Podcast in English
Text size
Bulgarian National Radio © 2025 All Rights Reserved

The Bulgarian National Bank (BNB) expects inflation in the country to continue to rise until the end of 2025

Photo: BTA

The lack of sufficient manpower and strong private consumption are the main reasons for inflation, according to the second "Economic Review" of the Bulgarian National Bank (BNB) for the year.

Annual inflation is 2.9%, increasing by 2.1% by May 2025 from the end of 2024. The increase is mainly due to increased prices for food and services, as well as higher labor costs of companies per unit of production. Therefore, the BNB expects the rate of increase in consumer prices to accelerate in the second half of 2025.

Economic growth in the country slowed down in the first quarter of 2025 and is 2.9% on an annual basis. It is mainly due to domestic private household consumption, which increased by 9.0% on an annual basis.

The signals of a slowdown in the chain growth of the world economy in the second quarter of this year will probably be reflected in weaker external demand for Bulgarian goods and services. 

The BNB warns that an additional negative risk may arise from the possible deepening of trade tensions between the United States and its main economic partners. These factors are a prerequisite for a decrease in economic activity in Bulgaria, given the high degree of openness of the Bulgarian economy and the large share of exports in the country's GDP.


Edited by: Ivo Ivanov
English publication: R. Petkova



Последвайте ни и в Google News Showcase, за да научите най-важното от деня!
Listen to the daily news from Bulgaria presented in "Bulgaria Today" podcast, available in Spotify.

More from category

Bulgarians spend nearly 30% of their budgets on food

Bulgarians are consuming less bread, cheese and vegetables, but more fruit, according to the latest data from the National Statistical Institute on household consumption in the third quarter of 2025, compared to the same period last year...

published on 11/17/25 11:52 AM

The Bulgarian National Bank has published clarifications on how the single currency will be written

In its “Questions and Answers” section on the introduction of the euro, the Bulgarian National Bank has published a clarification on how the single currency should be denoted and written in accordance with EU regulations. The name of the..

published on 11/14/25 10:01 AM

Bulgaria's government approves 2026 draft budget

The government approved the draft Law on the 2026  State Budget, as well as the Updated Medium-Term Budget Forecast for the 2026–2028 period. In connection with the introduction of the euro on January 1, 2026, all figures have been prepared in..

published on 11/13/25 3:35 PM