IMF Deputy Managing Director Marnix van Rij during the Opening of the Euro Days at the UNWE: "Bulgaria's Way to the Euro is Admirable"

Euro Days take place at the University of National and World Economy /UNWE/. The event is organized jointly by the UNWE, the Institute of Economics and Politics at UNWE and the Bulgarian National Bank /BNB/. The event is focused on the discussions related to Bulgaria's accession to the Eurozone.

The Director of the Institute of Economics and Politics Assoc. Prof. Dr. Yanko Hristozov, Vice-Rector for International Affairs, welcomed the attendees and introduced the official guests. He emphasized the importance of the topic and the active role of UNWE in the public debate on Bulgaria's accession to the Eurozone. "It is a step that will determine our place in the European economic and financial space. For the academic community of UNWE this topic is of utmost importance because it is the universities that must prepare the experts, analysts and leaders who will manage the processes in the coming years", outlined Assoc. Prof. Hristozov.

Greetings to the participants in the event were delivered by the Rector of UNWE Prof. Dr. Dimitar Dimitrov, Marnix van Rij, Deputy Executive Director of the IMF for the Netherlands-Belgium Constituency, Velislava Delcheva, Ombudsman of the Republic of Bulgaria, Assoc. Prof. Dr. Peter Chobanov, Deputy Governor of the Bulgarian National Bank and lecturer at the UNWE Finance Department, Zornitsa Rusinova, President of the Economic and Social Council, and Petya Dimitrova, Chairperson of the Association of the Banks in Bulgaria.

Assoc. Prof. Dr. Yanko Hristozov, Marnix van Rij, Assoc. Prof. Dr. Petar Chobanov, Prof. Dr. Dimitar Dimitrov, Zornitsa Rusinova, Velislava Delcheva, Petya Dimitrova

"It is an honour for me to see the country's financial elite gathered in Maxima Aula for the opening of the Euro Days at the UNWE. An initiative that brings into the focus of public and academic attention one of the most important topics for the future of Bulgaria – our accession to the Eurozone. Today's event is not just an academic discussion, but a platform for dialogue between the institutions, experts, business leaders and the future economists – our students. It shows that the UNWE continues to fulfill its mission – to be a hub of ideas, analyses and solutions that are important for the national economy and society. The way to introduction of the euro is a strategic decision for our country. It is a process that requires in-depth analysis, transparency and public understanding. That`s why it is extremely important that representatives of financial institutions, business, academia and social partners gather here. They will have the opportunity to share their expertise, answer question and provide a realistic perspective on the expectations, benefits and challenges facing Bulgaria", said the Rector of UNWE Prof. Dr. Dimitar Dimitrov, emphasizing: "The UNWE is a natural partner in this conversation. For more than a century, our university has been preparing economists, financiers and analysts who build Bulgaria's modern economy. Today, together with the Institute of Economics and Policies at UNWE and with the support of the BNB, we continue this tradition by creating a space for informed and responsible discussion. I would like to express thankfulness to all participants who accepted the invitation of UNWE, to our colleagues from the BNB for their partnership as well as to the team of the Institute of Economics and Policies for organizing this event".

In the beginning of his statement Marnix van Rij pointed out that he was impressed by the history of UNWE, emphasizing that the University can boast of many prominent alumni, such as the IMF Managing Director Kristalina Georgieva. "One of them is my Managing Director Kristalina Georgieva. She has had a very impressive career, which has begun here. This shows how important the education is. I hope she is an inspiration to all students", said Marnix van Rij. He added that even if students do not reach her level, which is "quite unique" there are a number of other alumni who have achieved good positions in the Bulgarian society, politics, business and academia which should serve as an example of how the education can enable people to serve their community, region and the European Union as a whole. "The long way that Bulgaria has traveled from the 1997 crisis to the membership in the Eurozone is admirable, as it has not been easy, and the membership in the Eurozone is not the end, but the beginning of a new stage. Bulgaria has been a member of the European Union since 2007, and on January 1, the euro will be introduced here in Bulgaria, and I would like to greet you on this achievement, because Bulgaria will be the 21st member country of the Eurozone", said Marnix van Rij. He pointed out that in his native country Netherlands there were also nostalgic sentiments when the euro was introduced, but ultimately the membership in the Eurozone proved to be a success for all countries that took this step. In terms of the current geopolitical challenges, he gave the example of currency fluctuations since the start of the war in Ukraine among countries in Eastern Europe that do not use the euro and those that are part of the Eurozone, quoting the words of European Commissioner Valdis Dombrovskis during yesterday's high-level event in Sofia. "Dombrovskis is from Latvia and said that the euro was introduced in Latvia and the other Baltic countries, but not in all European countries on the eastern flank. The differences in currencies were immediately apparent. It is better to be part of a large currency such as the euro than to have a national currency in times of great uncertainty. Unfortunately, we live in an era of great uncertainty, geopolitical uncertainty, not only here but also in the rest of the world", said Marnix van Rij, adding that the euro is the second largest currency in the world after the US dollar. Marnix van Rij outlined the current macroeconomic situation in Bulgaria, pointing out that the country has achieved a lot. "The monetary policy is correct if we look at inflation, but also if we look, for example, at the public debt ratio, which is one of the lowest in the EU. There are countries in the EU that have public debt above 100%. On the other hand, when you have 25%, there is a space for investment. So, for fiscal policy, the introduction of the euro is not the end. It is the beginning of a new phase", said Marnix van Rij.

"The UNWE is a place where not only economists are prepared, but also thinking citizens, educated to lead the public debate not only on the euro, but, I am sure, also on the future of Bulgaria", emphasized Velislava Delcheva, Ombudsman of the Republic of Bulgaria. "The discussion about our accession to the Eurozone is above all a discussion about the trust in the institutions, in the decisions our country makes as well as the trust in ourselves as a society. Because the introduction of the euro is not only an economic act, but also a profound social change. This change affects everyone - from the pensioners who monitor the prices to the young entrepreneurs who think about the investment and development. As Ombudsman of the Republic of Bulgaria, I place people at the center of public policy, and therefore I believe that in this process we must ensure that people's voices are heard and that the decisions taken by the state and institutions are explained with transparency and respect. Honest communication and clear safeguards against the abuse are needed, as well as an active social support for vulnerable groups. Only thus we will keep the trust, which is the most valuable currency in our society. I am convinced that with joint efforts we can turn this transition into an economic reform and a social contract for justice and stability. I wish success to the students who are future leaders and who will continue the conversation about the euro and the future of Bulgaria with new energy and knowledge. Let this event be an example of how the academic community, the state and society can work together for the common good.”

"Welcome to the center of knowledge and the place where the future leaders of the Bulgarian economy and finance are formed", said the Deputy Governor of the BNB Assoc. Prof. Dr. Peter Chobanov. "The Bulgarian financial ecosystem can be further developed and along with the stable banking sector, other components of it can also be developed. The way to this point has not been easy. In the recent years, Bulgaria has made significant efforts to meet various stability criteria, improved the supervision of the banking system, strengthened the institutions and proven that we can maintain the financial discipline even in times of global crisis. The strategic importance of the euro is obvious; it is not just a currency, but a symbol of trust, stability and integration. With our accession we will become part of the core of the European financial and economic architecture. All that, along with other benefits, includes lower transaction costs, greater attractiveness for foreign investment, better access to financial markets and greater protection against the external shocks. The role of the BNB will continue to be key - from observer and participant in the preparations, the Bank will become a full member of the Eurosystem and will enable us to participate actively in the decision-making process on the monetary policy of the euro area, to contribute with our expertise and to protect the interests of the Bulgarian economy." Assoc. Prof. Chobanov drew attention to the challenges we face. "These are a number of risks facing the euro area - geopolitical stability, the search for ways to energy independence, inflationary processes, differences in the economic structure. For Bulgaria the risks include the necessity to intensify the structural reforms, increase the productivity and to cope with the demographic challenges. These challenges must be addressed in order for our membership to be effective and meaningful. Assoc. Prof. Chobanov also highlighted Bulgaria's advantages – "the currency board, which maintains financial stability, the low level of public debt, which provides flexibility and sustainability, as well as the fact that the EU countries are our main partners, a flexible and adaptable workforce and a strategic geographical location. Our task from now on is to use these advantages, minimize risks, and be an active and responsible member of the Eurozone."

"Every meeting with the center of economic and financial thought in Bulgaria is exciting and important, especially at this historic moment", said the President of the Economic and Social Council Zornitsa Rusinova, graduate of UNWE. "I don't know if you realize how historic this moment is for the country, because my generation and that of your parents went through the first years of transition and experienced the historic moment when Bulgaria became a member of the EU. And this next step = Bulgaria's entry into the Eurozone - is the most natural process possible. And this historic moment depends on all of you, on how the country will take advantage of the fact that we are a full member of the Eurozone, which is the most stable and prosperous place against the backdrop of geopolitical wars and turbulence. How we will become a full member and take advantage of this opportunity depends on Bulgaria's economists and financiers, and I appeal to you to be active, to take advantage of these Euro Days, where you can meet many people who can explain things to you and inspire you." Zornitsa Rusinova gave the students three pieces of advice: "If you see information on social media about the Eurozone, check it on the official websites of the authorized institutions, help your grandparents and take advantage of the fact that from 1 January we will be members of the club of the richest".

The membership in the Eurozone is a key moment, and I hope we will realize this and reap the maximum benefit. The very fact that we become a member of one of the richest clubs in the world is a great recognition of our efforts and the difficult way we have traveled", said the Chairperson of the Association of Banks in Bulgaria Petya Dimitrova. "The banking system has long been part of the Banking Union, and for us as a banking community, joining the Eurozone is a natural step. Now we will be able to be a full member and participate in decisions, to see the benefits in real terms. The banking system enters fully prepared and competitive, stable, liquid, and well capitalized. It will deepen the integration and provide us with new instruments and capital opportunities. Our banks offer some of the most competitive conditions and we join the Eurozone with some of the lowest fees and interest rates in the euro area."

The programme of the event was organized in two discussion panels. The first panel CEO Talks moderated by Assoc. Prof. Dr. Yanko Hristozov, Vice-Rector for International Affairs and Director of the Institute of Economics and Policies at UNWE, was attended by representatives from various banks. Petya Dimitrova, CEO and Chairperson of the Management Board of Eurobank Bulgaria, Nikola Bakalov, CEO and Chairperson of the Management Board of the First Investment Bank, Teodor Marinov, Member of the Management Board of the United Bulgarian Bank, and Georgy Zamanov, Chief Executive Officer of Allianz Bank Bulgaria, discussed topics related to the challenges, advantages and benefits for the banking system and entry into the Eurozone.

Assoc. Prof. Dr. Yanko Hristozov, Georgy Zamanov, Petya Dimitrova, Teodor Marinov, Nikola Bakalov

The moderator of the second panel Experts Talks was Assoc. Prof. Dr. Alexander Hristov, Vice Dean for Quality and International Cooperation of the UNWE International Economics and Politics Faculty. Among the participants were James Yolovsky, Association of the Banks in Bulgaria, Milena Valkova, Confederation of Employers and Industrialists in Bulgaria, Kaloyan Simeonov, Ministry of Finance, and Ilia Lingorsky, Bulgarian National Bank. The experts discussed the impact of the introduction of the euro on the real sector, the expected effects on the investment climate and the competitiveness of the Bulgarian economy, as well as the role of public institutions and business in the adaptation process. They emphasized the necessity for clear communication with the public, financial literacy and the preparation of the administration and the business for the technical and accounting transition to the euro.

Assoc. Prof. Dr. Alexander Hristov, Assoc. Prof. Dr. Yanko Hristozov, Milena Valkova, Kaloyan Simeonov, James Yolovsky, Ilia Lingorsky

Students from various specialities at the UNWE actively participated in the discussion, asking questions related to the impact of the euro on inflation, bank fees and consumer prices.

The discussions took place in a spirit of open dialogue between the academic community, institutions, and the business, turning the forum into a lively space for the exchange of ideas and analyses about Bulgaria's future in the Eurozone.