The parliamentary Budget and Finance Committee has approved the government's proposal to raise the national debt ceiling to 3.8 billion euros. The measure passed with 13 votes in favor, three against, and five abstentions.

During the discussion, Deputy Prime Minister and Finance Minister Galab Donev defended the proposal, linking the increase to upcoming obligations under already signed Recovery and Resilience Plan contracts, as well as the need to maintain liquidity and ensure access to international financial markets. He stressed that the government aims to keep the budget deficit as low as possible and clarified that the 3.8 billion-euro ceiling represents a maximum limit rather than an automatic borrowing requirement.

?The debt of 3.8 billion euros covers almost 3 percent of the deficit,? Donev told lawmakers, emphasizing that borrowing would be used only if necessary.

Opposition voices in the committee strongly criticized the plan. Vladislav Panev of Democratic Bulgaria rejected the proposal, arguing that the country's financing needs are significantly lower than the amount requested, and confirmed that his party would also oppose it in plenary. Martin Dimitrov raised concerns over the lack of clarity regarding the deficit outlook, warning that projections appear unstable.

?The forecast of 7.4 percent sounds very alarming, but we believe that with political will the situation can be improved,? Dimitrov said, urging the government to present a clearer deficit reduction strategy ahead of the 2026 budget proposal.

Asen Vassilev from ?We Continue the Change? also opposed the ceiling increase, arguing that the state should avoid excessive borrowing while the budget is still not finalized. He warned that higher debt would lead to significant interest costs and accused the administration of creating unnecessary financial pressure.

?We should take on the minimum possible debt,? Vassilev said, adding that expected European inflows and other instruments could reduce the need for additional borrowing. He estimated that under full implementation of existing programs, the required financing gap would be substantially smaller than projected.

Representatives of ?Revival? also rejected the measure, with Tsoncho Ganev questioning the volume of loans already taken since the beginning of the year and stating that the party would not support any new borrowing. GERB MP Vladislav Goranov, meanwhile, asked the finance minister about the level of the country's credit default swap risk premium, reflecting broader concerns about fiscal stability.