Bulgaria’s annual inflation rises to 6.1% in October

Annual inflation in Bulgaria rose to 6.1% in October, up from 5.7% in September, the National Statistical Institute said, BTA reports.

“The impact of the energy shock may prove more persistent than expected. Its indirect and second-round effects therefore need to be monitored particularly closely. We should not wait for them to materialise fully before assessing whether further action is needed,” Bulgarian National Bank Governor Dimitar Radev told the international financial forum OMFIF, taking place in Sofia.

Radev added that fiscal policy was particularly important in a challenging economic environment. Changes to the rules governing business could undermine confidence and constrain investment and financing, the central bank governor stressed.

His remarks follow the government’s proposal for a one-off 33% tax on so-called excess profits in 2027, including those of banks.

Editor: Ivo Ivanov