Bulgaria’s Small Businesses Wary as Euro Adoption Nears
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As Bulgaria prepares to adopt the euro on Jan. 1, 2026, small business owners across the country are expressing concern about the transition, fearing disruption and financial strain despite reassurances from officials that the economy is ready.
The European Union gave final approval for Bulgaria to join the eurozone in June, confirming that the country met the necessary criteria, including stable inflation and low public debt — currently around 24% of GDP. Since 1999, Bulgaria has maintained a fixed exchange rate between its currency, the lev, and the euro.
Yet on the ground, skepticism remains high. In the southern town of Haskovo, organic grocer Nikolay Terziev is bracing for change. His family has run a small food shop for more than a decade. While he acknowledges the macroeconomic logic behind joining the eurozone, he worries the transition may leave everyday citizens worse off.
“No shop owner is an economist,” Terziev said. “We’re told the country will be better off, but we fear that the people will be poorer — and only big businesses will benefit.”
Rising supplier costs have already cut into profit margins. Terziev said the shift to the euro is not his biggest worry — it’s the weakening purchasing power of Bulgarian consumers. “When prices rise and people’s purchasing power is low, people buy less, and you sell less,” he said.
Under the euro adoption plan, Bulgarian retailers must begin displaying prices in both lev and euro starting August 8. During the dual-circulation period in January, businesses will be required to give change exclusively in euros, a task Terziev says will be difficult for small operators. “Physically, I don’t know how we’ll manage that,” he said.
Public sentiment on the transition remains split. According to the latest EU Eurobarometer survey, 50% of Bulgarians oppose the move to the euro, while 43% support it. The opposition is fueled by inflation concerns, political instability, and widespread mistrust of institutions.
“I hope we’re not forced into it,” one Haskovo resident told Euronews. “For now, I choose to stay optimistic and believe it won’t be necessary.”
Still, some citizens are embracing the change. Monika Boyuklieva, a local shopper, said she believes inflation is not directly tied to euro adoption. “I hope everything goes smoothly and that there won’t be any major price increases,” she said.
To ease the transition, banks will offer free lev-to-euro exchanges throughout 2026. The Bulgarian National Bank will provide indefinite currency conversion.
Despite the logistical challenges and public skepticism, Bulgaria remains on track to become the 21st member of the eurozone — a significant milestone in its post-communist economic transformation.
