EU finance ministers have officially approved Bulgaria’s plan to adopt the euro starting on 1 January 2026.
“This signifies the end of a comprehensive journey towards Bulgaria’s eurozone entry, involving meticulous evaluation and dedicated preparations,” stated Stephanie Lose, the economy minister of Denmark, which currently holds the EU’s rotating presidency.
Last month, the European Commission confirmed that Bulgaria, the EU’s most economically challenged nation, has met the stringent criteria for euro adoption, and the European Central Bank (ECB) also provided a favorable assessment.
Bulgaria’s transition from the lev to the euro is set to occur 19 years after the nation of 6.4 million became a member of the European Union.
However, a significant portion of the Bulgarian populace opposes the euro transition due to concerns over potential increases in the cost of living.
Demonstrations occurred both before and after the Commission’s decision, while polls leading up to this point revealed that nearly half of respondents were against adopting the euro.
Advocates in Bulgaria argue that this change will enhance the country’s economy and improve the quality of life for its citizens.
This approval comes as the euro continues to appreciate against the US dollar amid President Donald Trump’s protectionist trade measures, which have undermined confidence in the US currency.
In May, ECB President Christine Lagarde advocated for the euro to become a global reserve currency, indicating that expanding the currency’s international presence would yield benefits for the EU, including reduced borrowing costs for member states.
When the euro was first introduced on 1 January 2002, only 12 nations were part of the currency area, including Ireland, France, Germany, Italy, Spain, and Greece.
The currency zone has gradually expanded, with Slovenia joining in 2007, followed by Cyprus and Malta in 2008, Slovakia in 2009, Estonia in 2011, Latvia in 2014, and Lithuania in 2015.
The most recent addition was Croatia in 2023, bringing the total number of eurozone countries to 20.
Bulgaria aimed to adopt the euro earlier but was assessed by Brussels as having too high inflation to qualify.
EU nations seeking to join the single currency must show that their economies are in alignment with those of other eurozone countries and that their fiscal policies are sound.
The requirements include maintaining inflation within 1.5 percentage points above the average rates of the three best-performing EU states.
When Brussels gave its endorsement in June, it reported that Bulgaria’s average inflation rate for the 12 months leading to April 2025 was 2.7%, slightly under the reference threshold.
