The draft budget for 2026 is not the budget that society expected, but the budget that reality imposes. This was stated in the studio of "The Day Begins with Georgi Lyubenov" by Deputy Prime Minister and Minister of Finance Galab Donev, quoted by novini.bg. Donev emphasized that the main policies of the current administration will be reflected only in the 2027 budget
"People expected and still expect a completely different, more radical budget - a budget that will return normality to state finances. But we must realize that we are at the end of June. This budget does not start from June 27 or July 1, but has been implemented since January 1. Until May 7, the country was governed by two different governments, which, in addition to implementing the extended budget law, also made decisions that burdened the budget with over 1.1 billion euros in additional expenses. All of this must be paid for in the 2026 budget," Donev explained.
According to him, the most important postponed reform is that in the state administration:
"Bulgaria needs a serious administrative reform. It must be carried out boldly and take into account all the changes that have occurred over the years - digitalization, e-government, the need for less duplicative structures. After a functional analysis, it will become clear which administrations can be merged, which services can be centralized and digitalized, so that citizens and businesses receive better quality service with less administrative burden."
The Finance Minister defended the decision for civil servants to gradually start paying their own personal insurance contributions, assuring that this will not reduce their net salaries:
"The maximum social security income is increasing minimally, but in return, people will receive higher benefits and higher future pensions. As for civil servants - their net income will not change. They will not lose anything. On the contrary - will pay lower income tax, receive higher benefits and in the long run will be placed under the same rules as all other workers."
He rejected the idea that the measure was ideologically motivated:
"I wouldn't say whether this is a left or right-wing policy. This is a fair measure. When the state started paying social security contributions for civil servants years ago, their salaries were reduced. Now, since society insists that they pay their personal social security contributions like everyone else, it is fair that their salaries be increased so that their net income remains unchanged."
Donev announced that the cabinet will introduce a salary cap in public enterprises:
"The limit will apply to almost all public enterprises in which the state has a stake of over 50%. It is not normal to talk every year about water shortages, unreplaced water pipes and the difficult condition of water supply companies, while at the same time their managements receive disproportionately high salaries. The same applies to state forestry enterprises. Salaries must be tied to results."
"Cut the deficit even more sharply would mean a direct blow to the economy. That is why we are looking for a balance - state finances should gradually return to sustainability, without stifling economic growth. It is precisely through higher growth that we expect more revenue in the budget."