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                                                                                              January 13, 2021

Bulgaria: An Overview


Bulgaria is a southeastern European country located along
the Black Sea. After decades of single-party communist
rule and a turbulent transition period during the 1990s,
Bulg aria joined NATO in 2004 and the European Union
(EU) in 2007. The United States cooperates with Bulgaria
on arange of security is sues. At the same time, U.S.
officials have urged Bulgaria to strengthen the rule of law.

Domestic Background
Bulgaria is aparliamentary democracy. Theprime minister
leads the government, and a directly elected president
serves as head ofstate. The National As sembly (Narodno
sab ranie) is a unicameral legislature with 240 members.
Prime Minister Boyko Borisov has led the government for
most ofthe past decade through Citizens for European
Development  of Bulgaria (GERB), a center-right party that
he foundedin 2006. GERB  has won thelargest vote share
in every parliamentary election since2009butneveran
outright majority. President Rumen Radev was directly
elected in 2016 with the backing of the Bulgarian Socialist
Party (BSP), the largest oppositionparty in parliament. The
Movement  for Rights andFreedom, which draws support
primarily from Bulgarian Turks, is the third-largest party in
parliament. Several far-right parties entered government for
the first time in 2017 in coalition with GERB.
Parliamentary elections are dueto beheld in spring 2021,
and pres idential elections are due to beheld in fall 2021.
The current government has been weakened by corruption
scandals. In 2019, severaltop officials-including GERB's
deputy leader, thejustice minister, and the head of the main
anti-corruption agency-resigned over corruption
allegations related to a luxury real estate scandal. Shortly
thereafter, the minister of agriculture res igned over
allegations of fraudulent use ofEUrural development
funds. Although GERB leads in preelection polls, its
popularity further declined amid mass protests in mid-2020.
The protests, among Bulgaria's largest since 1989, centered
on corruption, state capture, andthe rule of law.

Corruption   and Rule-of-Law  Concerns
Corruption, organized crime, and rule-of-law challenges
intens ified during Bulgaria's turbulent economic and
political transition in the 1990s. Due to concern that these
issues hadnotbeenfully addressed at the time ofBulgaria's
EU  acces sion in 2007, Brussels continues to monitor the
country's reformprogress through a transitional
Cooperation and Verification Mechanism(CVM). Although
the CVM  has helped to bring about some institutional
reforms,some analysts question the EU's overall
effectiveness in promoting the rule of law in Bulgaria.
Some  also assertthatEUdevelopment funds, of which
Bulgaria is a top recipient among member states, have
indirectly enabled corruption.


Although external assessments note progress in Bulgaria's
anti-corruption and rule-of-law efforts, core challenges
persist. For severalyears, Bulgaria has ranked last among
EU  member states in Transparency International's annual
Corruption Perceptions Index. The U.S. State Department's
2020 Investment Climate Statement for Bulg aria describes
corruption as endemic, particularly onlarge infrastructure
projects and in the energy sector and in public
procurementanduseofEU funds.   The influenceof
oligarchs andcriminal groups over some decisionmaking
processes and s tate ins titutions also is a concern.
Figure I. Bulgaria at a Glance


Source: Map andgraphic created by CRS.
Rule-of-law challenges and a weak media environment
complicate efforts to comb at corruption and organized
crime. The judiciary is one of Bulgaria's least-trusted
institutions. Among other recommendations, external
assessments have called for measures to strengthen judicial
independence and increase the accountability of the
prosecutor general, one of the country's most powerful
positions. Media watchdog groups caution that Bulgaria's
media environment has deteriorated in recent years.
Bulgaria was ranked 111 out of 180 countries in Reporters
Without Borders' 2020 World Press FreedomIndex, the
bottomranking  among EU members; the organization
describes a media environmentmarred by corruption and
collusion between media, politicians, and oligarchs.

Economy
The World Bankclassifies Bulgaria as an upper-middle
income country. Bulgaria experienced robust GDP growth
during the 2000s, following economic reforms and deeper
EU  integration. Although the economy struggled in the
aftermath of the 2008 global financial crisis, annual GDP
growth has been between 3% and 4% in recent years. As
elsewhere, the Coronavirus Disease 2019 (COVID-19)
pandemic has adversely impacted the Bulgarian economy;
the International Monetary Fund forecasts a 4% GDP
contractionin 2020. Bulgaria aspires to adopttheeuro asits
currency and join the Schengen area of free movement,


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