NSI reports slowdown in inflation in Bulgaria

Annual inflation in Bulgaria slowed to 3.5% in April, according to data from the National Statistical Institute (NSI) published on Thursday. According to the data, there has been a slowdown in price growth, which last month remained at 4%.

On a monthly basis, there was deflation of -0.8%, following an increase of 0.2% in March.

Otherwise, inflation since the beginning of the year (April 2025 compared to December 2024) is 1.9%, while average annual inflation for the period May 2024 to April 2025 compared to the period May 2023 to April 2024 is 2.7%.

The news of slowing inflation in the country is more than welcome at a time when Bulgaria is trying to prove to the European Commission and the European Central Bank (ECB) that it can keep prices stable. There are just over two weeks to go before the publication of the extraordinary convergence report from Brussels. It will show our country's readiness for membership in the eurozone, which is why every economic indicator carries weight until its publication.

Inflation is one of the so-called Maastricht criteria that Bulgaria must meet for nominal convergence for the introduction of the euro.

Earlier this month, President Rumen Radev submitted a proposal to the National Assembly to hold a referendum on the euro. This sparked speculation that, according to unconfirmed information, Brussels had warned Bulgaria that it could halt the process of our transition to the euro because of the referendum. On Tuesday, however, Finance Minister Temenuzhka Petkova assured that this was not the case and that plans to introduce the euro remain in place.

Official data from the European statistical service Eurostat is due to be published on 19 May (Monday).

What is becoming most expensive

Prices of goods and services in the following consumer groups are higher:

• ‘Clothing and footwear’ - an increase of 7.9%;
• ‘Food products and non-alcoholic beverages’ - 0.4%;
• “Education” - 0.3%;
• ‘Restaurants and hotels’ - 0.3%;
• ‘Alcoholic beverages and tobacco products’ - 0.2%.

A decrease was registered in the following groups:

• ‘Healthcare’ - a decrease of 8.8%;
• ‘Communications’ - 3.6%;
• “Transport” - 2.6%;
• ‘Recreation and culture’ - 1.6%;
• ‘Furniture, household goods and services for the home and for routine household maintenance’ - 0.7%;
• ‘Miscellaneous goods and services’ - 0.3%;
• ‘Housing, water, electricity, gas and other fuels’ - 0.1%.

Translated with DeepL.