Bulgaria has now adopted the euro

When the first Bulgarians withdrew euro banknotes from cashpoints in the early hours of New Year’s Day 2026, it was quickly obvious that views of the euro differ considerably in the country. “Fantastic, it works,” said 43-year-old Dimitar after withdrawing 100 euros. “All of Europe seems to cope with the euro, so I guess we will too,” was pensioner Vlad’s somewhat more sceptical view. Pastry chef Turgut Ismail mentioned one concern which is on many Bulgarians’ minds just now: that the switch from the Lev, Bulgaria’s national currency, to the euro could entail rising prices, as Euronews reported.

Bulgaria joined the eurozone on 1 January 2026. For the European Union’s economically weakest member state, the introduction of the single currency is a step of considerable economic and political significance.  EU Commission President Ursula von der Leyen spoke of an “important milestone”. 

Fears of rising prices

Whether to adopt the euro was long the subject of critical discussion in Bulgaria. In a survey conducted by the European Commission last year, nearly half of the country’s 6.4 million inhabitants were against adopting the euro - especially those in rural and economically weaker regions. In the opinion of the European Central Bank, however, any price rises are unlikely to be excessive. During a visit to Sofia in late autumn 2025, Christine Lagarde, president of the European Central Bank (ECB), pointed to the experience of other countries, as German weekly ZEIT reported: though prices had risen slightly there, the effect proved to be moderate and only temporary. Inflation was additionally driven up by between 0.2 and 0.4 percentage points. Furthermore, the lev had already been tied to the euro for years, meaning that the switch was able to take place without any major effects on the exchange rate.

Many opportunities thanks to the euro

On the other hand, the euro entails many benefits - such as smoother trade, lower financing costs and more stable prices, says Lagarde. With fees no longer being incurred to change lev into euros, small and medium-sized companies are likely to save around 500 million euros. The tourism sector, which generates roughly eight percent of Bulgaria’s total gross domestic product, is hoping that the euro will increase the appeal of the country’s tourist destinations.

For holidaymakers, relaxing on the country’s Black Sea beaches will be even easier, as they can now pay in euros there, just like at many other European destinations.

Political and economic challenges 

These are rosy prospects for a country that is undergoing a difficult phase. The government is facing an acute crisis. The pro-West coalition of Conservatives, Socialists and Populists was ousted in December 2025 following massive protests against corruption and an ineffective justice system. On 19 January, President Rumen Radev announced that he would be stepping down to run in early parliamentary elections on his own ticket; the next election is expected to be held in spring 2026, which would make it the eighth within five years.

Bulgaria is also under pressure economically. Its gross domestic product is the lowest in the EU. In 2024, Bulgaria generated a per-capita GDP of 11,300 euros.

Symbol of a strong Europe

The further enlargement of the eurozone also contributes to the euro’s global importance as a reserve currency. Around 350 million people currently pay with the euro. In a Europe characterised by great linguistic and cultural heterogeneity, the strong euro has become a symbol of unity. Bulgaria’s decision to tie itself more closely to Europe is also seen as a message to the pro-Russian forces in the country. Germany’s Foreign Minister Johann Wadephul, while visiting the two countries in October 2025, described Bulgaria and Romania as “partners that are crucial for Europe’s security and stability” in view of Russian aggression.

In June, a large majority of members of the German Bundestag (the country’s parliament) supported Bulgaria’s admission to the eurozone. Member of the Bundestag Johannes Schraps (SPD) said that the euro was not only a means of payment but also a symbol of close economic ties and common political will in Europe.

Political will to deepen the European Union 

At the EU summit in late June 2025, European leaders backed the EU Commission’s proposal to allow Bulgaria to introduce the euro on 1 January 2026. This can be regarded as symbolic: despite national reservations and populist tendencies in several member states, there is still the political will to deepen the EU – even if the current situation does not appear conducive to enlargement. Romanian plans to adopt the euro do not specify any concrete timeline as yet. The EU member states of the Czech Republic, Poland and Hungary have put their own ambitions on ice for now. The populations of Denmark and Sweden are still opposed to introducing the euro. In 2003, the majority of Swedes had voted against adopting the euro, following the same decision by the Danes in 2000.