european-semester-documents-bulgaria

European Spring Package 2026

The European Semester is an annual exercise that coordinates the EU's economic and social policies. Based on the analysis conducted every year by the Commission, each Member State receives a set of Country Specific Recommendations (CSRs), where policy action is needed. In Bulgaria, these include:

Bulgaria implemented measures and reforms to prepare for euro adoption in January 2026, with benefits expected to materialise in the coming years. At the same time, rising spending pressures and low tax revenues pose risks for fiscal sustainability and highlight the need for improving tax fairness, tackling the shadow economy and enhancing revenue collection.
Social protection has been strengthened through a minimum income scheme reform and higher wages. However, high poverty and social exclusion call for better integrated employment and social services, community- based long-term care, and more effective minimum income support. Shifting resources from hospital-based towards outpatient care, reducing out-of-pocket payments, and addressing shortages and uneven distribution of health professionals will strengthen healthcare effectiveness and accessibility.
Bulgaria made good progress in liberalising the wholesale electricity market and investing in large capacities of battery storage. However, high energy costs and continued reliance on fossil fuels call for further decarbonisation of the electricity system by accelerating renewables roll-out (notably onshore and offshore wind), improving flexibility of supply and demand, and modernising electricity grids and district heating systems. Stronger energy sector corporate governance, phasing-out fossil fuel subsidies, addressing energy poverty and broader efforts towards industrial decarbonisation and climate resilience will further support this transition.
Bulgaria made steps in digitalising public services, reforming procurement procedures, and strengthening research, innovation and SME digitalisation frameworks. Improving the functioning of public administration, the anti- corruption enforcement and judicial independence, the quality and effectiveness of public procurement and the functioning of regulators, can boost growth
Long-term competitiveness depends on stronger human capital, which can benefit from competence-based learning, improved teaching quality, more inclusive and labour-market relevant education and training systems to address persistent labour and skills shortages.

European Semester Spring Package 2026 - Two-page summary

Country report

Published as part of the Spring Package, country reports provide a detailed analysis of each Member State’s economic and social developments and challenges and assess the extent these are addressed by national policies. Additionally, the reports review the implementation of country-specific recommendations from previous Semester cycles.

2026 Country Report - Bulgaria

Country-specific recommendations

Published as part of the Spring Package, the Country-specific recommendations (CSRs) provide tailored guidance to each Member State, suggesting socio-economic and fiscal policy actions to be taken over the next year. The Commission develops the CSRs based on the country reports and its review of the national policy plans submitted by Member States. The draft recommendations are then further discussed by the Council which reaches consensus on a final version over the summer.

The recommendations focus on policy areas that face persistent challenges or are only partially addressed by national policy plans. CSR can cover a wide range of topics, including public finances, pension system reforms, education, innovation challenges, job creation or addressing unemployment.

2026 European Semester:
Country Specific Recommendations / Commission Recommendations

Draft budgetary plan

By mid-October, eurozone Member States are required to submit their draft budgets for the following year to the Commission and the Eurogroup. The Commission assesses their compliance with the CSRs, the agreed net expenditure path and the requirements of the Stability and Growth Pact.

Draft budgets that do not align with past CSRs are addressed in the Opinions on the Draft budgetary Plans, published as part of the Autumn Package. Member States adopt their new national budgets at the end of the year.

Draft budgetary plans 2026

National reform programme (until 2023)

After receiving guidance from the Autumn Package, Member States submit their national policy plans for assessment ahead of the Spring Package. The national reform programme outlines the structural economic reforms that the Member State intends to implement, with a focus on future policies to strengthen employment and growth and prevent or correct macroeconomic imbalances. The programme should also indicate how the planned policies comply with the country-specific recommendations of previous European Semester cycles.

As of 2024, the national reform programmes will be replaced by the medium-term fiscal structural plans.

General publications (26 April 2023):
Bulgaria - National Reform Programme 2023