Danovsky: The euro will support the new "matrix" for competitiveness

The new "matrix" for competitiveness is based on speed, adaptability, and the possibility for continuous innovation. In this context, Bulgaria must focus on the quality of economic growth, not just on quantitative indicators, especially in the context of the upcoming introduction of the euro on January 1.

This was stated by Deputy Minister of Innovation and Growth Martin Danovsky during the international forum iN Sofia 2025, organized by Economic.bg.

Percentages are not the most important thing. There is a difference between growth of one and a half percent and two and a half percent, there is a difference between three and a half percent and five percent. But we need to pay more attention to the quality of growth," Danovsky emphasized.

According to him, growth must be based on innovative and technological advantages that create different added value in a digital environment, with an emphasis on technological sovereignty, critical materials, and new technologies.

Martin Danovsky stressed that the introduction of the European currency on January 1 is a significant new challenge that "gives us the opportunity to get a clearer answer to the questions: What kind of growth do we want to achieve, what quality of growth do we want to achieve?"

He believes that any new system for increasing regional or national competitiveness must meet at least two of the three characteristics: speed, adaptability, and the ability to continuously update.

The Deputy Minister emphasized the importance of companies from countries catching up with Central European economies having an accessible, clear, and predictable path to the bigger stage, where all players not only have equal conditions but also have the opportunity to compete freely and create consortia and partnerships.

Modernization of existing industry

Danovsky insisted that Bulgaria should not only pursue the future of industry, but also invest in the modernization of existing businesses.

We must pay serious attention to existing industry, which, even with a fundamental accelerator such as digitization and a focus on technological renewal plus research and development, could achieve a much higher level of results," he said.

He pointed to Bulgaria's Digitalization 2030 program as a key tool, with a particular focus on two areas: strengthening research and innovation capacity and unlocking data potential.

We are critically lagging behind on a national scale in terms of accumulating high-quality, timely, and well-managed data on which to grow," he warned.

New sectors and artificial intelligence

In this context, he pointed out that new structures have been created in recent months, such as the Center for Defense Innovation and the Center for Excellence in Kazanlak.

We cannot remain indifferent to how a strong software industry and a strong automotive industry, which we have here with great engineers, cooperate with the defense sector," he said.

According to him, the greatest opportunity for Bulgaria is the applicability of artificial intelligence. "It's no longer rocket science. It's just here, and we have to use what we're creating as infrastructure," he said, adding that institutes such as INSAIT and GATE are a chance to "improve our reputation, talents, and sovereignty."

Translated with DeepL.