EditEurovision hosting: Bulgaria’s big opportunity to enhance its image and soft power
More than 160 million viewers watch the contest globally each year, offering a level of international visibility that few events can match
Hosting the Eurovision Song Contest could generate between €45m and €70m in net economic benefits for Bulgaria, according to preliminary estimates by financial company iBanFirst. According to the report the rare opportunity for Bulgaria is not only the amount of money, but to strengthen both its tourism industry and international profile.
Eurovision offers an opportunity to build international image and soft power whose effects are difficult to quantify directly but can generate long-term economic value.
Portugal used the 2018 contest to reinforce its image as a creative and welcoming tourist destination. Finland capitalised on growing Eurovision popularity to promote its music industry and cultural exports. Bulgaria could pursue a similar strategy at a time when south-eastern Europe is once again attracting investor attention.
Most of the economic gains would likely be concentrated in the host city through higher revenues for hotels, restaurants, transport operators and consumer spending. Yet the longer-term benefits could prove even more significant if Bulgaria succeeds in turning the international media attention surrounding Eurovision into a broader branding strategy.
Such a strategy would require tourism campaigns extending beyond the Black Sea coast to promote urban tourism, cultural heritage, mountain destinations and the country’s growing gastronomy scene. The aim would be to position Bulgaria as a credible year-round alternative to increasingly saturated Mediterranean markets.
The Bulgarian government is currently showing that it takes Eurovision ’27 very seriously, with Prime Minister Ivo Hristov taking charge of the organisation.
Positive narrative
Eurovision alone will not transform the Bulgarian economy, but Dara’s victory, which is the first for Bulgaria in the history of the contest, provides something rarely available in economic policy – a positive international narrative, iBanFirst analisys says.
For historic reasons, the contest has never occupied the same cultural space in Bulgaria as it does in countries such as Sweden, Greece or Belgium. During the communist period Bulgaria was part of the Intervision song contest, an Eastern European version of the Eurovision.
Some Bulgarians continue to see Eurovision as expensive, kitsch or excessively politicised, but regardless of such perceptions, the victory represents far more than a musical achievement.
At a time when Bulgaria is seeking to improve its international standing and attract investment, it also creates an unusual economic opening.
Research on Eurovision’s economic impact suggests that hosting the contest can deliver substantial short-term gains for both the host city and the wider national economy.
A study by the University of Liverpool and consultancy Amion Consulting estimated the net economic impact of the 2023 edition in Liverpool at around €64m. Estimates for Malmö, the 2024 host city, stand at roughly €39m, while projections for Basel in 2025 approach €97m, iBanFirst noted.
Hospitality is typically among the biggest beneficiaries. Data from Mastercard showed restaurant spending in Liverpool rising by approximately 11% during Eurovision, while visits to bars and clubs near the event increased by around 6%.
Hotels, retailers and transport operators also benefit from the influx of tourists, journalists, technical crews and fans. Eurovision is not merely a television broadcast but a week-long international festival attracting tens of thousands of visitors and generating hundreds of millions of online interactions.
Over the past decade, Bulgaria has attempted to move beyond stereotypes associated with cheap labour and low-cost seaside tourism. Hosting Eurovision would provide an unprecedented opportunity to reposition the country internationally.
More than 160 million viewers watch the contest globally each year, offering a level of international visibility that few events can match at comparatively limited financial risk.
The central question is whether Bulgaria can turn Eurovision from a temporary media opportunity into a longer-term economic catalyst. The experience of previous host countries suggests success depends on three factors: public support, sufficient infrastructure and a coherent tourism strategy.
Unlike mega-events such as the Olympic Games or the FIFA World Cup, Eurovision does not require large-scale new infrastructure investment. The event is expensive, but the costs remain manageable if existing infrastructure can absorb most of the organisational burden.
The likely host is Sofia
That makes the choice of host city particularly important. Plovdiv, Varna and Burgas are also candidates, but in practice only Sofia appears capable of meeting Eurovision’s logistical requirements without major additional investment.
The capital possesses Bulgaria’s largest event infrastructure. Arena Sofia can host around 18,000 spectators and already has experience staging major international concerts and sporting events. Sofia Airport is well connected to Europe’s main transport hubs, while the city offers a relatively extensive hotel base and increasingly efficient public transport, including the metro.
Sofia also enjoys another advantage often overlooked in economic assessments – affordability. Compared with western European capitals, accommodation, restaurants and entertainment remain competitively priced, making the city particularly attractive to Eurovision’s younger audience.
Beyond the economic indicators, Sofia offers the type of urban experience increasingly sought by European tourists. The city combines a lively nightlife with a rapidly developing cultural scene, while the nearby Vitosha mountain provides immediate access to nature. That combination of affordability, culture and outdoor activities could help Bulgaria diversify its tourism image beyond seasonal seaside holidays.
The country’s recent euro adoption has already boosted investor confidence by reducing transaction costs. Hosting Eurovision soon afterwards would send an additional symbolic signal: Bulgaria is no longer a peripheral market, but an integrated European economy capable of organising a major international event.
Caption: Dara of Bulgaria poses with the trophy during a press conference after winning the 70th Eurovision Song Contest (ESC) in Vienna, Austria, 17 May 2026. She won the grand final with the song ‘Bangaranga’. EPA/HANNIBAL HANSCHKE
Updated: May 23, 2026 - 06:47
