Balgarianovinite.com Bulgaria’s cash-basis budget deficit is expected to reach EUR 3 billion at the end of August, the Finance Ministry said on Tuesday. Preliminary data and estimates put the negative balance under the Consolidated Fiscal Programme (CFP) at 2.4% of projected GDP at the end of August.
The Finance Ministry said the month-on-month deterioration in the budget balance in August was mainly due to substantial investment payments under the National Recovery and Resilience Plan (NRRP) being concentrated in August to meet the final eligibility deadline of August 31, 2026, together with significant expenditure on their implementation. Cash-basis expenditure under the NRRP is expected to continue putting pressure on the CFP deficit until Bulgaria receives the fifth payment from the European Commission.
Revenue, grants and donations under the CFP are expected to total EUR 30.1 billion at the end of August, representing 60.7% of the annual estimates under the 2026 State Budget Act and an increase of EUR 3.2 billion, or 11.9%, from the same period of 2025. Tax revenue contributes to this growth, rising in nominal terms by EUR 2.2 billion, or 10.1%, compared with the same period of 2025, while receipts from grants and donations are up by EUR 1.5 billion. Non-tax revenue is EUR 0.5 billion lower than in the same period of 2025, mainly because of lower dividend income from state-owned enterprises in 2026 (an interim dividend for financial year 2025 was remitted in 2025, correspondingly reducing dividend receipts in 2026).
Expenditure under the CFP, including Bulgaria’s contribution to the EU budget, totals EUR 33.1 billion through August 2026, equivalent to 58.3% of the annual estimates. For comparison, expenditure under the CFP through August 2025 totalled EUR 29.6 billion. The increase is concentrated mainly in social security and health insurance payments, including pensions, as well as personnel expenditure, capital expenditure and other items. The main factors behind the increase are higher pension spending following indexations under the Swiss rule on July 1, 2025 and July 1, 2026; the minimum wage increase in January 2026; pay rises matching the accumulated inflation rate for 2025, effective from January 2026; and substantial growth in capital expenditure due to the implementation of investments and projects under the NRRP and the Municipal Investment Programme, among other factors.
The portion of Bulgaria’s contribution to the EU budget paid from the central budget as of August 31, 2026 amounts to EUR 0.8 billion, in line with the legislation governing the EU’s own resources.
At the end of July 2026, the cash-basis budget deficit stood at EUR 2.201 billion. The negative balance under the CFP was equivalent to 1.8% of projected GDP.
Parliament adopted the 2026 State Budget Act on July 24, 2026. It projects a general government deficit of 5.7% of GDP, sets the ceiling for new government borrowing at EUR 10.1 billion and caps government debt at EUR 37.7 billion, or 30.1% of GDP. The fiscal reserve must be at least EUR 2.6 billion at year-end.
On July 10, 2026, the Council of the European Union opened an excessive deficit procedure for Bulgaria. The country must present corrective measures by October 15, 2026 and bring its deficit below the EU’s 3% of GDP threshold by 2029.
Finance Ministry Expects Budget Deficit of EUR 3 Bln by End-August 2026 THE NEWS FROM BULGARIA – NEWS AGENCY 2009-2025 2026-09-01 17:43:22
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
БЪЛГАРИЯ НОВИНИТЕ – ИНФОРМАЦИОННА АГЕНЦИЯ 2009-2026 2026-09-01 17:43:22