MEP Penkova: Bulgaria Ready for the Eurozone, Warns of Missed EU Funds Without Reforms

Tsvetelina Penkova, Bulgarian MEP from the Socialists and Democrats group and secretary for international affairs of the Bulgarian Socialist Party, discussed Bulgaria's European trajectory in an interview for BNR’s “Nedelya 150.” Key topics included eurozone accession, inflation, EU integration of North Macedonia, and delays in the Recovery and Resilience Plan.

Penkova expressed full confidence that Bulgaria will receive broad political backing in the European Parliament ahead of the crucial July 8 vote on eurozone entry. She pointed out that the major pro-European parties stand behind Bulgaria’s accession, highlighting a shared commitment to deeper integration.

Addressing accusations of falsified data in the convergence report, Penkova firmly rejected them. She stressed that the report was drawn up by the European Central Bank and the European Commission - two institutions whose authority and impartiality rule out any manipulation of the figures. She explained that the inflation criterion is not based on an arbitrary number, but on a dynamic benchmark: no more than 1.5% above the average of the three EU countries with the lowest inflation rates.

Penkova emphasized that Bulgaria’s inflation is within this range and that the surge in prices stems from broader global disruptions. According to her, inflation began rising as early as 2020 due to pandemic-related supply chain problems. This was later exacerbated by the war in Ukraine and the resulting energy crisis - developments beyond the control of any individual EU member state.

In the context of North Macedonia’s EU path, Penkova discussed a sensitive political issue - references to language and identity in the EU's progress report. She reported that Bulgarian MEPs, with the support of the Socialists, the EPP, and the Liberals, had agreed to propose amendments eliminating these references. Describing their inclusion as a political overstep and an alarming precedent, she suggested that such language may have been influenced by outside pressure. Penkova said that this issue provoked strong reactions across the European Parliament, and that the Socialists were central to building consensus around Bulgaria’s position.

On domestic EU funding matters, Penkova warned of the risk Bulgaria faces in accessing Recovery and Resilience Mechanism funds. She criticized the ongoing political stalemate in parliament for stalling much-needed reforms. These delays, she said, put vital European funding at risk - funding intended to support citizens, small and medium-sized businesses, and industrial development.

At the European level, Penkova noted that only half of the available Recovery and Resilience funds have been invested across member states. To address this, the European Parliament - driven by Socialist initiative - passed a resolution extending the implementation deadline to February 2028. She called this extension critical for Bulgaria and other smaller countries, where administrative capacity often hampers the efficient use of EU funds.

Penkova urged that these funds be directed where they are most needed: toward economic growth and public benefit. She reaffirmed the Bulgarian Socialist Party’s role in advancing reforms to ensure the effective and transparent use of European resources.

Source: BNR