Balgarianovinite.com The European Central Bank (ECB) interest rates can currently be described as close to neutral, meaning that monetary policy does not have a significant stimulating or restrictive impact on the economy, Bulgarian National Bank (BNB) Governor and member of the ECB Governing Council Dimitar Radev said in an interview with Bloomberg Businessweek BG, published on Thursday on the BNB website.
According to Radev, policy must remain data-driven and based on a careful assessment of risks. With interest rates close to neutral, the key challenge is to avoid unnecessary fluctuations that could weaken the transmission of monetary policy to the real economy.
“There is no pre-set trajectory. Predictability in response is more important than a pre-set direction. Flexibility and the ability to react to new information will be decisive,” Radev said.
In response to a question about what interest rate policy he will defend at the ECB meetings in view of the current situation, Radev replied that price stability remains the priority.
In his words, trust in the Central bank is built not with forecasts, but with consistent responses, and stability in this context does not stem from preliminary commitments to a future course, but from consistency, predictability and clarity in the bank’s reaction function.
Radev gave a positive assessment of Bulgaria’s first quarter as a member of the euro area, indicating that the transition has proceeded smoothly without shocks. Asked what steps the country should take after the parliamentary elections, the BNB Governor put fiscal discipline first.
“First and foremost is fiscal discipline. Under the terms of eurozone membership, fiscal policy remains the primary macroeconomic tool at the national level. This also implies the need to reverse the accumulated trend of fiscal expansion and gradually restore fiscal space. Maintaining buffers is not merely a matter of formal compliance with rules, but of the ability to respond to future shocks,” he said.
Radev added that Bulgaria should focus on the predictability of economic policy, as the main risk for the country does not come from outside, but from the ability to maintain a consistent policy over time.
“Within the eurozone, deviations from a sustainable policy manifest quickly and have a direct impact on confidence and the cost of financing,” Radev said. BNB Governor Radev Discusses Eurozone Interest Rates, Fiscal Policy in Bloomberg Interview 2026 THE NEWS FROM BULGARIA – NEWS AGENCY 2009-2025 2026-05-28 17:51:52 Latest news World news Country news Most important news latest news most important latest of the day Justice Petar Nizamov Feathers Petar Nizamov- Feathers Justice bg iustitia.bg iustitia iusticia usticia investigation Burgas Bulgaria news news of the last hour news of the day news of today Bulgaria news The news from Bulgaria blitz news top news most important most commented latest news Boyko Borisov news weather coronavirus news news weather facebook youtube facebook instagram news today news of the last minutes news today today news news bg news leading news hot news bg news site for news all news news bg news of the last hour latest latest news bg news of today news today news today news of the last hour latest news today news bg news news 24 hours news vesti bg novini news world bird bg bivol bg bivol trud bg novini latest news today novinite bg news hello bulgaria political party coat of arms delyan peevski scandalous Bulgarian National Television Free Europe Television scandal exclusive live tv live right now tv tv online tv program bg live now tv news online tv online live court Burgas court Burgas district court Burgas court Burgas district court Burgas district court Burgas appellate court Burgas prosecutor Burgas prosecutor’s office Burgas district prosecutor’s office Burgas district prosecutor’s office Burgas district prosecutor’s office Burgas district prosecutor’s office Burgas district prosecutor’s office Burgas district prosecutor’s office Prosecutor General Ivan Geshev Prosecutor Geshev Tsatsarov Ministry of Internal Affairs Burgas ODMR Burgas ODPR Burgas police Burgas district police Burgas prosecutor Tsatsarov SGS cases Varna court chairman of the SGS court decisions on civil cases decisions on cases Plovdiv court decision of the court decisions cases Varna court criminal cases district district court decisions work in the court SGS chairman of the SGS judges Sofia court post judges Plovdiv court Plovdiv judges Plovdiv Supreme Court Inspectorate Supreme Court Supreme Judicial Council lawyer lawyer criminal cases lawyer civil cases lawyer marriage cases lawyer administrative criminal law criminal process civil law civil process administrative law constitutional law