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The Bulgarian government withdraws its 2026 budget following protests but refuses to resign

The prime minister framed the coming months as decisive for Bulgaria’s external orientation, particularly with regard to joining the eurozone

Krassen Nikolov EUalive December 3, 2025 06:59

Bulgaria has entered a volatile political moment after Monday night’s mass anti-government protest drew tens of thousands of people across Sofia and other major cities. The demonstrations, driven by public frustration with corruption and political stagnation, quickly escalated into a broader test of the government’s legitimacy ahead of the country’s anticipated entry into the eurozone.

Nationwide fury: Bulgarians take to the streets against corruption and the 2026 budget

The peaceful rally in Sofia was followed by vandalism against the headquarters of the Movement for Rights and Freedoms (DPS) and a GERB party club, as groups of provocateurs set fire to rubbish bins with no immediate police intervention. The images reignited long-standing concerns about institutional complacency and the blurred lines between political power, security structures and street-level provocations.

On Tuesday, Prime Minister Rossen Zhelyazkov signalled that his government has no intention of resigning or reshuffling ministers. Speaking after a coalition council meeting, he framed the coming months as decisive for Bulgaria’s external orientation, particularly with regard to joining the eurozone. According to him, this step is the culmination of the country’s integration into the European Union, even as “various forces are attempting to divert Bulgaria from this choice”.

Zhelyazkov urged society to “enter 2026 calmly”, acknowledging errors in the government’s withdrawn draft budget but stressing that the cabinet “has no right to abdicate” in the run-up to significant decisions on monetary integration. He characterised the protests as driven less by politics and more by “a social, human need for dialogue and tolerance”, describing them as an expression of young people seeking their place in Bulgaria’s future. Notably, he did not mention that the public anger is primarily directed at DPS leader Delyan Peevski – sanctioned for corruption by both the U.S. and the U.K., and GERB leader Boyko Borissov, seen by many as symbols of entrenched political impunity.

Earlier in the day, the government formally announced that it would ask parliament to withdraw the 2026 state budget draft, along with the budgets of the National Health Insurance Fund and the state social security system. A new budget procedure will follow once lawmakers vote, the statement said. In the revised drafts, the cabinet will drop the proposed two-point increase in social security contributions, the higher dividend tax and the linkage of certain public-sector salaries to the national average. These concessions followed renewed talks between the finance ministry, trade unions and employers’ organisations.

For the pro-European coalition We Continue the Change – Democratic Bulgaria (PP-DB), however, the withdrawal of the budget is insufficient. The alliance is demanding the government’s resignation by the end of the week, arguing that the cabinet has lost moral and political authority. PP leader Assen Vassilev announced in a video address that a no-confidence vote will be filed on Friday, 5 December, accompanied by new protests during next week’s parliamentary debate. “People want the resignation of this government and for Borissov and Peevski to leave politics”, Vassilev said. “If the cabinet does not resign, we will proceed with the vote”.

President Rumen Radev added further pressure with a sharply worded address. Declaring the government “outworn” and its resignation “urgent”, he argued that early elections are now “the only way forward”. According to Radev, Bulgarians have risen “against a hijacked state, corruption and lawlessness, against governance through money, kompromat and fear”. He warned political and economic elites not to underestimate either the persistence of older generations or the determination of young protesters “who care about Bulgaria”.

Amid mounting criticism of police handling of the demonstrations, Sofia police chief Lyubomir Nikolov defended the force’s response as “perfectly executed in the most humane way”, highlighting the absence of serious injuries as evidence of professionalism. He reported that 71 provocateurs and aggressors had been detained, including nine minors. Three police officers were injured, and fifteen police vehicles were damaged.

Nikolov argued that the unrest escalated after protesters moved unexpectedly toward DPS’s new headquarters, bypassing pre-established security planning. He also confirmed the arrest of the son of prominent businessman Atanas Bobokov for igniting a rubbish bin, and said another detainee was found carrying BGN 31,000 (15 850 euro) in cash labelled with the names of central Sofia streets – money allegedly intended for distribution to various individuals.

Caption: Prime Minister Rossen Zhelyazkov (third frol left) said his government has no intention of resigning or reshuffling ministers. [Dnevnik]

Updated: December 3, 2025 - 06:59

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