Bulgaria's economic indicators are in line with the reference criteria required for adopting the euro, the European Central Bank (ECB) said.
The harmonized index of consumer prices in Bulgaria was 2.7% in the reference period from April 2011 to March 2012, below the reference value of 3.1% for the criterion on price stability, ECB said in its convergence report.
The general government budget balance showed a deficit of 2.1% of GDP in 2011, below the 3% reference value, while the general government gross debt-to-GDP ratio last year stood at 16.3%, below the 60% reference value. Long-term interest rates were on average 5.3% over the April-March reference period, below the 5.8% reference value, the report said.
"Achieving an environment conducive to sustainable convergence in Bulgaria requires, among other things, the conduct of economic policies geared towards ensuring overall macroeconomic stability, including sustainable price stability. [...] Bulgarian law does not comply with all the requirements for central bank independence, the monetary financing prohibition, and legal integration into the Eurosystem," the bank said.