Bulgaria C-Bank Deputy Governor Plays Down Euro-Plus 'Blunder'

Business » FINANCE | March 28, 2011, Monday // 14:38
Bulgaria: Bulgaria C-Bank Deputy Governor Plays Down Euro-Plus 'Blunder' Deputy Governor of BNB Kalin Hristov. Photo by ikonomika.org

Bulgaria's central bank deputy governor has defended the prime minister for deciding to back the Berlin-inspired project "euro-plus pact", a move harshly criticized by the opposition and local experts.

"From an economic point of view, now was not the right time to join the pact. Prime Minister [Boyko Borisov] however has more reasons for this step than just that. He is not taking into account just the economic benefits, but how the country is viewed across Europe," Kalin Hristov said in an interview for Trud Daily.

According to him Bulgaria could have lost part of its clout if it had refused to join the project, which will prompt countries to further coordinate their economic policies.

"This is a strong argument – if you are not in, you can not take part in the discussion. The prime minister has taken into account all the economic and political gains and has taken a decision on behalf of the whole country," Hristov explained.

The decision came despite the opposition of the Finance Ministry and the central bank, which feared part of the pact, such as tax harmonization, may not be in the interest of Bulgaria.

Local experts have also poured cold water on Borisov's enthusias, saying the pact is real burden for the poorer EU member states, including Bulgaria, and will significantly decrease its incentives to join the eurozone.

According to them Bulgaria is just trying to play the good pupil, but has failed to secure guarantees for its benefits.

We need your support so Novinite.com can keep delivering news and information about Bulgaria! Thank you!

Finance » Be a reporter: Write and send your article
Tags: Spain, Belgium, ireland, Latvia, Romania, government, Bulgarian, bailout fund, European Stability Mechanism, ESM, Herman van Rompuy, European Council, Euro Pact, euro-plus-pact, euro zone, Euro Area, EU, Boyko Borisov, Prime Minister, Germany, France, Angela Merkel, Nicolas Sarkozy, euro, Pact for the, Estonia, Bulgaria, European Union, European Commission
Bulgaria news Novinite.com (Sofia News Agency - www.sofianewsagency.com) is unique with being a real time news provider in English that informs its readers about the latest Bulgarian news. The editorial staff also publishes a daily online newspaper "Sofia Morning News." Novinite.com (Sofia News Agency - www.sofianewsagency.com) and Sofia Morning News publish the latest economic, political and cultural news that take place in Bulgaria. Foreign media analysis on Bulgaria and World News in Brief are also part of the web site and the online newspaper. News Bulgaria