Bulgaria to join euro area on 1 January 2026

https://www.ecb.europa.eu//press/pr/date/2025/html/ecb.pr250708~b9676a9fa8.en.html

Discussion

decimalenough
Credit where credit is due: the EU gets a lot of flack for being bureaucratic, hidebound, sclerotic, whatever, but the single currency has been a success and it's still expanding, 26 years after its creation.

Also, the addition of Bulgaria means it's almost possible to travel from Spain to Greece entirely through the Eurozone, with only a thin sliver of Serbia or Macedonia in the way. (Assuming we include Montenegro and Kosovo in the Eurozone: technically they aren't, but for all practical purposes they are.)

It'll also be interesting to see who's next. Czechia is not far off but doesn't seem to be in a hurry, while Romania wants in but still seems to be a ways off. Poland and Hungary will stay outside unless there are major political changes.

throw0101a
> Credit where credit is due: the EU gets a lot of flack for being bureaucratic, hidebound, sclerotic, whatever, but the single currency has been a success and it's still expanding, 26 years after its creation.

For certain definitions of "success". The 2010s weren't such a great time:

* https://en.wikipedia.org/wiki/Euro_area_crisis

The EU isn't as integrated (e.g., labour mobility) as other currency areas, and so problems in one region are harder to fix.

cik
I think there's a reality for (visiting) consumers, Schengen has more value than the currency union, at least if you're not a user of cash.

My experiences in non-Euro, Schengen countries is that all payment terminals offer me the choice to pay in Euro or the local currency. In many cases in tourist areas (of Czechia, Poland, and Bulgaria) I only encountered terminals that asked for payment in Euro.

Strom
Schengen is incredibly useful, especially if you have to transit through several countries. It's also true that the decrease in cash usage has reduced the benefit of the euro.

However, the benefits of a single currency go beyond cash. It's also about understanding prices. You see a sign for coffee and it's 1199 Hungarian Forint -- or it's 14.99 Polish złoty. It's not clear at all what those numbers mean. Sure it's possible to pull out a currency calculator app to see what the rate is today and what it means in euros. It's not an insurmountable problem, but it is bigger than a mere inconvenience. It's constant friction on not really understanding what's going on. If those coffee prices were instead 2.99 € vs 3.53 €, you would immediately see that the Polish coffee is 20% more expensive.

--

As for the payment terminals offering to pay in Euro, as others have already noted, that's a scam. There is a hidden fee, usually around 3.5% - 5.0% of your total, that you get charged for this "convenience". Refusing this and paying in the listed currency will mean that your own bank will do the conversion, which is basically always going to be far cheaper.

Unfortunately this currency conversion scam is so lucrative that even big brands engage in it. Amazon for example asks what currency your card is in. If you select some currency other than what this sepecific Amazon's listed prices are in, well, you're in for another juicy hidden fee, this time to Amazon.

vladvasiliu
This isn't my experience, so I think people should pay attention to their specific situation.

Granted, I haven't recently been to any EU country without the Euro, but my main bank charges extortionate conversion fees, 2.sth%, with a ridiculous minimum per transaction.

A few months ago, I've ordered something off Amazon UK (while in the UK) and the conversion they offered was very close to the official GBP / EUR exchange rate, way below my bank's minimum. The price wasn't high, either, on the order of 10 €.

cik
My experience is similar to yours. Banks and credit cards here, love to charge a 7% (total) currency conversion fee. I happily allow Amazon (1%), and basically everyone else to do this as it is much, much cheaper. There are different financial experiences in different countries.
piltdownman
Non-Schengen EU Passports are basically the same thing for e.g. inter-railing or other journeys involving multiple border crossings.

Also in Europe people use the likes of Revolut to set up virtual native currency accounts on the fly (with IBAN) with FX free transactions up to a certain level per month dependent on tier.

Strom
> Non-Schengen EU Passports are basically the same thing

It's not about passports, it's about border controls within the area. Before Schengen you would have to wait for hours and hours in a queue at the border. Now that border check doesn't exist anymore. The check doesn't exist regardless of what passport you have, there's just nobody there.

druskacik
It's usually better to pay in the local currency than Euro. The currency still has to be exchanged somewhere, and the banks usually have better rates than the terminal operators.
chithanh
Newspapers even advise travelers against terminals who try to trick paying in Euro instead of local currency. This is a rip-off.
petesergeant
I’ve even had my credit card provider message me to warn me before after putting a couple of transactions through! Hardly an unbiased source, but their rates are much much better
savolai
Hm I always wondered about what this choice actually translates to, what’s the underlying logic determining how what I pay in -> where conversion gets made?
decimalenough
It's called DCC and you are legally required to be offered a choice. If you choose the local currency, your home bank does the exchange and the rate is basically always better. If you choose your home currency, the terminal operator does the exchange at a terrible rate and often slaps on a hefty fee for the "convenience".
Cu3PO42
To make things more complicated: it's not necessarily your home bank making the exchange, it can also be your card scheme (e.g. MasterCard/Visa/...). However, this is something you don't get a choice in. Your bank has an agreement with the scheme which foreign currencies are handled by whom. In any case, the rates used by the schemes are generally also pretty good.
savolai
Thanks.

The lack of direct documentation/instructions or link in the terminals to official rules strikes me as horrible ux. You basically just have to be in the know or know who to ask?

Cu3PO42
It is horrible UX and one might argue intentional. The terminals are provided by the acquirer, i.e. the same party that stands to make extra money if you let them handle the currency exchange.

In Germany, there was a sliver of time where stores essentially taped a piece of paper to terminals with instructions and big red arrows to select a specific scheme because that would benefit the store (and not cost the consumer extra). It didn't really stick, however. I suspect because it was two extra button presses and the consumer wouldn't notice either way.

vasco
Payment terminals can offer whatever currency exchanges they want, but usually it's just a way to fleece you on the spread, nobody is doing you any favors, it's just that whoever in the chain gets to perform the exchange gets to set the fees and the spread and most people get confused by currency exchange so it's in every middle man of the chain's interest to be the one to perform it and get the spread themselves.
guappa
While currency exchange offices are honest and fair?
chithanh
If you use your bank's rate by paying in foreign currency then this is usually fair, at most they will add a 1% foreign currency transaction fee.

When it comes to exchanging cash, avoid currency exchanges at places like airports, tourist hotspots, etc. as they will usually offer worse rates than elsewhere.

ses1984
That’s not the alternative, the alternative is to let your bank or credit card processor handle the exchange instead of the terminal operator.
omnimus
Yeah never use that offer to pay euros its just scam. Get some travel card like Wise you will save a lot of money and get better feel for the prices.
chgs
It’s the 21st century, I pay for everything by card, currency barriers are way below Schengen and language barriers
crossroadsguy
I have always felt it was a mistake allowing countries inside the EU but not the currency. But when one looks at the dates - and they are 6 years apart - it becomes clear why. I wonder how it would have turned out had Euro and EU been launched together. Would it have been "a package" or optional?
jochem9
All EU countries are required to join the euro. This was agreed in the 1992 Maastricht treaty when the EU was founded (and the EMU, which was the starting point of the euro). Only Denmark and the UK negotiated an opt-out at the time.

Only problem is that there are no deadlines and it's up to the country to make a plan for adopting the euro.

riffraff
Are you sure it's in Maastricht? I think the automatic requirements met -> has to join were added in the Lisbon treaty, Maastricht just established the requirements but didn't force joining, which is why some older eu countries which would meet them haven't joined yet.
ingohelpinger
the same treaty says state financing through the ECB is illegal, but they do it anyway.
epolanski
They don't?

All EU emitted debt goes towards specific projects.

ingohelpinger
what? the ECB is buying state bonds. maybe thats the reason the ECB is its own state, no authorities allowed to enter the building. wondering how they will audit the ECB. ahh right, they wont. :)
toomuchtodo
https://en.wikipedia.org/wiki/Potential_enlargement_of_the_E...
decimalenough
I think you meant this: https://en.wikipedia.org/wiki/Enlargement_of_the_eurozone
mytailorisrich
Success, yes it has survived. But it has cost a lot to people and countries.
yard2010
I'm not an expert but this is the best value for the cost if you ask me.
mytailorisrich
For most people the benefit is no currency exchange on holiday.

Cost is loss of key economic levers, price increases, and potentially less competitive exports.

I don't think a blanket statement like yours holds. Ot works for Germany (unsurprisingly) but some countries suffered.

carabiner
The crazy thing is that it was US pressure on Europe in the late '90s that led to adoption of the euro.
oaiey
I am not aware of this. Can you give us a hint what that was?
oaiey
Euro was part of the Maastricht treaty which formed the EU as we know it today in 1992. The euro part was a power move of France against a reunited Germany which back story origins in the early 80s. Obviously backfired.
epolanski
How did it backfire?
smcl
Because Germany is the dominant power in the European Union and France isn't
16th_hop
What everyone is missing: the biggest advantage of the Euro is debt. Once you can take loans out in Euro, investors can give you lower rates since they’re not worried about a national bank going haywire and debasing the local currency. Also no potentially illiquid currency markets that need to be cleared going in and out of the currency.

Ask a homeowner the difference between a 2% loan (euro price) and 5% (local currency) and you’ll understand why so many countries have opted for the Euro.

blahedo
Random observation: I remember seeing the second round of euro bills and momentarily thinking, "EBPO? cool, but why did they add Cyrillic to the design?"

It was specifically for Bulgaria, the only EU country to use the Cyrillic alphabet. Eurozone membership was a distant thought at that point, but they knew they'd be in eventually. Now's the time!

darkhorn
Because they wrote ΕΥΡΩ specifically only for Greece, the only country to use Greek alphabet.
Gare
Technically, 2 EU countries: Greece and Cyprus.
darkhorn
Right but back then Cyprus was not an EU member.
isodev
Nice. It’s amazing to see the progress Bulgarians have made in the last 20 years after joining the EU. I can imagine it hasn’t been an easy process.
SwtCyber
Definitely not an easy road but pretty remarkable when you zoom out
ingohelpinger
have you seen the roads? lol
keiferski
One of the biggest effects of this will probably be increased Western tourism to the resort cities on the Black Sea coast. Which is good, I guess, for the local economy - but I did really enjoy how Burgas felt different from the typical Western coastal resort city when I visited. I hope it doesn’t lose that uniqueness as it integrates into the wider EU economy.
alexey-salmin
I haven't been to Burgas but Montenegro still feels rather different IMO. Probably it has to do more with local culture and with GDP per capita rather than the currency itself (even though you're right that the latter may slowly evolve thanks to easier inflow of money).
keiferski
Depends on where you’re at in Montenegro. Parts of it are definitely still different (the capital, Ulcinj and the south, rural areas) but some of the coastal cities are becoming very generic global luxury stores and mass tourism.

At least - that was my experience spending a couple months there 2-3 years ago.

W3zzy
True, it felt a whole lot like Croatia near the coast of Montenegro save for the complemantairy ketchup they offer with pizza.
SwtCyber
Hopefully the local vibe proves resilient
SwtCyber
They've been pegged to the euro for years anyway, so in practice not much changes day-to-day but symbolically and politically, it's huge
v5v3
On the one hand, countries with different economic strengths having the same currency managed centrally isn't ideal.

But on the other hand, anything that reduces the domination of the US dollar is welcome.

beAbU
> On the one hand, countries with different economic strengths having the same currency managed centrally isn't ideal.

Isn't this kind of what the US is doing though?

lmm
The US has a much more integrated economy - businesses operate nationwide, employees routinely move across the country, and most economic policy is set centrally. And even then there are still downsides where e.g. interest rates set to suit the national economy exacerbate the problems of the rust belt.
knorker
> businesses operate nationwide, employees routinely move across the country

Could you elaborate on what you mean? I've not run a business, but from the people I know who do complain similarly about cross-EU and cross-US-state business.

Like the company based in Texas who got their first employee in New York. Suddenly they needed some sort of presence in New York State, get a separate insurance, and accountants for New York State. (federal, state, and city income tax). They have to really want that employee.

From what I've heard, selling across state lines is fine in either case. Getting employees / expanding into new state is in both cases a big deal. Withdrawing (presence, not sales) from a US state is spoken about similarly to if it's a new country.

lmm
Opening an office in a new state may be just as difficult as opening an office in a new country, but my sense is that both a) selling to the entire US and b) hiring employees from the entire US (with the requirement to relocate to the state where you operate) are substantially easier than doing the same things across the entire EU.
knorker
To be clear, I don't just mean opening a physical office. I also mean the cost of having your first remote worker who lives and works from another state.

For employee relocation, that's definitely true. Even moving from Hawaii to Alaska is less of a life change than Spain to Poland. Or hell, probably even Spain to Portugal.

I'm surprised to hear you say selling would be that hard, though. It'd be interesting to see a comparison. And there's also both B2C and B2B.

3836293648
Yes, and it isn't exactly helping all of America, even if it is helping America as a whole
SwtCyber
The euro may be imperfect, but it's one of the few serious contenders out there
storus
Doubling of the prices overnight coming like in Croatia and many countries before it?
avtolik
I am honestly surprised how many people here think this is a bad idea. I wonder why is that.
nickslaughter02
EU is a sinking ship and more integration with it means more damage when it finally implodes.
ChrisArchitect
[dupe]

Earlier: https://news.ycombinator.com/item?id=44412143

decimalenough
Almost but not quite: today's news is that the European Central Bank has signed off on this.
theodric
Get ready for prices to increase significantly (but not necessarily orthogonally to income) just like they have in every other place that switched to the Euro
ingohelpinger
the Euro has lost almost half of its purchasing power since its creation. bulgarians want the Euro so much, that they have to run tv ads, "we will become more wealthy by introducing the Euro", what? how will that happen, if you need more money to buy same or less products/services? lmao
tirant
Historically other currencies have depreciated much more than the Euro. The LEV depreciated around 99% before being pegged to the Euro.
p2detar
Bulgarians are using the DM since 1997 and the Euro since 1999, they just call it Lev. We have a currency board that requires every single Lev be covered by foreign reserves which as of current consist of 90% EUR and 10% USD, JPY, GBP and others. We cannot print money to control interest rates, worse we have no say in ECB policies at the moment.

For the Lev to be independent we have to exit the currency board but this is madness, since our exports are already adjusted to EU countries where the currency is EUR anyway.

ReptileMan
Probably a bad idea. The big economies of the eurozone have been in constant stagnation for the last 15 years. To me it seems that Bulgaria has jumped on Titanic on Qweenstown. I do hope that I am wrong, but those are the same people that made the plastic caps permanently attached to the bottles.
perching_aix
> but those are the same people that made the plastic caps permanently attached to the bottles

It's still hilarious to me how upset people are at this (or at least pretend to be).

debesyla
Have you even been in the parks and forests before, haha? :-D At least in Lithuania there were lots of caps lost - half of cleaning up the parks time was bending to pick out caps out of the dirt. Not anymore.

It's similar to free plastic bags or deposit system for bottles. Inconvenience is so tiny that no person genuinely complain about that (not for social karma/attention), but economically when there were millions of bags and half a million bottles sold every day...

To put it into HN-themed metaphor, reducing error log verbosity matters too, when you have millions of lines.

ReptileMan
It is inconvenience for all, with at best minimal benefits, but it makes couple of bureaucrats and greens feel good about themselves. People are upset because it shows Brussels disfunction in a nutshell.
wiseowise
> It is inconvenience for all

Are you 80 or something? It takes two tries to adjust and understand that it is much superior to unattached cap.

The whole thing is a big meme to make fun of EU, because there’s barely anything else to complain about.

saubeidl
It's a huge convenience. I used to always misplace bottle caps and spend some time looking for them. Now I don't.

I don't get why people don't like it.

perching_aix
But it really isn't that inconvenient at all, and some of the caps are outright better now than the crap that preceded them. Bit like how the toilet water use regulations turned out.

I even find myself vaguely annoyed now whenever I drink from glass bottles, that those caps are loose.

> People are upset because it shows Brussels disfunction

Reminds me to that meme where the debated point is what OS is better, and the conclusion is that normal people don't talk about operating systems. The only people I ever hear mention Brussels unprompted are rightwing grifters.

menaerus
It's a taxpayer's money so why wouldn't the taxpayers have a point if they think that their money is not spent best and, in the context of the global situation, not really efficient at all in making the quality of life of EU citizens any better?

To paraphrase this differently: if I as an investor gave you 100M EUR and 24 months, would you be happy to spend it for changing a frigging cap on the bottle or would you rather invest that money and time+people resources on something else?

perching_aix
> It's a taxpayer's money so why wouldn't the taxpayers have a point if they think that their money is not spent best

Not what I said.

> in the context of the global situation, not really efficient at all in making the quality of life of EU citizens any better?

Why would all decisions have to be this massively efficient slamdunk of an idea? Things can even be downright specifically bad yet still be generally useful in the grand scheme of things. Things can also be just kind of a stinker sometimes. You don't normally skewer something large over a minor issue. Critique is fine, but then "I don't like it" doesn't hold much weight, certainly not more than "well I do".

> would you rather invest that money and time+people resources on something else?

Are the levers I can and am expected to pull on the same as the EU? I don't think so.

menaerus
> Not what I said.

It's exactly what you were questioning and which is why I gave you the concrete example why people get attached to this particular non-problem.

As for the rest of your comment, I think it went a little bit over your head.

perching_aix
> It's exactly what you were questioning

My remark about most people who bring up Brussels unprompted being rightwing grifters really was just that, and nothing else.

It is not lost on me that like anything, they can and should be critiqued as well.

It's just not really being done, and when it is done, it's usually coming from a place of ulterior motives and ill faith (for now), and so is fairly uncommon. So it's a strange thing to claim that that's what "people think of". No it isn't, not unless you're in the aforementioned circles, which is not the general populace at all.

menaerus
Ok, I wasn't making a comment about "rightwing grifters" although this is also certainly amenable to discussion but I was rather making a comment on why would some people find it contrary to what you said in your first comment - "It's still hilarious to me how upset people are at this (or at least pretend to be)."
perching_aix
Oh okay, I misunderstood. Could have just replied to my initial comment then to be fair.
wiseowise
I am an EU taxpayer. Caps stay bolted on.

> To paraphrase this differently: if I as an investor gave you 100M EUR and 24 months, would you be happy to spend it for changing a frigging cap on the bottle or would you rather invest that money and time+people resources on something else?

Grifter 101 – “think about what we’d be able to achieve if you did X instead of Y, comrade!”.

menaerus
It's fine with me if you think that the bottle caps were a worthy move, ok? We are different in the fact that I prefer to discuss objectively with arguments and not using the collective bias as you seem to impose on me without actually knowing anything about me. My mind is open for discussion but probably not suitable for the likes who cannot think out of the box. As for the grifter, I don't think you really understand the meaning of that word.
perching_aix
I guess this is my fault, sorry everyone.

Let me clarify here, cause the editing window for my comment upstream from this has already passed:

> People are upset because it shows Brussels disfunction in a nutshell.

This is what I was reacting to when I said that in my experience people who bring up Brussels like this "are rightwing grifters".

It wasn't in the sense that I was pointing at the person above or anyone else in particular here with this label, but rather, that I was taking an issue with the claim that this kind of thinking (Brussels this, Brussels that) is a people at large thing ("people are upset because"), rather than just something prevalent in those aforementioned circles.

This does sort of imply that I think the person above my comments belongs to those circles, but that really doesn't need to be true, nor was that really my intention to suggest necessarily. I guess this is as good of a lesson for me as any why engaging in labeling (particularly negative one) can be detrimental to discourse, regardless of context. Apologies.

blub
I didn’t know this was an EU regulation, but if it is, it’s utterly dumb.

The new lids are harder for kids to use, bother you when drinking, get in the way when pouring and are a general nuisance.

saubeidl
> bother you when drinking, get in the way when pouring

How? Just rotate it by 90 degrees. It's really not that hard, and in return you will never lose a cap again and we reduce litter by quite a bit. It's a pretty good trade-off imo.

decimalenough
Which is a bad idea because...?
ReptileMan
>The big economies of the eurozone have been in constant stagnation for the last 15 years.

Eurozone doesn't know how to manage the economy successfully. The euro has been a failure. We went from somewhat parity with the US in 2006 to lagging quite behind them 20 years later.

wiseowise
> the Euro has been a failure

My bank account disagrees.

smallstepforman
If abandoning your own currency and adopting Euros was such a big deal, the UK would have done it decades ago (while it was still a part of the EU).

This benefits the bigger economies, at the expense of the smaller economies. Any fiscal policy is dictated by the bigger countries, and with identical currencies, the only policy left for Bulgarians is to cut wages in public sector. This will impact local economy, and ripple through their society becoming poorer. And the bigger foreign corporations can ransack the place. Brilliant.

Maxion
I wonder why this comment is at the top of the HN post.

Over the years I've seen a lot of missinformation on this topic that follows pretty much this exact train of thought. Why would countries join the EU and the Euro if it didn't benefit them?

The baltics have all grown massively since the 90s when they became independent, and even though they all were on nice trajectories they still all decided to join the EU and the Euro.

Bringing up the UK as some model for all other "small" european countrie sounds odd. The UK joined the EEC specifically because it had slower economic growth than the other large EU countries.

The UK, and specifically the city of london, with its huge international financial pull has a very different place in the global economy than Bulgaria...

marton78
> Why would countries join the EU and the Euro if it didn't benefit them?

Joining benefits the country's elites, rather than its general populace -- and it's these elites who decide whether to join.

Bulgaria joining will weaken the Euro, which benefits big, export-oriented economies such as Germany and France. This is how the Euro has always worked: the big economies dilute their trade surpluses at the cost of smaller European countries.

Strom
> Joining benefits the country's elites, rather than its general populace -- and it's these elites who decide whether to join.

That's bullshit. The decision to join is made via referendum.

hgomersall
And the strong countries export their unemployment to the weak countries.
PunchTornado
no proofs, just rephrasing what anti-eu propaganda says. also it is nice how people think they are able to dismiss a policy like the euro in 2 sentences thinking they understand it. probably without a phd in economics either.
ChocolateGod
all the elites like the expats in Spain.
legulere
The Bulgarian Lev is already pegged to the euro and was pegged to the DM before
gmueckl
Is that why the lev tonUeor conversion rate is essentially the same ad DM to Euro?
decimalenough
Yes. It's in fact exactly the same conversation rate, down to the last decimal, because back in the day 1 lev = 1 DM.
cherryteastain
Britain is a country with a massive special snowflake syndrome, and wanted opt outs of pretty much everything in the EU (and eventually quit the union itself). Just next door, Ireland adopted the Euro and is doing well.
ingohelpinger
debt unions never work.