Bulgaria Becomes the 21st Country to Join the Euro

On New Year’s Day, Bulgaria became the 21st country to join the euro currency union, further deepening its integration into the European Union.

However, the historic milestone arrives amid political instability and public skepticism fueled by fears of price increases, Veselin Toshkov and David McHugh reported for the Associated Press (AP).

A separate poll conducted between Oct. 9 and Nov. 3 showed that about half of Bulgarians opposed the single currency, with 42% supporting it.

Supporters of replacing the lev with the euro are hailing the move as one of Bulgaria’s greatest achievements since its 1989 transition from a Soviet-style economy to democracy and free markets.

They hope the change will attract investors and strengthen the country’s ties with wealthier Western Europe.

Many Bulgarians, however, remain uneasy in a nation where corruption is widespread and trust in authorities is low. A key concern is that merchants will round prices up or exploit the currency changeover to push inflation higher, at a time when inflation has rebounded to 3.7%.

A March EU Eurobarometer poll found that 53% of 1,017 respondents opposed joining the eurozone, while 45% were in favor.

A separate poll conducted between Oct. 9 and Nov. 3 showed that about half of Bulgarians opposed the single currency, with 42% supporting it.

The margin of error for the March poll was plus or minus 3.1 percentage points.

The Bulgarian government completed the euro adoption process after reducing inflation to 2.7% earlier this year to meet EU requirements and secure approval from EU leaders.

That achievement, however, was followed by a renewed period of political turmoil.