Bulgaria Nears Completion of Leva Withdrawal as 81% Taken Out of Circulation
As of February 6, 2026, Bulgaria continues to make steady progress in withdrawing the national currency, the leva, from circulation.
Photo: Stella Ivanova
In the first three months of 2025, 16 companies filed 18 applications for mass layoffs, impacting a total of 1,332 workers. These layoffs are carried out under a specific procedure designed to protect workers' rights, with the qualification based on the size of the company. Even relatively small layoffs, such as those affecting just a few employees, are classified as mass layoffs. Over the past two years, the number of layoffs has remained relatively steady.
Mass layoff applications have been filed in nine districts, with the highest concentration in Sofia, where 409 people are affected. However, the companies involved have not been disclosed. In Vratsa, 247 layoffs are linked to the closure of the Japanese-owned automotive cable factory, SE Bordnetze - Bulgaria, which previously employed around 950 people in the region.
Other regions affected include Plovdiv, with 337 layoffs, and Stara Zagora, where 135 workers are expected to lose their jobs. In Stara Zagora, the layoffs are likely tied to the closure of the Maritsa-Iztok 3 power plant, owned by ContourGlobal, which had already laid off 318 workers last year. The company had announced plans to restart the plant between January and March, with some workers expected to return, but those plans are limited to the winter season.
Additional layoffs are taking place in Veliko Tarnovo (86 workers), Pleven (74 workers), Pazardzhik (20 workers), Pernik (14 workers), and Kyustendil (10 workers). The Veliko Tarnovo layoffs are reportedly linked to the closure of the Deni ice cream factory, now owned by Unilever, which will move production to other countries later this year.
In 2024, 70 companies filed 75 mass layoff notifications, resulting in 5,676 job losses. The largest layoff request was from Leoni in Pleven, which planned to lay off 1,191 workers. Other significant layoffs came from ContourGlobal (318 workers) and a Plovdiv-based company (302 workers). Companies in Burgas and Sliven also made major layoffs.
Bulgaria has taken on new debt amounting to 150 million euros through the issuance of government securities, according to results published on the Bulgarian National Bank (BNB) website.
In December 2025, Bulgaria’s industrial sector showed modest growth following two consecutive months of decline, yet on an annual basis, production fell for the 13th month in a row.
In December 2025, Bulgaria’s total exports of goods rose by 2.5% compared to the same month a year earlier, reaching 6.7364 billion leva (€3.44 billion), after a contraction of 4% in November.
Villages surrounding Plovdiv are increasingly hosting Nepalese workers, brought in by local entrepreneurs to address Bulgaria’s persistent labor shortages.
The first month following the introduction of the euro and the period of dual circulation with the lev has now ended, providing a clearer picture of how the transition is unfolding.
The annual campaign for filing personal income tax returns under Article 50 of the Personal Income Tax Act is underway
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