Chaos in EU’s poorest country as adopting euro to ‘make things worse’

Bulgaria is set to become the European Union’s 21st member to adopt the euro (Image: Getty)

Bulgaria is set to become the European Union’s 21st member to adopt the euro, but the milestone has sparked deep unease in the bloc’s poorest country, where critics warn the move could worsen instability and push up already high living costs.

The euro is due to be adopted on Thursday, January 1, following years of pressure from successive Bulgarian governments to join the eurozone. Supporters say the switch will strengthen the economy, boost trade and investment, and anchor the country more firmly to the West at a time of heightened geopolitical tension with Russia.

Bulgaria is set to use the Euros from Thursday, January 1 (Image: Getty)

European Commission president Ursula von der Leyen hailed the decision as a symbol of “European strength and unity” after Brussels concluded Bulgaria would be ready to adopt the single currency in 2026.

She argued that euro membership would deepen economic integration, improve access to finance and ultimately support job creation and real incomes.

However, the move comes amid political turmoil. Bulgaria’s government resigned earlier this month after mass protests in Sofia, pushing the country towards its eighth election in five years.

While the unrest was not directly triggered by euro plans, public anxiety has intensified amid fears the currency change will drive up prices.

A Eurobarometer survey shows 49% of Bulgarians oppose adopting the euro, reflecting widespread scepticism, particularly in poorer rural areas.

Food prices rose 5% year-on-year in November, more than double the eurozone average, adding to concerns that households already struggling with inflation will be hit hardest.

European Central Bank president Christine Lagarde has sought to reassure consumers, saying the impact on prices would be “modest and short-lived”.

She pointed to previous euro changeovers, where inflation rose by between 0.2 and 0.4 percentage points.

But Boryana Dimitrova of Alpha Research warned any problems would be seized on by anti-EU politicians.

Speaking to AFP, she said euro-related difficulties would become “part of the political campaign”, fuelling rhetoric against Brussels.

Parliament has adopted new oversight measures to investigate sharp price hikes and curb “unjustified” increases linked to the changeover.

Analysts caution that continued political instability could delay long-needed anti-corruption reforms, undermining economic confidence.

Economist Angelov said stability would be crucial, Euractiv reports. “The challenge will be to have a government in place for at least one to two years so Bulgaria can fully benefit from joining the euro area,” it said.

Once Bulgaria joins, only six EU countries will retain their own currencies, with Romania the only one currently planning to follow.