Lagarde Warns Bulgaria Over High Inflation and Public Finances

ECB President Christine Lagarde has called on Bulgaria to maintain stable public finances. She made this statement in response to a question from BTA at a press conference after the two-day monetary policy meeting in Frankfurt am Main.

Lagarde noted that Bulgaria is currently experiencing high inflation, which might be due to prices being kept on hold for a period of time finally entering the market. This is not an unusual phenomenon and divergences between Member States are normal.

The ECB President emphasized the importance of returning inflation to more acceptable levels, particularly for the Bulgarian population. She acknowledged that the situation in Bulgaria is being monitored by the ECB as part of its overall assessment of the euro area.