The National Assembly finally adopted on second reading the so-called “extension law“ for the state budget, which guarantees the financial functioning of the state at the beginning of 2026. 154 MPs voted in support of the texts, 43 were “against“, and 8 abstained. The “BSP - United Left” group did not participate in the vote, the press center of the parliament announced.
A key moment in the adopted law is the decision to update the remuneration in the budgetary sphere. The MPs approved the proposal of Assen Vassilev and PP-DB for a one-time indexation of salaries that are not tied to the minimum wage. The increase will be equal to the amount of accumulated annual inflation as of December 31, 2025.
"We propose that for all those who are not on the minimum wage, there should be a one-time indexation in the amount of accumulated annual inflation as of December 31. This is fully within the budget's capabilities, because revenues grow with economic growth plus inflation growth," said PP-DB co-chairman Asen Vassilev earlier in the plenary hall.
According to preliminary data from the National Statistical Institute, the expected inflation for 2025 is around 5%.
GERB leader Boyko Borisov expressed skepticism about the effectiveness of the temporary solution. In a video message from the party headquarters, he warned that the lack of a regular budget will have serious economic consequences.
"The consequences of an extended budget will be severe, but the GERB parliamentary group will only support them", said Boyko Borisov and blamed the situation on Asen Vassilev and the PP-DB.
The adopted draft, which is essentially a Law on the Collection of Revenues and the Execution of Expenditures in 2026, is activated in the absence of an adopted regular budget by the beginning of the year. It is based on the norm of Art. 87 of the Public Finance Act and regulates:
- The collection of revenues and the implementation of expenditures;
- The provision of transfers to municipalities;
- The assumption of state debt in compliance with fiscal rules.
The aim of the legal framework is to ensure the continuity of payments for pensions, social benefits and remuneration until the State Budget Act for 2026 is adopted.