Overview:
Tens of thousands of young Bulgarians have taken to the streets to protest a controversial budget proposal tied to the country’s planned transition from the lev to the euro. Fueled by inflation fears, long-standing corruption allegations, and distrust in state institutions, the demonstrations have spread across major cities and prompted the government to withdraw the proposed budget. As Bulgaria moves closer to eurozone membership in 2026, economic uncertainty, political instability, and geopolitical pressures continue to shape public opposition.
Youth-led Protests
Tens of thousands of young Bulgarians took to the streets to protest a widely panned budget plan. This budget coincides with Bulgaria switching its currency from the lev to the euro. Many Gen Z protests have been seen across the globe in the face of political stagnation, electoral authoritarianism, and democratic backsliding. Bulgaria has shared many of these motivations and has also adopted the unifying symbol of the Jolly Roger flag from the anime One Piece. These dynamics are now clearly visible in the current protests in Bulgaria.
Budget
The budget in question proposed tax hikes and an increase in social security contributions. Bulgaria is set to join the eurozone, or the group of countries that use the euro as their currency, on Jan. 1, 2026. The controversial budget proposal planned to fund state spending through tax increases on businesses and individual citizens. The proposal was poorly received.
Bulgaria is currently contending with inflation and is likely to see further increases during the currency transition. Furthermore, there is a widespread perception of corruption in the Bulgarian state and a general distrust of state institutions. This means that even if Bulgarians supported increased state spending, many would remain doubtful about how the funds would be appropriated.
Corruption
There is a strong belief in Bulgaria that the political decision-making process is affected too heavily by oligarchic influence. Figures such as Delyan Peevski and Boyko Borisov, both members of the National Assembly of Bulgaria, exemplify public concern over alleged corruption.
Peevski has been accused of bribery, uneven control over state institutions, and influence peddling. He is alleged to use his position to trade political favors for wealth and influence. Borisov has faced repeated allegations of influence peddling and misuse of government funds. He has never faced formal criminal charges. However, the frequency and volume of accusations have contributed to continued public skepticism.
Both figures exemplify the distrust many Bulgarian citizens hold toward their government. Many doubt that state institutions act in the public’s best interest when implementing such budgetary changes. There is a prevailing feeling that state institutions serve oligarchs rather than public welfare.
Protests
Protests in Bulgaria over the budget proposal and long-standing grievances surrounding corruption began in late November and continued into early December. In Varna, Burgas, Plovdiv, Blagoevgrad, and the capital city of Sofia, tens of thousands of people turned out to demonstrate.
On Dec. 1, frustrations escalated into clashes with police, vandalism, and multiple arrests, according to local and international media reports. It may have been these developments that prompted Bulgarian officials to withdraw the budget proposal from the approval process. Efforts to draft a new budget are expected to face intense public scrutiny and could reignite social tensions and renewed protests.
Currency Concerns
Bulgaria has received approval from the European Commission and the European Central Bank to become the 21st country to join the eurozone. The Bulgarian government has made eurozone accession a top policy priority, stating that the move would encourage growth and provide greater economic stability.
This has been a long-term goal for Bulgaria. The country has experienced consistent economic growth in recent years but continues to face challenges such as high inflation, structural weaknesses, and youth unemployment.
Bulgaria’s Concerns
The country has been plagued by short-lived administrations and frequent elections. These trends have been driven largely by endemic corruption and fragmentation among political parties.
Frequent government collapses have been fueled by institutional weaknesses and corruption, which have undermined political stability. Critics argue that corruption and ongoing policy disruption cast doubt on whether any positive effects from eurozone accession would reach ordinary citizens.
There remains concern among economists regarding short-term inflationary pressures that could arise during the transition from the lev to the euro. While economic benefits may eventually materialize, the immediate effects could negatively impact consumers through economic overheating and increased demand.
Rising housing prices, wage increases that outpace productivity, and strong credit growth are all factors that can contribute to economic overheating, which occurs when an economy grows at an unsustainably fast rate. More efficient trading and lower financing costs could further boost demand and place upward pressure on prices.
Citizens are also contending with Russian disinformation campaigns, which analysts say amplify fears about the loss of political agency and national sovereignty to perceived power centers in Brussels and Frankfurt. Given the mixed public perception of the currency change, political analysts warn it could strengthen anti-EU and populist parties in Bulgaria, further fragmenting the country’s political landscape.
Russia’s Concerns
Russian strategic interests stand to weaken with Bulgaria’s accession to the eurozone. On a geopolitical scale, analysts note that Russia seeks to maintain influence over post-Soviet and Eastern Bloc states by keeping them economically and politically unstable or reliant on Moscow.
Bulgaria’s move toward eurozone membership is widely viewed as a step toward deeper Western integration. It strengthens the European Union’s regional influence while further distancing Bulgaria from Russian economic and political leverage.
Conclusion
The European Union has sought to ease public fears surrounding the euro by presenting the currency as a long-term safeguard. Under the euro, trading, borrowing, and currency exchange would become less cumbersome and carry fewer structural inefficiencies. The euro is framed as a source of stability that can protect against external economic shocks.
In the short term, however, significant concerns remain about the potential negative effects on ordinary Bulgarians. Critics argue that if systemic corruption is not addressed, budget proposals defeated today could reemerge under different names tomorrow. Without careful oversight, they warn the benefits of eurozone membership could primarily benefit the state and powerful economic elites rather than the broader population.
Sources:
BBC News. “Bulgaria Ditches Budget Proposal Amid Protests.”
Politico. “EU Addresses Skeptical Bulgarians.”
Finance Unlocked. “Overheated Economy.”
CNBC. “Is Bulgaria Joining the Eurozone a Good Idea?”
Radio Free Europe/Radio Liberty. “Protests Erupt in Bulgaria.”
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