Has the euro led to more bankruptcies in Bulgaria?

The introduction of the euro in Bulgaria sparked widespread speculation about the potential consequences of the process, none of which actually materialized. As Economic.bg wrote in its special digital edition “Banking Leaders”, part of our larger project RATE, the transition to the single European currency was smooth and successful, bolstered by the sound preparation and liquidity of our banking system.

One of the major speculations was that the euro would make us “twice as poor,” and that the influx of large foreign investors would “push out” domestic businesses. On Friday, however, the National Statistical Institute (NSI) published important statistics on bankruptcies in Bulgaria for the period January–March 2026. The data shows that 1,027 companies entered insolvency proceedings during this period, including those declared bankrupt. Compared to the same quarter of 2025, this represents a 5.9% decrease, while on a quarterly basis, the figure fell by 18%.

Which sector is most affected

In the first quarter of this year, companies in the “Trade; repair of motor vehicles and motorcycles” sector were the most affected – 87.8% of the announced proceedings involved enterprises in this sector. Another heavily affected sector is that of financial and insurance activities, real estate activities, professional, scientific, and technical activities, and others.

The trend over the years

The NSI also examines the trend over the past few years. It shows a relatively stable number of enterprises that have entered or initiated insolvency proceedings. According to the graph, this number remains at around 1,000 in the first quarter of the years between 2022 and 2026.

Translated with DeepL.