Bulgaria Becomes 21st Nation to Adopt Euro After Receiving EU Approval.
International
On July 8, 2025, Bulgaria officially became the 21st country to join the eurozone after the European Union (EU) granted its final approval for the country to adopt the euro (EUR) as its official currency. This historic step marks Bulgaria’s full integration into the monetary union, replacing the Bulgarian Lev starting from January 1, 2026.
- The approval was based on a detailed assessment by the European Parliament, where 531 Members of European Parliament (MEPs) voted in favour of the motion, 69 voted against, and 79 abstained.
- The EU finance ministers subsequently confirmed Bulgaria’s entry by setting the official conversion rate at 1 euro = 1.95583 Bulgarian Lev. This final ratification completes all formalities required under EU rules for monetary transition.
- The European Commission report confirmed that Bulgaria had met all the economic and legislative requirements under the Maastricht convergence criteria, including inflation control, public debt sustainability, stable exchange rates, and long-term interest rate performance. These economic indicators were monitored over a multi-year period before giving the green light for euro adoption.
Main Point :- (i) The euro is currently used by 20 European nations, and with Bulgaria’s inclusion, the total number rises to 21. The euro is the second most widely used currency in the world by transaction volume and global reserves. The last country to join the eurozone before Bulgaria was Croatia, which adopted the euro on January 1, 2023.
(ii) The eurozone membership will replace Bulgaria’s use of the national currency Lev with the euro across all public and private transactions starting January 2026. This will include all banking, corporate, investment, and commercial financial operations. The transition is expected to significantly boost investor confidence, enhance trade within the EU bloc, and increase macroeconomic stability.
(iii) To qualify for euro adoption, a country must meet strict criteria set by the Maastricht Treaty, including maintaining inflation within 1.5% of the three lowest EU states, limiting the budget deficit below 3% of GDP, participating in the Exchange Rate Mechanism II (ERM II) for two years without devaluation, and keeping long-term interest rates within 2% of the best-performing members. Bulgaria’s successful compliance with all of these ensures a stable foundation for this currency transition.
About Bulgaria
Prime Minister (PM): Rosen Dimitrov Zhelyazkov
Capital : Sofia
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