Bulgaria – New Outlook
Bulgaria seems to be finding its way out of the recent parliamentary crisis. The politically unstable environment gradually turned into a parliamentary crisis that is to be handled with the office of the new temporary government which main priorities (apart from election organization) include economic re-start and fiscal restoration.
The new temporary government will pursue not only to end the parliamentary crisis, but also conduct an active economic policy with an impressive number of its members having an economic education or experienced in the field.
Restoration of all European program payments
An important course that is to be instigated by the temporary government and continued by the regular one in October is putting a lot of effort into the restoration of stopped transfers from particular European programs. These payments are crucial for the national economy due to their specific role of direct foreign investments in the form of subsidies to the national budget. The parliamentary crisis end should contribute to the normalization of this process and the ultimate success in this difficult task.
Update/Revision of the state budget
Another challenge that is to be met with the parliamentary crisis end is the independent assessment of the state budget taking the necessary steps according to the results. That would guarantee a longer-term financial stability of the country which used to be the main accumulator of foreign investment capital.
Accession in the common EU bank union
Recent events with one of the Bulgarian banks clearly indicated the country’s need for strong international support in banking terms (in addition to the International Monetary Fund guarantees). A national priority before future governments will be Bulgaria’s accession in the common EU bank union and at a later stage, of course, the submission of the euro as a national currency unit.
Beyond doubt, Bulgaria is already moving in the right direction to stabilization in political, financial, banking and fiscal terms. This process should re-gain the country’s image regarding its good EU positions in foreign investments per capita and actual economic growth.