Midnight Change: Bulgaria Adopts the Euro — Prices, Politics and Practicalities

Bulgaria prepared to adopt the euro at midnight (2200 GMT), becoming the eurozone's 21st member and retiring the lev, the country's currency since the late 19th century. The shift is presented by officials as a long-term boost to the economy and Western ties, but many Bulgarians worry about short-term price rises and practical disruptions.

What’s Changing

At the stroke of midnight, cash payments, prices and accounting in Bulgaria will transition from the lev to the euro. The government says the move will strengthen trade, investment and financial stability for a country of roughly 6.4 million people with an estimated GDP of €113 billion (about $133 billion).

Political Context

Bulgaria joined the European Union in 2007 but has struggled with political instability. Recent anti-corruption protests helped topple a conservative-led government and the country is heading toward its eighth election in five years. That fragile environment has heightened public concern that any problems during the euro changeover could be politically exploited.

Economic Indicators And Concerns

Outgoing Prime Minister Rossen Jeliazkov highlighted the economy’s performance ahead of the switch, saying the country finishes the year with a GDP of €113 billion and growth of more than 3 percent. He told ministers that inflation, around 3.6 percent, reflected rising purchasing power and lower corruption rather than the currency change.

“Bulgaria is ending the year with a gross domestic product of 113 billion euros and economic growth of more than three percent,” Jeliazkov said. “We count on the tolerance and understanding of both citizens and businesses during the transition.”

Yet public unease is tangible. The National Statistical Institute reported food prices rose about 5 percent year-on-year in November — more than double the eurozone average — feeding campaigns urging people to “keep the lev.” Latest Eurobarometer polling shows roughly 49 percent of Bulgarians oppose adopting the single currency.

Practical Issues For Citizens And Businesses

Authorities have warned of short-term disruptions: cash shortages, difficulties making change, and possible interruptions to card payments and ATMs, especially on New Year’s Eve. AFP journalists observed queues outside the Bulgarian National Bank and exchange offices as residents sought euros. Some businesses also reported not receiving the euro starter packages they ordered.

Small-business owners voiced mixed reactions. Pastry chef Turgut Ismail said prices already feel higher, while gallery owner Elena Shemtova expects initial hiccups but believes consumers and merchants will adapt within weeks.

Outlook

Officials argue the euro will bring long-term benefits: reduced currency risk, stronger ties to the West and greater insulation from Russian influence. Bulgaria’s accession will increase the number of euro users in Europe to more than 350 million; Croatia was the last country to join the single currency in January 2023. Observers caution, however, that political opponents could use any immediate problems to intensify social unrest.

Bottom line: The introduction of the euro is a major structural step for Bulgaria with likely long-term gains, but citizens and businesses should prepare for short-term practical and political challenges.