alleviate the shortfall, even if non-tax revenue does not fully meet the expected amount. said.
In an interview on national radio, Ganef He maintained that tax revenues are progressing as planned, indicating that budget implementation is nearly complete. He expressed confidence that there would be no shock in the region. He believes that uncollected revenue by the end of the year does not pose a significant threat to the buffer promised in the budget.
According to Ganefsocial payments are also in line with expectations, and there are no surprises regarding higher-than-expected spending. However, he expressed concern about potential problems with discretionary spending, particularly state government personnel costs. He attributed this to the fact that several increases approved by parliament in early 2024 were not financed in the budget, particularly for the military, universities and the interior ministry.
He noted that while expected returns are set relatively optimistically, where risks exist, the main concern is the possibility of default. Ganef He stressed that the risks are now balanced. At the end of September, the reported deficit was 2.8 billion leva, with the budget law showing a cash shortfall of 6.2 billion leva. He expressed confidence that the government should be able to manage this shortfall in the coming months.
Ganef He said the Treasury was planning to submit a draft budget for 2025, which he believed was appropriate. Regarding the BNR, he criticized the finance minister for trying to protect a low-level populist strategy through the budget in view of possible future elections, and said the current situation is complex.
