## Bulgaria: Selected Issues

_IMF Staff Country Reports, June 13, 2024_

## Source details

**Canonical URL:** [Bulgaria: Selected Issues](https://www.imf.org/en/publications/cr/issues/2024/06/13/bulgaria-selected-issues-550274)

## Other formats

- [Markdown version](/en/publications/cr/issues/2024/06/13/bulgaria-selected-issues-550274/index.md)
- [Structured JSON version](/en/publications/cr/issues/2024/06/13/bulgaria-selected-issues-550274/index.json)
- [Bundle manifest](/en/publications/cr/issues/2024/06/13/bulgaria-selected-issues-550274/bundle-manifest.json)

## Bibliographic details
- Published: June 13, 2024
- Series: IMF Staff Country Reports
- DOI: https://doi.org/10.5089/9798400277757.002

---

### Overview
- Focus: the Bulgarian pension system.
- Content: provides an overview of the pension system and describes measures taken in the last decade to increase its financial sustainability.
- Emphasis: highlights how the measures taken during and after the Coronavirus disease 2019 (COVID-19) pandemic structurally affect the financial sustainability of the pension system.
- Additional focus: shows that the recent measures compound the long-term pressure related to an aging population and details policies that could contain the projected increase in pension spending.

### Key findings
- During the COVID-19 pandemic, the Bulgarian authorities increased pensions substantially to support pensioners’ living standards and aggregate demand.
- These pension increases have become permanent and improved the adequacy of pensions.
- The permanent pension increases, not matched by revenue measures, have widened the deficit of the pension system.
- The recent measures compound long-term pressure from an aging population on pension finances.

### Fiscal impact and sustainability
- The widened pension system deficit stems from increased permanent pension outlays without corresponding revenue measures.
- Long-term pressures remain due to demographic aging, implying projected increases in pension spending unless contained by policy.

### Policy recommendations and reforms
- Reforms that increase the incentives to contribute to the pension system and thus revenue would improve the financial sustainability of the pension system and reduce fiscal risks.
- The paper details policies that could contain the projected increase in pension spending (specific policies are described in the full paper).

---

## Content in this bundle

- **Bulgaria: Selected Issues; IMF Country Report No. 24/164; May 10, 2024**
  - [Bulgaria: Selected Issues; IMF Country Report No. 24/164; May 10, 2024 (Markdown version)](/-/media/files/publications/cr/2024/english/1bgrea2024002.pdf.md){rel="alternate" type="text/markdown"}
  - [Bulgaria: Selected Issues; IMF Country Report No. 24/164; May 10, 2024 (PDF)](/-/media/files/publications/cr/2024/english/1bgrea2024002.pdf){rel="external" type="application/pdf"}

---

_Source: https://www.imf.org/en/publications/cr/issues/2024/06/13/bulgaria-selected-issues-550274_